DES PLAINES, IL, May 2, 2016 /PRNewswire/ - (TSX:NFI) (TSX:NFI.DB.U) Motor Coach Industries ("MCI"), a subsidiary of New Flyer Industries Inc. (the "Company"), the largest transit bus and motor coach manufacturer in North America, announced today that the public transportation authority of New Jersey ("NJ TRANSIT"), has issued a notice to proceed ("NTP") to build 184 commuter coaches in 2016 for an estimated value of $95 million.
The landmark contract signed in November 2015 had included a firm order for three commuter coaches and options for up to an additional 1,219 commuter coaches. MCI has already delivered three coaches which successfully passed the NJ TRANSIT in-service testing and evaluation phase. The NTP to build 184 commuter coaches is the first year purchase under the contact which is expected to deliver commuter coaches over a six year program.
"This NTP is an important milestone of the NJ TRANSIT contract and officially authorizes MCI to begin manufacturing and delivering the first year's requirement under the contract." said Patrick Scully, MCI Executive Vice President of Sales and Marketing. "We value the long-term relationship forged with NJ TRANSIT and the trust they've placed in MCI's to build highly reliable coaches with industry leading lowest total cost of ownership."
The MCI commuter coach is powered by clean-diesel with reduced exhaust emissions as required by the latest Clean Air Act amendment and features a 57-seat configuration that's Wi-Fi ready, seatbelt-equipped and compliant with the Americans with Disabilities Act.
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 2,000 buses covering some 257 routes. With its full complement of buses, trains and light rail vehicles, NJ TRANSIT completes over 272 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 the Company
The Company 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.
Through its Canadian and U.S. subsidiaries, Motor Coach Industries Limited and Motor Coach Industries, Inc. (together, "Motor Coach Industries"), the Company 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 S417 and S407 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.
The Company 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.
The common shares and convertible unsecured subordinated debentures of the Company 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 coaches and to purchase parts or services, customers may not exercise options to purchase additional coaches, 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 www.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.
SOURCE New Flyer Industries Inc.