Magna Announces Outlook
AURORA, Canada, January 16 -- Magna International Inc. (TSX: MG.A)(NYSE: MGA) announced
today its financial outlook for 2008. All amounts are in U.S. dollars.
For the full year 2008, we expect consolidated sales to be between US$24.9 billion and US$26.2 billion, based on full year 2008 light vehicle production volumes of approximately 14.4 million units in North America and approximately 15.6 million units in Europe. Full year 2008 average dollar content per vehicle is expected to be between US$855 and US$885 in North America and between US$440 and US$465 in Europe. We expect full year 2008 complete vehicle assembly sales to be between US$3.6 billion and US$3.9 billion.
In addition, we expect that full year 2008 spending for fixed assets will be in the range of US$875 million to US$925 million. This amount reflects continuing investment to support new and replacement business in our traditional markets as well as investment to expand into high-growth emerging markets, specifically Russia and various Asian countries.
In this 2008 outlook we have assumed no significant acquisitions or divestitures, and no significant labour disruptions in our principal markets. In addition, we have assumed that foreign exchange rates for the most common currencies in which we conduct business relative to our U.S. dollar reporting currency will approximate year end 2007 rates.
We are the most diversified automotive supplier in the world. We design, develop and manufacture automotive systems, assemblies, modules and components, and engineer and assemble complete vehicles, primarily for sale to original equipment manufacturers of cars and light trucks in North America, Europe, Asia, South America and Africa. Our capabilities include the design, engineering, testing and manufacture of automotive interior systems; seating systems; closure systems; metal body and chassis systems; vision systems; electronic systems; exterior systems; powertrain systems; roof systems; as well as complete vehicle engineering and assembly.
We have approximately 83,000 employees in 240 manufacturing operations and 62 product development and engineering centres in 23 countries.
We will present our 2008 outlook at the Auto Analysts of New York (AANY) Conference, held in conjunction with the Detroit Auto Show, this afternoon at 2:00 pm EST. Our presentation will be available on our website at www.magna.com. We will also webcast the actual presentation at www.magna.com. Our presentation will be made by Donald J. Walker, Co-Chief Executive Officer and Vincent J. Galifi, Executive Vice President and Chief Financial Officer.
Source: Magna International Inc.
For further information, please contact Louis Tonelli at +1-905-726-7035.
