$550 Million Program Offers Point-of-Sale Incentives for Canadian Organizations and Businesses Buying or Leasing Eligible Zero-Emission Vehicles

VANCOUVER, BC / ACCESSWIRE / July 21, 2022 / Vicinity Motor Corp. (NASDAQ:VEV)(TSXV:VMC)(FRA:6LGA) ("Vicinity" or the "Company"), a North American supplier of commercial electric vehicles, today announced that its VMC 1200 Class 3 electric trucks have been approved for the Incentives for Medium and Heavy-duty Zero-Emission Vehicles (iMHZEV) Program administered by Transport Canada, which helps to make buying or leasing zero-emission vehicles more affordable.

The iMHZEV Program offers point-of-sale incentives for Canadian organizations and businesses who buy or lease an approved MHZEV. Before including a vehicle on the list of eligible vehicles, Transport Canada reviews an application from the automaker to certify that the vehicle meets the iMHZEV Program requirements. Incentives range from CAD$10,000 to $200,000 depending on vehicle type. Businesses will have the option to purchase or lease new vehicles under the iMHZEV program, with a maximum of 10 incentives or CAD$1,000,000 available per calendar year per organization.

"The iMHZEV Program is a continuation of the Canadian Government's substantial efforts to enable organizations and businesses to electrify their fleets," said William Trainer, Founder and CEO of Vicinity Motor Corp. "The VMC 1200 continues to attract attention from dealers and customers seeking fully electric vehicles for ultra-quiet operation while aligning with clean fleet goals.

"The incentive will provide approximately 50 percent of the cost difference between traditional diesel vehicles and a zero-emission alternative, further assisting fleets as they seek to reduce their carbon footprint. We look forward to offering our Canadian customers the benefits of this additional incentive, making our electric vehicle offering more competitive than ever," concluded Trainer.

About Vicinity Motor Corp.

Vicinity Motor Corp. (NASDAQ:VEV)(TSXV:VMC)(FRA:6LGA) is a North American supplier of electric vehicles for both public and commercial enterprise use. The Company leverages a dealer network and close relationships with world-class manufacturing partners to supply its flagship electric, CNG and clean-diesel Vicinity buses, the VMC 1200 electric truck and a VMC Optimal-EV shuttle bus. In addition, the Company sells its proprietary electric chassis alongside J.B. Poindexter business unit EAVX, the Company's strategic partner, for upfitting into next-generation delivery vehicles. For more information, please visit www.vicinitymotorcorp.com.

Company Contact:
John LaGourgue
VP Corporate Development
604-288-8043
IR@vicinitymotor.com

U.S. Investor Relations Contact:
Lucas Zimmerman
MZ Group - MZ North America
949-259-4987
VMC@mzgroup.us
www.mzgroup.us

Canadian Investor Relations Contact:
MarketSmart Communications Inc.
877-261-4466
Info@marketsmart.ca

Neither the TSX-V nor its Regulation Service Provider (as that term is defined in the policies of the TSX-V) accepts responsibility for the adequacy or accuracy of this release.

Cautionary Note Regarding Forward-Looking Statements

This press release includes certain "forward-looking information" and "forward-looking statements" (collectively "forward-looking statements") within the meaning of applicable securities laws. All statements, other than statements of historical fact, included herein are forward-looking statements. Forward-looking statements are frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that events, conditions, or results "will", "may", "could", or "should" occur or be achieved. Forward-looking statements involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements.

Important factors that could cause actual results to differ materially from Vicinity's expectations include uncertainties relating to the economic conditions in the markets in which Vicinity operates, vehicle sales volume, anticipated future sales growth, the success of Vicinity's operational strategies, the timing of the completion of the vehicle assembly facility in the State of Washington, the effect of the COVID-19 pandemic, related government-imposed restrictions on operations, the success of Vicinity's strategic partnerships; and other risk and uncertainties disclosed in Vicinity's reports and documents filed with applicable securities regulatory authorities from time to time. Vicinity's forward-looking statements reflect the beliefs, opinions and projections on the date the statements are made. Vicinity assumes no obligation to update the forward-looking statements or beliefs, opinions, projections, or other factors, should they change, except as required by law.

SOURCE: Vicinity Motor Corp.