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Magna International Inc.

5 February 1998

Magna International Inc.

    AURORA, Ont., Feb. 5 /CNW-PRN/ - Magna International Inc. (TSE:MG.A, MG.B;
ME:MG.A; NYSE:MGA) reported today that its Board of Directors has approved the
previously announced acquisition of 66.8% of Steyr-Daimler Puch AG (``SDP'')
and 50% of Steyr-Daimler Puch Fahrzeugtechnik Co. KG (``SFT'') from
Creditanstalt AG.  The remaining 50% interest in SFT is held by SDP.  The
acquisition remains subject to regulatory and Creditanstalt AG Supervisory
Board approval.
    The purchase price for the transactions of approximately Cdn$395 million
will be satisfied by a cash payment of approximately Cdn$123 million and the
issuance by Magna of approximately 2.985 million Class A Subordinate Voting
Shares.
    This acquisition significantly enhances Magna's expertise in complete
vehicle engineering and complete vehicle assembly.  The ability to combine
this with Magna's existing program management, systems design and
manufacturing gives Magna unprecedented capability among the world's
automotive systems suppliers.
    SFT's unique capability is reflected in existing contracts to assemble
Mercedes Benz G and E class 4-wheel drive vehicles and Chrysler's Jeep Grand
Cherokee as well as through SFT's 49% equity interest in Chrysler's Eurostar
Automobilwerk Gmbh & Co. KG, which assembles Chrysler minivans primarily for
the European marketplace.  SDP also designs, engineers and produces a variety
of components, including 4-wheel drive transmission systems.  The SDP Group
has projected 1997 calendar sales of approximately Cdn$1.5 billion and employs
approximately 6,000 people.
    Magna, one of the most diversified automotive suppliers in the world,
designs, develops and manufactures automotive systems, assemblies and
components primarily for sale to original equipment manufacturers of cars and
light trucks in North America, Mexico and Europe.  Magna's products include
exterior decorative systems, interior products including seating systems, door
and other panels, and sound insulation systems, stamped and welded metal parts
and assemblies, sunroofs, electro-mechanical devices and assemblies, a variety
of plastic parts, including body panels and fascias and through Tesma
International Inc. various engine, powertrain and fueling and cooling
components.
    Magna has over 39,000 employees in 134 manufacturing operations and 27
product development and engineering centres in 11 countries.

    SOURCE  Magna International Inc.