Mr. Chris Stoddart reports

NFI SUBSIDIARY NEW FLYER SIGNS A MAJOR CONTRACT WITH NEW JERSEY TRANSIT FOR UP TO 750 BUSES

NFI Group Inc. subsidiary New Flyer of America Inc. has signed a milestone contract from New Jersey Transit Corp. for the purchase of up to 750 Xcelsior 60-foot clean-diesel transit buses (1,500 equivalent units or EUs).

The contract includes an initial firm order for 200 buses (400 EUs) with deliveries starting in 2026, and options to purchase up to an additional 550 buses (1,100 EUs). This order was added to New Flyer's first quarter 2025 backlog and marks one of the larger clean-diesel bus procurements in the company's history. This latest award reinforces New Flyer's commitment to delivering high-capacity, reliability-driven solutions that keep communities connected while helping agencies like N.J. Transit modernize and optimize their fleets.

"Our 25-year partnership with N.J. Transit is built on trust, innovation and performance," said Chris Stoddart, president, New Flyer. "NJ Transit operates buses from the NFI family, including both New Flyer and MCI, with clean diesel, CNG and battery-electric propulsion -- all supported by a unique parts support program with a dedicated NFI Parts warehouse located in New Jersey delivering parts to N.J. Transit maintenance facilities on a daily basis."

N.J. Transit provides more than 225 million annual passenger trips across New Jersey and connects passengers in neighbouring communities and surrounding regions. With a fleet of over 3,500 vehicles, including more than 2,200 buses, N.J. Transit plays a critical role in regional mobility. The new buses replace aging vehicles, enhancing service reliability and efficiency across the system.

"This procurement marks a key milestone in our commitment to delivering a fully modernized bus fleet by 2031," said Kris Kolluri, president and chief executive officer, N.J. Transit. "These new articulated buses will not only expand capacity on some of our busiest routes, but also provide a significantly improved on-board experience for our customers -- offering greater comfort, reliability and accessibility."

The Xcelsior clean-diesel platform integrates ultralow-sulphur diesel fuel, next-generation engines and advanced emission control systems. The result is a proven, low-emission transit solution designed to perform in high-demand urban environments.

About NFI Group Inc.

Leveraging 450 years of combined experience, NFI offers a wide range of propulsion-agnostic bus and coach platforms, including market-leading electric models. Through its low- and zero-emission buses and coaches, infrastructure, and technology, NFI meets today's urban demands for scalable smart mobility solutions. Together, NFI is enabling more livable cities through connected, clean and sustainable transportation.

With nearly 9,000 team members in 10 countries, NFI is a leading global bus manufacturer of mass mobility solutions under the brands New Flyer (heavy-duty transit buses), MCI (motor coaches), Alexander Dennis Ltd. (single- and double-deck buses), Plaxton (motor coaches), Arboc (low-floor cutaway and medium-duty buses) and NFI Parts. NFI currently offers the widest range of sustainable drive systems available, including zero-emission electric (trolley, battery and fuel cell), natural gas, electric hybrid and clean diesel. In total, NFI supports its installed base of over 100,000 buses and coaches around the world. NFI's common shares trade on the Toronto Stock Exchange under the symbol NFI, and its convertible unsecured debentures trade on the TSX under the symbol NFI.DB.

We seek Safe Harbor.