Azure Dynamics Corporation

Azure Dynamics Corporation

February 28, 2005 02:00 ET

Azure Dynamics Announces MOU With SEV Group To Provide Powertrain Components And Technology For Their Electric Vehicles


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: AZURE DYNAMICS CORPORATION

TSX SYMBOL: AZD
LSE SYMBOL: ADC

FEBRUARY 28, 2005 - 02:00 ET

Azure Dynamics Announces MOU With SEV Group To Provide
Powertrain Components And Technology For Their
Electric Vehicles

TORONTO, ONTARIO--(CCNMatthews - Feb. 28, 2005) - Azure Dynamics
Corporation (TSX:AZD)(LSE:ADC) ("Azure Dynamics" or the "Company") a
leading developer of hybrid electric powertrains for commercial and
military vehicles is pleased to announce it has signed a Memorandum of
Understanding ("MOU") with Smiths Electric Vehicles ("SEV") part of the
Tanfield Group, (LSE - TAN) an AIM listed Company based in the UK. The
intent of the MOU is to integrate Azure Dynamics powertrain technology
including, inverters, traction motors, and specified auxiliaries for
application in the electric vehicles SEV currently builds as well as the
next generation design of this vehicle. The first vehicle will be
available in May 2005 with production units becoming available later in
the year. The next generation vehicle, with significantly higher
performance parameters, should be available in 2006.

Campbell Deacon, Azure's CEO said, "We are very pleased with this MOU as
SEV Group has over seventy years of experience designing, manufacturing
and selling electric vehicles for a wide range of industrial and
commercial applications. These vehicles have proven to be very quiet,
environmentally sound, economical and reliable".

Roy Stanley, Chief Executive of the Tanfield Group, said, "Against a
background that has seen very little change in electric vehicle
technology over the years, our partnership with Azure will enable us to
respond to the considerable market opportunities that exist by improving
both the performance and the broader perception of electric commercial
vehicles".

SEV Group Limited is a UK based manufacturing company providing a
complete range of electric vehicles, aerial access platforms, and
materials handling equipment with comprehensive product support through
their fleet maintenance operations and worldwide dealer network. It has
a customer base of over 500 users of electric vehicles. For more
information of the company please visit www.sev.co.uk

Azure Dynamics Corporation and its group of companies is a world leader
in the development and production of hybrid electric and electric
commercial and military vehicles and systems. The group estimates it has
over 25 million miles of vehicle experience. Azure Dynamics' operations
are based in North America and Europe.

Azure Dynamics is currently working internationally with various
partners and customers including Purolator Courier Ltd., Canada Post,
DHL, London Taxis International, US Department of Defence, Leyland
Product Development, Renault Trucks UK and the United States Postal
Service. Azure Dynamics Corporation is a public company trading on the
TSX (AZD) in Canada and on AIM (ADC) in the UK. For more company
information please visit our website at www.azuredynamics.com.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Azure Dynamics Corporation
    Steven Glaser
    Vice-President, Corporate Affairs
    (416) 367-0220 ext 105
    Email: sglaser@azuredynamics.com
    or
    Smiths Electric Vehicles
    Darren Kell
    Sales and Business Development Director
    +44 (0)1207 523333
    Email: darren.kell@tanfieldgroup.com
    The TSX Exchange does not accept responsibility for the adequacy or
    accuracy of this release.