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The magnets are there in the proper places to keep it closed and to trigger the sleep function. I just tested around the cover for the PW2 and there is a magnet under that little lip in the center on both the front and back of the cover, those are the magnets that keep it closed. Then there's another magnet on the cover in the lower right corner (looking at when it's closed), and that one activates the sleep function. The magnets are within the cover so you don't see any metal parts sticking out. You don't see any metal for the other covers for the sleep function, yet it always works.
I'll have mine by Monday and I can confirm it for you then if you like, but I'm certain the case will work the same way. It's not much protection if the cover won't stay closed.
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