Linamar Corporation
TSX : LNR

Linamar Corporation

January 27, 2006 16:29 ET

Linamar Announces Commencement of Normal Course Issuer Bid

GUELPH, ONTARIO--(CCNMatthews - Jan. 27, 2006) - Linamar Corporation (TSX:LNR) ("Linamar" or the "Company") announced today that the Toronto Stock Exchange ("TSX") has accepted Linamar's notice of intention to make a normal course issuer bid (the "Notice") in respect of common shares of the Company. The Notice will enable Linamar to acquire up to 4,543,588 of its outstanding common shares pursuant to the normal course issuer bid, representing 8.6% of the public float as at January 24, 2006. The price that Linamar will pay for any such shares will be the market price of the common shares on the TSX at the time of acquisition. Common shares purchased under the bid will be cancelled.

Purchases under the bid may commence on January 31, 2006 and will terminate on January 30, 2007, or on such earlier date as Linamar may complete its purchases pursuant to the Notice or provides notice of termination of the bid.

Linamar has not purchased any of its common shares in the past 12 months.

All purchases will be made through the facilities and in accordance with the requirements of the TSX. Linamar believes that the purchase of its common shares from time to time under the normal course issuer bid is in the best interests of the Company and represents a desirable use of the Company's funds.

Linamar designs, develops and manufactures precision machined components and modules for engine, transmission and chassis systems for primarily the North American and European automotive marketplace. The company has over 10,000 employees in 36 manufacturing locations, five research and development centers and nine sales offices in Canada, United States, Mexico, Germany, Hungary, China, Korea and Japan. For more information, visit www.linamar.com.

Certain information regarding Linamar set forth in this document, including management's assessment of the Company's future plans and operations may constitute forward-looking statements. This information is based on current expectations that are subject to significant risks and uncertainties that are difficult to predict. Actual results may differ materially from these anticipated in the forward-looking statements due to factors such as customer demand and timing of buying decisions, product mix, competitive products and pricing pressure. In addition, uncertainties and difficulties in domestic and foreign financial markets and economies could adversely affect demand from customers. These factors, as well as general economic and political conditions, may in turn have a material adverse effect on the Company's financial results. The Company assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward-looking statements.

Contact Information

  • Linamar Corporation
    Linda Hasenfratz
    Chief Executive Officer
    (519) 836-7550
    (519) 836-9175 (FAX)
    or
    Linamar Corporation
    Peggy Mulligan
    CFO, Executive Vice President & Treasurer
    (519) 836-7550
    (519) 836-9175 (FAX)
    www.linamar.com