Press releases 2003

Jim Wynne, inventor of Volvo Penta's aquamatic drive, is the most influential person in the motor boat industry, according to a ranking in the highly regarded British boat magazine Motor Boat & Yachting.

Volvo Construction Equipment, Volvo CE, has today announced the purchase of the assets associated with the Volvo distribution business of L.B. Smith, Inc., its largest dealer in the United States and distributor for a majority of the East Coast.

The Coast Guard in Canada is replacing its patrol boats for fisheries inspection to a new and faster model. The Geliget *patrol boat, recently placed in service, is the second in a series of five boats. It is a 14.6-meter aluminum boat equipped with twin Volvo Penta D12 engines each producing 650 hp and connected to UltraJet water-jet drive units.

A film describing Volvo Trucks safety programmes has won first prize in the Golden Clapperboad competition, which is held annually to consider and honour the year's best publicity film productions .

Production of the new skid steer loader from Volvo Construction Equipment has now begun at the company's facilities in Asheville, North Carolina. Initial deliveries began in May to selected Volvo Construction Equipment dealers and Volvo Rents centers in North America.

The Board of AB Volvo has decided to again renew the personnel stock options program established in 2000, and renewed in 2001 and 2002, and through which senior executives in the Volvo Group are allotted options on B shares in AB Volvo. Precisely as previously, the program is earnings oriented.

As announced previously, the Board of Directors of AB Volvo has decided to again renew the personnel stock options program established in 2000 and through which senior executives in the Volvo Group are allotted options on B shares in AB Volvo. Allotment has now been made with regard to the 2002 program.

The Intermat show in Paris is where Volvo will pull the wraps off its latest articulated hauler, the A25D 4x4.

Volvo IT is developing a solution for schools and is giving Martinsson, an IT company, responsibility for marketing and deliveries. This solution is known as the IT portal and is based on Volvo's requirements relating to IT security and control of IT costs.

The truck operations improved considerably. Volvo Trucks' sales and earnings in Europe were strong and Renault Trucks continued to increase profitability. In North America Trucks reduced losses and Financial Services returned to profitability in the first quarter. Volvo CE increased sales and earnings despite continued weak market for construction equipment in Europe and North America. The travel and tourist industry remained under severe pressure, which was further intensified by preparations for war in Iraq during the first quarter. The weak demand for travels continued to hold back sales for both Volvo Buses and Volvo Aero, says Leif Johansson, CEO.