Ryder Celebrates Grand Opening of Its First Natural Gas Vehicle Maintenance Facility and Takes Delivery of Natural Gas Trucks in Rancho Dominguez

Ryder System, Inc. (NYSE: R) celebrated the grand opening of its first natural gas vehicle maintenance facility and took an initial delivery of natural gas vehicles in Southern California on Wednesday, May 4, 2011. The celebration took place at Ryder’s Rancho Dominguez commercial truck rental, leasing, and maintenance facility, located at 1980 East University Drive in Rancho Dominguez. The opening of the Rancho Dominguez facility marks the first facility completed under the Ryder/SANBAG Natural Gas Vehicle (NGV) project, a $38.7 million project funded as part of a joint public/private industry partnership between the U.S. Department of Energy, the California Energy Commission, and Ryder System, Inc. Located in an industrialized region of Eastern Los Angeles County, the modified Ryder Rancho Dominguez facility now meets stringent industry and government safety standards for natural gas maintenance including upgrades of electrical, lighting, air handling and ventilation systems.

Ryder takes delivery of first heavy duty natural gas vehicles. (Left is LNG, right is CNG) (Photo: Business Wire)

When fully implemented, the Ryder/SANBAG project will include two natural gas fuelling stations and three maintenance facilities – the one at Rancho Dominguez and two additional Ryder locations in the City of Orange in Orange County and Fontana in San Bernardino County. As part of the Ryder/SANBAG project, Ryder will deploy a total of 202 heavy-duty natural gas vehicles in the region. The vehicles include 182 Freightliner M2-112 tractors featuring the Cummins ISL-G engine, in both single-axle and tandem-axel day cab configurations, as well as a mix of other natural gas truck platforms. At completion, the Ryder/SANBAG project will displace more than 1.5 million gallons of diesel annually with 100 percent domestically produced low-carbon natural gas.

"The completion of Rancho Dominguez as a natural gas-compliant maintenance facility is a critical milestone demonstrating Ryder’s commitment to alternative fuel vehicle use,” stated Robert Sanchez, President, Global Fleet Management Solutions for Ryder. "We are excited that Ryder customers will now be able to start taking advantage of this cost-effective and clean alternative energy source.”

"The Ryder/SANBAG project represents a tremendous opportunity to introduce our 1,200 commercial customers in Southern California to a new innovative, efficient, and environmentally-sound fleet solution,” said Alex Madrinkian, Vice President of Sales for Ryder’s West Region. "We see a great deal of interest from customers and prospects in the region that are looking to integrate natural gas technology into their fleets.”

Ryder executives were joined by customers; project partners San Bernardino Associated Governments (SANBAG), Southern California Association of Governments (SCAG), U.S. Department of Energy, the California Energy Commission (CEC), and Gladstein, Neandross & Associates (GNA); and key members of stakeholder groups at the ribbon cutting ceremony commemorating the the opening of Ryder’s first facility modified for the indoor servicing of natural gas vehicles and the initial delivery of heavy-duty natural gas vehicles. By the end of May there will be approximately 70 heavy-duty natural gas vehicles domiciled at the Rancho Dominguez facility.

The ribbon cutting ceremony featured remarks from the various project partners and government agencies that have supported and provided funding for the Ryder/SANBAG NGV project since its inception in 2009. Speakers included:

• Alex Madrinkian, Vice President of Sales, Ryder System, Inc.;
• Scott Perry, Group Director of Vehicle Supply Management, Ryder System, Inc.;
• Larry McCallon, SANBAG Vice-President and Southern California Association of Governments President;
• Dennis Smith, National Clean Cities Director, U.S. Department of Energy;
• Peter Ward, Alternative Fuel and Vehicle Technology Program, California Energy Commission;
• Erik Neandross, Chief Executive Officer, Gladstein, Neandross & Associates.

"With 202 new heavy-duty natural gas trucks being deployed across three locations, and with the construction of two publicly accessible natural gas fueling stations, this project will allow for the continued growth of ultra low emission natural gas vehicles throughout Southern California, contributing to improved air quality, reduced greenhouse gas emissions, and a lessened dependence upon petroleum fuels for transportation,” said SANBAG President and San Bernardino County First District Supervisor, Brad Mitzelfelt.

About Ryder

Ryder is a FORTUNE 500® commercial transportation, logistics and supply chain management solutions company. Ryder’s stock (NYSE:R) is a component of the Dow Jones Transportation Average and the Standard & Poor’s 500 Index. Inbound Logistics magazine has recognized Ryder as the top third party logistics provider and included Ryder in its 2010 "50 Green Partners” listing. Ryder also ranked 114 out of the top 500 U.S. companies and sixth in its industry sector in the 2010 Newsweek Green Rankings. Security Magazine has named Ryder one of the top companies for security practices in the transportation, logistics, supply chain, and warehousing sector. Ryder is a proud member of the American Red Cross Annual Disaster Giving Program, supporting national and local disaster preparedness and response efforts. For more information on Ryder System, Inc., visit www.ryder.com.

About SANBAG

SANBAG is the council of governments and transportation planning agency for San Bernardino County. SANBAG is responsible for cooperative regional planning and furthering an efficient multi-modal transportation system countywide. SANBAG serves the two million residents of San Bernardino County. SANBAG supports freeway construction projects, regional and local road improvements, commuter rail and bus transit, freeway service patrol, ridesharing and congestion management efforts. SANBAG administers Measure I, the half-cent transportation sales tax approved by county voters in 1989 and again in 2004. For more information on SANBAG, visit www.sanbag.ca.gov.

About SCAG

The Southern California Association of Governments (SCAG) is the nation's largest metropolitan planning organization, representing six counties, 190 cities and more than 19 million residents. SCAG undertakes a variety of planning and policy initiatives to encourage a more sustainable Southern California now and in the future. For more information about SCAG projects, plans, services and initiatives, visit www.scag.ca.gov.

About Gladstein, Neandross & Associates

With headquarters in Santa Monica, California, and in New York, New York, Gladstein, Neandross & Associates (GNA) is one of the nation’s leading environmental consulting firms specializing in emission reduction, energy and transportation policy, carbon management, and market development for clean, alternative fuel and efficient vehicle technologies. GNA works with businesses, governments and communities to expand markets for environmentally responsible products and services and to develop strategies and raise awareness about projects and technologies that promote a sustainable economy, environment and communities. Over the last 15 years, GNA has successfully secured over $210 million on behalf of its clients and the multiple clean energy and transportation technology projects on which it has collaborated.

Note Regarding Forward-Looking Statements: Certain statements and information included in this news release are "forward-looking statements" within the meaning of the Federal Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on our current plans and expectations and are subject to risks, uncertainties and assumptions. Accordingly, these forward-looking statements should be evaluated with consideration given to the many risks and uncertainties that could cause actual results and events to differ materially from those in the forward-looking statements including those risks set forth in our periodic filings with the Securities and Exchange Commission. New risks emerge from time to time. It is not possible for management to predict all such risk factors or to assess the impact of such risks on our business. Accordingly, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

Acknowledgment: This material is based upon work supported by the Department of Energy under Award Number DE-EE0002173.

Disclaimer: This was prepared as an account of work sponsored by an agency of the United States Government. Neither the United States Government nor any agency thereof, nor any of their employees, makes any warranty, express or implied, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process disclosed, or represents that its use would not infringe privately owned rights. Reference herein to any specific commercial product, process, or service by trade name, trademark, manufacturer, or otherwise does not necessarily constitute or imply its endorsement, recommendation, or favoring by the United States Government or any agency thereof. The views and opinions of authors expressed herein do not necessarily state or reflect those of the United States Government or any agency thereof.

CEC Disclaimer:

LEGAL NOTICE: This document was prepared as a result of work sponsored by the California Energy Commission. It does not necessarily represent the views of the Energy Commission, its employees, or the State of California. The Commission, the State of California, its employees, contractors, and subcontractors make no warranty, express or implied, and assume no legal liability for the information in this document; nor does any party represent that the use of this information will not infringe upon privately owned rights.

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