DesignLine Corporation Announces Joint $30M Hybrid/Electric Bus Venture

CHARLOTTE, North Carolina, February 11, 2011 - DesignLine Corporation and Liberty Automotive have announced a $30M Joint
Venture to open a DesignLine UAE production facility in Abu Dhabi. The new
facility will open prior to year's end with a capacity of 300 buses annually
and projected revenue for its first year in excess of $80M.

With the Joint Venture and increased requests for 30', 35' and 40'
Hybrid/Electric buses, DesignLine expects the resulting employment
opportunities to more than double its current workforce in both Charlotte,
North Carolina and Christchurch, New Zealand. Impact of these sustainable
jobs will be felt significantly throughout the Mecklenburg region of North
Carolina and the Canterbury region of New Zealand. Both locations will focus
on adding high tech, full-time positions within the rapidly expanding clean
energy sector.

The new DesignLine UAE facility will specialize in zero emission
ALL-ELECTRIC buses; with the DesignLine proprietary software vehicle
management system being supplied by DesignLine USA and DesignLine R&D NZ.

The DesignLine HYBRID vehicles produce 65% - 80% less emissions than the
competition. Using a Capstone turbine generator, available in a 65kW or 30kW
size, with the DesignLine proprietary software and hybrid control system, the
DesignLine vehicle is able to operate in a zero emission mode for up to 40%
of the day.

Renown as the world leader in the application of green technology, The
United Arab Emirates enters its second year of utilizing the zero emission
DesignLine ALL-ELECTRIC buses. Other Middle Eastern countries are actively
negotiating with DesignLine to convert their diesel transit fleets to either
ALL-ELECTRIC or HYBRID vehicles.

Currently HYBRID buses are predominant in North America and ELECTRIC
buses in the Middle East, however the ever increasing HYBRID/ELECTRIC market
requests span from North America to the Middle East.

DesignLine Corporation is the industry leader for meeting international
public demand for cleaner, more efficient transit vehicles. Additionally,
DesignLine Corporation is projecting to build in excess of 300 HYBRID and
ELECTRIC buses over the next 24 months, alone.

Further information on DesignLine and its successful set of products can
be found on the company's website, www.designlinecorporation.com.

James Gaspard, Vice President of Sales and Marketing, jamesgaspard at designlineusa.com; or DesignLine Corporation, +1-704-716-1020