On March 5, 2009, Magna Entertainment Corp., and certain of its affiliates (collectively, the "Debtors") filed voluntary petitions (the "Magna Cases") for relief under chapter 11 of title 11 of the United States Code (the "Bankruptcy Code"). Additionally, on June 16, 2009, MEC Pennsylvania Racing Services, Inc filed a voluntary petition for relief under the Bankruptcy Code and on September 14, 2009, MEC Lone Star, LP also filed a voluntary petition for relief under the Bankruptcy Code. These cases are jointly administered together with the Magna Cases.

The questions and answers that follow provide general information concerning the Magna Cases, the Official Committee of Unsecured Creditors of Magna Entertainment Corp., et al. (the "Committee"), and various topics related to the Magna Cases and the Committee.

What is the Committee?

Pursuant to the Bankruptcy Code, the United States Trustee is authorized to appoint a committee of creditors holding unsecured claims as soon as practicable after the filing of a case. Generally, a creditors' committee is a group of general unsecured creditors (typically seven) appointed to represent, in a fiduciary capacity, the interests of all general unsecured creditors. In such role, creditors' committees act to protect and promote the interests of general unsecured creditors by, among other things, monitoring a debtor's business operations, investigating its business and financial affairs, and negotiating the terms of a plan of reorganization (a "Plan"). The overarching goal of a creditors' committee is to maximize value for general unsecured creditors.

In accordance with this authority, on March 18, 2009, the United States Trustee appointed the Committee.

What is the Committee's role in the Magna Cases?

Pursuant to the Bankruptcy Code, the Committee may: (1) consult with the trustee or debtor in possession concerning the administration of the Magna Cases; (2) investigate the acts, conduct, assets, liabilities, and financial condition of the Debtors, the operation of the Debtors' businesses and the desirability of the continuance of such businesses, and any other matter relevant to the Magna Cases or to the formulation of a Plan; (3) participate in the formulation of a Plan, advise those represented by the Committee of the Committee's determinations as to any Plan formulated, and collect and file with the court acceptances or rejections of a Plan; (4) request the appointment of a trustee or examiner under section 1104 of the Bankruptcy Code; and (5) perform such other services as are in the interests of the unsecured creditors.

Who represents the Committee?

The Committee retained Kramer Levin Naftalis & Frankel LLP and Pachulski Stang Ziehl & Jones LLP to act as its counsel.

Which Magna entities are in bankruptcy?

The lead Debtor is Magna Entertainment Corp., Case No. 09-10720 (MFW).
Click here to view Debtors and case numbers.

Who is the United States Trustee?

The United States Trustee for the Magna Cases is William K. Harrington. The Trial Attorney assigned to the Magna Cases is Mark S. Kenney.

What role does the United States Trustee Play?

The United States Trustee Program is a component of the Department of Justice responsible for overseeing the administration of bankruptcy cases. For further details on the United States Trustee's role, please visit: www.usdoj.gov/ust/r03/index.htm.

Does the Committee represent individual creditors?

No. The Committee represents the interests of all unsecured creditors through oversight of and negotiations with the Debtors. Neither the Committee nor its counsel represent individual creditors that may have claims in the Magna Cases.

Do I need to file a proof of claim?

You should consult your own counsel in deciding to file a claim in the Magna Cases. To view the orders fixing deadlines to file proofs of claim, please click on the links on the home page.

Have the Debtors filed any Chapter 11 plan(s) or disclosure statement(s)?

On April 20, 2010, the Modified Third Amended Joint Plan of Affiliated Debtors, the Official Committee of Unsecured Creditors, MI Developments Inc., and MI Developments US Financing Inc. was filed, superseding all previously filed plans. On March 26, 2010, an Order was entered Approving the Disclosure Statement, Approving Notice of the Disclosure Statement Hearing, Fixing a Record Date, Approving Solicitation Packages and Procedures for Distribution Thereof, Approving Forms of Ballots and Procedures for Tabulation of Votes on Plan of Reorganization and Scheduling a Hearing and Approving Notice and Objection Procedures in Respect of Confirmation of Plan of Reorganization. To view these documents and all previously filed plans and disclosure statements, please click on the Plan of Reorganization and Disclosure Statement link on the left side of the page.

How long will the Magna Cases last?

There is no specific time estimate for the Magna Cases.

How do I get responses to specific questions?

Please call 1- 866-277-8178 or email your questions to: magnaentertainmentcommittee@gardencitygroup.com

Who is the judge presiding over the Magna Cases?

The Magna Cases are assigned to the Honorable Mary F. Walrath, United States Bankruptcy Judge for the District of Delaware.

For additional frequently asked questions regarding the Debtors, please visit the Magna website: www.magnaent.com.