Magna International

Magna International Inc.

Type	Public
Traded as	NYSE: MGA TSX: MG
Industry	Auto and Truck parts
Founded	1957
Headquarters	Aurora, Ontario, Canada
Key people	Donald Walker, CEO Vincent J. Galifi, Executive VP & CFO Swamy Kotagiri, CTO James J. Tobin, CMO & President Magna Asia
Revenue	US$38.95 billion (2017)[1]
Operating income	US$2.999 billion (2017)[1]
Net income	US$2.21 billion (2017)[1]
Total assets	US$25.39 billion (2017)[1]
Total equity	US$11.23 billion (2017)[1]
Number of employees	168,000[1]
Website	www.magna.com

Magna International in Ontario

Magna International Inc. is a Canadian global automotive supplier headquartered in Aurora, Ontario. In 2014, Magna became the largest automobile parts manufacturer in North America by sales of original equipment parts, and one of Canada's largest companies.^[2] Its operating groups include Magna Steyr, Magna Powertrain, Magna Exteriors, Magna Seating, Magna Closures, Magna Mirrors, Magna Electronics and Cosma International.

Magna manufactures auto parts that are primarily supplied to General Motors, Ford Motor Company, and Chrysler LLC. In addition to the Big 3 U.S. automakers, Magna's major customers include Tesla Motors, Volkswagen, BMW and Toyota.^[3] In Europe, Magna Steyr holds contracts for the assembly of the Peugeot RCZ and Mini Countryman.^[4]

Magna has approximately 168,000 employees in 321 manufacturing operations and 102 product development, engineering and sales centres in 29 countries.^[5] Magna operates under a corporate constitution^[6] which calls for distribution of profits to employees and shareholders. The terms of this contract are "fair enterprise" according to Frank Stronach, company founder.

Capabilities and products

Magna International global locations in 2016.

Magna’s capabilities include the design, engineering, testing and manufacture of exterior systems, seating systems, closure systems, vision systems, powertrain systems, electronic systems, roof systems, body & chassis systems, hybrid & electric vehicle systems, and vehicle engineering & contract assembly.^[7]

History

The company was founded in 1957 by Frank Stronach as Multimatic Investments Ltd. This company merged with Magna Electronics in 1969, and the combined company became Magna International in 1973.

Magna acquired 80% of New Venture Gear, once a joint venture between General Motors and Chrysler, in September 2004, and combined it into Magna Powertrain. It assumed full ownership in 2007.

Magna purchased CTS Fahrzeug-Dachsysteme, a supplier of convertible roofs, from Porsche in November 2005.^[8]

The Sunday Telegraph in London reported January 2007 that Magna International was on a short list of bidders to purchase Aston Martin.^[9] Their bid was unsuccessful; the company instead went to a British consortium led by Dave Richards of Prodrive for £479 million.^[10]

According to a NPR broadcast on March 23, 2007, Magna showed interest in acquiring the Chrysler division of DaimlerChrysler. However, on 14 May 2007, it was announced that Cerberus Capital Management had won the acquisition bid for $7.4 billion.

In April 2008, Magna's wholly owned subsidiary, Cosma International, announced that they were buying the Ogihara America Corp. stamping plant in Birmingham, Alabama, that makes parts for Mercedes-Benz and other automakers.^[11]

During the second quarter of 2015, the Magna battery pack business, Magna Steyr, was sold to Samsung SDI approximately $120 million.^[12]

In July 2015, Magna bought the German company Getrag, specialized in transmission systems with about 13,500 employees, for 1.9 billion dollars.^[13]

In August 2015, Grupo Antolin completed purchase of Magna interiors unit. The sale to Grupo Antolin included 36 plants and 12,000 employees in Europe, North America and Asia, about 10 percent of the Magna’s global workforce at the time. The operations generated sales of $2.4 billion in 2014.^[14]

Innovations

Magna has produced a number of first-to-market technologies and manufacturing processes throughout its history. Some of these innovations include the integrated child safety seat, stow-into-floor minivan seats, and plastic, reaction injection moulding (RIM) bumpers.

Magna has also been recognized with several Automotive News PACE Awards for its innovations. Magna technologies that received PACE Awards in recent years include its BlindZone outside mirror (2009), Infinity rearview mirror (2012), laser-welded, hot-stamped door ring (2014, in partnership with Honda and ArcelorMittal) and PureView seamless sliding window (2015).

In 2005, Magna began producing automotive rearview cameras at its facility in Holly, Michigan, and in September 2014, Magna produced its 10 millionth rearview camera in Holly.^[15]

In 2011, Magna supplied the complete electric drivetrain on the 2012 Ford Focus Electric, Ford’s first full production, all-electric passenger vehicle.^[16] The Focus Electric was awarded the 2011 Green Car Vision Award at the 2011 Washington Auto Show.

In June 2014, Magna presented a Multi-Material Lightweight Vehicle (MMLV) concept developed in partnership with Ford Motor Company.^[17] The vehicle was based on a 2013 Ford Fusion and represented a 25 percent vehicle weight reduction. The vehicle was cosponsored by the U.S Department of Energy and was praised by numerous industry leaders for its innovative approach to vehicle lightweighting and fuel efficiency.^[18]

In 2015, Magna’s SmartLatch, an industry-first, 100 percent electronic door latching system, was named a finalist for the 2016 Automotive News PACE Awards.^[19]

In March 2018, Magna announced they will work together with the ride-share company, Lyft, to supply high-tech kits that turn vehicles into self driving cars. They invested $200 million into the project and both parties will jointly own the intellectual property developed. It was also noted that Magna will be Lyft's exclusive supplier of self-driving kits.^[20]

See also

• Linamar
• MI Developments Inc.

References

External links

• Official website