TMX group

TORONTO, July 6 /CNW/ - Azure Dynamics Corporation (TSX: AZD & LSE: ADC)
("Azure" or the "Company"), at the request of market regulation services on
behalf of the Toronto Stock Exchange, is issuing the following statement on
the increase in volume of share trading and decline of its share price.
There are no undisclosed material changes in Azure Dynamics' operations,
finances, management or strategies to have caused this significant short-term
share price decline.

Azure Dynamics Corporation is a world leader in the development and
production of hybrid electric and electric commercial and military vehicles
and systems. The group estimates it has over 25 million miles of vehicle
experience. Azure Dynamics' operations are based in North America and Europe.
Azure is currently working internationally with various partners and
customers including Purolator Courier Ltd., Canada Post, United States Postal
Service, Smith Electric Vehicles, Engineered Support Systems, Inc. and AM
General LLC. Azure Dynamics Corporation is a public company trading on the TSX
(TSX: AZD) in Canada and on the AIM (LSE: ADC) in the UK. For more company
information please visit www.azuredynamics.com.

The TSX and LSE Exchanges do not accept responsibility for the adequacy
or accuracy of this release.