Azure Dynamics Announces Sale of 10 BalanceTM Hybrid Electric Trucks to
ServiceMaster's TruGreen

• TruGreen, the nation's largest professional lawn care provider, is the first in the lawn care industry to introduce advanced technology hybrids into their fleet and plans to deploy the vehicles in California
• First Balance^TM Hybrid Electric truck application in lawn care industry
  
• TruGreen accessed California HVIP funds to reduce acquisition costs

OAK PARK, MI, Oct 6 /CNW/ - Azure Dynamics Corporation (TSX: AZD)(OTC:AZDDF) the fast-growing hybrid electric and electric power train innovator for the commercial truck and bus market, today announced the sale of 10 Balance^TM Hybrid Electric trucks to TruGreen, the nation's largest lawn care provider and operator of one of the country's largest private vehicle fleets. 

TruGreen is a leader in introducing advanced technology hybrids into its lawn care fleet.  The company plans to deploy the vehicles in California in lawn care and landscape service capacities as a part of the company's commitment to create a greener fleet through innovative technologies.

The Balance^TM Hybrid Electric offers a compelling value proposition to the lawn care industry.  The vehicle features engine-off-at-idle functionality, which can significantly reduce the noise and environmental footprint of the truck.  This is particularly appealing to companies like TruGreen that are often at work in residential neighborhoods.

"TruGreen is always working to create and maintain beautiful outdoor spaces," said Jim Steffen, director of fleet engineering and technical support at ServiceMaster, TruGreen's parent company.  "These Azure equipped trucks can meet our fleet requirements, reducing fuel usage and emissions.  Meanwhile, the quiet operation helps us preserve the tranquility of outdoor environments.  Adding these vehicles to our fleet is the result of our focused effort to upgrade our fleet with new technologies and to deliver on TruGreen's overall commitment to improving our environmental responsibility." 

The Azure Balance^TM Hybrid Electric Drivetrain is incorporated on a Ford E450 chassis and manages the conventional 5.4 litre Triton gasoline engine and the 5-speed automatic TorqShift transmission to produce a cleaner, more fuel efficient vehicle. 

"We're thrilled to begin the relationship with TruGreen and enter into the lawn care service industry," said Jay Sandler, vice president of sales at Azure. "TruGreen and ServiceMaster are well-known and respected companies, and we're hopeful that this collaborative initiative will lead to other opportunities and market growth."

Since most commercial vehicle fleets spend approximately 50 percent of their total operational costs in fuel, the Balance^TM Hybrid Electric's ability to improve economy by up to 40 percent provides an enormous financial impact.  Additionally, the Balance^TM Hybrid Electric reduces maintenance cost by up to 30 percent while typically reducing vehicle maintenance time and cost, providing opportunity for more revenue-producing customer site visits. 

TruGreen was able to award this contract with the support of vouchers from California's Hybrid Vehicle Incentive Program (HVIP), which provides funds for fuel efficient and environmentally friendly transportation solutions to companies operating fleets of vehicles in the state. The contract was managed by MHC Ford in Memphis, TN.  Reading Truck Body in Reading, PA, a leading manufacturer of service and utility bodies, provided the service bodies for the trucks.  The vehicles are expected to be delivered in the first quarter of 2011.

For more information on how Azure Dynamics products are Driving a World of Difference, please visit www.azuredynamics.com.

About Azure Dynamics
Azure Dynamics Corporation (TSX: AZD)(OTX: AZDDF) 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.

About TruGreen
TruGreen is the nation's largest lawn care company, serving more than 2.5 million residential and commercial customers across the United States with lawn, tree and shrub care. As the current industry leader, TruGreen continues to pioneer the development of new technology for lawn care, and devotes substantial resources to evaluating new products and equipment. The company is committed to responsible lawn care, including offering and promoting the use of natural, organic services and sustainable practices. Today, there are more than 250 TruGreen branches in the United States and Canada, including more than 40 franchise locations. TruGreen is part of the ServiceMaster family of brands, one of the world's largest and most versatile service networks. 

About ServiceMaster
ServiceMaster currently serves residential and commercial customers through a network of more than 5,100 company-owned locations and franchised licenses. The company's brands include TruGreen, TruGreen LandCare, Terminix, American Home Shield, ServiceMaster Clean, Merry Maids, Furniture Medic, and AmeriSpec. The core services of the company include lawn care and landscape maintenance, termite and pest control, home service contracts, janitorial services, disaster restoration, home cleaning, furniture repair and home inspection.

About Reading Truck Body
Established in 1955, Reading Truck Body is a leading manufacturer of service and utility bodies, dump bodies, stake/platform bodies, caps, and pickup storage boxes for over 50 years. Reading products are sold internationally through a network of distributors and the company is a member of the National Truck Equipment Association (NTEA)  Choosing to market to specific contracting industries, Reading bodies have been well received because of their unparalleled quality.  The famous Reading slogan "Don't Pile It - File It" was developed to market the concept of an organized method of storing tools and equipment.  The creative minds at Reading developed the "Reading Kangaroo," and to this day it is still an important symbol of Reading. 

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.  

For further information:

FOR MORE INFORMATION ON AZURE, CONTACT: 

Jay Sandler, Vice President - Sales, [phone]           
             Email: [email protected]  

Patrick Liebler, Liebler Group, [phone]           
             Email: [email protected]

FOR MORE INFORMATION ON TRUGREEN, CONTACT:

Susanna Weston, [phone]
             Email: [email protected]