Olof Persson appointed new Volvo CEO
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, 2011 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.
Pat Olney new CEO of Volvo CE
Effective May 1, Patrick Olney, 42, has been appointed new President and CEO of Volvo Construction Equipment. Pat Olney has an extensive experience spanning 17 years in the Construction Equipment industry, with 10 of these in senior management roles within Volvo CE. He will take up his new position on May 1, 2011.
Annual General Meeting of AB Volvo
The Annual General Meeting of AB Volvo held on April 6, 2011 approved the Board of Directors’ motion that a dividend of SEK 2.50 per share be paid to the company’s shareholders. Read more
Volvo CE invests in its North American operations
Over the next couple of years, Volvo Construction Equipment plans to invest USD 100 M in its Shippensburg, PA, USA manufacturing facility and start production of wheel loaders, excavators and articulated haulers in North America. Also, Volvo CE’s North American sales headquarters and Volvo Rents will relocate from Asheville, NC to Shippensburg, PA by September 2012.
UD Trucks launches new Condor
In July, UD Trucks launched its new Condor medium-duty trucks, which have undergone a full model change. The new models adopt a new cab design that conveys the impression of a unified family identity with the Quon heavy-duty truck series. They also feature various advanced technologies accumulated on the company’s heavy-duty trucks to deliver outstanding fuel economy, improved environmental and aerodynamic performance and safety. The new Condor models are powered by engines fitted with a newly developed common rail system that increases the maximum fuel injection pressure for achieving high levels of power and torque in a small displacement volume.
New financial targets for AB Volvo
In September it was announced that the Board of Directors of AB Volvo had decided to implement new financial targets for the Volvo Group starting in 2012. The new targets have been set in order to enable the growth and profitability of the various operations to be measured and benchmarked annually against relevant competitors.
Read more at Report on third quarter
Volvo Group restructures its truck business and launches new organization
In October it was announced that the Volvo Group is to have a new organization which better utilizes the global potential of the brands and products within the truck operations. For example, the sales and marketing of all of the truck companies will be organized in three regional organizational units, directly under the CEO. In the same manner, all product development and production of trucks and engines will be placed in two new central organizational units under the CEO. Production, product planning and product development for the non-truck business areas will remain with their respective business area. The new organization will be in place as of January 1, 2012.
Press release, Oct 4
Volvo Group’s 2011 Capital Market Day
At Volvo’s Capital Market Day in Stockholm on November 8, 2011 President and CEO Olof Persson informed about the Group’s new financial targets that were announced on September 22, 2011, and the new organization that applies from 2012. He also emphasized the major growth potential he sees in the existing businesses which, combined with higher cost efficiency, over time gives the Group the potential to increase its operating margin by at least 3 percentage points, thus facilitating achievement of the new financial targets.
Press release September 22
AB Volvo evaluates the possibility of divesting Volvo Aero
On November 21, 2011 it was announced that AB Volvo, as a step in further streamlining the Volvo Group towards commercial vehicles, had initiated a process aimed at divesting Volvo Aero.
Press release Nov 21
Carl-Henric Svanberg proposed as new Chairman of AB Volvo
On December 12, 2011 the Election Committee of AB Volvo proposed the election of Carl-Henric Svanberg as new Chairman of the Board at the Annual General Meeting on April 4, 2012. AB Volvo’s current Chairman Louis Schweitzer has declined reelection. The Election Committee also proposed the reelection of Board members Peter Bijur, Jean-Baptiste Duzan, Hanne de Mora, Anders Nyrén, Ravi Venkatesan, Lars Westerberg, Ying Yeh and Olof Persson.
Press release December 12, 2011