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HOUSTON'S METRO ADDS 10 MORE MCI® COMMUTER COACHES TO ITS BUSY REGIONAL FLEET

DES PLAINES, ILLINOIS, MAY 27, 2016: (TSX:NFI) (TSX:NFI.DB.U) Motor Coach Industries ("MCI"), a subsidiary of New Flyer Industries Inc. (the "Company"), the largest bus and motor coach manufacturer in North America announced that METRO (Metropolitan Transit Authority of Harris County) expands its high-occupancy vehicle (HOV) regional service, accepting delivery of 10 new MCI Commuter Coaches. The 10 coaches are options from a contract initially awarded to MCI in 2014, and have an approximate total value of $6 million. Consistent with the contract, MCI delivered 95 coaches in 2014.

"With each passing year, the MCI Commuter Coach is becoming the public transit industry's top solution for commuter service in the most cost effective, environmentally friendly way possible," said Patrick Scully, MCI Executive Vice President of Sales and Marketing. "Coach transit is extremely flexible and provides communities with immediate transportation options to fit their commuter operations."

METRO's new coaches are equipped with wheelchair lifts, Kiel seats with three-point passenger seatbelts and slide-out baggage bay bike racks. Equipped with a Cummins ISX engine and Allison B500 transmission, they are powered by the newest EPA-mandated clean-diesel engine technology.

Operating from Park & Ride locations throughout the greater Houston area and leveraging HOV lanes, METRO's new coaches allow for the expansion of its commuter express services.

The MCI Commuter Coach, which is Buy America-compliant and Altoona-tested, is specifically designed for express service and highway speeds. It offers a rugged, semi-monocoque structure which elevates passengers and drivers above traffic. In addition to seat belts, safety systems include Electronic Stability Control (ESC), tire pressure monitoring and a fire suppression system.

Since 2001, METRO has purchased 381 MCI Commuter Coaches, including 122 diesel-electric hybrid MCI Commuter Coaches. MCI is the first intercity coach manufacturer to offer an over-the-road intercity coach in diesel-electric hybrid as well as CNG to public transit agencies.

Houston METRO operates an integrated transit system that includes light rail, local bus paratransit, HOV/HOT lanes and 25 Park & Ride lots.

"We work closely with transit systems to get the most out of these programs," said Tom Wagner, MCI Vice President of Public Sector Sales. "The Commuter Coach offers METRO's passengers a comfortable, safe and convenient ride, an enormous draw for riders facing a long distance commute during rush hour traffic."

NOTE: All dollar amounts are stated in U.S. currency

About the Company

The Company 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 and employs approximately 5,000 team members.

Through its Canadian and U.S. subsidiaries, Motor Coach Industries Limited and Motor Coach Industries, Inc., 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 S 417 and S 407 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.

Through its Canadian and U.S. subsidiaries, New Flyer Industries Canada ULC and New Flyer of America Inc., 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.

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.

Further information is available on the Company's websites at www.mcicoach.com and www.newflyer.com.

For further information, please contact:

Patricia Plodzeen Public Relations,
Tel: 847-283-0883
E-mail: pat.plodzeen@mcicoach.com

or

Jon Koffman, Investor Relations
Tel: 204-224-6672
E-mail: investor@newflyer.com

Motor Coach Industries - A New Flyer company: Corporate Address 200 East Oakton Street, Des Plaines, Illinois 60018 | Phone: 866-MCICOACH

Copyright 2004-2017 Motor Coach Industries Int'l, Inc. and its subsidiaries. All Rights Reserved.