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Subaru Reports August 2004 Sales

CHERRY HILL, N.J., Sept. 1 -- Subaru of America, Inc., the only car company that features Symmetrical All-Wheel Drive as standard equipment on every vehicle in its product line, today reported total sales for August of 16,065 units.

The Legacy model line recorded 7,656 units, while the Subaru Outback recorded sales of 4,823 units for the month. Subaru Forester posted 5,195 units in August. The Impreza line recorded 2,647 unit sales, while Subaru Baja recorded sales of 567 units for the month.

About Subaru of America, Inc.

Subaru of America, Inc. is a wholly-owned subsidiary of Fuji Heavy Industries Ltd. of Japan. Headquartered in Cherry Hill, N.J., the company markets and distributes all-wheel drive Subaru vehicles, parts and accessories through a network of nearly 600 dealers across the United States. Subaru is the only car company that features Symmetrical All-Wheel drive as standard equipment on every vehicle in its product line. For additional information visit http://www.subaru.com/.

AUGUST MONTH END SALES/INVENTORY COMPARISON 2004 VS 2003
                Aug-04       Aug-03    
NAT'L Aug-04 % CHG DOMESTIC JAPAN Aug-03 DOMESTIC JAPAN YTD % CHG DOMESTIC JAPAN YTD DOMESTIC JAPAN
                             
                             
Total Sales 16065 -19% 8223 7842 19879 10014 9865 121888 -6% 62175 59713 130227 64272 65955
                             
Dealer Inventory 42324   21510 20814 36038 16560 19478 42324   21510 20814 36038 16560 19478
                             
LEGACY                            
                             
Total Legacy Sedan 1878 15% 1878 0 1637 1637 0 11343 -1% 11343 0 11473 11473 0
                             
                             
Total Legacy Wagon 5778 -19% 5778 0 7108 7108 0 45845 1% 45845 0 45231 45231 0
Memo Outback 4823   4823   6038 6038 0 40400   40400 0 39057 39057 0
Grand Total Legacy 7656 -12% 7656 0 8745 8745 0 57188 1% 57188 0 56704 56704 0
IMPREZA                            
                             
Total Impreza Sedan AWD 1535 -23% 0 1535 1992 0 1992 12234 -14% 0 12234 14216 0 14216
                             
                             
Total Impreza Wagon AWD 1112 -29% 0 1112 1556 0 1556 8697 -21% 0 8697 10994 0 10994
                             
Grand Total Impreza 2647 -25% 0 2647 3548 0 3548 20931 -17% 0 20931 25210 0 25210
FORESTER                            
                             
                             
Grand Total Forester 5195 -18% 0 5195 6317 0 6317 38782 -5% 0 38782 40745 0 40745
BAJA                            
                             
                             
Grand Total Baja 567 -55% 567 0 1269 1269 0 4987 -34% 4987 0 7568 7568