Kia Launches New Dynamax AWD System For Sportage - VIDEO ENHANCED

• Intelligent active all-wheel-drive system ‘anticipates’ traction requirements

• Magna Powertrain system delivers added stability with emissions cuts

SEOUL - July 16, 2010: Kia Motors Corporation and Magna Powertrain, part of Magna International Inc., today announced the official launch of the new Dynamax™ All-Wheel-Drive (AWD) system in the all-new Kia Sportage.

“The new Dynamax AWD system represents a significant technical advance that will bring real benefits to our customers,” comments Soon-Nam Lee, Director of Overseas Marketing, Kia Motors Corporation. “The all-new Sportage compact SUV is an exciting newcomer to our product line-up and the availability of such a responsive AWD system for the first time in a Kia will raise this model’s appeal for many potential buyers.”

Kia’s new Sportage compact SUV is the first of several vehicles destined to feature Magna Powertrain’s innovative, continuous and fully active AWD coupling system called Dynamax.

“Dynamax strategically positions both companies for global growth in the AWD segment, delivering enhanced driving performance and safety with the additional benefit of lower fuel consumption and reduced emissions,” said Jake Hirsch, President of Magna Powertrain.

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Technical Background
Dynamax continuously monitors driving conditions and anticipates AWD system requirements, compared to other AWD systems which can only react to conditions after they occur. Dynamax’s intelligent control unit continuously analyzes data from the vehicle controller, and through a multi-plate clutch, the coupling system is fully controllable via an electro-hydraulic actuation system. This Dynamax system behavior is completely transparent to the driver.

Other advantages of Dynamax include:
- Improved lateral stability while cornering

- Removal of unintended over and under steer by reducing unwanted traction forces to the front and rear axle

- High thermal capacity, which helps prevent overheating and subsequent shutdown of the coupling during events such as hill climbing and trailer towing

In addition, maximum efficiency is achieved through the intelligent control electronics, providing the torque required for each and every driving situation allowing for optimized traction. As a result lower fuel consumption and reduced CO2 emissions are achieved. Furthermore, electronic components are optimally sized for minimal energy usage. Dynamax offers true AWD for drivers who want an exciting driving experience with enhanced safety and performance.

About Magna Powertrain
Magna Powertrain is a premier supplier for the global automotive industry with high capability in powertrain design, development, testing and manufacturing. In supplying entire systems or individual components, systems integration is what sets this company apart from their competitors. Magna International was established in Korea in 1999, and today has seven plants in Korea including two fully owned plants, a plant through the joint venture with Dae Yee and four plants through a joint venture with Shin Young Metal. The addition of this eighth plant would further strengthen Magna’s position to serve Korean customers and their operations around the world.