Lear Corporation the leading supplier of automotive interior systems and components announced here today of its completion of the transfer of substantially all of the assets of its North American Interior business to International Automotive Components Group North America, Inc. (IAC North America).

It has also been avowed, that a wholly owned subsidiary of Lear dispensed $27 million in cash for a 25% equity interest in the parent of IAC North America and warrants for an additional 7% of the current outstanding common equity. According to the terms of the agreement, Lear's partners, WL Ross & Co. LLC (WL Ross) and Franklin Mutual Advisers, LLC (Mutual Series), all contributed an aggregate of $81 million in cash for the remaining equity, and extended a $50 million term loan to IAC North America.

Lear Corporation as frontrunner of international suppliers of automotive interior systems and components provide complete seating systems, electronic products and electrical distribution systems. From its inception in 1917 in Detroit as American Metal Products and a manufacturer of tubular, welded and stamped assemblies for the automotive and aircraft industries has come a long way and with annual net sales of $17.1 billion it ranks #127 among the Fortune 500 in 2006. since 1994 when Lear went public Lear has grown to meet the changing needs of the industry with 18 major acquisitions since 1994, when Lear went public.

Speaking to the newsmen Mr. Bob Rossiter, the Chairman and Chief Executive Officer of the Lear Corporation said, “We are pleased to have completed the North American Interior business joint venture," said Bob Rossiter, Lear Chairman and Chief Executive Officer. Our focus going forward is to concentrate on delivering superior quality and service to our customers and to invest in further strengthening our core automotive Seating, Electronics and Electrical Distribution businesses”.

It has also come to the knowledge, that Lear has already transferred to IAC North America all of its Interior business in the U.S., Canada and Mexico, consisting of 26 manufacturing facilities largely. It also includes interests in two joint ventures in China, related to the production of instrument panels and cockpit systems, headliners and overhead systems, door panels and interior trim for various original equipment manufacturers.