Press release

ADL moves to leaner manufacturing model as falling demand for new and coaches forces company to adjust

Larbert, Scotland, UK – 27thJuly 2020: (TSX: NFI) Limited (“ADL”), a of NFI Group Inc. (“NFI”), one of the world’s largest independent global manufacturers, today announced that as a result of the significant decline in UK demand for new buses and coaches, it is forced to initiate a restructuring programme which places up to 650 jobs at risk.

With many UK customers not in a position to place orders for new vehicles following the impact of lockdown, social distancing and low passenger numbers, ADL has utilised the UK Government’s Job Retention Scheme as well as implementing salary reductions and reduced working hours for non-furloughed staff, along with stringent cost saving measures across all business functions. However, the steps taken so far are insufficient to align the company’s cost base to the current economic reality and it now seeks to move to a leaner, more flexible manufacturing model that maintains its strong customer focus and best-in-class aftermarket support.

A formal consultation will begin in the coming weeks on the restructuring programme, which places up to 650 jobs at risk across all functions and at all of ADL’s facilities in the UK.

Colin Robertson, who is transitioning from his role as ADL’s Chief Executive to join NFI’s Board as Vice Chair, said: “A few short months ago, we were looking at a record year of sales, reaping the benefits of all our investment in new technology, new products and new markets. All of this changed with the impact of COVID-19.

“Since March, we have been in constant dialogue with the UK and Scottish Governments to make them aware of the unprecedented crisis facing our industry. We are deeply grateful for the support offered by the UK Government’s Job Retention Scheme, and we are heartened

www.alexander-dennis.com www.ad24.direct by the Prime Minister’s reiteration earlier this month of the pledge he made in February to bring 4,000 new green buses into service. We continue to call upon both Governments to act now to prevent further job cuts and preserve the UK’s world-leading bus and manufacturing industry.”

ADL remains firmly committed to working with its customers and supporting the bus and coach operating industry which itself is battling an unprecedented crisis. Paul Davies, ADL President & Managing Director, explains: “As the UK’s leading bus builder and the world leader in double deck buses, we aim to continue to play a key role in delivering on Governments’ congestion, decarbonisation and clean air targets. We have the technology, experience, skilled workforce, capacity and commitment to deliver thousands of new green buses.”

The changes at ADL are part of a wider restructuring programme announced by NFI, affecting ADL’s sister companies in the United States and Canada along with the consolidation of ADL’s spare parts business in North America into NFI Parts.

About NFI

With 9,000 team members operating from more than 50 facilities across ten countries, NFI is a leading independent global bus manufacturer providing a comprehensive suite of mass transportation solutions under brands: ® (heavy-duty transit buses), Alexander Dennis Limited (single and double-deck buses), (motor coaches), MCI® (motor coaches), ARBOC® (low-floor cutaway and medium-duty buses), and NFI Parts™. NFI buses and motor coaches incorporate the widest range of drive systems available including: clean diesel, natural gas, diesel-electric hybrid, and zero-emission electric (trolley, battery, and ). In total, NFI now supports over 105,000 buses and coaches currently in service around the world. NFI common shares are traded on the under the symbol NFI. News and information are available at www.nfigroup.com, www.newflyer.com, www.mcicoach.com, www.arbocsv.com, www.alexander-dennis.com, and www.nfi.parts.

About Alexander Dennis

Alexander Dennis Limited (“ADL”) is a global leader in the design and manufacture of double deck buses and is also the UK’s largest bus and coach manufacturer. ADL offers single and double deck vehicles under the brands of Alexander Dennis and Plaxton, and has over 31,000

www.alexander-dennis.com www.ad24.direct vehicles in service in the UK, Europe, Hong Kong, Singapore, New Zealand, Mexico, Canada and the United States. Further information is available at www.alexander-dennis.com.

Further information from:

For ADL media enquiries, please contact: Jacqueline Anderson +44 7796 715 607 [email protected]

For NFI enquiries, please contact: Stephen King +1 204 224 6382 [email protected]

www.alexander-dennis.com www.ad24.direct