NJ TRANSIT awards MCI the second year of the 6-year contract for 185 commuter coaches

- Des Plaines, US
White bus

Motor Coach Industries ("MCI"), a subsidiary of New Flyer Industries Inc. (the "Company"), the largest transit bus and motor coach manufacturer and parts distributor in North America, announced today that NJ TRANSIT issued a notice-to-proceed for the second year of its six year contract to manufacture and deliver 185 commuter coaches for an approximate total value of $92 million.

"We are pleased to continue providing highly reliable coaches to NJ TRANSIT with industry-leading lowest total cost of ownership," said Patrick Scully, Executive Vice President of Sales and Marketing. MCI's three-decade relationship with NJ TRANSIT continued in November 2015 with the company winning a competitive procurement to manufacture and deliver up to 1,222 commuter coaches. After successful delivery of three pilot coaches and completion of NJ TRANSIT in-service testing and evaluation passing, production for the first-year order began mid-year 2016.

While the contract was suspended for nearly three months awaiting the New Jersey Transportation Trust Fund to be resolved, MCI was able to adjust production schedules and successfully deliver 96 commuter coaches to NJ TRANSIT in 2016. MCI delivered all year one deliveries of 187 commuter coaches by the end of the first quarter 2017 and will commence delivery of year two coaches starting in the third quarter 2017.

"MCI has a long history of working collaboratively with NJ TRANSIT," Scully explained. "MCI is proud to support their strategic initiative of replacing older buses with modern clean-diesel 45-foot commuter coaches that provide greater capacity, reliability, reduced emissions and lower operating costs, while providing passengers superior riding comfort." The MCI Commuter Coaches are powered by clean diesel which has exhaust emissions reduced as required by the latest Clean Air Act amendments and features a 57-seat configuration that is Wi-Fi ready, seatbelt-equipped and compliant with the Americans with Disabilities Act (ADA).

NJ TRANSIT is the third largest provider of bus, rail and light rail transit in the United States, linking major points in New Jersey, New York and Philadelphia. The agency operates a fleet of more than 2,200 buses covering some 255 routes. With its full complement of buses, trains and light rail vehicles, NJ TRANSIT completes over 277 million passenger trips each year. NJ TRANSIT has purchased over 2,000 coaches over three decades from MCI, including 147 compressed natural gas (CNG) models in 2015.

NOTE: All dollar amounts are stated in U.S. currency.

About New FlyerNew Flyer logo

New Flyer employs approximately 5,000 team members and is the largest transit bus and motor coach manufacturer and parts distributor in North America with fabrication, manufacturing, distribution and service centers in Canada and the United States.

Through its Canadian and U.S. subsidiaries, New Flyer Industries Canada ULC and New Flyer of America Inc. (together, "New Flyer"), the Company is North America's heavy-duty transit bus leader and offers the broadest transit bus product line (Xcelsior® and MiDi® models), incorporating the broadest range of drive systems available, including: clean diesel, natural gas, diesel-electric hybrid, electric-trolley and now battery-electric. New Flyer actively supports over 42,000 heavy-duty transit buses (New Flyer, NABI and Orion) currently in service.

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.

About MCIMCI logo

Through its Canadian and U.S. subsidiaries, Motor Coach Industries Limited and Motor Coach Industries, Inc. (together, "Motor Coach Industries"), is North America's leader in motor coaches, offering the MCI® J4500, which is the industry's best-selling intercity coach for 11 consecutive years, and the MCI® D-Series, the industry's best-selling coach line in North American motor coach history. MCI is also the exclusive distributor of Setra® S 417 and S 407 in the United States and Canada. MCI actively supports over 28,000 motor coaches currently in service and offers 24-hour roadside assistance 365 days a year.

MCI also operates North America's most comprehensive aftermarket parts organization providing support for all types of transit buses and motor coaches. All buses and coaches are supported by an industry-leading comprehensive warranty, service and support network.

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