Volvo denies speculation regarding Executive Vice President Jorma Halonen

Against the background of speculation published in Göteborgs-Posten today regarding the Volvo Group’s Executive Vice President Jorma Halonen, Volvo AB has decided to issue the following denial.
According to Göteborgs-Posten, Jorma Halonen is “on his way out in the cold.” “Nothing could be more incorrect – he is hotter than ever, and what was published is in fact completely ridiculous and outrageous,” says Volvo CEO Leif Johansson, adding that “I would like to take this opportunity to dismiss what is entirely groundless conjecture.”

Leif Johansson continues: “Jorma is the Group’s Deputy CEO. He is responsible for the Group’s international expansion, which is an extremely important and central role within Volvo’s highest management level.”

The background to the article are the changes within Group management that were announced by Volvo on Friday, October 21, 2005. These changes are related to Karl-Erling Trogen’s retirement as of December 1. In the press release, it was noted that in conjunction with the management changes, responsibility for HR issues would be transferred from Jorma Halonen to Stefan Johnsson.

“This change plus the fact that Jorma was not present at yesterday’s press conference in Stockholm in conjunction with the publication of our nine-month report were taken by Göteborgs-Posten as an indication that Jorma was ‘on his way out in the cold’,” says Leif Johansson.

“We can simply conclude that there is no substance for such speculation and that it is totally false. Jorma is handing over HR issues so that he will have more time for his international assignments.

With regard to yesterday’s press conference, it is in fact the case that the Executive Vice President never participates in our press conferences in conjunction with interim reports. Jorma’s predecessor Lennart Jeansson never participated in these press conferences, and neither has Jorma since he left his position as President of Volvo Trucks to become Executive Vice President,” concludes Leif Johansson.