MI Development's real estate business will include assets with an aggregate net book value of approximately $1.1 billion as at March 31, 2003. MI Development's income-producing portfolio would include 106 properties (totaling 24 million sf) in 10 countries with a net book value of $978 million. . Virtually all the properties are occupied by Magna and its operating subsidiaries under long-term leases. April 2003 annualized lease payments for the portfolio total approximately $110 million dollars.
Under the proposed plan, Frank Stronach, Magna founder, former president and father of current President/CEO Belinda Stronach, would be chairman of MID. Magna Executive VP William Bigger would be MID's president and CEO.
Shares of Magna International jumped from just under $69 on Monday to $72.55 at close of markets Tuesday on news of the spin-off. At close of trading Thursday, shares had fallen back to $71.15.
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