Investing in Zero Emissions: Driving Sustainability and Market Potential

1. Why Invest in Zero Emissions? David Warren Director – Sustainable Transportation

2. About New Flyer

3. Propulsion Systems –3 of 6 Are ZEBs! Low Emissions Zero Emissions

4. North American ZEBs –The Market is Moving Fast 825/5800 = 14% market share by 2022

5. ZEB Market Growth Battery Electric Fuel Cell Electric

6. Infrastructure /Wayside Equipment • Charging Standards Are Needed (Finalize by Q2 2017) to Ensure Interoperability of Buses and Charging Equipment • – SAE J3105 Overhead Fast Charge • – SAE J2954 Inductive • – SAE J3068 Plug-In

7. Fuel Cell Autos Are Driving Costs Lower, Growing the H2 Infrastructure

8. Zero-Emission Market Drivers and Market Restraints Legislative and Executive Branch Pressure Maintenance Cost of Diesel and CNG Low-Emission Engines Battery Leasing Extended Warranties Favorable eBus Early Adopter Experiences FTA LoNo and California eBus Funding Plentiful Domestic Supply of Natural Gas Limited eBus Funding Available to offset Higher Acquisition costs Charging Standards Under Development Utility Infrastructure Complexity for Large Fleet deployments Battery-Electric Range Limited (Currently <50% of CNG / Diesel)

9. Why Does New Flyer InvestIn Zero-Emissions? - #1 Sustainability is Engrained in Our Company Core Values

10. Why Does New Flyer InvestIn Zero-Emissions? - #2 Increased Transit Ridership Benefits All • Enhanced Rider Experience • Lower Noise • Less Vibration • Less Harshness • No Jerky Gear Shifts • Operating ZEBs in Urban Cities and the Surrounding Communities has Clear Advantages • Less Powertrain Noise • No Brake Noise • No tailpipe emissions

11. Why Does New Flyer InvestIn Zero-Emissions? - #3 Electric Propulsion Has Energy Advantages • Potential Energy savings projections up to $400,000 over the life of bus • Reduced Dependency on Carbon Based Fossil Fuel • Opportunities for Energy Renewable Energy Technology

12. Why Does New Flyer InvestIn Zero-Emissions? - #4 ZEB Pilot Deployments Have Gone Well

13. Why Does New Flyer InvestIn Zero-Emissions? - #5 ZEB Partnerships Create Breakthrough Opportunities First 60-Foot Zero-Emission Fuel Cell Electric Bus Built in North America Electric Motors Driving 2-Axles for Enhanced Traction and Safety

14. Why Does New Flyer InvestIn Zero-Emissions? - #6 ZEB Technology Works – And It Works Well! • Battery-Electric buses are here to stay • Key challenges are cost (improving), range (improving), peak demand power cost, and charging infrastructure/standards • Fuel Cell buses are Close Behind • Key challenges are cost (volume related), developing hydrogen infrastructure, and the hydrogen production costs

15. Why Does New Flyer InvestIn Zero-Emissions? - #7 Investment Now Creates Opportunity to Leverage the Market Potential for Commercial eTrucks • Transit Plays a Key Role in Leading Heavy and Medium Vehicle Clean Air Changes • The Global Market for Medium and Heavy Duty Commercial Trucks is 2.8 million units • Lower cost components and shared infrastructure is imminent

16. Collaboration Together WillFurther Zero-Emission Buses Collaboration is the process of two or more people or organizations working together to realize or achieve something successfully. Collaboration is very similar to, but more closely aligned than, cooperation, and both are an opposite of competition. Most collaboration requires leadership. Teams that work collaboratively can obtain greater resources, recognition and reward when facing competition for finite resources. Political and Legislative Leaders Transit Agencies Regulatory Agencies Manufacturers and Technology Suppliers Energy Companies Utility Companies Transportation and Environmental Non-Profit Organizations Source: https://en.wikipedia.org/wiki/Collaboration

17. Thank You David Warren david_warren@newflyer.com 256-473-3246