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Martinrea International Inc. Releases Second Quarter Results and Announces Dividend, Record Quarterly Revenues, Improved Profits

TORONTO, ONTARIO -- (Marketwired) -- 08/14/14 -- Martinrea International Inc. (TSX: MRE), a leader in the production of quality metal parts, assemblies and modules and fluid management systems focused primarily on the automotive sector, announced today the release of its financial results for the second quarter ended June 30, 2014, which include record quarterly revenues and improving operations and a quarterly dividend.

HIGHLIGHTS


-  Record Quarterly Revenues
-  Quarter-over-Quarter Operational and Margin Improvement
-  Solid Quarter for Martinrea Honsel
-  Good Prospects
-  Dividend of $0.03 per share announced

OVERVIEW

Nick Orlando, Martinrea's President and Chief Executive Officer, stated: "We had a solid quarter, with increasing profits, as we continue to focus on our operations. We are making progress everywhere. In our second quarter we saw operational and financial improvements from the previous quarter. Most of our businesses are doing well-our aluminum and fluids businesses had strong quarters; our assembly operations are doing well; and many of our metallic plants are meeting or exceeding budget. Certain U.S. metallic plants are making the necessary improvements to operations that will improve margin and did so in the second quarter. In terms of new business won since our last release, we have won approximately $20 million in incremental annualized business including $15 million of incremental metallic business with Chrysler on its minivan line starting in 2016 and $5 million in fluid management product with General Motors on the Camaro and certain Cadillac platforms starting in 2016. We also continue to invest in the future. Our launch backlog currently sits at over $500 million and will entail new operating facilities in Spain for the Jaguar-Land Rover aluminum swivel bearing launching in 2015, China and Mexico for an aluminum engine cradle for GM on its Omega platform starting in 2015 and Riverside, Missouri for new modular assembly business for the GM Malibu starting in 2015."

Fred Di Tosto, Martinrea's Chief Financial Officer, stated: "Revenues for our second quarter, excluding tooling revenues, were approximately $870 million, within the range of our previously announced sales guidance, and a record quarter for us. In the second quarter, our adjusted earnings per share, on a basic and diluted basis, was $0.28, after adjusting for relatively low unusual items comprised of non-insured litigation costs, and within our quarterly guidance. The Martinrea Honsel operations contributed $0.08 per share to our second quarter results, a solid contribution. With Martinrea Honsel now wholly-owned, this division is expected to continue to contribute strongly to our overall business."

Rob Wildeboer, Martinrea's Executive Chairman, stated: "2014 is coming along nicely. Our third quarter is expected to generate revenues for the quarter, excluding tooling revenues, in the range of $780 to $810 million and we believe our earnings per share will be in the range of 23 to 27 cents per share, one of the best third quarters in our history from a financial point of view. Our fourth quarter should be very good for us. We will see some benefits of the acquisition of the minority interest of Martinrea Honsel in the third quarter, but more so in the fourth quarter and beyond. Today we are one Martinrea, with a fully-owned Martinrea Honsel, which will allow us to maximize our opportunities in lightweighting, both in aluminum and metals. We are financially and operationally strong, with great prospects. In summary, the future looks good."

RESULTS OF OPERATIONS

Martinrea currently employs over 13,000 skilled and motivated people in 38 operating plants in Canada, the United States, Mexico, Brazil, Germany, Slovakia, Spain and China. Martinrea's objective is to develop a state-of-the-art international metal forming and fluid systems business that will continue to be and further become a key supplier in the automotive industry. Growth will be prudent, profitable and based on innovation. The backbone of future growth is the development of talented people. The significant development of the Company since 2002 has reflected this business strategy and contributed to the growing profitability of the Company.

Results of operations include certain unusual items which have been separately disclosed, where appropriate, in order to provide a clear assessment of the underlying Company results. This has required the use of non-IFRS measures in the Company's disclosures that management believes provides the most appropriate basis on which to evaluate the Company's results.

OVERALL RESULTS



----------------------------------------------------------------------------
----------------------------------------------------------------------------
                        Three months    Three months
                          ended June      ended June
                            30, 2014        30, 2013   $ Change   % Change
----------------------------------------------------------------------------
Revenue                $     930,915   $     826,274    104,641       12.7%
Gross Margin                  95,863          91,183      4,680        5.1%
Operating Income              43,129          46,942     (3,813)      (8.1%)
Net Earnings for the
 period                       29,626          32,111     (2,485)      (7.7%)
----------------------------------------------------------------------------
Net Earnings
 Attributable to
 Equity Holders of
 the Company           $      23,308   $      27,514     (4,206)     (15.3%)
----------------------------------------------------------------------------
Net Earnings per
 Share - Basic         $        0.28   $        0.33      (0.05)     (15.2%)
Net Earnings per
 share - Diluted       $        0.27   $        0.33      (0.06)     (18.2%)
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Unusual Items(i)       $         306   $           -        306        0.0%
Adjusted Net
 Earnings
 Attributable to
 Equity Holders of
 the Company(i)               23,614          27,514     (3,900)     (14.2%)
----------------------------------------------------------------------------
Adjusted Net
 Earnings per
 share(i) - Basic
 and Diluted           $        0.28   $        0.33      (0.05)     (15.2%)
----------------------------------------------------------------------------
----------------------------------------------------------------------------


----------------------------------------------------------------------------
----------------------------------------------------------------------------
                          Six months      Six months
                          ended June      ended June
                            30, 2014         30,2013   $ Change   % Change
----------------------------------------------------------------------------
Revenue                $   1,795,408   $   1,595,396    200,012       12.5%
Gross Margin                 183,342         166,898     16,444        9.9%
Operating Income              80,688          81,615       (927)      (1.1%)
Net Earnings for the
 period                       56,285          55,616        669        1.2%
----------------------------------------------------------------------------
Net Earnings
 Attributable to
 Equity Holders of
 the Company           $      39,999   $      47,402     (7,403)     (15.6%)
----------------------------------------------------------------------------
Net Earnings per
 Share - Basic         $        0.47   $        0.57      (0.10)     (17.5%)
Net Earnings per
 share - Diluted       $        0.47   $        0.56      (0.09)     (16.1%)
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Unusual Items(i)       $       1,171   $           -      1,171        0.0%
Adjusted Net
 Earnings
 Attributable to
 Equity Holders of
 the Company(i)               41,170          47,402     (6,232)     (13.1%)
----------------------------------------------------------------------------
Adjusted Net
 Earnings per
 share(i) - Basic      $        0.49   $        0.57      (0.08)     (14.0%)
Adjusted Net
 Earnings per
 share(i) - Diluted    $        0.48   $        0.56      (0.08)     (14.3%)
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----------------------------------------------------------------------------

(i) Non-IFRS Measures

The Company prepares its financial statements in accordance with International Financial Reporting Standards ("IFRS"). However, the Company has included certain non-IFRS financial measures and ratios in this Press Release that the Company believes provides useful information in measuring the financial performance and financial condition of the Company. These measures do not have a standardized meaning prescribed by IFRS and therefore may not be comparable to similarly titled measures presented by other publicly traded companies, nor should they be construed as an alternative to the other financial measures determined in accordance with IFRS. Non-IFRS measures referred to in the analysis include "adjusted net earnings" and "adjusted net earnings per share on a basic and diluted basis" and are defined in the Tables A and B under "Adjustments to Net Earnings" of this Press Release.

REVENUE


Three months ended June 30, 2014 to three months ended June 30, 2013
comparison

---------------------------------------------------------------------------
---------------------------------------------------------------------------
                        Three months   Three months
                          ended June     ended June
                            30, 2014       30, 2013   $ Change   % Change
---------------------------------------------------------------------------
North America          $     745,304  $     651,799     93,505       14.3%
Europe                       173,037        159,959     13,078        8.2%
Rest of World                 12,574         14,516     (1,942)     (13.4%)
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Revenue                $     930,915  $     826,274    104,641       12.7%
---------------------------------------------------------------------------
---------------------------------------------------------------------------

The Company's consolidated revenues for the second quarter of 2014 increased by $104.6 million or 12.7% to $930.9 million as compared to $826.3 million for the second quarter of 2013. The total overall increase in revenues was driven by increases in the Company's North America and Europe operating segments, partially offset by a year-over-year decrease in revenues in the Rest of the World.

Revenues for the second quarter of 2014 in the Company's North America operating segment increased by $93.5 million or 14.3% to $745.3 million from $651.8 million for the second quarter of 2013. The increase was due to an overall increase in North American OEM light vehicle production, in particular year-over-year increased production volumes on the GM Equinox/Terrain and Ford Escape, two of the Company's largest platforms; the launch of new programs during or subsequent to the second quarter of 2013, including GM's full size pick-up trucks, BMW X5, Ford Transit and the Chrysler 200; a $20.2 million increase in tooling revenues, which are typically dependent on the timing of tooling construction and final acceptance by the customer; and the impact of foreign exchange on the translation of U.S. denominated production revenue, which had a positive impact on revenue for the second quarter of 2014 of $40.8 million.

Revenues for the second quarter of 2014 in the Company's Europe operating segment, comprised predominantly of the European operations of Martinrea Honsel, increased by $13.1 million or 8.2% to $173.0 million from $160.0 million for the second quarter of 2013. The increase was predominantly due to a benefit from the impact of foreign exchange on the translation of Euro denominated production revenue, partially offset by a $4.1 million decrease in tooling revenues. OEM light vehicle and engine production volumes in Europe were generally flat year-over-year.

Revenues for the second quarter of 2014 in the Company's Rest of World operating segment, currently comprised of the Brazilian operations of Martinrea Honsel and a facility in China in its early stages, decreased by $1.9 million or 13.4% to $12.6 million from $14.5 million in the second quarter of 2013. The decrease can be attributed to a year-over-year decrease in overall OEM light and medium-heavy vehicle production in Brazil and the translation of Brazilian Real denominated production revenue, which had a negative impact on revenue for the second quarter of 2014 of $0.4 million as compared to the second quarter of 2013, partially offset by the launch of the Company's first product in China for the Ford CD4 program, which began to ramp up at the end of the second quarter of 2013, and a $0.6 million year-over-year increase in tooling revenues.

Overall tooling revenues increased by $16.7 million from $44.5 million for the second quarter of 2013 to $61.2 million for the second quarter of 2014.


Six months ended June 30, 2014 to six months ended June 30, 2013 comparison

---------------------------------------------------------------------------
---------------------------------------------------------------------------
                          Six months     Six months
                               ended          ended
                            June 30,       June 30,
                                2014           2013   $ Change   % Change
---------------------------------------------------------------------------
North America          $   1,408,968  $   1,262,330    146,638       11.6%
Europe                       356,690        301,770     54,920       18.2%
Rest of World                 29,750         31,296     (1,546)      (4.9%)
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Revenue                $   1,795,408  $   1,595,396    200,012       12.5%
---------------------------------------------------------------------------
---------------------------------------------------------------------------

The Company's consolidated revenues for the six months ended June 30, 2014 increased by $200.0 million or 12.5% to $1,795.4 million as compared to $1,595.4 million for the six months ended June 30, 2013. The total overall increase in revenues was driven by increases in the Company's North America and Europe operating segments, partially offset by a year-over-year decrease in revenues in the Rest of the World.

Revenues for the six months ended June 30, 2014 in the Company's North America operating segment increased by $146.6 million or 11.6% to $1,409.0 million from $1,262.3 million for the six months ended June 30, 2013. Revenues in North America for the six months ended June 30, 2014 were negatively impacted by an $8.9 million year-over-year decrease in tooling revenues, which are typically dependent on the timing of tooling construction and final inspection and acceptance by the customer. Excluding the decrease in tooling revenues, revenues in the North America operating segment increased by $155.5 million or 12.3%. The increase was generally due to overall improved North American OEM light vehicle production, in particular year-over-year increased production volumes on the GM Equinox/Terrain and Ford Escape, two of the Company's largest platforms, the launch of new programs during 2013, including GM's full size pick-up trucks, BMW X5, Chevrolet Impala, Ford Transit and the Chrysler 200, and an $86.3 million benefit from the impact of foreign exchange on the translation of U.S. dollar denominated revenue.

Revenues for the six months ended June 30, 2014 in the Company's Europe operating segment, comprised predominately of the European operations of Martinrea Honsel, increased by $54.9 million or 18.2% to $356.7 million from $301.8 million for the six months ended June 30, 2013. The increase was due to the launch of new incremental aluminum business with Jaguar Land Rover including the sub-frame and shock towers for the new Range Rover Sport; an overall year-over-year increase in European OEM production volumes; a $2.1 million increase in tooling revenues; a $38.9 million benefit from the impact of foreign exchange on the translation of Euro denominated production revenue; and year-over-year increased production revenues in the Company's plant in Slovakia, which continues to ramp up and launch its backlog of business.

Revenues for the six months ended June 30, 2014 in the Company's Rest of World operating segment, currently comprised of the Brazilian operations of Martinrea Honsel and a facility in China in its early stages, decreased by $1.5 million or 4.9% to $29.8 million from $31.3 million for the six months ended June 30, 2013. The decrease can be attributed to a year-over-year decrease in OEM light and medium-heavy vehicle production in Brazil, a $0.2 million decrease in tooling revenues and the translation of Brazilian Real denominated production revenue which had a negative impact on revenue for the six months ended June 30, 2014 of $1.0 million as compared to the same period of 2013, partially offset by the launch of the Company's first product in China for the Ford CD4 program, which began to ramp up at the end of the second quarter of 2013.

Overall tooling revenues decreased by $7.0 million from $95.1 million for the first six months of 2013 to $88.1 million for the first six months of 2014.

GROSS MARGIN


Three months ended June 30, 2014 to three months ended June 30, 2013
comparison

----------------------------------------------------------------------------
----------------------------------------------------------------------------
                    Three months       Three months
                           ended              ended
                   June 30, 2014      June 30, 2013     $ Change   % Change
----------------------------------------------------------------------------
Gross margin    $         95,863   $         91,183        4,680        5.1%
% of revenue                10.3%              11.0%
----------------------------------------------------------------------------
----------------------------------------------------------------------------

The gross margin percentage for the second quarter of 2014 of 10.3% decreased as a percentage of revenue by 0.7% as compared to the gross margin percentage for the second quarter of 2013 of 11.0%. The decrease in gross margin as a percentage of revenue was generally due to:


--  an increase in tooling revenues which typically earn low or no margins
    for the Company;
--  an increase in integrator or assembly work which typically generates
    lower margins as a percentage of revenue, although return on capital
    tends to be higher;
--  program specific launch costs related to new programs that recently
    launched or are set to launch and ramp up over the next six months
    including the Ford Transit, Ford 2.3L aluminum engine block, Chrysler
    200 and Lincoln MKC; and
--  operational inefficiencies at certain operating facilities, in
    particular, Hopkinsville, Kentucky (see below).

These factors were partially offset by:


--  higher capacity utilization from an overall increase in year-over-year
    production revenues including the launch of new programs subsequent to
    or during the second quarter 2013 (as noted above under "Revenue");
--  productivity and efficiency improvements at certain operating
    facilities, in particular, the Martinrea Honsel operations in Germany;
    and
--  improved pricing on certain long-term customer contracts in the
    operations of Martinrea Honsel.

The performance of the Company's operating facility in Hopkinsville, Kentucky continued to be impacted by launch costs and other operational expenses stemming from the issues experienced by the facility during the fourth quarter of 2013. The issues were rooted in serious equipment failures on two of the plant's large tonnage presses which has resulted in incremental premium costs as the facility deals with new programs, customer-requested engineering changes, which have impacted productivity, and the overall ramp-up in production volumes being experienced in the automotive industry. Since the equipment failures at the end of 2013, the presses have been operational but have not been performing at optimal levels. Upgrades to the presses were successfully completed during the July 2014 summer shutdown in order to reduce the risk of any further failures and improve the performance of the presses. Further less substantial improvements are planned for the December holiday shutdown. Progress is being made at improving efficiencies at this facility and costs are expected to subside, and margins improve, as operational improvements continue to be made.

In addition to the expected productivity and efficiency improvements at certain operating facilities, in particular in Hopkinsville, Kentucky (as noted above), gross margin is expected to be positively impacted by incremental new business as the Company continues to work through the launch of a significant backlog of new business over the next 36 months including the following awarded programs in addition to the programs referred to above: the next wave of Ford CD4 in Europe and North America (Mondeo and Edge), GM Omega aluminum engine cradle (Cadillac), GM 31XX (Traverse, SRX), Jaguar LandRover aluminum swivel bearing, Nissan aluminum I4 engine block, Daimler aluminum transmission casing and incremental volume on Daimler's V8 AMG aluminum engine block.


Six months ended June 30, 2014 to six months ended June 30, 2013 comparison

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---------------------------------------------------------------------------
                         Six months     Six months
                              ended          ended
                           June 30,       June 30,
                               2014           2013     $ Change   % Change
---------------------------------------------------------------------------
Gross margin           $    183,342   $    166,898       16,444        9.9%
% of revenue                   10.2%          10.5%
---------------------------------------------------------------------------
---------------------------------------------------------------------------

The gross margin percentage for the six months ended June 30, 2014 of 10.2% decreased as a percentage of revenue by 0.3% as compared to the gross margin percentage for the six months ended June 30, 2013 of 10.5%. The decrease in gross margin as a percentage of revenue was generally due to:


--  an increase in integrator or assembly work which typically generates
    lower margins as a percentage of revenue, although return on capital
    tends to be higher;
--  program specific launch costs related to new programs that recently
    launched or are set to launch and ramp up over the next six months
    including the BMW X5, Ford Transit, Ford 2.3L aluminum engine block,
    Chrysler 200 and Lincoln MKC; and
--  operational inefficiencies at certain operating facilities, in
    particular, Hopkinsville, Kentucky (see above).

These factors were partially offset by:


--  higher capacity utilization from an overall increase in year-over-year
    production revenues including the launch of new programs subsequent to
    or during the first half of 2013 (as noted above under "Revenue");
--  productivity and efficiency improvements at certain operating
    facilities, in particular the Martinrea Honsel operations in Germany;
--  improved pricing on certain long-term customer contracts in the
    operations of Martinrea Honsel; and
--  a decrease in tooling revenues which typically earn low or no margins
    for the Company.

ADJUSTMENTS TO NET EARNINGS

(ATTRIBUTABLE TO EQUITY HOLDERS OF THE COMPANY)

Adjusted net earnings exclude certain unusual items, as set out in the following tables and described in the notes thereto. Management uses adjusted net earnings as a measurement of operating performance of the Company and believes that, in conjunction with IFRS measures, it provides useful information about the financial performance and condition of the Company.

TABLE A


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                                    Three months    Three months
                                           ended           ended
                                   June 30, 2014   June 30, 2013    (a)-(b)
                                  ------------------------------
                                             (a)             (b)     Change
----------------------------------------------------------------------------

NET EARNINGS (A)                         $23,308         $27,514    $(4,206)

Add back - Unusual Items:

External legal and forensic
 accounting costs related to
 litigation (1)                              408               -        408

----------------------------------------------------------------------------
TOTAL UNUSUAL ITEMS BEFORE TAX              $408               -       $408

Tax impact of above item                    (102)              -       (102)

----------------------------------------------------------------------------

TOTAL UNUSUAL ITEMS AFTER TAX (B)           $306               -       $306
----------------------------------------------------------------------------

ADJUSTED NET EARNINGS (A + B)            $23,614         $27,514    $(3,900)
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Number of Shares Outstanding -
 Basic ('000)                             84,498          83,984
Adjusted Basic Net Earnings Per
 Share                                     $0.28           $0.33
Number of Shares Outstanding -
 Diluted ('000)                           85,609          84,591
Adjusted Diluted Net Earnings Per
 Share                                     $0.28           $0.33
----------------------------------------------------------------------------

TABLE B


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                                      Six months      Six months
                                           ended           ended
                                   June 30, 2014   June 30, 2013      (a-b)
                                 -------------------------------
                                             (a)             (b)     Change
----------------------------------------------------------------------------

NET EARNINGS (A)                         $39,999         $47,402    $(7,403)

Add back - Unusual Items:

External legal and forensic
 accounting costs related to
 litigation (1)                            1,561               -      1,561

----------------------------------------------------------------------------

TOTAL UNUSUAL ITEMS BEFORE TAX            $1,561               -     $1,561

Tax impact of above items                   (390)              -       (390)

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TOTAL UNUSUAL ITEMS AFTER TAX (B)         $1,171               -     $1,171
----------------------------------------------------------------------------

ADJUSTED NET EARNINGS (A + B)            $41,170         $47,402    $(6,232)
----------------------------------------------------------------------------
----------------------------------------------------------------------------


Number of Shares Outstanding -
 Basic ('000)                             84,489          83,876
Adjusted Basic Net Earnings Per
 Share                                     $0.49           $0.57
Number of Shares Outstanding -
 Diluted ('000)                           85,317          84,514
Adjusted Diluted Net Earnings Per
 Share                                     $0.48           $0.56
----------------------------------------------------------------------------
(1) External Legal and Forensic Accounting Costs Related to Litigation

    The costs added back for adjusted net earnings purposes reflects the
    legal and forensic accounting costs not covered by insurance (recorded
    as SG&A expense) incurred by the Company in relation to specific
    litigation matters out of the ordinary course of business as outlined in
    the Company's MD&A and Annual Information Form for the year ended
    December 31, 2013. Further amounts related to the costs expensed to date
    may be recovered from the Company's insurance providers upon completion
    of their review of the costs incurred.

NET EARNINGS
(ATTRIBUTABLE TO EQUITY HOLDERS OF THE COMPANY)

Three months ended June 30, 2014 to three months ended June 30, 2013
comparison

----------------------------------------------------------------------------
----------------------------------------------------------------------------
                                    Three          Three
                             months ended   months ended
                                 June 30,       June 30,
                                     2014           2013 $ Change % Change
----------------------------------------------------------------------------
Net Earnings                $      23,308  $      27,514   (4,206)   (15.3%)
Adjusted Net Earnings       $      23,614  $      27,514   (3,900)   (14.2%)
Net Earnings per common
 share
  Basic                     $        0.28  $        0.33
  Diluted                   $        0.27  $        0.33
Adjusted Net Earnings per
 common share
  Basic                     $        0.28  $        0.33
  Diluted                   $        0.28  $        0.33
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Net earnings, before adjustments, for the second quarter of 2014 decreased by $4.2 million to $23.3 million from $27.5 million for the second quarter of 2013. Excluding $0.4 million in external legal and forensic accounting costs related to litigation incurred during the second quarter of 2014, as explained in Table A under "Adjustments to Net Earnings", the net earnings for the second quarter of 2014 decreased to $23.6 million or $0.28 per share, on a basic and diluted basis, in comparison to adjusted net earnings of $27.5 million or $0.33 per share, on a basic and diluted basis, for the second quarter of 2013.

The net earnings for the second quarter of 2014, as compared to the second quarter of 2013, were negatively impacted by the following:


--  program specific launch costs related to new programs that recently
    launched or are set to launch and ramp up over the next six months
    including the Ford Transit, Ford 2.3 L aluminum engine block, Chrysler
    200 and the Lincoln MKC;
--  lower margins as a result of operational inefficiencies at certain
    operating facilities, in particular, Hopkinsville, Kentucky (as
    discussed above); and
--  year-over-year increases in SG&A expense as previously discussed,
    research and development expense predominantly as a result of increased
    amortization of development costs, and finance expense related to
    increased levels of debt primarily used to sustain the increased level
    of capital expenditures related to new program launches.

These factors were partially offset by the following:


--  higher margins from an overall increase in year-over-year production
    revenues including the launch of new programs subsequent to or during
    the second quarter 2013;
--  productivity and efficiency improvements at certain operating
    facilities, in particular the Martinrea Honsel operations in Germany;
--  improved pricing on certain long-term customer contracts in Martinrea
    Honsel; and
--  a lower effective tax rate due generally to the mix of earnings and the
    utilization of tax losses in Martinrea Honsel not previously benefitted.

The contribution of Martinrea Honsel to net earnings for the second quarter of 2014, after factoring in the interest costs incurred by Martinrea International on the debt issued to finance the acquisition and operations of Martinrea Honsel, increased to $0.08 per share from $0.06 per share for the second quarter of 2013. The increase was generally due to ongoing productivity, efficiency improvements at certain facilities, in particular in Germany, improved pricing on certain long term customer contracts and a lower effective tax rate resulting from the utilization of tax losses not previously benefited, partially offset by program specific launch costs for upcoming new programs and a lower contribution from the Brazilian operations as a result of overall lower production volumes.


Six months ended June 30, 2014 to six months ended June 30, 2013 comparison

----------------------------------------------------------------------------
----------------------------------------------------------------------------
                           Six months     Six months
                                ended          ended
                             June 30,       June 30,
                                 2014           2013   $ Change   % Change
----------------------------------------------------------------------------
Net Earnings            $      39,999  $      47,402     (7,403)     (15.6%)
Adjusted Net Earnings   $      41,170  $      47,402     (6,232)     (13.1%)
Net Earnings per common
 share
  Basic                 $        0.47  $        0.57
  Diluted               $        0.47  $        0.56
Adjusted Net Earnings
 per common share
  Basic                 $        0.49  $        0.57
  Diluted               $        0.48  $        0.56
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Net earnings, before adjustments, for the six months ended June 30, 2014 decreased by $7.4 million to $40.0 million from $47.4 million for the six months ended June 30, 2013. Excluding $1.6 million in external legal and forensic accounting costs related to litigation incurred during the six months ended June 30, 2014, as explained in Table B under "Adjustments to Net Income", the net earnings for the six months ended June 30, 2014 decreased to $41.2 million or $0.49 per share, on a basic basis, and $0.48 per share on a diluted basis, from $47.4 million or $0.57 per share, on a basic basis, and $0.56 on a diluted basis, for the six months ended June 30, 2013.

The net earnings for the six months ended June 30, 2014, as compared to the six months ended June 30, 2013, were negatively impacted by the following:


--  program specific launch costs related to new programs that recently
    launched or are set to launch and ramp up over the next six months
    including the Ford Transit, Ford 2.3 L aluminum engine block, Chrysler
    200 and the Lincoln MKC;
--  lower margins as a result of operational inefficiencies at certain
    operating facilities, in particular, Hopkinsville, Kentucky (as
    discussed above); and
--  year-over-year increases in SG&A expense as previously discussed,
    research and development expenses predominantly as a result of increased
    amortization of development costs, finance expense related to increased
    levels of debt primarily used to sustain the increased level of capital
    expenditures related to new program launches and a decrease in other
    financial income predominantly resulting from foreign exchange
    fluctuations.

These factors were partially offset by the following:


--  higher margins from an overall increase in year-over-year production
    revenues including the launch of new programs subsequent to or during
    the first half of 2013;
--  productivity and efficiency improvements at certain operating
    facilities, in particular the Martinrea Honsel operations in Germany;
--  improved pricing on certain long-term customer contracts in Martinrea
    Honsel; and
--  a lower effective tax rate due generally to the mix of earnings and the
    utilization of tax losses in Martinrea Honsel not previously benefitted.

The contribution of Martinrea Honsel to net earnings for the six months ended June 30, 2014, after factoring in the interest costs incurred by Martinrea International on the debt issued to finance the acquisition and operations of Martinrea Honsel, increased to $0.20 per share from $0.10 per share for the six months ended June 30, 2013. The increase was generally due to the addition of new incremental aluminum business with Jaguar LandRover, generally higher production volumes in Europe, ongoing productivity, and efficiency improvements at certain facilities, in particular in Germany, improved pricing on certain long term customer contracts and a lower effective tax rate resulting from the utilization of tax losses not previously benefitted, partially offset by program specific launch costs for upcoming new programs and a lower contribution from the Brazilian operations as a result of lower production volumes.

ADDITIONS TO PROPERTY, PLANT AND EQUIPMENT


Three months ended June 30, 2014 to three months ended June 30, 2013
comparison

----------------------------------------------------------------------------
----------------------------------------------------------------------------
                         Three months   Three months
                                ended          ended
                             June 30,       June 30,
                                 2014           2013    $ Change   % Change
----------------------------------------------------------------------------
Additions to Property,
 Plant and Equipment    $      47,311  $      39,791       7,520       18.9%
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Additions to property, plant and equipment increased by $7.5 million to $47.3 million in the second quarter of 2014 from $39.8 million in the second quarter of 2013. Additions as a percentage of revenues remained relatively consistent year-over-year at 5.1% for the second quarter of 2014 compared to 4.8% for the comparative period of 2013. While capital expenditures are made to refurbish or replace assets consumed in the normal course of business and for productivity improvements, a large portion of the investment in the second quarter of 2014 continued to be for manufacturing equipment for programs that recently launched or will be launching over the next 24 months.


Six months ended June 30, 2014 to six months ended June 30, 2013 comparison

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                           Six months     Six months
                                ended          ended
                             June 30,       June 30,
                                 2014           2013     Change   % Change
----------------------------------------------------------------------------
Additions to Property,
 Plant and Equipment    $      84,362  $      96,496    (12,134)     (12.6%)
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Additions to property, plant and equipment decreased by $12.1 million to $84.4 million for the six months ended June 30, 2014 from $96.5 million for the six months ended June 30, 2013. Additions as a percentage of revenues decreased year-over-year to 4.7% for the six months ended June 30, 2014 compared to 6.0% for the comparative period of 2013. Despite the decrease, while capital expenditures are made to refurbish or replace assets consumed in the normal course of business and for productivity improvements, a large portion of the investment in the first half of 2014 continued to be for manufacturing equipment for programs that recently launched or will be launching over the next 24 months.

DIVIDEND

A cash dividend of $0.03 per share has been declared by the Board of Directors payable to shareholders of record on September 30, 2014 on or about October 15, 2014.

CONFERENCE CALL DETAILS

A conference call to discuss those results will be held on Friday, August 15, 2014 at 8:00 a.m. (Toronto time) which can be accessed by dialing (416) 340-8410 or toll free (866) 225-2055. Please call 10 minutes prior to the start of the conference call.

If you have any teleconferencing questions, please call Andre La Rosa at (416) 749-0314.

There will also be a rebroadcast of the call available by dialing (905) 694-9451 or toll free (800) 408-3053 (conference id - 4771486#). The rebroadcast will be available until August 29, 2014.

FORWARD-LOOKING INFORMATION

Special Note Regarding Forward-Looking Statements

This Press Release contains forward-looking statements within the meaning of applicable Canadian securities laws including related to the expectations and guidance as to revenue and gross margin percentage (and earnings per share), expansion of or improvements in gross margin, including due to positive impact from launches, statements as to the growth of the Company, opening of facilities and pursuit of its strategies, the launching of new metal forming and fluid systems programs including expectations as to the financial impact of launches, the Company's expectations as to the contribution of Martinrea Honsel to the Company's business, statements as to the progress and expectations of operational and productivity improvements and operational and productivity efficiencies, the Company's expectations regarding the future amount and type of restructuring expenses to be expensed, statements as to the reduction of costs, including the expectation of a reduction in costs and inefficiencies and stabilization of and operational improvements at the Hopkinsville plant and expectations as to the continued operation of and successful upgrades to the presses, the Company's views on the long term outlook of the automotive industry and economic recovery, the Company's ability to capitalize on opportunities in the automotive industry and the successful integration of acquisitions, statements as to the recovery of litigation related expenses from insurance providers, and as well as other forward-looking statements. The words "continue", "expect", "anticipate", "estimate", "may", "will", "should", "views", "intend", "believe", "plan" and similar expressions are intended to identify forward-looking statements. Forward-looking statements are based on estimates and assumptions made by the Company in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors that the Company believes are appropriate in the circumstances. Many factors could cause the Company's actual results, performance or achievements to differ materially from those expressed or implied by the forward-looking statements, including, without limitation, the following factors, some of which are discussed in detail in the Company's Annual Information Form and other public filings which can be found at www.sedar.com:


--  North American and global economic and political conditions;
--  the highly cyclical nature of the automotive industry and the industry's
    dependence on consumer spending and general economic conditions;
--  the Company's dependence on a limited number of significant customers;
--  financial viability of suppliers;
--  the Company's reliance on critical suppliers and on suppliers for
    components and the risk that suppliers will not be able to supply
    components on a timely basis or in sufficient quantities;
--  competition;
--  the increasing pressure on the Company to absorb costs related to
    product design and development, engineering, program management,
    prototypes, validation and tooling;
--  increased pricing of raw materials;
--  outsourcing and insourcing trends;
--  the risk of increased costs associated with product warranty and recalls
    together with the associated liability;
--  the Company's ability to enhance operations and manufacturing
    techniques;
--  dependence on key personnel;
--  limited financial resources;
--  risks associated with the integration of acquisitions;
--  costs associated with rationalization of production facilities;
--  launch costs;
--  the potential volatility of the Company's share price;
--  changes in governmental regulations or laws including any changes to the
    North American Free Trade Agreement;
--  labour disputes;
--  litigation;
--  currency risk;
--  fluctuations in operating results;
--  internal controls over financial reporting and disclosure controls and
    procedures;
--  environmental regulation;
--  a shift away from technologies in which the Company is investing;
--  competition with low cost countries;
--  the Company's ability to shift its manufacturing footprint to take
    advantage of opportunities in emerging markets;
--  risks of conducting business in foreign countries, including China,
    Brazil and other growing markets;
--  potential tax exposure;
--  a change in the Company's mix of earnings between jurisdictions with
    lower tax rates and those with higher tax rates, as well as the
    Company's ability to fully benefit from tax losses;
--  under-funding of pension plans; and
--  the cost of post-employment benefits.

These factors should be considered carefully, and readers should not place undue reliance on the Company's forward-looking statements. The Company has no intention and undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

The common shares of Martinrea trade on The Toronto Stock Exchange under the symbol "MRE".


Martinrea International Inc.
Interim Condensed Consolidated Balance Sheets
(in thousands of Canadian dollars) (unaudited)
----------------------------------------------------------------------------
----------------------------------------------------------------------------
                                                    June 30,       December
                                          Note          2014       31, 2013
----------------------------------------------------------------------------
ASSETS
Cash and cash equivalents                       $     38,460   $     56,224
Trade and other receivables                  4       603,308        541,598
Inventories                                  5       325,088        302,810
Prepaid expenses and deposits                         20,307         13,128
Income taxes recoverable                               2,624          3,727
----------------------------------------------------------------------------
TOTAL CURRENT ASSETS                                 989,787        917,487
----------------------------------------------------------------------------
Property, plant and equipment                6       880,580        847,548
Deferred income tax assets                           113,635        100,156
Intangible assets                            7        63,805         59,640
----------------------------------------------------------------------------
TOTAL NON-CURRENT ASSETS                           1,058,020      1,007,344
----------------------------------------------------------------------------
TOTAL ASSETS                                    $  2,047,807   $  1,924,831
----------------------------------------------------------------------------
----------------------------------------------------------------------------

LIABILITIES
Trade and other payables                     8  $    682,189   $    597,591
Provisions                                   9         4,550          6,362
Income taxes payable                                  26,812         22,530
Current portion of long-term debt           10        48,175         37,276
----------------------------------------------------------------------------
TOTAL CURRENT LIABILITIES                            761,726        663,759
----------------------------------------------------------------------------
Long-term debt                              10       403,506        434,501
Pension and other post-retirement benefits            51,619         45,270
Deferred income tax liabilities                       78,286         73,051
Other financial liability                    3       232,800        154,239
----------------------------------------------------------------------------
TOTAL NON-CURRENT LIABILITIES                        766,211        707,061
----------------------------------------------------------------------------
TOTAL LIABILITIES                               $  1,527,937   $  1,370,820
----------------------------------------------------------------------------

EQUITY
Capital stock                               12       690,468        689,975
Contributed surplus                                   45,384         44,853
Other equity                                 3      (232,800)      (154,239)
Accumulated other comprehensive income                23,231         26,085
Accumulated deficit                                 (111,378)      (142,376)
----------------------------------------------------------------------------
TOTAL EQUITY ATTRIBUTABLE TO EQUITY
 HOLDERS OF THE COMPANY                              414,905        464,298
Non-controlling interest                             104,965         89,713
----------------------------------------------------------------------------
TOTAL EQUITY                                         519,870        554,011
----------------------------------------------------------------------------
TOTAL LIABILITIES AND EQUITY                    $  2,047,807   $  1,924,831
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Subsequent events (notes 3 and 10)
Contingencies (note 16)

See accompanying notes to the interim condensed consolidated financial
statements.

On behalf of the Board:

Robert Wildeboer, Director

Scott Balfour, Director


Martinrea International Inc.
Interim Condensed Consolidated Statements of Operations
(in thousands of Canadian dollars, except per share amounts) (unaudited)

----------------------------------------------------------------------------
----------------------------------------------------------------------------
                               Three        Three
                              months       months   Six months   Six months
                               ended        ended        ended        ended
                            June 30,     June 30,     June 30,     June 30,
                  Note          2014         2013         2014         2013
----------------------------------------------------------------------------

----------------------------------------------------------------------------
SALES                   $    930,915 $    826,274 $  1,795,408 $  1,595,396
----------------------------------------------------------------------------

Cost of sales
 (excluding
 depreciation of
 property, plant
 and equipment)             (809,766)    (712,349)  (1,562,649)  (1,384,681)
Depreciation of
 property, plant
 and equipment
 (production)                (25,286)     (22,742)     (49,417)     (43,817)
----------------------------------------------------------------------------
Total cost of
 sales                      (835,052)    (735,091)  (1,612,066)  (1,428,498)
----------------------------------------------------------------------------
GROSS MARGIN                  95,863       91,183      183,342      166,898
----------------------------------------------------------------------------

Research and
 development costs            (4,875)      (3,567)      (9,517)      (7,735)
Selling, general
 and
 administrative              (45,594)     (38,771)     (88,925)     (73,574)
Depreciation of
 property, plant
 and equipment
 (non-production)             (1,714)      (1,673)      (3,178)      (3,147)
Amortization of
 customer
 contracts and
 relationships                  (568)        (493)        (911)        (979)
Gain (loss) on
 disposal of
 property, plant
 and equipment                    17          263         (123)         152
----------------------------------------------------------------------------
OPERATING INCOME              43,129       46,942       80,688       81,615
----------------------------------------------------------------------------

Finance costs                 (5,330)      (5,192)     (10,509)      (9,875)
Other finance
 income                          231          196            9        1,179
----------------------------------------------------------------------------
INCOME BEFORE
 INCOME TAXES                 38,030       41,946       70,188       72,919

Income tax expense  11        (8,404)      (9,835)     (13,903)     (17,303)
----------------------------------------------------------------------------
NET INCOME FOR THE
 PERIOD                 $     29,626 $     32,111 $     56,285 $     55,616
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Non-controlling
 interest                     (6,318)      (4,597)     (16,286)      (8,214)
----------------------------------------------------------------------------
NET INCOME
 ATTRIBUTABLE TO
 EQUITY HOLDERS OF
 THE COMPANY            $     23,308 $     27,514 $     39,999 $     47,402
----------------------------------------------------------------------------
----------------------------------------------------------------------------


----------------------------------------------------------------------------
----------------------------------------------------------------------------
Basic earnings per
 share              13  $       0.28 $       0.33 $       0.47 $       0.57
Diluted earnings
 per share          13  $       0.27 $       0.33 $       0.47 $       0.56
----------------------------------------------------------------------------
----------------------------------------------------------------------------

See accompanying notes to the interim condensed consolidated financial
statements.

Martinrea International Inc.
Interim Condensed Consolidated Statements of Comprehensive Income
(in thousands of Canadian dollars) (unaudited)

----------------------------------------------------------------------------
----------------------------------------------------------------------------
                            Three
                           months   Three months   Six months     Six months
                            ended          ended        ended          ended
                         June 30,       June 30,     June 30,       June 30,
                             2014           2013         2014           2013
----------------------------------------------------------------------------

NET INCOME FOR THE
 PERIOD              $     29,626  $      32,111 $     56,285  $      55,616
Other comprehensive
 income (loss), net
 of tax:
  Items that may be
   reclassified to
   net income
  Foreign currency
   translation
   differences for
   foreign
   operations             (34,741)        24,164       (3,888)        36,634
  Items that will
   not be
   reclassified to
   net income
  Actuarial gains
   (losses) from the
   remeasurement of
   defined benefit
   plans                     (735)         4,417       (3,930)         5,528
----------------------------------------------------------------------------
Other comprehensive
 income (loss), net
 of tax                   (35,476)        28,581       (7,818)        42,162
----------------------------------------------------------------------------
TOTAL COMPREHENSIVE
 INCOME (LOSS) FOR
 THE PERIOD          $     (5,850) $      60,692 $     48,467  $      97,778
----------------------------------------------------------------------------
----------------------------------------------------------------------------

Attributable to:
  Equity holders of
   the Company       $     (6,648) $      58,667 $     33,215  $      90,753
  Non-controlling
   interest                   798          2,025       15,252          7,025
----------------------------------------------------------------------------
TOTAL COMPREHENSIVE
 INCOME (LOSS) FOR
 THE PERIOD          $     (5,850) $      60,692 $     48,467  $      97,778
----------------------------------------------------------------------------
----------------------------------------------------------------------------

See accompanying notes to the interim condensed consolidated financial
statements.

Martinrea International Inc.
Interim Condensed Consolidated Statements of Changes in Equity
(in thousands of Canadian dollars) (unaudited)

--------------------------------------------------------------------------
--------------------------------------------------------------------------
                      Equity attributable to equity holders of the Company
                      ----------------------------------------------------


                                                               Cumulative
                           Capital  Contributed       Other   translation
                             stock      surplus      equity       account
--------------------------------------------------------------------------
Balance at December
 31, 2012              $   675,606 $     46,897  $  (87,100) $    (22,001)
--------------------------------------------------------------------------
Net income for the
 period                          -            -           -             -
Compensation expense
 related to stock
 options                         -          905           -             -
Purchase of non-
 controlling interest
 (note 2)                        -            -           -             -
Dividends ($0.03 per
 share)                          -            -           -             -
Change in fair value
 of put option granted
 to non-controlling
 interest                        -            -     (22,897)            -
Exercise of employee
 stock options              10,122       (2,497)          -             -
Other comprehensive
 income, net of tax
  Actuarial gains from
   the remeasurement
   of defined benefit
   plans                         -            -           -             -
  Foreign currency
   translation
   differences                   -            -           -        37,823
--------------------------------------------------------------------------
Balance at June 30,
 2013                      685,728       45,305    (109,997)       15,822
--------------------------------------------------------------------------
Net income (loss) for
 the period                      -            -           -             -
Compensation expense
 related to stock
 options                         -          707           -             -
Dividends ($0.06 per
 share)                          -            -           -             -
Change in fair value
 of put option granted
 to non-controlling
 interest                        -            -     (44,242)            -
Exercise of employee
 stock options               4,247       (1,159)          -             -
Other comprehensive
 income, net of tax
  Actuarial gains from
   the remeasurement
   of defined benefit
   plans                         -            -           -             -
  Foreign currency
   translation
   differences                   -            -           -        10,263
--------------------------------------------------------------------------
Balance at December
 31, 2013                  689,975       44,853    (154,239)       26,085
--------------------------------------------------------------------------
Net income for the
 period                          -            -           -             -
Compensation expense
 related to stock
 options                         -          665           -             -
Dividends ($0.06 per
 share)                          -            -           -             -
Change in fair value
 of put option granted
 to non-controlling
 interest                        -            -     (78,561)            -
Exercise of employee
 stock options                 493         (134)          -             -
Other comprehensive
 income, net of tax
  Actuarial losses
   from the
   remeasurement of
   defined benefit
   plans                         -            -           -             -
  Foreign currency
   translation
   differences                   -            -           -        (2,854)
--------------------------------------------------------------------------
Balance at June 30,
 2014                  $   690,468 $     45,384  $ (232,800) $     23,231
--------------------------------------------------------------------------
--------------------------------------------------------------------------

--------------------------------------------------------------------------
--------------------------------------------------------------------------
                         Equity attributable to
                          equity holders of the
                                        Company
                      -------------------------


                                                         Non-
                        Accumulated               controlling       Total
                            deficit       Total      interest      equity
--------------------------------------------------------------------------
Balance at December
 31, 2012              $   (155,721) $  457,681  $     66,240  $  523,921
--------------------------------------------------------------------------
Net income for the
 period                      47,402      47,402         8,214      55,616
Compensation expense
 related to stock
 options                          -         905             -         905
Purchase of non-
 controlling interest
 (note 2)                    (2,880)     (2,880)       (1,928)     (4,808)
Dividends ($0.03 per
 share)                      (2,519)     (2,519)            -      (2,519)
Change in fair value
 of put option granted
 to non-controlling
 interest                         -     (22,897)            -     (22,897)
Exercise of employee
 stock options                    -       7,625             -       7,625
Other comprehensive
 income, net of tax
  Actuarial gains from
   the remeasurement
   of defined benefit
   plans                      5,528       5,528             -       5,528
  Foreign currency
   translation
   differences                    -      37,823        (1,189)     36,634
--------------------------------------------------------------------------
Balance at June 30,
 2013                      (108,190)    528,668        71,337     600,005
--------------------------------------------------------------------------
Net income (loss) for
 the period                 (30,452)    (30,452)       12,765     (17,687)
Compensation expense
 related to stock
 options                          -         707             -         707
Dividends ($0.06 per
 share)                      (5,069)     (5,069)            -      (5,069)
Change in fair value
 of put option granted
 to non-controlling
 interest                         -     (44,242)            -     (44,242)
Exercise of employee
 stock options                    -       3,088             -       3,088
Other comprehensive
 income, net of tax
  Actuarial gains from
   the remeasurement
   of defined benefit
   plans                      1,335       1,335             -       1,335
  Foreign currency
   translation
   differences                    -      10,263         5,611      15,874
--------------------------------------------------------------------------
Balance at December
 31, 2013                  (142,376)    464,298        89,713     554,011
--------------------------------------------------------------------------
Net income for the
 period                      39,999      39,999        16,286      56,285
Compensation expense
 related to stock
 options                          -         665             -         665
Dividends ($0.06 per
 share)                      (5,071)     (5,071)            -      (5,071)
Change in fair value
 of put option granted
 to non-controlling
 interest                         -     (78,561)            -     (78,561)
Exercise of employee
 stock options                    -         359             -         359
Other comprehensive
 income, net of tax
  Actuarial losses
   from the
   remeasurement of
   defined benefit
   plans                     (3,930)     (3,930)            -      (3,930)
  Foreign currency
   translation
   differences                    -      (2,854)       (1,034)     (3,888)
--------------------------------------------------------------------------
Balance at June 30,
 2014                  $   (111,378) $  414,905  $    104,965  $  519,870
--------------------------------------------------------------------------
--------------------------------------------------------------------------
See accompanying notes to the interim condensed consolidated financial
statements.

Martinrea International Inc.
Interim Condensed Consolidated Statements of Cash Flows
(in thousands of Canadian dollars) (unaudited)
---------------------------------------------------------------------------
---------------------------------------------------------------------------
                           Three         Three
                          months        months    Six months    Six months
                           ended         ended         ended         ended
                        June 30,      June 30,      June 30,      June 30,
                            2014          2013          2014          2013
---------------------------------------------------------------------------
CASH PROVIDED BY
 (USED IN):
OPERATING
 ACTIVITIES:
Net Income for the
 period             $     29,626  $     32,111  $     56,285  $     55,616
Adjustments for:
  Depreciation of
   property, plant
   and equipment          27,000        24,415        52,595        46,964
  Amortization of
   customer
   contracts and
   relationships             568           493           911           979
  Amortization of
   development costs       2,162         1,622         4,266         3,167
  Accretion of
   interest on
   promissory note             -           (30)            -           (60)
  Unrealized losses
   / (gains) on
   foreign exchange
   forward contracts      (1,344)        1,070         1,191           842
  Finance costs            5,330         5,192        10,509         9,875
  Income tax expense       8,404         9,835        13,903        17,303
  Loss (gain) on
   disposal of
   property, plant
   and equipment             (17)         (263)          123          (152)
  Stock-based
   compensation              555           590           665           905
  Pension and other
   post-retirement
   benefits expense        1,265         1,202         2,432         2,404
  Contributions made
   to pension and
   other post-
   retirement
   benefits                 (764)       (2,759)       (1,792)       (5,227)
---------------------------------------------------------------------------
                          72,785        73,478       141,088       132,616
Changes in non-cash
 working capital
 items:
  Trade and other
   receivables            32,837        (6,602)      (62,654)      (95,127)
  Inventories             (6,043)       (7,904)      (22,466)       (5,061)
  Prepaid expenses
   and deposits           (6,068)       (2,406)       (7,179)        1,074
  Trade, other
   payables and
   provisions             20,998         4,062        90,429        40,989
---------------------------------------------------------------------------
                         114,509        60,628       139,218        74,491
  Interest paid
   (excluding
   capitalized
   interest)              (4,873)       (4,259)       (9,585)       (7,990)
  Income taxes paid       (2,787)      (10,429)      (15,029)      (15,170)
---------------------------------------------------------------------------
NET CASH PROVIDED BY
 OPERATING
 ACTIVITIES         $    106,849  $     45,940  $    114,604  $     51,331
---------------------------------------------------------------------------

FINANCING
 ACTIVITIES:
  Dividends paid          (2,536)            -        (5,071)            -
  Increase in long-
   term debt                   -         4,920        36,953        56,418
  Repayment of long-
   term debt             (48,700)       (8,977)      (58,891)      (14,833)
  Exercise of
   employee stock
   options                   359           508           359         7,625
---------------------------------------------------------------------------
NET CASH PROVIDED BY
 (USED IN) FINANCING
 ACTIVITIES         $    (50,877) $     (3,549) $    (26,650) $     49,210
---------------------------------------------------------------------------

INVESTING
 ACTIVITIES:
  Purchase of
   property, plant
   and equipment(i)      (51,475)      (39,791)      (94,298)      (96,496)
  Capitalized
   development costs      (5,965)       (3,096)       (9,376)       (6,218)
  Proceeds on
   disposal of
   property, plant
   and equipment             251         1,617           844         1,645
  Purchase of non-
   controlling
   interest (note 2)           -             -             -        (4,808)
---------------------------------------------------------------------------
NET CASH USED IN
 INVESTING
 ACTIVITIES         $    (57,189) $    (41,270) $   (102,830) $   (105,877)
---------------------------------------------------------------------------

Effect of foreign
 exchange rate
 changes on cash and
 cash equivalents         (3,508)          781        (2,888)         (570)
---------------------------------------------------------------------------

INCREASE (DECREASE)
 IN CASH AND CASH
 EQUIVALENTS              (4,725)        1,902       (17,764)       (5,906)
CASH AND CASH
 EQUIVALENTS,
 BEGINNING OF PERIOD      43,185        21,614        56,224        29,422
---------------------------------------------------------------------------
CASH AND CASH
 EQUIVALENTS, END OF
 PERIOD             $     38,460  $     23,516  $     38,460  $     23,516
---------------------------------------------------------------------------
---------------------------------------------------------------------------

(i)As at June 30, 2014, $3,280 (December 31, 2013 - $13,216) of purchases of
property, plant and equipment remain unpaid.

See accompanying notes to the interim condensed consolidated financial
statements.

Contacts:
Fred Di Tosto, Chief Financial Officer
Martinrea International Inc.
3210 Langstaff Road
Vaughan, Ontario L4K 5B2
(416) 749-0314
(289) 982-3001 (FAX)

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"People are a lot more knowledgeable about APIs now. There are two types of people who work with APIs - IT people who want to use APIs for something internal and the product managers who want to do something outside APIs for people to connect to them," explained Roberto Medrano, Executive Vice President at SOA Software, in this SYS-CON.tv interview at Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Nigeria has the largest economy in Africa, at more than US$500 billion, and ranks 23rd in the world. A recent re-evaluation of Nigeria's true economic size doubled the previous estimate, and brought it well ahead of South Africa, which is a member (unlike Nigeria) of the G20 club for political as well as economic reasons. Nigeria's economy can be said to be quite diverse from one point of view, but heavily dependent on oil and gas at the same time. Oil and natural gas account for about 15% of Nigera's overall economy, but traditionally represent more than 90% of the country's exports and as...
The Internet of Things is a misnomer. That implies that everything is on the Internet, and that simply should not be - especially for things that are blurring the line between medical devices that stimulate like a pacemaker and quantified self-sensors like a pedometer or pulse tracker. The mesh of things that we manage must be segmented into zones of trust for sensing data, transmitting data, receiving command and control administrative changes, and peer-to-peer mesh messaging. In his session at @ThingsExpo, Ryan Bagnulo, Solution Architect / Software Engineer at SOA Software, focused on desi...
"At our booth we are showing how to provide trust in the Internet of Things. Trust is where everything starts to become secure and trustworthy. Now with the scaling of the Internet of Things it becomes an interesting question – I've heard numbers from 200 billion devices next year up to a trillion in the next 10 to 15 years," explained Johannes Lintzen, Vice President of Sales at Utimaco, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
"For over 25 years we have been working with a lot of enterprise customers and we have seen how companies create applications. And now that we have moved to cloud computing, mobile, social and the Internet of Things, we see that the market needs a new way of creating applications," stated Jesse Shiah, CEO, President and Co-Founder of AgilePoint Inc., in this SYS-CON.tv interview at 15th Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
SYS-CON Events announced today that Gridstore™, the leader in hyper-converged infrastructure purpose-built to optimize Microsoft workloads, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Gridstore™ is the leader in hyper-converged infrastructure purpose-built for Microsoft workloads and designed to accelerate applications in virtualized environments. Gridstore’s hyper-converged infrastructure is the industry’s first all flash version of HyperConverged Appliances that include both compute and storag...
Today’s enterprise is being driven by disruptive competitive and human capital requirements to provide enterprise application access through not only desktops, but also mobile devices. To retrofit existing programs across all these devices using traditional programming methods is very costly and time consuming – often prohibitively so. In his session at @ThingsExpo, Jesse Shiah, CEO, President, and Co-Founder of AgilePoint Inc., discussed how you can create applications that run on all mobile devices as well as laptops and desktops using a visual drag-and-drop application – and eForms-buildi...
We certainly live in interesting technological times. And no more interesting than the current competing IoT standards for connectivity. Various standards bodies, approaches, and ecosystems are vying for mindshare and positioning for a competitive edge. It is clear that when the dust settles, we will have new protocols, evolved protocols, that will change the way we interact with devices and infrastructure. We will also have evolved web protocols, like HTTP/2, that will be changing the very core of our infrastructures. At the same time, we have old approaches made new again like micro-services...
Code Halos - aka "digital fingerprints" - are the key organizing principle to understand a) how dumb things become smart and b) how to monetize this dynamic. In his session at @ThingsExpo, Robert Brown, AVP, Center for the Future of Work at Cognizant Technology Solutions, outlined research, analysis and recommendations from his recently published book on this phenomena on the way leading edge organizations like GE and Disney are unlocking the Internet of Things opportunity and what steps your organization should be taking to position itself for the next platform of digital competition.
The 3rd International Internet of @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that its Call for Papers is now open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
As the Internet of Things unfolds, mobile and wearable devices are blurring the line between physical and digital, integrating ever more closely with our interests, our routines, our daily lives. Contextual computing and smart, sensor-equipped spaces bring the potential to walk through a world that recognizes us and responds accordingly. We become continuous transmitters and receivers of data. In his session at @ThingsExpo, Andrew Bolwell, Director of Innovation for HP's Printing and Personal Systems Group, discussed how key attributes of mobile technology – touch input, sensors, social, and ...
In their session at @ThingsExpo, Shyam Varan Nath, Principal Architect at GE, and Ibrahim Gokcen, who leads GE's advanced IoT analytics, focused on the Internet of Things / Industrial Internet and how to make it operational for business end-users. Learn about the challenges posed by machine and sensor data and how to marry it with enterprise data. They also discussed the tips and tricks to provide the Industrial Internet as an end-user consumable service using Big Data Analytics and Industrial Cloud.
Building low-cost wearable devices can enhance the quality of our lives. In his session at Internet of @ThingsExpo, Sai Yamanoor, Embedded Software Engineer at Altschool, provided an example of putting together a small keychain within a $50 budget that educates the user about the air quality in their surroundings. He also provided examples such as building a wearable device that provides transit or recreational information. He then reviewed the resources available to build wearable devices at home including open source hardware, the raw materials required and the options available to power s...
Things are being built upon cloud foundations to transform organizations. This CEO Power Panel at 15th Cloud Expo, moderated by Roger Strukhoff, Cloud Expo and @ThingsExpo conference chair, addressed the big issues involving these technologies and, more important, the results they will achieve. Rodney Rogers, chairman and CEO of Virtustream; Brendan O'Brien, co-founder of Aria Systems, Bart Copeland, president and CEO of ActiveState Software; Jim Cowie, chief scientist at Dyn; Dave Wagstaff, VP and chief architect at BSQUARE Corporation; Seth Proctor, CTO of NuoDB, Inc.; and Andris Gailitis, C...