Press releases

Today, Wednesday, March 16, AB Volvo is publishing its 2010 Annual Report on www.volvogroup.com.

The Board of Directors of AB Volvo has decided to appoint Olof Persson, 46, currently President of Volvo Construction Equipment, as the new President and Chief Executive Officer of Volvo. Olof Persson will assume the position as President of AB Volvo and CEO of the Volvo Group on September 1 this year when Leif Johansson, as announced previously, retires. As of May 1, Olof Persson will become Executive Vice President and deputy CEO and work parallel with Leif Johansson.

Total deliveries from the Volvo Group’s truck operations in February amounted to 17,862 vehicles. This was an increase of 49% compared with the year-earlier period.

Volvo Construction Equipment plans to spend 100 million USD in its North American operations and bring its regional sales and rental activities to Shippensburg, PA, USA.

On March 7, the Håkan Frisinger Foundation for Transportation Research will be presenting its scholarship for 2010 to Bengt Johansson, Professor at Lund University. The scholarship, worth SEK 250,000, will be awarded to Bengt Johansson for his internationally successful and practically important research concerning combustion engines.

AB Volvo’s Annual General Meeting will take place on Wednesday, April 6, 2011 at 3.00 PM CET at Lisebergshallen in Gothenburg.

Total deliveries from the Volvo Group’s truck operations in January amounted to 15,277 vehicles. This was an increase of 62% compared with the year-earlier period.

During the fourth quarter of 2010, the Volvo Group continued to grow at a good pace with higher sales in all regions, improved profitability and a very strong cash flow. Year-on-year sales were up 23% to SEK 73.4 billion. Operating income improved to SEK 5.5 billion and the operating cash flow from Industrial operations amounted to SEK 15.1 billion. As a result of improved profitability and strong cash flow, net debt in the Industrial operations is now down to 37% of shareholders’ equity, which is in accordance with our objective.

Volvo Buses has secured an order for 463 bus chassis for Curitiba in Brazil and Quito in Ecuador. All of the buses are to be deployed in the efficient transportation solutions known as BRT systems.

In a letter to AB Volvo’s Board of Directors ahead of the Annual General Meeting (AGM) on April 6 this year, AB Volvo’s two largest shareholders – Renault S.A. and Industrivärden – have proposed an addendum to AB Volvo’s articles of association that would permit voluntary conversion of Series A to Series B shares. Any amendment of the articles of association requires the support of shareholders representing at least two thirds of the shares and voting rights at the AGM.