Jul 09, 2008 (PR Newswire Europe via COMTEX) ----

Azure Dynamics signs three additional Sales & Service agreements with Ford dealerships OAK PARK, MI, July 8 /CNW/
   - Azure Dynamics Corporation (TSX: AZD, LSE: ADC & OTCQX: AZDDF) - ("Azure" or the "Company"), a leading developer of
   hybrid electric and electric powertrains for commercial vehicles, announced today it has signed three additional Sales &
   Service agreements with Ford dealerships. Agreements have been signed with Valley Ford Trucks in Cleveland, Ohio; East Bay
   Ford Trucks in Oakland, California and Mission Valley Ford Trucks in San Jose, California. The agreements are part of the
   company's plan to sign approximately 50 dealers over the next year in major metro markets in the United States and Canada
   to broaden its distribution network for its Balance Hybrid Electric Vehicle. These dealerships will maintain inventory of
   ready to deliver Cube Vans and Walk in Vans equipped with Azure's Balance Hybrid Electric powertrains. The Balance Hybrid
   Electric system is integrated on Ford's E450 Cutaway and Strip Chassis drive system utilizing a conventional 5.4 litre Triton
   gasoline engine and the 5-speed automatic TorqShift transmission. The hybrid powertrain features electric-launch assist, engine-off
   at idle and regenerative braking improving the vehicle's fuel economy by up to 40 percent, reducing maintenance cost by up
   to 30 percent and minimizing greenhouse gas emissions. "We are excited to add three more dealerships to our rapidly expanding
   distribution network," said Jay Sandler, Vice President of Sales for Azure Dynamics. "Each of these dealerships is a highly-regarded
   commercial vehicle specialist that understands the growing demand for more fuel efficient, low maintenance and environmentally
   friendly commercial vehicles like the Azure Balance Hybrid Electric vehicle." 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) (LSE: ADC) (OTCQX: 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. The TSX and LSE Exchanges do not accept responsibility
   for the adequacy or 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. For further information: ON AZURE: Ryan Carr, Chief
   Financial Officer (248) 298-2403, Email: rcarr(at)azuredynamics.com; Pat Liebler, Liebler!MacDonald, (313) 832-4376, Email:
   pat(at)lieblergroup.com; David Poutney, Stuart Skinner, Richard Kenny, Tel: +44 207 260 1000, Numis Securities Limited, Nominated
   Adviser to the Company; Brian O'Donnell, Valley Ford Truck, Inc., (216) 695-7221, Email: bod(at)valley2.com; Ken Lalanne,
   East Bay, (510) 272-4400; Kyle Fujimoto, Mission Valley, (408) 933-2300 (AZD. ADC.) END 

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