The Continuity IRA is believed to be behind a car bomb attack on an Ulsterbus depot in Newry.
The blast happened at around 10pm on Friday as the Fire Brigade was extinguishing a blaze in an abandoned Opel car. A caller to a Dublin journalist subsequently claimed responsibility for the attack on behalf of the Continuity IRA.
No-one was injured by the explosion, although shrapnel and scorch damage was caused to three buses.
British army technical officers who later examined the scene discovered an explosive device inside the vehicle. Police said a car was seen speeding away from the Edward Street depot shortly before the incident.
While some reports have linked the blast to dissident republicans, the PSNI has re-fused to speculate about which organisation was responsible.
A senior police officer last night described the attack as "a reckless act".
The incident was condemned by former Newry and Armagh assembly member John Fee.
Speaking last night, the SDLP representative said those who left the device intended to cause maximum damage.
"They have no regard for the lives or property of people in the area. It was only good fortune that no one was seriously injured or killed," he said.
"It is ironic that a bus depot used by the elderly, young people and those who without their own transport should be targeted this way. Those people who carried out this incident have nothing to offer the people of Newry."