MEMPHIS, TN— FedEx Express announced it has signed agreements with Azure Dynamics to develop hybrid electric powertrains for its delivery fleet, according to the Web site,

Once the development phase is completed, FedEx Express has committed to purchase a minimum of 20 pre-production hybrid electric Ford E-450 delivery vans, to be delivered by May 2008.

“FedEx Express introduced hybrid electric vehicles to the commercial vehicle market six years ago, and we look forward to further advancing this important, environmentally conscious initiative with Ford and Azure Dynamics,” said John Formisano, FedEx Express vice president for global vehicles. “We continue to look for opportunities for economic efficiencies, environmental stewardship and being a good corporate citizen.”

FedEx Express claims the largest commercial fleet of hybrid electric delivery vehicles in the United States, with 93 hybrids in service that collectively have traveled more than 1 million miles

Originally posted on Fleet Financials