Blue Bird OEM Propane School Bus John Rubenkoenig Capital Bus Sales

New Ownership of Blue Bird September – Sale of Blue Bird to Cerberus Capital Management, L.P. Present Management Will Remain in Place US based and owned company Cerberus owns many companies including Alamo/National Rental Car, Air Canada, Formica, Fila, 51% of GMAC Finance Increased Capital and Credit Line for Expansion Commitment to Growth of Blue Bird

Blue Bird North Georgia Plant Vision Produced at Blue Bird – North Geogia located in LaFayette, GA For 2nd Year in a Row - Blue Bird North Georgia Named One of 25 Finalists for Industry Week Magazine “Best Plants in North America”

Changes for Vision Bus New Hood Design New Dash Design New Steering Column/Wheel Design Multiplex Body System (2007 Engines) includes: Exterior Light Monitor Emergency Exit Monitor Clock Child Check System Available, if Desired Other Warning Messages for Driver

Blue Bird to Offer OEM Propane School Bus Vision Conventional Type C School Bus 47 – 77 Passenger Capacity 189” to 273” Wheelbase Will Meet all Texas School Bus Specifications

Previous Blue Bird Propane School Bus Offering GM B7 Chassis GM 8.1L Gasoline Engine Only Available 59-77 Passenger GM Stopped Production of B7 Chassis No Gasoline Engines Available in Market GM Replacement Chassis Unacceptable to Dealers

Grant from PERC Propane Education and Research Council (PERC) Grant Awarded to Blue Bird for Research & Development Work on Propane School Bus Goal – To Introduce OEM Propane School Bus to Marketplace Support from Texas Railroad Commission Panel of Propane School Bus Users Being Formed to Provide Input

Contract with Powertrain Integration Blue Bird to Supply Two Vision School Buses to Powertrain Integration (May, 2006) Regular Production Buses with Diesel Engines One equipped with Hydraulic Brakes One equipped with Air Brakes Powertrain Integration to Design Assembly Methods for Blue Bird

Contract with Powertrain Integration Powertrain Integration Will Return Buses to Blue Bird with 8.1L Engine Equipped with OEM Propane Fuel System Supplied by CleanFuel USA – Liquid Propane Injection Buses will be Fully Operational on Propane

Production Availability Regular Production of Blue Bird OEM Propane School Bus Expected March/April 2007 Diesel Engine and ULSD Diesel Fuel Prices to Increase Significantly with 2007 EPA Compliant Engines OEM Blue Bird Propane Bus to Offer Viable Alternative Alternative Fuel Funds/Grants Available

Propane Fuel Rebates Through 2009 Congress Has Authorized Alternative Fuel Rebate 50 Cents per Gallon for Propane School Districts Eligible to Apply for Rebate Direct from IRS if Have Own Fueling Facility Must Register with IRS – Form 637 File IRS Form 4136 Annually New Forms Not Available Yet on www.irs.gov website – Should be Available 30-60 Days

Contact for Additional Information: Capital Bus Sales and Service of Texas, Inc. 800-290-3006