(TSX: NFI; TSX: NFI.DB.U) New Flyer Industries, Inc. (“New Flyer” or the “Company”), the leading manufacturer of heavy-duty transit buses in the United States and Canada, announced today that the New York City Transit (NYCT) and the MTA Bus Company (MTABC) (together,“MTA”) have approved the purchase of 29 additional compressed natural gas (“CNG”) 40-foot heavy-duty buses.
The first 14 of the 29 buses will be purchased from a current NYCT contract signed on August 20, 2010. The original contract contained 340 option buses and after exercising these 14 options, 76 options will remain in New Flyer’s total backlog. The remaining 15 buses will be purchased under a Daimler Buses North America, Inc. (Orion) contract that was assigned to New Flyer on July 25, 2012 for MTABC. The assignment included 74 buses with 30 additional options of which, 15 options will remain in New Flyer’s total backlog.
The combined NYCT and MTABC fleet consists of over 5,600 transit buses and express coaches covering nearly 300 routes, making it the largest transit fleet in the United States. New Flyer has built and delivered over 1,400 buses for NYCT since 1996, including 550 buses in CNG and diesel bus configurations over the past 2 years.
“We are thrilled that NYCT continues to exercise their options with New Flyer for additional buses and we believe it reflects directly on the quality and performance of our industry leading buses,” said Paul Soubry, President and CEO of New Flyer. “New Flyer is the market leader in the production of CNG transit buses with nearly 20 years of proven technology and demonstrated reliability with over 4,700 in operation.”
This award was part of the group of firm and option orders for 509 EUs received just prior to the end of 2012 noted in the New Flyer press release of January 9, 2013 as included in the New Flyer backlog, but awaiting approval for the issue of a detailed announcement.
Production of these 29 buses for NYCT is expected to begin in January 2013 with completion of delivery anticipated by beginning of the second quarter of 2013.
About New Flyer
New Flyer (newflyer.com) is the leading manufacturer of heavy-duty transit buses in the United States and Canada. The Company’s three manufacturing facilities in St. Cloud, MN; Crookston, MN; and Winnipeg, MB are all ISO 9001, ISO 14001 and OHSAS 18001 certified. The Company currently operates a parts fabrication facility in Elkhart, IN and four parts distribution centers in Erlanger, KY; Fresno, CA; Winnipeg, MB and Brampton, ON. The Company also operates a service center in Arnprior, ON.
With a skilled workforce of over 2,000 employees, New Flyer is a technology leader, offering the broadest product line in the industry, including drive systems powered by clean diesel, LNG, CNG and electric trolley as well as energy-efficient diesel-electric hybrid vehicles. New Flyer has delivered over 32,000 heavy-duty buses in the United States and Canada. All products are supported with an industry-leading, comprehensive parts and service network.
The common shares and convertible unsecured subordinated debentures of New Flyer are traded on the Toronto Stock Exchange under the symbols NFI and NFI.DB.U, respectively.
This press release may contain forward-looking statements relating to expected future events and financial and operating results of the Company that involve risks and uncertainties. Although the forward-looking statements contained in this press release are based upon what management believes to be reasonable assumptions, investors cannot be assured that actual results will be consistent with these forward-looking statements, and the differences may be material. Actual results may differ materially from management expectations as projected in such forward-looking statements for a variety of reasons, including market and general economic conditions and economic conditions of and funding availability for customers to purchase buses and to purchase parts or services, customers may not exercise options to purchase additional buses, the ability of customers to terminate contracts for convenience and the other risks and uncertainties discussed in the materials filed with the Canadian securities regulatory authorities and available on SEDAR at sedar.com. Due to the potential impact of these factors, the Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless required by applicable law.