Press releases 1999

Volvo Aero has increased its ownership interest in the American AGES Group from 57.2 percent to 86.4 percent. The purchase price was

Volvo and Scania's principal owner, Investor, have broken off discussions pertaining to an acquisition of Investor's shareholding in Scania since the conditions for reaching an agreement do not exist at the present time.

Volvo Trucks' deliveries in January 1999 recorded a total of 5,738 units, a decrease of 1 per cent compared with the same period last year. Sales showed the following distribution:

Volvo has decided to convene an Extraordinary General Meeting in AB Volvo on March 8, 1999, with regard to the proposed sale of Volvo Cars to Ford Motor Company. The Extraordinary General Meeting begins at 2:00 p.m., in Liseberghallen, Göteborg, Sweden.

Volvo Trucks has today informed the Regional Employment Boards of Västerbotten and Västra Götaland counties that the company has served notice to a total of 650 employees. The cutbacks are the result of improved rationalization and increased co-ordination of new products in combination with expectations that demand will drop somewhat in the coming year.

As from today, The Volvo Car Corporation, in confirmation of the previously announced intention, has raised their ownership of the NedCar company to 50 percent for the sum of 110 million guilders.

At a meeting on February 9, 1999 in Gothenburg between representatives from the city of Moscow and Volvo Truck Corporation, an agreement was made to start assembly of Volvo trucks in Moscow during the spring 1999. After approval by local and federal authorities in Russia, there are plans for further expansion of the assembly operation later this year.

Volvo and Columbia University in New York have decided to enter into cooperation in the environmental field. The cooperative venture includes establishment of a joint environmental studies program for the university students.

Turordningsförhandlingarna mellan företaget och de fackliga organisationerna om minskningen av antalet tjänstemän inom Volvo Personvagnar AB i Göteborg, som aviserades i december, är nu klara. I den organisationsöversyn som genomförts har totalt 458 befattningar tagits bort. I turordningsförhandlingarna har ett antal medarbetare kunnat omplaceras till befintliga vakanser, kunnat ersätta konsulter eller man har funnit andra alternativa lösningar.