Azure Dynamics Receives Record 600 Unit Balance(TM) Hybrid Truck Order Via Its First Multi-year Contract With Purolator

Purolator places record order for 600 BalanceTM Hybrid Electric units to be delivered over the next three years at 200 units per year. Purolator will operate the world's largest fleet of Azure's BalanceTM Hybrid Electric vehicles with 955 units, including the 2011-2013 deliveries Azure Dynamics Corporation is the world's #1 provider of hybrid electric powertrain solutions in the medium duty commercial hybrid truck market where it controls approximately 60% market

Azure Dynamics Corporation , a world leader in the development and production of hybrid electric and electric components and powertrain systems for commercial vehicles, today announced that it has received a record 600 unit order from Purolator. The order is the single largest order of hybrid electric technology for Azure Dynamics. 200 units will be delivered in 2011 with an additional 200 units scheduled in both 2012 and 2013, subject to annual authorizations by Purolator.

"Purolator continues to be our largest volume customer and consistently demonstrates a strong commitment to the environment by adding cleaner, greener Azure vehicles to its fleet," said Scott Harrison, Chief Executive Officer of Azure. "As a result of our long and mutually beneficial relationship with Purolator, our BalanceTM Hybrid Electric volume has consistently increased allowing us to reduce internal costs, refine our processes and implement product upgrades. Meanwhile, Purolator's proactive fleet managers have been able to substantially reduce tailpipe emissions, operating costs and improve overall efficiency of their fleet. This relationship is a manifestation of what will ultimately drive hybrid electric and electric powertrain market share increases."

"Purolator is proud to invest in the environmental welfare of Canada," said Serge Viola, Director, Fleet and Ground Line Haul for Purolator. "Still, environmental stewardship requires a balance with customer satisfaction objectives that require predictable, on-time deliveries. We have extensive experience with the Azure product and continued confidence that the vehicles can perform well and meet the requirements of our hard working fleet."

The initial allotment of 200 units will be built and delivered primarily in the third and fourth quarters of 2011 and will be delivered to Purolator facilities across Canada. All units will include the BalanceTM Hybrid Electric second generation architecture characterized by the Johnson Controls-Saft lithium ion battery plus many other upgrades designed to improve efficiency, reliability and durability. As a result, the BalanceTM Hybrid Electric can improve fuel economy by up to 40%, while reducing carbon emissions by up to 30% in city conditions. The drive train also offers a significant reduction in maintenance costs versus conventionally equipped competitors.

"Considering Purolator's extensive real-world experience operating our BalanceTM Hybrid Electric product in its fleet, this order is an especially rewarding product validation," said Harrison. "This order is also our first multi-year order in the hybrid electric truck market and helps us to build a predictable product backlog."

Purolator operates a fleet of 3,500 vehicles and is consistently rated as one of Canada's most admired corporate cultures. In 2005, Purolator was the first express transportation company in Canada to introduce hybrid electric vehicles. Among the many Purolator locations receiving new hybrid electric vehicles, 43 have been added to the Halifax and Dartmouth fleet, making Purolator's City of Halifax fleet 100 per cent hybrid electric. An additional 60 BalanceTM Hybrid Electric vans have been added in Guelph, while 19 have been added in Niagara, and finally, 79 in the Greater Toronto Area.

The Azure BalanceTM Hybrid Electric vehicles ordered by Purolator are integrated on a Ford E450 chassis with a Ford 5.4L gasoline engine. The hybrid electric drive train features unique attributes such as engine-off at idle and below 20 miles per hour, while electronically supporting key ancillary functions like power steering and braking, is ideally suited for commercial activity in urban environments.

United States Department of Energy Boosts 2011 Electric Vehicle Manufacturing and Infrastructure Market With $184 Million Grant

U.S. Secretary of Energy Steven Chu announced on December 16th that the U.S. Department of Energy will start accepting applications up to $184 million to accelerate the development and deployment of new efficient vehicle technologies. Projects will span the broad spectrum of technology approaches, including advanced materials, combustion research, hybrid electric systems, fleet efficiency, and fuels technology. Ultimately, the projects will reduce U.S. dependence on foreign oil, save drivers money, and limit carbon air pollution.

The U.S. remains the largest vehicle market in the world, according to market analyses by energy research firm SBI Energy. Of the 204 million personal vehicles, the average U.S. household owns 1.9 vehicles, which is slightly more than the average number of drivers per household. Most personal vehicles rely on the internal combustion engine and burn gasoline fuel at an average rate of one gallon every 20 miles. Compare that to hybrid electric vehicles (HEV) fuel consumption and it's a completely different picture. SBI Energy estimates that HEVs consume an estimated 6.3 million gallons (in gasoline equivalents) compared to 198 million gallons of compressed natural gas and 138 million gallons of liquefied petroleum gasoline. By 2014, SBI Energy expects electric fuel consumption in the U.S. to grow to nearly 9 million gallons.

According to the SBI Energy report, Electric Vehicle (EV) and Plug-In Hybrid Electric Vehicle (PHEV) Markets Worldwide, in the six years between 2004 and 2009, the number of HEV available models around the world has tripled to 29 and the number of brands producing hybrids has jumped from six to fourteen. In fact, almost a third of the hybrids being offered in the U.S. have 2010 as their first model year.

Global sales of hybrid electric vehicles rose 33% in 2009 with 700,000 vehicles sold in an unfavorable climate that saw the overall auto market plunge worldwide. SBI Energy calculates that sales of hybrids accounted for 99% of all electric vehicle sales in 2009 worldwide.

"[The DOE] awards will help ensure America leads the world in the development of advanced vehicle technologies that support cost-competitive, convenient, and comfortable fuel-efficient vehicles," said Secretary Chu in the DOE press release. "Investments in the next generation of vehicle technologies are laying the groundwork for a sustainable transportation sector in America that strengthens our economy and improves our economic competitiveness."

According to SBI Energy, future growth of the electric vehicle market on a global scale will depend on three key motivators: government incentives to consumers to purchase fuel efficient vehicles; any increase in the price of crude oil and gas prices at the pumps; and a reduction in the price differential between hybrids and non-hybrids.

"SBI Energy's first EV market study entitled, Electric Vehicle (EV) Infrastructure Manufacturing projects North America will hold 20% of the electric vehicle infrastructure manufacturing market by 2014, driven by government incentive programs and the movement toward eco-friendly consumer lifestyles," says Shelley Carr, publisher for SBI Energy. "While government capital is vital, growth also depends heavily on the investment interests of the private sector and the adoption of electric vehicles and plug-in hybrid electric vehicles by consumers."

Electric Vehicle (EV) and Plug-In Hybrid Electric Vehicle (PHEV) Markets Worldwide and Electric Vehicle Infrastructure Manufacturing from SBI Energy provide an integrated, precise view of electric vehicle markets today and into the future.

Electric Vehicle (EV) and Plug-In Hybrid Electric Vehicle (PHEV) Markets Worldwide analyzes the manufacturing and sales of electric based passenger vehicles throughout the world with a particular emphasis on the United States and Japan as the leading markets for electric vehicles. The report also takes a look at technology and innovations related to the HEV, PHEV and BEV markets. For more information: http://www.sbireports.com/Electric-Vehicle-EV-2496608/

Electric Vehicle Infrastructure Manufacturing examines the market value of EV infrastructure manufacturing by country, projected deployment of EVs by type, global activities effecting development of EV and profiles of key EV infrastructure manufacturers. For more information: http://www.sbireports.com/Electric-Vehicle-Infrastructure-2441322/

"make green reality"