Mr. Stephen King reports

NFI SUBSIDIARY NEW FLYER NAMED AS PARTNER OF CHOICE FOR MORE THAN $338 MILLION IN FTA LOW- OR NO-EMISSION AND BUSES AND BUS FACILITIES GRANTS

NFI Group Inc. subsidiary New Flyer of America Inc. has been named the partner of choice in over $338-million of competitive grant awards through the Federal Transit Administration's (FTA's) 2024 Low- or No-Emission (Low-No) and Buses and Bus Facilities (BBF) programs. The award amount was spread across 14 transit agency partners.

The FTA Low-No grant program was launched in 2015, with the first awards being dispersed in 2016. In combination with the BBF program, the Low-No grant program aims to improve U.S. transit infrastructure while enabling agencies to reduce their environmental impact through the deployment of low-emission or zero-emission buses.

The awards for this year totalled almost $1.5-billion and were spread across 117 projects in 47 states. The total was divided between more than $1.1-billion in Low-No awards and more than $390-million in BBF awards and is expected to finance approximately 1,150 buses, along with facilities, work force development programs and other systems to support them. The U.S. Department of Transportation (USDOT), through its agency, the FTA, used this year's award cycle to continue efforts to help strengthen U.S. bus manufacturing by prioritizing proposals that included healthy contracting provisions such as using progress or advance payment plans and reducing customization by using either a joint procurement process or purchasing a standard bus model.

The $338-million total represents agencies that directly partnered with New Flyer as part of their grant applications. The FTA has also awarded grants to agencies that did not specify a named partner and instead will use a procurement process to determine the manufacturer. The funds will remain available for use until fiscal year 2027. More information on projects selected can be found on the USDOT website.

"This year's Low-No grant cycle affirmed two things: USDOT's support of resilient, domestic clean bus manufacturing with a healthier contracting environment and our customers' confidence in the value of owning a New Flyer bus," said Jennifer McNeill, vice-president, public-sector sales and marketing, New Flyer and MCI. "Continued investment in low- or zero-emission buses is one of the key factors that allows us to continue driving innovation in the space. We are proud of the knowledge that, every day, our vehicles contribute to improving lives in communities across America."

Ms. McNeill continued: "U.S. public agencies have used Low-No grants to procure NFI buses and charging infrastructure for nine consecutive years -- every year since the grant was originally awarded. After partnering with grantees receiving nearly $200-million in 2022 and more than $207-million in 2023, New Flyer's partners delivered their strongest grant approval performance for the third year in a row, with 2024's awards outpacing the previous year by more than $120-million."

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 195 million EV (electric vehicle) service miles.

Today, NFI supports growing North American cities with scalable, clean and sustainable mobility solutions through its mobility solution ecosystem, which includes buses and coaches; infrastructure; parts and service; technology; work force development and training; and vehicle financing. NFI also operates the Vehicle Innovation Center (VIC), the first and only innovation lab of its kind dedicated to advancing bus and coach technology and providing work force development. Since opening in late 2017, the VIC has hosted over 400 interactive events, welcoming 9,000 industry professionals for EV and infrastructure training.

About NFI Group Inc.

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 10 countries, NFI is a leading global bus manufacturer of mass mobility solutions under the brands New Flyer (heavy-duty transit buses), MCI (motorcoaches), Alexander Dennis Ltd. (single-deck and double-deck buses), Plaxton (motorcoaches), 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 under the symbol NFI and its convertible unsecured debentures trade on the TSX under the symbol NFI.DB.

About New Flyer of America Inc.

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.

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