Mr. William Trainer reports

VICINITY MOTOR CORP. SECURES VMC 1200 DISTRIBUTION AGREEMENT WITH VMC LAVAL IN LAVAL, CANADA

Vicinity Motor Corp. has signed a new distribution agreement with Groupe Taddeo Auto to open VMC Laval, a new VMC specific dealership, by the owners of successful Volvo and Polestar dealerships in the Montreal territory.

Groupe Taddeo Auto was founded in 2002, growing from a simple family dealership to a major automotive group in Quebec, bringing together Volvo Laval, Volvo West Island, Polestar Montreal and a certified centre. These four strategic locations are supported by a team of over 120 dedicated, growth-oriented employees.

With the opening of VMC Laval, Groupe Taddeo Auto will expand into fleet solutions for businesses and government with its inventory of VMC 1200 vehicles. Per the terms of the agreement, VMC Laval will distribute Vicinity VMC 1200 trucks throughout Montreal-Laval.

"Groupe Taddeo Auto plays a major role in the automotive industry in Quebec with a reputation for excellence and extensive EV expertise," said William Trainer, founder and chief executive officer of Vicinity Motor. "Leveraging their passenger EV expertise with Volvo and Polestar, including fleet and business options, the new VMC Laval brand will add another strong partner to our growing portfolio of VMC 1200 dealerships. The VMC 1200 provides an ideal entry into the commercial EV space for dealerships, especially in Quebec, with the VMC 1200's recent inclusion in the Quebec Ministry of Transport and Sustainable Mobility's Ecocamionnage Program. This program incentivizes the electrification of the commercial freight and heavy vehicle transportation industry by offering VMC 1200 buyers in Quebec an CAD$85,000 incentive for each purchase. We look forward to a successful opening of the new location."

Anthony Taddeo, founder of VMC Laval, added: "With strong sales of our EV passenger vehicles, we have seen in tandem a growing interest and demand for commercial EV trucks. As we looked to expand our EV lineup into commercial vehicles, Vicinity and its VMC 1200 Class 3 all-electric truck stood out as an ideal choice for us. Beyond environmental and operational benefits, commercial EVs are rapidly reaching parity with internal combustion vehicles due to lower operational expenses, reduced maintenance and significant government incentives like the Ecocamionnage Program in Quebec. We look forward to the launch of our newest EV dealership, VMC Laval, and expanding our offering to commercial and fleet customers with the VMC 1200."

About Vicinity Motor Corp.

Vicinity Motor is a North American supplier of electric vehicles for both public and commercial enterprise use. The company leverages a dealer network and close relationships with world-class manufacturing partners to supply its flagship electric, CNG and clean-diesel Vicinity buses, as well as the VMC 1200 electric truck to the transit and industrial markets.

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