Magna International : News Release - Magna is the Development Partner for Audi's New Quattro Ultra All-Wheel Drive System

• Next-generation all-wheel drive reduces friction losses while saving weight • System automatically switches from two-wheel to all-wheel drive as needed • Optimized power distribution ensures precise driving experience

SAILAUF, Germany, March 6, 2017 - Magna International Inc., a leading independent supplier of 4WD/AWD systems to global automakers, announced today its role as development partner to Audi on the new quattro ultra all-wheel drive system. The next-generation AWD system was launched on the Audi A4 allroad in 2016 and provides reduced fuel consumption and emissions while also maximizing driving performance and stability.

Magna´s Flex4™ all-wheel drive technology forms the technical foundation of the quattro ultra system. The system was developed jointly by Magna and Audi to fit into vehicles with longitudinally mounted engines and dual-clutch or manual transmissions.

Magna´s Flex4™ all-wheel drive technology forms the technical foundation of the quattro ultra system.

With this industry-first technology, it is now possible to have a true all-wheel-drive disconnect system that automatically activates all four wheels only when necessary, which is approximately 20 percent of all driving conditions.

In driving situations where there is no need for all-wheel drive, the rear axle drive is completely decoupled from the drivetrain, meaning the vehicle drives with its front wheels only. This true disconnect system goes beyond systems currently available on the market to reduce friction and transmission losses, consequently improving fuel efficiency and emissions. This solution also weighs less than permanent all-wheel drive, thereby achieving additional efficiency improvements.

'The quattro ultra technology is the result of advanced engineering and collaboration between supplier and automaker with our valued customer Audi,' said Jake Hirsch, President of Magna Powertrain. 'Together we developed an innovative system that combines driving pleasure with a significantly smaller carbon footprint, as well as increased safety to help Audi set a new standard for all-wheel drive.'

Alongside optimizing mechanical efficiency in the drivetrain, the new quattro ultra system also delivers impressive performance in terms of driving dynamics. If driving or road conditions call for additional traction - for instance, if the road is slick or marked by dynamic curves - the rear-wheel drive is engaged to maximize driving stability and actively ensure safety.

Quattro ultra differs from conventional adaptive systems in that the rear-wheel drive is not engaged in reaction to a loss in traction. Instead it is engaged proactively, with a lead-time of about half a second. This means the system recognizes the need for increased traction before it even arises and automatically switches from front-wheel to all-wheel drive mode. Variable, optimized power distribution between the front and rear axles with wheel-specific distribution helps improve the handling and ensures a driving experience that is dynamic and precise.

Audi´s predictive operating method is made possible by electronic sensors and highly differentiated control strategies. The electronic all-wheel drive management is networked with several additional control devices that collect and evaluate a wide range of data, such as information on the steering angle, friction coefficient, lateral and longitudinal acceleration and the motor torque in ten-millisecond intervals. A person's individual driving style, the status of the electronic stability control, the selected driving program ('drive select') and trailer identification are also integrated into the complex control system.

The switch between front- and all-wheel drive modes is carried out through a multi-disc clutch integrated into the rear axle drive. In front-wheel drive mode, the clutch is opened. This disconnects the shaft and parts of the rear axle drive, which reduces losses in transmission and friction loss. To make the switch to all-wheel drive mode, the multi-disc clutch closes and accelerates the resting elements of the transmission to the rotational speed of the coupling before this also closes. Thanks to extremely high control accuracy, these processes are so precisely coordinated with one another that they go unnoticed by the driver.

TAGS

Automotive innovation, all-wheel drive, AWD, Audi quattro, Flex4

INVESTOR CONTACT

Louis Tonelli, Vice-President, Investor Relations
louis.tonelli@magna.com, 905.726.7035

MEDIA CONTACTS

Tracy Fuerst, Global Director of Corporate Communications & PR
tracy.fuerst@magna.com, 248.631.5396

Rej Husetovic, Director Corporate Communications & Media Relations
rej.husetovic@magna.com, (+49-6093) 9942-5056

ABOUT MAGNA INTERNATIONAL

We are a leading global automotive supplier with 317 manufacturing operations and 102 product development, engineering and sales centres in 29 countries. We have over 155,000 employees focused on delivering superior value to our customers through innovative products and processes, and World Class Manufacturing. We have complete vehicle engineering and contract manufacturing expertise, as well as product capabilities which include body, chassis, exterior, seating, powertrain, electronic, active driver assistance, vision, closure and roof systems. Our common shares trade on the Toronto Stock Exchange (MG) and the New York Stock Exchange (MGA). For further information about Magna, visit our website at www.magna.com.

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