GUELPH, ONTARIO -- (Marketwire) -- 08/11/10 -- Linamar Corporation (TSX: LNR) -

--  Sales increase 50.4% over the second quarter of 2009 ("Q2 2009");
--  Reported net earnings of $26.6 million or $0.41 per share;
--  Net Earnings in company target zone at 4.7% of Sales;
--  Adjusted operating earnings up almost $37 million or 500% over Q2 2009.
--  Launch book remains strong at just over $1.8 Billion, driving short and
    long term growth.

                                                         Three Months Ended
                                                                    June 30

                                                        2010           2009
(in millions of dollars, except earnings per
 share figures)                                            $              $
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Sales                                           $      568.4   $      378.0
Operating Earnings (Loss)
    Powertrain/Driveline                                45.1          (52.6)
    Industrial                                          (2.7)         (10.4)
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Operating Earnings (Loss)                       $       42.4   $      (63.0)
  Unusual Items                                 $          -   $       53.2
Operating Earnings (Loss) - Adjusted            $       42.4   $       (9.8)

Net Earnings (Loss)                                     26.6          (48.4)
  Unusual Items                                            -           38.3
Net Earnings (Loss) - Adjusted                          26.6          (10.1)

Earnings (Loss) per Share                               26.6          (10.1)
Earnings (Loss) per Share - Adjusted                    0.41          (0.16)
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Unusual Items
Taxable Items before Tax
  1) Severance related to the global economic
   slow down                                               -            5.4
  2) Capital asset impairments due to market
   conditions                                              -           46.3
                                              ------------------------------
                                              ------------------------------
                                                           -           51.7
Tax Impact                                                 -          (14.9)
                                              ------------------------------
                                              ------------------------------
                                                           -           36.8

Non-Taxable Items
  3) Goodwill impairments                                  -              -
  4) Intangible asset impairments                          -            1.5
                                              ------------------------------
Total Unusual Items                                        -           38.3
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Operating Highlights

Sales for the second quarter of 2010 ("Q2 2010") were $568.4 million, up $190.4 million from $378.0 million from Q2 2009:

--  Sales for the Powertrain/Driveline segment increased by $199.8 million,
    or 61.6% in Q2 2010 to $524.1 million compared to $324.3 million in Q2
    2009. The sales increase in the second quarter was impacted by the
    vehicle volumes starting to recover in the global vehicle markets and
    specifically by:
    --  higher sales driven by increased consumer demand in the US;
    --  higher sales from the Asia Pacific operations in Q2 2010; and
    --  maturing volumes of key programs that were in the start-up phase in
        2008/2009 including 6 speed transmissions.

Industrial segment sales decreased 17.5%, or $9.4 million from Q2 2009 to
$44.3 million. The sales decrease was due to:

    --  significant declines in demand in the agricultural equipment markets
        serviced by the European Fabrication Division;
    --  significant declines in demand in the markets serviced by the
        Consumer Products Division; and partially offset by
    --  modest increases in the access equipment markets even though the
        overall demand remains soft as rental houses continue extend fleet
        life and delay purchases.

The company's adjusted operating earnings for Q2 2010 were $42.4 million. This compares to $9.8 million adjusted operating loss for Q2 2009, an increase of $52.2 million:

--  The increase was driven primarily by the better absorption of fixed
    costs due to the improved volume in global markets and on launch
    programs in the Powertrain/Driveline segments;

--  Q2 2010 adjusted operating earnings of $45.1 million for the
    Powertrain/Driveline segment were higher by $45.7 million from the
    adjusted operating loss of $0.6 million in Q2 2009;

--  The adjusted operating losses for the Industrial segment were $2.7
    million in Q2 2010, a decrease in loss of $6.5 million from Q2 2009.

Net earnings for Q2 2010 were $26.6 million or $0.41 net earnings per share versus $21.6 million or $0.33 per share in Q1 2010.

"We are happy to see our strong first quarter results improve even further in the second quarter." said Linamar CEO Linda Hasenfratz, "We are continuing to focus on improving earnings through top line growth coming from our robust launch book on a global basis."

Dividends

The Board of Directors today declared an eligible dividend in respect to the quarter ended June 30, 2010 of CDN$0.06 per share on the common shares of the company, payable on or after September 14, 2010 to shareholders of record on August 27, 2010.

Risk and Uncertainties (forward looking statements)

Linamar no longer provides a financial outlook.

Certain information provided by Linamar in these unaudited interim financial statements, MD&A and other documents published throughout the year that are not recitation of historical facts may constitute forward-looking statements. The words "estimate", "believe", "expect" and similar expressions are intended to identify forward-looking statements. Persons reading this report are cautioned that such statements are only predictions and the actual events or results may differ materially. In evaluating such forward-looking statements, readers should specifically consider the various factors that could cause actual events or results to differ materially from those indicated by such forward-looking statements.

Such forward-looking information may involve important risks and uncertainties that could materially alter results in the future from those expressed or implied in any forward-looking statements made by, or on behalf of, Linamar. Some risks and uncertainties may cause results to differ from current expectations. The factors which are expected to have the greatest impact on Linamar include but are not limited to (in the various economies in which Linamar operates): the extent of OEM outsourcing, industry cyclicality, trade and labour disruptions, pricing concessions and cost absorptions, delays in program launches, the company's dependence on certain engine and transmission programs and major OEM customers, currency exposure, and technological developments by Linamar's competitors.

A large proportion of the company's cash flows are denominated in foreign currencies. The movement of foreign currency exchange rates against the Canadian dollar has the potential to have a negative impact on financial results. The company has employed a hedging strategy as appropriate to attempt to mitigate the impact but cannot be completely assured that the entire exchange effect has been offset.

Other factors and risks and uncertainties that could cause results to differ from current expectations are discussed in the MD&A and include, but are not limited to: fluctuations in interest rates, environmental emission and safety regulations, governmental, environmental and regulatory policies, and changes in the competitive environment in which Linamar operates. Linamar 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.

Conference Call Information

Q2 Conference Call Information

Linamar will hold a conference call on August 11, 2010 at 5:00 p.m. EST to discuss its second quarter results. The numbers for this call are (647) 427-3420 (local/overseas) or (888) 300-0053 (North America) confirmation number 69714326, with a call-in required 10 minutes prior to the start of the conference call. The conference call will be chaired by Linda Hasenfratz, Linamar's Chief Executive Officer. A copy of the company's full quarterly financial statements, including the Management's Discussion & Analysis will be available on the company's website after 4 p.m. EST on August 11, 2010 and at www.sedar.com by the start of business on August 12, 2010. A taped replay of the conference call will also be made available starting at 11:00 p.m. on August 11, 2010 for seven days. The number for replay is (800) 642-1687, Conference ID 69714326. The conference call can also be accessed by web cast at www.linamar.com, by accessing the investor relations/events menu, and will be available for a 7 day period.

Q3 Conference Call Information

Linamar will hold a conference call on November 11, 2010 at 5:00 p.m. EST to discuss its third quarter results. The numbers for this call are (647) 427-3420 (local/overseas) or (888) 300-0053 (North America) confirmation number 91337561, with a call-in required 10 minutes prior to the start of the conference call. The conference call will be chaired by Linda Hasenfratz, Linamar's Chief Executive Officer. A copy of the company's full quarterly financial statements, including the Management's Discussion & Analysis will be available on the company's website after 4 p.m. EST on November 11, 2010 and at www.sedar.com by the start of business on November 12, 2010. A taped replay of the conference call will also be made available starting at 11:00 p.m. on November 11, 2010 for seven days. The number for replay is (800) 642-1687, Conference ID 91337561. The conference call can also be accessed by web cast at www.linamar.com, by accessing the investor relations/events menu, and will be available for a 7 day period.

Linamar Corporation (TSX: LNR) is a diversified global manufacturing company of highly engineered products powering vehicles, motion, work and lives. The company's Powertrain and Driveline focused divisions are world leaders in the collaborative design, development and manufacture of precision metallic components, modules and systems for global vehicle and power generation markets. The company's Industrial division is a world leader in the design and production of innovative mobile industrial equipment, notably its class-leading aerial work platforms and telehandlers. With more than 11,100 employees in 37 manufacturing locations, 5 R&D centers and 11 sales offices in Canada, the US, Mexico, Germany, Hungary, the UK, China, Korea and Japan, Linamar generated sales of close to $1.7 Billion in 2009. For more information about Linamar Corporation and its industry leading products and services, visit www.linamar.com.

Frank Hasenfratz                      Linda Hasenfratz
Chairman of the Board                 Chief Executive Officer

Guelph, Ontario
August 11, 2010