Magna announces continuing involvement in Opel solution

AURORA, Ontario, Canada, June 2, 2009 — Magna International Inc. announced Monday that, following extensive negotiations over the past days with various stakeholders, including representatives of German federal and state governments, GM Europe, General Motors Corporation and the US Treasury, it has reached a conceptual framework that should allow Opel to avoid a possible insolvency filing and pursue the restructuring required for its immediate and long-term viability. The framework reflects the total investment amount and the equity interests previously disclosed on May 22, 2009.

Frank Stronach, Chairman of Magna, said that "while the recent negotiations have been intense and difficult at times, I believe we have achieved a constructive solution that represents a 'win-win' for all stakeholders and will position Opel compete and succeed. We are thankful for the dedication of all interested parties and looking forward to continuing to work with General Motors, the German governments and other stakeholders to turn our concept into a reality in the next phase of the process, as the parties work toward definitive agreements."

There is no assurance that any transaction will result from Magna's current involvement.