Technology, Integration and School Bus Advancement Presented by: Kirk Lacko

1. Technology, Integration and School Bus Advancement Presented by: Kirk Lacko Senior Product Marketing Manager, Blue Bird Corporation

2. Technological Advancements

3. Product Planning / Advanced Engineering Over 200 years of combined experience in advanced engineering Development of Product Cycle Plan Investigate technologies from adjacent industries for applicability to school buses Ideation on new features and technologies for school buses Bring new concepts to implementation readiness Observe, explore and propose responses to industry and competitor trends

4. School Bus Technology Evolves Blue Bird is embracing technological advancement Automotive and Trucking technologies continue to influence the school bus marketplace Telematics; GPS, Navigation, Engine Diagnostics, Student Tracking Integrated systems = less mechanical Light-weight materials Greater Alternative Fuel adoption Camera’s and sensors inside/outside of the bus Active safety technology Passive safety technology

5. Voice of Customer Research

6. Owner Feedback Integrating owner feedback into future product development Propane Owner’s Survey Customer Satisfaction Index (CSI) New Product / Product Enhancement Surveys Business Case Studies

7. Case Studies Omaha Public Schools -- One Year of Propane Autogas: Alternative Fuel Buses Drive Down Costs A case study that reviews the fuel cost and maintenance cost savings that a major fleet experienced after one year of using Blue Bird’s propane autogas school buses Savings of almost 50 percent per gallon on fuel costs were experienced when compared to diesel 42.6 million fewer pounds of carbon dioxide emitted over the lifetime of the fleet 96 percent of the fleet is operating on propane autogas New York School District Lowers Operating Costs, Reduces Emissions with Propane Autogas School Buses A case study that reviews the fuel cost and maintenance cost savings that Washingtonville Central School District experienced with just 20 percent of their fleet being propane autogas Annual fuel savings of about $21,000 per year for the autogas fleet 30 percent less spent on routine maintenance expenses per year for the autogas fleet About 120,000 pounds of carbon dioxide per bus eliminated from Washingtonville’s carbon footprint, during the lifetime of the vehicle

8. Supplier Reviews and Partnerships

9. Technology and Features Aligning technology with brand leaders will drive growth • Safety and Durability • Vision/Camera Surveillance • GPS Reporting/Tracking • Bus Maintenance Alerts • Ridership Tracking • Driver Distraction Controls • Efficiency/TCO • Alternative Energy Solutions • Engine Diagnostics • Route Optimization • Ergonomics • Driver Time & Attendance • Diverse Markets • “Special Needs” Features • International Standards

10. Enhancing Supplier Relations Total Cost Ownership (TCO) Quality and reliability Product innovation Supplier optimization Lead-time reduction and Forecast accuracy Areas of Focus Supplier Enablers • Design & material reviews, logistics, SKU management • Supplier development, warranty management, PPAP process, supplier audits • Early supplier involvement, NDA’s, Supply Agreements • Category strategies, supplier assessments, preferred supplier listing • Forecasting, inventory management programs

11. Blue Bird Buses Designed with Kids in Mind

12. Practicality, Functionality and Safety Child safety is paramount Safety Driven Real Life Application Enhanced Student Ridership Riding the Bus to School is Fun

13. Purpose-Built with Children’s Safety in Mind Purpose-Built Chassis Made just for school bus application Chassis protection Best-In-Class Driver’s View Exceptional mirror systems 6.5’ Headroom

14. Ease of Operation Increased ease of operation with our new Blue Bird E-Z Windows™ Children can easily operate Blue Bird E-Z Windows™ due to new interlocking technology which allows for smoother operation New latches are ergonomic and emergency door is easier to operate

15. Student Tracking Improve Student Rider Safety and Security Maximize Bus Utilization Provide Better Customer Service Automate Reimbursement Reporting

16. Blue Bird Connect™

17. Blue Bird Connect™ Factory installed GPS and NO UPFRONT COSTS! GPS Powered by Synovia Solutions Embedded OEM solution Factory option or retrofit OEM buses are pre-wired Integrated engine diagnostics Turn-key all-inclusive package No upfront costs Simple monthly service fee

18. Blue Bird Connect™ is Fully Equipped Yellow Distance| calculation Child Check| function check & check completed RedFlasher| On/Off Video Camera| function check External Antenna| best Verizon connectivity GPS Unit| in a hidden location Driver Panic Button| alert & location stamp Driver| monitor harsh braking and acceleration Driver| Confirm run/route that is being serviced Inspection Checklist| real-time updates Key Performance Indicators| Speed, idle, on-time performance, etc. Door| open or close Driver| Real-time, location, date & time stamp for clock in & out Student| up-to-date manifest

19. New Product Technology and Enhancements

20. New Blue Bird E-Z Windows™ Blue Bird E-Z Windows™ Feature Superior Leak Resistance and Ease of Service Smooth Operation Interlocking Construction Leak-Resistant Seals Ergonomic Latches Blue Bird E-Z Windows™ are an innovation in windows!

21. New Blue Bird Air Conditioning Installed at Blue Bird, not an “aftermarket” solution Driver A/C Dash Evaporator is standard System is not an “aftermarket” installation No seat and body plan limitations on special needs buses System does not intrude into seating area Common design in Vision and All American bus models No custom parts for ease of service

22. New Luggage Box Redesign Sturdy and waterproof Full Perimeter Bulb Seal New Latches Door Reinforcement

23. New Bendix Air Disc Brakes Active safety technology from the industry leader Blue Bird is pleased to offer the new Bendix Air Disc Brake option Shorter Stops Significantly shorter stops in demanding applications that even than even the best drum brake designs Better Braking Feel Improved side to side brake consistency Quick pad changes Quick change pads- 15 minutes per brake (with wheels off)

24. Audio Enhancements New generation Source Unit - “Mechless Radio” New standard radio offering on all Blue Bird Buses Combo of radio and MP3 player Public Announcement (PA) system optional Lower warranty costs without mechanical CD Player Wire Molding Profile Neater (tidy) appearance throughout the ceiling Easier to service dome lights, radio speakers, including wiring Reduces interference of some optional components to the dome lights and speakers, such as air conditioning systems and book racks

25. Product Enhancements from Micro Bird

26. Micro Bird Features The G5 delivers; Quality, Safety, and Comfortall under the yellow paint

27. Micro Bird: Superior Riding Comfort Double acting isolators the full length of the chassis: no maintenance required R6 rated fiber glass covering all side, rear, front and roof panels Roof bows one piece hat section terminate at floor with insulated, mechanical fasteners

28. Micro Bird: Enhanced Features 32 inch door opening. One piece glass window, sealed bearing standard, electric mechanism standard Our GM chassis features a 551 square inch driver view; the largest in the industry

29. Technology, Integration and School Bus Advancement Thank You