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SAN FRANCISCO BAY-AREA MCI SALES AND SERVICE CENTER WILL OPEN IN OCTOBER 2017

State-of-the-art location will offer industry-leading service, parts and training facilities,
along with new MCI and Setra coaches and pre-owned coach inventory

DES PLAINES, ILLINOIS, JULY 07, 2017: (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 and parts supplier in North America, is bringing a new standard of service to the greater San Francisco Bay Area. MCI will open a MCI Sales and Service facility at 4120 Point Eden Way, Hayward, California, in October, the second California center for MCI and its seventh in the U.S. and Canada.

The two-story, 34,000-square-foot building covering 4.2 acres in Hayward features the latest coach diagnostic equipment and tooling with the capacity to provide comprehensive service from general maintenance work to complete coach refurbishing. The service center will have 10 service bays including a paint booth — the rest of the facility will feature OEM parts pick-up, offices for administrative staff and technician training facilities to keep local operators' maintenance team members at the top of their game on new coach systems.

"We are investing in the very latest diagnostic equipment and technologies with a layout in the shop to get coaches in and out fast, with accurate, reliable repairs to help operators maximize coach uptime," said Jim Macdonald, vice president of MCI's Quality and Customer Service Group. "The goal is have the facility be an attractive destination for MCI and Setra coach operators and serve them with OEM parts. Yet we will have the capacity to work on other motor coach and bus brands as well."

The City of Hayward sits on the Eastern side of the San Francisco Bay Area. The new MCI location is near the eastern end of the San Mateo-Hayward Bridge, easily accessible from the local interstates. City officials have welcomed MCI, providing assistance to assure an on-time opening and ongoing success.

"The attraction of an MCI Sales and Service Center to our industrial crescent is a win for this community," said Paul Nguyen, Economic Development Specialist at the City of Hayward. "MCI will create over 35 new job opportunities for our residents, including specialized mechanic and technician positions. They could potentially grow to become a major contributor to the city's sales tax base. The city recognized these benefits and utilized Hayward's new Business Concierge Program to provide the enhanced customer service and upfront information MCI needed to make a location decision."

"The new facility will provide service to both large and small operators in the area that together operate more than 450 MCI and Setra coaches in the Bay Area," said Jon Williams, program manager of the MCI Service Centers responsible for the opening of the new Hayward center and future upgrades at the other six MCI service centers in North America. Williams, working closely with Ron Miller, director of MCI Service Centers, said MCI will hire locally for 18 technicians at the center.

In terms of capacity, attractiveness and operations, Hayward will raise the bar in service and present the model of all other MCI Service Center facilities in the next few years, Williams said. "It will be our new flagship facility for MCI sales and service, representing brand consistency across all of our seven locations and any we may add in the future. Any operator of MCI and Setra coaches traveling cross-country will feel as much at home in the MCI Sales and Service Center in Des Plaines, Illinois or in Dallas, Texas, and they'll enjoy the highest standard of service that only MCI can provide."

Recently MCI realigned its field service, technical call center, warranty operations and transformed its service center structure from aftermarket parts to an OEM factory function to enhance the service and support experience for customers.

The greater San Francisco area is notable in the motor coach industry for its extensive employer-funded shuttle networks serving the high tech industry in Silicon Valley and San Francisco proper. These systems offer daily service with upscale amenities, making access to top service and parts assistance critical.

"Our Sales and Service Centers provide our most important point of personal contact with our customers, and New Flyer is planning significant long-term investments in this area," said Ian Smart, president of MCI. "We're particularly pleased to be kicking off these improvements in Northern California because its coach population is significant and will provide a blueprint for the way we upgrade throughout North America."

Tuesday, November 14 will be the grand opening celebration, part of an MCI Reliability Rally annual open house with events including test rides of MCI and Setra coaches, service discounts, supplier sessions and special deals on new and pre-owned coaches. Visitors will also enjoy lunch and a chance to win prizes. For a complete schedule of events visit www.mcicoach.com/rally.

ABOUT MCI SALES AND SERVICE CENTERS

MCI Sales and Service Center are located in Los Alamitos, California, Dallas, Des Plaines, Illinois, Blackwood, New Jersey, Winter Garden, Florida and Montreal. MCI and Setra factory-trained technicians are on staff to service all coach systems and repair interior and exterior damage quickly and cost-effectively. MCI also has 27 Technical Solutions Managers in the field to provide hands-on support and diagnostic assistance.

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 the leader in motor coaches in Canada and the U.S., 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 Xcelsior®, 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 44,000 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.

Forward-Looking Statements

This press release may contain forward-looking statements relating to expected future events and financial and operating results of the Company 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 market and general economic conditions and funding availability for customers to purchase coaches and to purchase parts or services and the other risks and uncertainties discussed in the materials filed with the Canadian securities regulatory authorities and available on SEDAR at www.sedar.com. Due to the potential impact of these factors, the Company 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.

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, New Flyer 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.