Purolator

Purolator

May 27, 2005 11:15 ET

PUROLATOR ROLLS OUT HYBRID ELECTRIC VEHICLES

Canada's largest courier first to deliver cleaner air with new environmentally friendly fleet Attention: Automotive Editor, Business/Financial Editor, City Editor, Environment Editor, Transportation Editor TORONTO, ONTARIO--(CCNMatthews - May 27, 2005) - Purolator Courier Ltd., Canada's largest overnight courier company, today introduced ten hybrid electric vehicles (HEV) and one hydrogen fuel-cell hybrid electric vehicle (FC-HEV) into its Toronto curb-side delivery fleet at a news conference at the company's Metro West facility. An additional 20 HEVs will also be integrated into Purolator's fleet in other major metropolitan areas in Canada.

After analyzing the environmental impacts of its operations and services, Purolator identified fleet fuel usage and vehicle air emissions as the best way to reduce its environmental footprint. The HEVs are expected to eliminate up to 50%, and the FC-HEVs up to 100%, of greenhouse gasses currently emitted with conventional gasoline/diesel delivery vehicles. If the experience of these vehicles lives up to expectations, then as Purolator replenishes its fleet each year - the company intends to add up to 400 HEVs to its fleet annually.

"We are proud to be the first Canadian courier company to start the transition to hybrid electric vehicles and to introduce a fuel cell hybrid electric vehicle to our fleet. With the significant reductions in fossil fuel emissions and fuel savings promised by HEVs, we believe that our customers, our employees, the environment and our company will all benefit. We know this first step will show the way and help alleviate some of the air pollution problems that can exist in a large city. It's truly a strategic decision for us that will have a long term impact," said Robert Johnson, President and CEO of Purolator. "The piloting of this green technology takes us one step closer to realizing our vision to lead the industry to a future standard of zero vehicle emissions."

Developed in conjunction with Azure Dynamics Corporation, Hydrogenics Corporation, Industry Canada's Technology Partnerships Canada (TPC) program and Natural Resources Canada (NRCan), the FC-HEV and HEVs are examples of Purolator's commitment to being a responsible corporation that protects and preserves the environment by reducing the impact of its operations and services. In tandem with the launch of the FC-HEV and HEVs, Purolator is developing an on-site hydrogen production, storage and refuelling/dispensing facility. Purolator's other environmental initiatives include:
- a strict no-idling policy that helps conserve fuel and reduce emissions
- a route optimization program that reduces overall distances travelled by vehicles thereby minimizing fuel consumption and emissions.

HEVs are best used in fleets whose driving cycles are constant stop and go. Energy is regenerated through braking and stored in the battery for driving. Purolator's HEVs are equipped with a hybrid series configuration which uses the internal combustion engine combined with a generator to supply electricity for the battery pack and electric motor. There is no mechanical connection between the internal combustion engine power unit and the wheels. All motive power is transferred electrically to one or more electric traction motors that drive the wheels.

The Purolator FC-HEV is one of the first ever complete hydrogen fuel cell applications in a Canadian fleet environment, including everything from hydrogen generation and refuelling to the power module. The FC-HEV uses a fuel cell/battery electric propulsion system that has been designed and integrated by Hydrogenics into an HEV platform. This hybrid configuration increases fuel efficiency while reducing green house gas emissions. The other key element is the development of a hydrogen generation and refuelling system, which has the capability to generate hydrogen cleanly from water using renewable energy, such as wind power. Fleet applications such as Purolator's represent an early-adopting market for hydrogen fuel cells primarily because fleets typically return daily to a central depot where they can be refuelled.

The Government of Canada's investment in the FC-HEV project totals more than $2.6 million, including $1.9 million from NRCan, through the Canadian Transportation Fuel Cell Alliance, and more than $770,000 from TPC, through its Hydrogen Early Adopters program.

"The Government of Canada is a proud supporter of this project, as it will lead to a cleaner environment, a higher quality of life in our communities and a competitive edge in the economy," said the Honourable Jean Augustine, Member of Parliament for Etobicoke-Lakeshore, on behalf of the Honourable R. John Efford, Minister of Natural Resources Canada and the Honourable David L. Emerson, Minister of Industry. "Now, more than ever, we have a chance to build a cleaner, more sustainable energy future in Canada. Increasing both the use and production of hydrogen will help get us there."

The FC-HEV project is also one of the first in a series of strategic early deployments of Fuel Cell technology as part of the GTA Hydrogen Village program. The GTA Hydrogen Village is a partnership of some 40 companies dedicated to the development of a sustainable commercial market for hydrogen and fuel cell technologies in the GTA.

About Purolator
As Canada's leading overnight courier company, Purolator Courier Ltd. of Mississauga, Ontario is committed to its customers. From automated solutions to 24 hour pick up and delivery, Purolator provides customers with the services and customized solutions required to get their shipments across town or around the world. Purolator operates Canada's largest dedicated air express fleet. Purolator has an extensive service network, with over 12,500 employees, including more than 4,000 couriers, over 140 operations locations, over 155 Shipping Centres, over 550 Authorized Shipping Agents and more than 420 drop boxes. Purolator processes over 5.5 million pieces (delivery and pick up) each week for destinations across Canada and around the world. Purolator has implemented a company-wide Quality Leadership Process that provides the necessary framework for continuous improvement and operational excellence, becoming the only Canadian courier company to achieve ISO 9001:2000 registration. Purolator is committed to helping alleviate hunger in Canada, and works closely with the Canadian Association of Food Banks to support local food banks. In 2003, Purolator generated more than 40,000 kilograms of food and over $40,000 for food banks in Canada.

For more company information please visit our website at www.purolator.com.

Editor's Note: A photo of the new FC-HEV and HEVs will be available on the CP picture wire via PR Direct and on Canada News Wire.
/For further information: Lisa Naccarato
Hill & Knowlton
416-413-4614

Amy Diniz
Hill & Knowlton
416-413-4696/ IN: AUTOMOTIVE, ENVIRONMENT, TRANSPORT

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