XL Fleet Partners with NFI's ARBOC to Offer Hybrid Electric Bus Option

XL Fleet Corp. (NYSE: XL) ("XL Fleet" or the "Company"), a leader in vehicle electrification solutions for commercial and municipal fleets, and ARBOC Specialty Vehicles, LLC (TSX: NFI) ("ARBOC"), a subsidiary of NFI Group Inc. ("NFI"), one of the world's leading independent global bus manufacturers, have announced a partnership to electrify ARBOC Freedom low floor buses with the XL Hybrid (XLHtm) electric propulsion system. The wheelchair-accessible buses are built on the GM 4500 chassis and are now available for purchase with an installed XL Hybrid system through the ARBOC North American dealer network. ARBOC has sold 39 vehicles with the XL Hybrid system installed thus far in 2021.

Through the partnership, 24 ft. and 29 ft. ARBOC low floor bus models are available for the first time as hybrid electric units, providing a cost-effective option for customers looking to improve fuel economy, lower emissions and advance their sustainability goals without adding charging infrastructure or disrupting their existing operations. The XL Hybrid electric system runs in parallel to the OEM vehicle drivetrain, helping to slow the vehicle down during deceleration and providing an electric assist during acceleration throughout normal drive cycles, reducing fuel consumption and lowering emissions in standard gas-powered vehicles.

Individual partners within the ARBOC North American dealer network are now authorized to sell the XL Fleet electrification system as an available option on their buses, providing a new commercial channel for the Company as it expands into a broader range of medium duty applications.

"The bus industry represents a substantial electrification opportunity for XL Fleet, and we are excited to gain access to a great new customer base by partnering with an accessible bus market leader like ARBOC," said Dimitri Kazarinoff, Chief Executive Officer of XL Fleet. "This partnership allows us to expand our growing suite of products, broaden our customer reach and bring new and unique solutions to market for bus fleets needing an immediate path forward for their sustainability goals."

"The ARBOC Freedom is an innovative low-floor platform allowing riders using wheelchairs and other mobility devices to safely and comfortably get where they need to go. Now, they can do so in a cleaner, greener vehicle," said Doug Minix, ARBOC's General Manager. "XL Fleet's innovative hybrid electric upfit technology gives our customers an opportunity to drive more sustainable versions of the ARBOC vehicle lineup without compromising our reliability while enhancing our world-class performance."

About XL Fleet Corp.

XL Fleet is a leading provider of vehicle electrification solutions for commercial and municipal fleets in North America, with more than 150 million miles driven by customers such as The Coca-Cola Company, Verizon, Yale University and the City of Boston. XL Fleet's hybrid and plug-in hybrid electric drive systems can increase fuel economy up to 25-50 percent and reduce carbon dioxide emissions up to 20-33 percent, decreasing operating costs and meeting sustainability goals while enhancing fleet operations. XL Fleet's plug-in hybrid electric drive system was named one of TIME magazine's best inventions of 2019. For additional information, please visit www.xlfleet.com.

About NFI

Leveraging 450 years of combined experience, NFI is leading the electrification of mass mobility around the world. With 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 8,000 team members in nine 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 Limited (single and double-deck buses), Plaxton (motor coaches), ARBOC^® (low-floor cutaway and medium-duty buses), and NFI Partstm. 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 105,000 buses and coaches around the world. NFI common shares are traded on the Toronto Stock Exchange under the symbol NFI. News and information is available at www.nfigroup.com, www.newflyer.com, www.mcicoach.com, www.arbocsv.com, www.alexander-dennis.com and www.nfi.parts.

About ARBOC

ARBOC is North America's low-floor, body-on-chassis ("cutaway") bus leader serving transit, paratransit, and shuttle applications. With more than 4,000 buses produced, ARBOC leads the low-floor cutaway bus market providing unsurpassed passenger accessibility and comfort. ARBOC also offers the Equess, a medium-duty bus used for transit and shuttle applications. Further information is available at www.arbocsv.com.

Forward Looking Statements

Certain statements in this press release may constitute "forward-looking statements" within the meaning of the federal securities laws. Forward-looking statements generally are accompanied by words such as "believe," "may," "will," "estimate," "continue," "anticipate," "intend," "expect," "should," "would," "plan," "predict," "potential," "seem," "seek," "future," "outlook," and similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These statements are based on various assumptions, whether or not identified in this press release, and on the current expectations of management and are not predictions of actual performance. Forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from the forward-looking statements, including but not limited to failure to realize the anticipated benefits from the business combination; the effects of pending and future legislation; the highly competitive nature of the Company's business and the commercial vehicle electrification market; litigation, complaints, product liability claims and/or adverse publicity; cost increases or shortages in the components or chassis necessary to support the Company's products and services; the introduction of new technologies; the impact of the COVID-19 pandemic on the Company's business, results of operations, financial condition, regulatory compliance and customer experience; the potential loss of certain significant customers; privacy and data protection laws, privacy or data breaches, or the loss of data; general economic, financial, legal, political and business conditions and changes in domestic and foreign markets; the inability to convert its sales opportunity pipeline into binding orders; risks related to the rollout of the Company's business and the timing of expected business milestones; the effects of competition on the Company's future business; the availability of capital; and the other risks discussed under the heading "Risk Factors" in the Company's Annual Report on Form 10-K filed on March 31, 2021, as amended and supplemented by the 10-K/A filed May 17, 2021, and other documents that the Company files with the SEC in the future. If any of these risks materialize or our assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. These forward-looking statements speak only as of the date hereof and the Company specifically disclaims any obligation to update these forward-looking statements.