Announcement includes planned expansion of New Flyer's production capacity and zero-emission bus offering

WINNIPEG, Manitoba, Oct. 25, 2024 (GLOBE NEWSWIRE) -- (TSX: NFI, OTC: NFYEF, TSX: NFI.DB) NFI Group Inc. (NFI), a leading independent bus and coach manufacturer and a leader in electric mass mobility solutions, subsidiary New Flyer Industries Canada ULC (New Flyer), today announced an initiative to expand New Flyer's Winnipeg manufacturing capability to allow for complete manufacturing of heavy-duty transit buses in Canada and an increased offering of zero-emission buses (the "Project”).

The Project will repurpose existing space at its Winnipeg production facility and the lease of a new finishing facility for final vehicle commissioning, expanding New Flyer's production capacity by up to 240 equivalent units1 per annum by 2027. The investment will allow New Flyer to manufacture zero-emissions buses, including battery-electric, fuel-cell electric, and trolley-electric buses for the Canadian market.

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1 NFI's transit bus production is measured in, or based on, "equivalent units” (or "EUs"). One EU represents one production "slot”, being one 35- foot or 40-foot one transit bus, while an articulated 60' transit bus represents two EUs.

The Government of Manitoba and Prairies Economic Development Canada (PrairiesCan) are supporting the Project that will create up to 250 new direct green jobs at NFI and expand Manitoba's Green Economy. Manitoba's contribution includes a C$10 million investment alongside additional cash flow provided by a two-year interest reduction on NFI's current C$50 million provincial loan. PrairiesCan will provide a C$15 million repayable contribution through its Business Scale Up and Productivity Program as part of PrairiesCan's Framework to Build a Green Prairies Economy.

NFI will be co-investing in the project alongside the Province and PrairiesCan, to support facility upgrades, zero-emission bus testing, working capital, project administration, and operational costs. Construction activities are starting immediately with the first bus builds taking place in the fourth quarter of 2025, with a continued ramp up through 2026 before achieving the full 240 equivalent unit run rate in 2027.

"Today's announcement is a major milestone for NFI as it allows us to complete full buses in Canada for the first time in nearly fifteen years. I would like to thank our partners at the Province of Manitoba and PrairiesCan for their commitment and financial support that will help enhance Manitoba's Green economy,” said Paul Soubry, President and CEO, NFI. "These funds will be strategically invested alongside our own capital to expand our production capacity and increase our zero-emissions transit bus offerings, which will create new jobs and help create more livable North American communities.”

"This project is about putting a 'Made in Canada' stamp on the low-carbon economy. Here in Manitoba blue-collar workers are part of the transition to a net zero future, and it's companies like NFI that are leading the charge,” said Premier Wab Kinew. "We're pleased to partner with the federal government to get this All-Canadian Build facility done so we can continue to put Manitoba at the cutting edge of zero emission transportation technology.”  

"This is a significant step forward by NFI Group. Increasing manufacturing capacity in the zero-emission heavy-duty vehicle sector is good news for Canada and solidifies Manitoba's leadership in this field. This project is an example of collaboration under the Green Prairie Economy Framework to deliver solutions to build a strong and sustainable economy across the Prairies,” said The Honourable Dan Vandal, Minister for PrairiesCan.

"Demand for zero-emission transit buses in our core markets is at record levels, driven by the transition of transit fleets to zero emission buses in Canadian cities to meet national emission reduction goals,” said Chris Stoddart, President, North American Bus and Coach. "Not only will this project allow for full Canadian bus builds, but it will also free up U.S. capacity, to service even more U.S. customers across our network.”

NFI is a leader in zero-emission mobility, with electric vehicles operating (or on order) in more than 150 cities in six countries. NFI offers the widest range of zero-emission battery and fuel cell-electric buses and coaches, and its vehicles have completed over 180 million EV service miles.

About NFI

Leveraging 450 years of combined experience, NFI is leading the electrification of mass mobility around the world. With zero-emission buses and coaches, infrastructure, and technology, NFI meets today's urban demands for scalable smart mobility solutions. Together, NFI is enabling more livable cities through connected, clean, and sustainable transportation.

With over 8,750 team members in ten countries, NFI is a leading global bus manufacturer of mass mobility solutions under the brands New Flyer® (heavy-duty transit buses), MCI® (motor coaches), Alexander Dennis Limited (single- and double-deck buses), Plaxton (motor coaches), ARBOC® (low-floor cutaway and medium-duty buses), and NFI Parts™. NFI currently offers the widest range of sustainable drive systems available, including zero-emission electric (trolley, battery, and fuel cell), natural gas, electric hybrid, and clean diesel. In total, NFI supports its installed base of over 100,000 buses and coaches around the world. NFI's common shares trade on the Toronto Stock Exchange ("TSX”) under the symbol NFI and its convertible unsecured debentures trade on the TSX under the symbol NFI.DB. News and information is available at www.nfigroup.com, www.newflyer.com, www.mcicoach.com, nfi.parts, www.alexander-dennis.com, arbocsv.com, and carfaircomposites.com.

About New Flyer

New Flyer is North America's heavy-duty transit bus leader and offers the most advanced product line under the Xcelsior® and Xcelsior CHARGE® brands. It also offers infrastructure development through NFI Infrastructure Solutions™, a service dedicated to providing safe, sustainable, and reliable charging and mobility solutions. New Flyer actively supports over 35,000 heavy-duty transit buses (New Flyer, NABI, and Orion) currently in service, of which 8,600 are powered by electric motors and battery propulsion and 1,900 are zero-emission. Further information is available at www.newflyer.com.

Forward-Looking Statement

This press release may contain forward-looking statements relating to expected future events and financial and operating results of NFI 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 the risks and uncertainties discussed in the materials filed with the Canadian securities regulatory authorities and available on SEDAR at www.sedarplus.ca. Due to the potential impact of these factors NFI 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.

For media and investor inquiries, please contact:

Stephen King

P: 204.792.1300

Stephen.King@nfigroup.com

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/0e57bb64-0e19-400b-83af-70b036114b05