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Magna International Inc.

25 March 1998

Magna International Inc.

    AURORA, Ont., March 24 /CNW-PRN/ - Magna International Inc. (TSE:MG.A,
MG.B; ME:MG.A; NYSE:MGA) reported today that its Board of Directors and the
Supervisory Board of Creditanstalt AG have approved the previously announced
acquisition of 66.8% of Steyr-Daimler Puch AG (``SDP'') and 50% of
Steyr-Daimler Puch Fahrzeugtechnik AG and Co. KG (``SFT'') from Creditanstalt
AG. The remaining 50% interest in SFT is held by SDP. The acquisition remains
subject to regulatory approvals, which are anticipated in the near future.
    The purchase price for the transaction of ATS 4 Billion (approximately Cdn
$442 million) will be satisfied entirely by cash. Magna also has the option to
issue and require Creditanstalt AG to purchase Convertible Subordinated
Debentures of the Company in an amount equivalent to ATS 2.67 billion
(approximately Cdn $295 million) at the closing of the transaction, subject to
regulatory approval.
    This acquisition of the majority of the shares of Steyr-Daimler Puch AG
will significantly enhance the co-ordination of customer service, namely to
provide the automotive companies with complete vehicle engineering and
complete vehicle assembly. The opportunity to combine the capabilities of SDP
with Magna's existing program management, systems design and manufacturing
will benefit both companies and gives Magna and SDP 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. SDP also designs, engineers and produces a variety of components,
including 4-wheel drive transmission systems. SDP 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, and
through Decoma International Inc. 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 41,000 employees in 146 manufacturing operations and 27
product development and engineering centers in 16 countries.

    SOURCE  Magna International Inc.