Last updated on April 17, 2014 at 1:21 EDT

Azure Dynamics’ California Customers Receive New Incentive Program for Deploying Transit Connect Electric

October 27, 2011
        --  The California Air Resources Board (CARB) approved up to
            $15,000 per vehicle in incentives for the Ford Transit Connect
            Electric for customers deploying the vehicle within the state
        --  The CARB incentive is incremental to the U. S. federal
            incentive of up to $7,500 per unit, therefore the total Transit
            Connect Electric incentive in California can reach up to
        --  Total incentives estimated to reduce payback on Transit Connect
            Electric in California to less than two years

OAK PARK, MI, Oct. 27, 2011 /PRNewswire/ – Azure Dynamics Corporation (TSX:
AZD)(OTC: AZDDF) (“Azure” or the “Company”), a world leader in the
development and production of hybrid electric and electric components
and powertrain systems for light and medium duty commercial vehicles,
today confirmed the California Air Resources Board’s (CARB) aggressive
incentive support for the Ford Transit Connect Electric van, effective
November 1, 2011.  The incentive is designed to encourage further
adoption of Azure’s fuel-efficient, environmentally-friendly powertrain
technology employed in the Ford Transit Connect Electric.  Coupled with
other United States federal incentives, the payback period for the
Transit Connect Electric in California is now estimated at less than
two years.

The new program, which is expected to be in effect until February 2012,
offers up to $15,000 for the first Transit Connect Electric purchased
by a commercial fleet or municipal fleet for deployment in the State of
California.  Subsequent purchases of Transit Connect Electric vans will
qualify for an incentive of up to $12,000, with a maximum of 100 vans
per customer. Beginning in February 2012, the program will offer up to
$12,000 for the first three Transit Connect Electric vans and up to
$10,000 for subsequent purchases up to 100 vans per customer.  Complete
program details are available at www.californiahvip.org.

“On average, a Transit Connect Electric will spend about ten years in
service for a commercial vehicle fleet,” said Scott Harrison, Azure
Dynamics CEO.  “The new incentive, in combination with the operational
and maintenance savings resulting from the EV powertrain, may
significantly reduce the incremental Transit Connect Electric
acquisition cost and provides customers with an attractive less than
two-year payback.”

“National and regional governments around the globe understand the value
of increased deployment of electrified technology and the profound
economic, environmental and energy advantages that the technology
offers,” said Harrison.  “Incentives are a first but crucial step in
building this new transportation paradigm.”

The Transit Connect Electric is the result of a collaboration between
Ford Motor Company and Azure Dynamics. The Transit Connect Electric
utilizes an advanced lithium-ion battery from Johnson Controls to
achieve a range of 50 to 80 miles depending on auxiliary power usage
and drive cycle and is rechargeable using either a 240-volt or standard
120-volt outlet.

California fleets interested in adding the Ford Transit Connect Electric
should visit www.azuredynamics.com to find a conveniently located participating Ford Commercial Truck

About Azure Dynamics
Azure Dynamics Corporation (TSX: AZD)(OTC: AZDDF) 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
markets and is currently working internationally with a variety of
partners and customers. The Company is committed to providing customers
and partners with innovative, cost-efficient, and
environmentally-friendly energy management solutions.  For more
information please visit www.azuredynamics.com.

The TSX Exchange does not accept responsibility for the adequacy or
accuracy of this release.

# # #

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SOURCE Azure Dynamics Corporation

Source: PR Newswire