April 7, 2003

Canada Post orders five hybrid electric prototypes from Azure Dynamics

Toronto, Ontario – Canada Post has ordered five hybrid electric powertrains from Azure Dynamics Corporation, a developer of hybrid electric vehicle technology for the light and medium duty
commercial vehicle category. The powertrains will be used in an 18-month pilot program in retrofitted Canada Post delivery vans. The units will be tested in Vancouver, Calgary, Toronto, Ottawa and Montreal.

The vans will be utilized in regular Canada Post delivery routes. Two more vans will undergo stringent laboratory testing in extreme conditions. The first of the hybrid vehicles will begin operating in August, 2003. The vehicles will feature Azure-developed hybrid powertrains that regenerate energy in the brake cycle and can reduce fuel consumption by over 50% and reduce emissions by up to 90%.

The technology is a sophisticated energy management system for HEV powertrains and offers real-time energy management to optimize performance of the HEV propulsion system components. It adapts the control system to actual operating conditions.

“Our technology is designed to enable the use of smaller engines and component parts. This lowers the premium cost of hybridization in addition toreducing operating costs and fuel consumption thereby allowing fleet managers to make an economic case that improves margins while lowering emissions. This order will allow Canada Post to confirm the functionality of hybrid vehicles,” explained Campbell Deacon, Chief Executive Officer of Azure.

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