Canada Post Becomes First Customer for Azure Dynamics and Ford of Canada's Transit Connect Electric Van

OAK PARK, MI, Oct. 27 /PRNewswire/ - Azure Dynamics Corporation (TSX: AZD)(OTC: AZDDF) ("Azure" or the "Company"), the fast growing hybrid electric and electric power train innovator for the commercial truck market, and Ford Motor Company of Canada, Limited, announced today that they will deliver one of the first Transit Connect Electric commercial vans to Canada Post under the LEAD customer program. Canada Post will receive one of the exclusive Ford Transit Connect Electric delivery vehicles by the end of this year and has committed to the purchase of nine more by end of 2011.

"Canada Post is the first Canadian company to sign on to this exclusive and innovative vehicle program aimed at providing environmental solutions to the commercial delivery market," said Scott Harrison, Azure Dynamics CEO. "The transformative technology of the Transit Connect Electric reduces gasoline fuel costs to zero, produces no tailpipe emissions and is virtually silent as it travels through urban and suburban delivery routes. The progressive attitude of companies like Canada Post will contribute to making an important environmental impact." 

The new van's electric drive performance attributes are well suited to fleets like Canada Post that have duty cycles characterized by predictable routes with frequent stop and go driving and high idle time. 

"As one of the largest communications and logistics companies in Canada, we're proud to be among the first to implement a fully electric delivery vehicle on our roads," says Doug Jones, Senior Vice President, Operations at Canada Post. "We expect that this new vehicle will bring us one step further along our path to reduce both our overall fuel emissions and our carbon footprint on the environment."

The Transit Connect Electric integrates Azure's Force Drive^TM electric powertrain into Ford's dedicated global commercial van platform that received the 2010 North American Truck of the Year award.  Its unique combination of car-like driving dynamics, cargo capacity, maneuverability, accessibility and low operating costs are characteristics that make the Transit Connect an ideal choice for electrification. 

"At Ford, we are dedicated to delivering quality, safe and fuel efficient vehicles to Canadian businesses - and the Ford Transit Connect delivers on all fronts," said David Mondragon, president and CEO, Ford of Canada. "The Ford Transit Connect Electric represents a win-win for both the environment and for Canada Post - it allows them to operate a more environmentally-friendly vehicle while helping to reduce their CO₂ emissions as well as their need for gasoline."

The Ford Transit Connect Electric utilizes an advanced lithium-ion battery from Johnson Controls-Saft to achieve a range of up to 130 km (80 miles) on a single charge and is rechargeable using either a 240-volt or standard 120-volt outlet.  Commercial vans generally return to a central location at the end of each driving cycle making for easy overnight recharging.

For more information on how Azure Dynamics products are Driving a World of Difference, please visit www.azuredynamics.com. 

About Canada Post
With 71,000 employees and more than 6,500 post offices, The Canada Post Group - including affiliates Purolator Courier and SCI Group, as well as Innovapost (a joint venture with CGI), maintains the largest retail and transportation network in the country. Canada Post delivered close to 11 billion pieces in 2009 to 15 million points of call across Canada, posting $7.3 billion in revenue. Canada Post provides innovative physical and electronic delivery solutions, creating value for our customers, employees and Canadians. Canada Post has been chosen as one of Canada's Top 100 employers by Mediacorp for the past four years and in 2009 was named "Most Iconic Brand in Canada" by Brand Finance Canada.   Website: canadapost.ca.

About Azure Dynamics
Azure Dynamics Corporation (TSX: AZD)(OTC: AZDDF) is a world leader in the development and production of hybrid electric and electric components and powertrain systems for commercial vehicles. Azure is strategically targeting the commercial delivery vehicle and shuttle bus markets and is currently working internationally with a variety of partners and customers. The Company is committed to providing customers and partners with innovative, cost-efficient, and environmentally-friendly energy management solutions.  For more information please visit www.azuredynamics.com.

About Ford Motor Company of Canada, Limited
Ford of Canada's operations include a national headquarters, three regional offices, two branch offices, four vehicle assembly and engine manufacturing plants, and two parts distribution centres. Ford employs approximately 7,000 people in Canada, while an additional 18,000 people are employed in the more than 400 Ford and Ford-Lincoln dealerships across the country. For more information, please visit www.ford.ca 

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Forward-looking Statements

This press release contains forward-looking statements.  More particularly, this press release contains statements concerning Azure's business development strategy, projected commercial revenues and product deliveries.

The forward-looking statements are based on certain key expectations and assumptions made by Azure, including expectations and assumptions concerning achievement of current timetables for development programs, target market acceptance of Azure's products, current and new product performance, availability and cost of labor and expertise, and evolving markets for power for transportation vehicles.  Although Azure believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because Azure can give no assurance that they will prove to be correct.  Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties.  Actual results could differ materially from those currently anticipated due to a number of factors and risks.  These include, but are not limited to, the risks associated with Azure's early stage of development, lack of product revenues and history of losses, requirements for additional financing, uncertainty as to commercial viability, uncertainty as to product development and commercialization milestones being met, uncertainty as to the market for Azure's products and unproven acceptance of Azure's technology, competition for capital, product market and personnel, uncertainty as to target markets, dependence upon third parties, changes in environmental laws or policies, uncertainty as to patent and proprietary rights, availability of management and key personnel, and acquisition integration risk.  These risks are set out in more detail in Azure's annual information form which can be accessed at www.sedar.com.

The forward-looking statements contained in this press release are made as of the date hereof and Azure undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

SOURCE Azure Dynamics Corporation