Magna announces purchase of Fontana Golf and Sports Club

AURORA, ON, Nov. 2, 2006 -- Magna International Inc. ("Magna") (TSX: MG.A, MG.B; NYSE: MGA) today announced that it has purchased the Fontana Golf and Sports Club located in Oberwaltersdorf, Austria from a subsidiary of Magna Entertainment Corp. ("MEC") for approximately (euro)30 million, subject to various closing and other adjustments. The purchase price is payable as to approximately (euro)13.2 million in cash and the balance by the assumption of debt in the approximate amount of (euro)16.8 million.

The transaction was reviewed by a Special Committee of Magna's Board of Directors, and subsequently approved by, the independent members of its Board based on the unanimous recommendation of the Special Committee.

Magna International, the most diversified automotive supplier in the world, designs, develops and manufactures automotive systems, assemblies, modules and components, and engineers and assembles complete vehicles, primarily for sale to original equipment manufacturers of cars and light trucks in North America, Europe, Asia and South America. Magna's capabilities include the design, engineering, testing and manufacture of automotive interior and closures systems; metal body and structural systems; exterior and interior mirror and engineered glass systems; exterior systems including front and rear end modules, plastic body panels, exterior trim and other systems; various powertrain and drivetrain systems; as well as complete vehicle engineering and assembly.

Magna has over 84,000 employees in 228 manufacturing operations and 64 product development and engineering centers in 23 countries.