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Winnipeg, Manitoba, Canada, 2015/12/11 - New Flyer Industries Canada ULC announced that the London Transit Commission (“LTC”) exercised options for 14 heavy-duty 40-foot and one (two equivalent units or “EUs”) 60-foot Xcelsior® clean diesel buses - NewFlyer.com. TSX: NFI.DB.U
New Flyer Industries Canada ULC, a subsidiary of New Flyer Industries, Inc. (“New Flyer” or the “Company”), the leading manufacturer of heavy-duty transit buses in Canada and the United States, announced today that the London Transit Commission (“LTC”) exercised options for 14 heavy-duty 40-foot and one (two equivalent units or “EUs”) 60-foot Xcelsior® clean diesel buses.
The options are for 14 XD40 and one XD60 Xcelsior model buses and are valued at approximately eight million dollars. They will add to London’s nearly 100% all New Flyer Fleet, and will replace vehicles that have reached the end of their useful life.
LTC had an annual ridership of 24 million in 2014, the largest ever for the Commission. As a result, the 2030 transit plan involves expanded services and routes. Currently LTC has 37 regular and three community bus routes in a 420 km coverage area.
“This order shows the key partnership that LTC and New Flyer have developed over the past twenty years,” said Paul Soubry, President and Chief Executive Officer of New Flyer. “We’re pleased to continue to build for LTC and are thrilled to have repeat customers that believe in the quality of our buses and understand the value of the strong support network that stands behind all of our products.”
NOTE: All dollar amounts are stated in Canadian. currency.
About New Flyer
New Flyer (newflyer.com) is the leading manufacturer of heavy-duty transit buses in the United States and Canada. The Company is the industry technology leader and offers the broadest product line of transit buses including drive systems powered by: clean diesel, natural gas, diesel-electric hybrid, electric trolley and now, battery-electric. All buses are supported by an industry-leading comprehensive warranty and support program, and service network. New Flyer also operates the industry's most sophisticated aftermarket parts organization, sourcing parts from hundreds of different suppliers and providing support for all types of buses.
The New Flyer group of companies employ over 3,300 team members with manufacturing, fabrication, parts distribution and service centers in both Canada and the United States. Over 32,000 New Flyer and NABI heavy-duty transit buses are in operation today.
On November 10, 2015 New Flyer announced that it has entered into a definitive agreement to acquire North America’s leading motor coach manufacturer and parts and service supplier Motor Coach Industries International, Inc. ("MCI"). The completion of the transaction is subject to customary closing conditions including U.S. antitrust and Canadian Competition Act approvals and is expected to close by the end of 2015.
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, risks related to the satisfaction of the relevant closing conditions for and the completion of the purchase of MCI, the completion of the new credit facilities being entered into in connection with the purchase of MCI and the timing thereof, the availability of funds from the new credit facilities for the funding of the purchase price for and related expenses related to the purchase of MCI 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.