StarTrans dealers sign with Azure Dynamics

    TORONTO, Jan. 11 /PRNewswire-FirstCall/ - Azure Dynamics Corporation
 (TSX: AZD & LSE: ADC) ("Azure" or the "Company"), a leading developer of
 hybrid electric and electric powertrains for commercial vehicles, today
 announced with its shuttle bus partner StarTrans, a business division of
 Supreme Corporation ( STS), that it has signed nine bus distributors
 across North America for the marketing and sales of the CitiBus Hybrid
 Senator HD ("CitiBus") hybrid electric shuttle buses.
     Azure estimates that approximately 70% of the targeted shuttle bus
 market in the US and Canada is covered by this distributor network. The
 distributors are:
     -   Arcola Bus Sales - New York City Region, New Jersey, Eastern
         Pennsylvania
     -   Colonial Equipment Co. - Maryland, Delaware, Washington D.C.
     -   EK Coaches - Washington, Oregon, Idaho
     -   First Bus Centre - British Columbia, Alberta, Yukon, Saskatchewan,
         Manitoba
     -   Florida Bus Unlimited - Florida
     -   Matthews Buses - Upstate New York, Connecticut, Rhode Island,
         Massachusetts, Maine, New Hampshire, Vermont
     -   Mid South Bus Center, Inc. - Tennessee
     -   Sonny Merryman, Inc. - Virginia
     -   Transportation South, Inc. - Alabama, Georgia, Louisiana, Mississippi
     Azure's CitiBus cab-chassis utilizes the same G1 Series hybrid chassis
 currently in production and operation with delivery van fleets such as
 Purolator Courier Ltd. The CitiBus cab-chassis integrates an International
 3200 cab with Azure's newly developed front nose and a Workhorse chassis.
 Azure's hybrid systems offer significant fuel and maintenance savings for
 shuttle bus operators. In testing, Azure's hybrid delivery vans have
 demonstrated nearly a 50% reduction in fuel consumption on a mile per
 gallon basis in city driving compared to conventionally powered delivery
 vans.
     StarTrans's Senator HD "Heavy-Duty" body utilizes a strong
 fibreglass-reinforced panel (FRP) skin which encases a rugged steel cage
 for optimal safety. StarTrans is known for their smooth styling, passenger
 comfort and convenience, spacious interior and windows, engineering
 excellence and quality construction.
     About StarTrans
     Supreme Corporation's StarTrans Bus Division came into existence in
 1983. Since then, StarTrans has grown to be one of the leaders in
 commercial bus manufacturing. StarTrans markets 32 models of transit and
 tour buses, with passenger capacities ranging from seven up to 42 and
 offers various wheelchair placements. StarTrans has two manufacturing
 facilities, one in Goshen, Indiana and the newest in Moreno Valley,
 California. The company is strongly committed to building quality products,
 having successfully completed commercial testing for 17 buses at the
 Federal Transit Administration's Altoona Bus Testing Center. StarTrans is
 an ISO 9001:2000 certified manufacturer. For more information, please visit
 www.startransbus.com.
     About Azure Dynamics
     Azure Dynamics Corporation (TSX: AZD) (LSE: ADC) 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 and is currently
 working internationally with various partners and customers including:
 Purolator Courier Ltd., United States Postal Service, Canada Post, Ford
 Motor Company, Smith Electric Vehicles, Workhorse Custom Chassis,
 Productive Concepts Inc., StarTrans and AM General LLC. The Company is
 committed to providing customers and partners with innovative,
 cost-efficient, and environmentally-friendly energy management solutions.
 Azure Dynamics' operations are based in North America and Europe.
     For more information please visit www.azuredynamics.com.
 
     The TSX and LSE Exchanges do not accept responsibility for the adequacy
     or accuracy of this release.
     NOTE: The foregoing information may contain forward-looking statements
 which involve known and unknown risks, uncertainties and other factors
 which may cause the actual results to be materially different from any
 future results, performance or achievements expressed or implied by such
 statements. Such factors include, but are not limited to: the ability to
 raise the capital required for product development and operations, product
 development delays, changing environmental regulations, the ability to
 attract and retain business partners, competition from other developers of
 hybrid electric vehicle control systems, competition from other advanced or
 existing power technologies, evolving markets for power for transportation
 vehicles. These factors should be considered carefully and readers should
 not place undue reliance on Azure's forward-looking statements. Investors
 are encouraged to review the risks detailed from time to time in the
 company's filings with regulatory authorities.
 
 

SOURCE Azure Dynamics Corporation