Azure Dynamics Signs New Agreements With Thirteen Additional Dealerships

OAK PARK, MI, May 19 /PRNewswire-FirstCall/ - Azure Dynamics Corporation (TSX:
AZD) - ("Azure" or the "Company"), a leading developer of innovative hybrid
green technologies that address environmental and cost issues for operators of
shuttle buses and commercial vehicle fleets, announced today it has signed
agreements with thirteen additional dealerships to represent Azure's
innovative Balance(TM) Hybrid Electric Drive System. The new dealerships are:

- Colonial Equipment Company, Frederick, MD
- Ricart Ford, Groveport, OH
- Folsom Lake Ford, Folsom, CA
- Northwest Ford Truck Inc., Franklin Park, IL
- Freedom Ford Sales Ltd., Edmonton, Alberta
- MHQ Municipal Vehicles, Walpole, MA
- Burt Automotive, Centennial, CO
- Olathe Ford, Olathe, KS
- Schultz Ford, Nanuet, NY
- Bayshore Ford Truck Sales, New Castle, DE
- Kent City Ford, Inc., Kent City, MI
- Bill Brown Ford, Inc., Livonia, MI
- Caguas Expressway Motors, Caguas, Puerto Rico

"Expanding our representation in key regional markets is an important step in
building our distribution, sales and service base," said Jay Sandler, Azure
Dynamics Vice President of Sales. "Each of these dealers has been trained on
the Azure brand and technology so they're able to provide whatever our shared
customers need quickly, efficiently and conveniently."
The new dealership agreements bring the total number of dealerships in the
Azure program to 27. These dealerships cover major markets in the U.S. and
Canada to broaden Azure's distribution network for its Balance(TM) Hybrid
Electric Drive System. Many dealerships will maintain inventory of
ready-to-deliver Cube Vans and Walk-In Vans equipped with Azure's technology.
Azure Dynamics has previously announced dealerships in major markets like
Boston, Los Angeles, Edmonton, Miami, Milwaukee, Minneapolis, San Antonio,
Toronto and others.
The Balance(TM) Hybrid Electric system is integrated on Ford's E450 Cutaway
and Strip Chassis drive system and utilizes a conventional 5.4 liter Triton
gasoline engine and 5-speed automatic TorqShift transmission. The hybrid
powertrain features electric-launch up to 20 mph, and engine-off at idle,
while electronically supporting key ancillary functions like air conditioning,
power steering and braking. The powertrain can improve fuel economy by up to
40%, while reducing carbon emissions up to 30% in city conditions.
For more information about Azure Dynamics and its family of hybrid electric
and electric commercial vehicles, please visit www.azuredynamics.com.

About Azure Dynamics

Azure Dynamics Corporation (TSX: AZD) is a world leader in the development and
production of hybrid electric and electric components and powertrain systems
for commercial vehicles. Azure is strategically targeting the commercial
delivery vehicle and shuttle bus markets and is currently working
internationally with various partners and customers. The Company is committed
to providing customers and partners with innovative, cost-efficient, and
environmentally-friendly energy management solutions. For more information
please visit www.azuredynamics.com.

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accuracy of this release.

Forward-looking Statements

This press release contains forward-looking statements. More particularly,
this press release contains statements concerning Azure's business development
strategy, projected commercial revenues and product deliveries.
The forward-looking statements are based on certain key expectations and
assumptions made by Azure, including expectations and assumptions concerning
achievement of current timetables for development programs, target market
acceptance of Azure's products, current and new product performance,
availability and cost of labour and expertise, and evolving markets for power
for transportation vehicles.
Although Azure believes that the expectations and assumptions on which the
forward-looking statements are based are reasonable, undue reliance should not
be placed on the forward-looking statements because Azure can give no
assurance that they will prove to be correct. Since forward-looking statements
address future events and conditions, by their very nature they involve
inherent risks and uncertainties. Actual results could differ materially from
those currently anticipated due to a number of factors and risks. These
include, but are not limited to, the risks associated with Azure's early stage
of development, lack of product revenues and history of losses, requirements
for additional financing, uncertainty as to commercial viability, uncertainty
as to product development and commercialization milestones being met,
uncertainty as to the market for Azure's products and unproven acceptance of
Azure's technology, competition for capital, product market and personnel,
uncertainty as to target markets, dependence upon third parties, changes in
environmental laws or policies, uncertainty as to patent and proprietary
rights, availability of management and key personnel, and acquisition
integration risk. These risks are set out in more detail in Azure's annual
information form which can be accessed at www.sedar.com.
The forward-looking statements contained in this press release are made as of
the date hereof and Azure undertakes no obligation to update publicly or
revise any forward-looking statements or information, whether as a result of
new information, future events or otherwise, unless so required by applicable
securities laws.

SOURCE Azure Dynamics Corporation

ON AZURE, CONTACT: Jay Sandler - Vice President - Sales, (248) 298-2403 ext
1205, Email: jsandler@azuredynamics.com; Pat Liebler, Liebler Group, (313)
832-4376, Email: pat@lieblergroup.com