Press releases 2005

On April 12, 2005, the Annual General Meeting of AB Volvo decided among other matters to reduce the share capital by SEK 95,021,046 through cancellation without repayment of 3,084,619 Series A shares and 12,752,222 Series B shares that were repurchased by AB Volvo. This matter has now been accomplished.

First prize in the Volvo Adventure 2005 was awarded to Ladysmith Enviro Club from South Africa which carried out a project entitled “Electrical Efficiency from Our Town”.

For the first time, Volvo Logistics has been awarded a contract for the supply and maintenance of a complete packaging system for a GM factory. The factory, which is located in Luton, England, manufactures the Vauxhall Vivaro van.

Volvo Penta's Inboard Performance System (IPS), a revolutionary new drive system for boats, has been presented the 2005 Volvo Technology Award. The award is worth a total of SEK 200,000 and goes to the group of Volvo Penta and Volvo Powertrain engineers responsible for developing the IPS drive system. The IPS innovation is the largest breakthrough for the company since the Aquamatic stern-drive system was launched in 1959.

Volvo Aero Services and Republic Financial Corporation have announced the purchase of a 737-300 airplane and spare engine from BTM Capital Corporation.

Portsmouth (England) - Monday, March 21, 2005 - The Volvo Ocean Race is braced for the glare of Hollywood with the ground-breaking announcement today that there will be a Pirates of the Caribbean II entry in the 2005-2006 round the world race. The Walt Disney Company and Volvo (Volvo Car Corporation and AB Volvo) have entered into a unique film marketing deal for Pirates of the Caribbean II and the agreement will include the creation of a competitive entry in the 31,250 nm adventure - the world's premier ocean race.

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Volvo Penta has secured an order from South Korea for more than 300 industrial diesel engines. The order is valued at approximately SEK 100 M.

Further to the decision taken by AB Volvo's Board of Directors on June 17, 2004, regarding repurchase of own shares, AB Volvo has, during February 28-March 4, acquired a total of 665,000 series B shares and 10,000 series A shares.