My 1995 5 Series saloon (E34 525i manual) has the optional fold-down rear seats but I can't get them to fold. The handbook says that when you lift up the seat bases it releases levers beneath them, which in turn should release the seat backs. At the top of each seat back is a red plastic tag that should pop up when the seat back is released. I can lift the seat bases easily enough, but the red tags fail to pop up and the seat backs refuse to budge.
Any ideas?