Press releases 2010

Volvo Aero Services is proud to announce the addition of David Bridges to the VAS team as Vice President of Sales & Marketing on August 2, 2010.

Net sales during the second quarter increased by 5% to SEK 2,132 M, compared to SEK 2,034 M the same period a year ago. Adjusted for currency fluctuations, sales increased by 10%.

Volvo Aero has signed an agreement to sell its US subsidiary Volvo Aero Services. The sale is expected to have a negative impact of approximately SEK 200 M on the Volvo Group’s operating income during the second quarter. At the same time, the transaction is expected to have a positive effect of about SEK 400 M on the Group’s net financial debt in the third quarter.

A general agreement between Lufthansa Technik AG and Volvo Aero Corporation regarding cooperation in the field of engine parts repair was signed in Trollhättan, Sweden, on June 22.

For Volvo Aero, sales during the first quarter decreased by 6% to SEK 1,910 M, compared to SEK 2,030 M the same period a year ago, mainly due to currency effects. Adjusted for currency fluctuations, sales increased by 5%.

Volvo Aero has reached an important milestone in its Space product area. A new rocket engine nozzle for large launch vehicles has been hot fire tested with very successful results. This crowns 15 years of focused technology efforts.

Sales during the fourth quarter decreased by 18% to SEK 1,978 M (2,398), mainly due to currency effects and lower sales within a number of engine programs. The important production and sales of new spare parts decreased during the quarter with -26%.