Volvo Ab Class A · OMXSTO:VOLV_A

Volvo Ab Class A — AB Volvo — Merger or Acquisition (February 2007)

11 slides from Volvo Ab Class A's merger presentation, Feb 20, 2007

  1. Slide 1: Volvo Group - Tokyo

    1 Volvo Group Tokyo Washington DC February 20, 2007 January 12, 2007 Jorma Halonen EVP and Deputy CEO, Volvo Group Leif Johansson President and CEO AB Volvo JH 2007-02-20

  2. Slide 2: Public offer to acquire 100% of Nissan Diesel

    2 Volvo Group Public offer to acquire 100% of Nissan Diesel • Bid price 540 JPY/share • Value of public offer about JPY 135 bn • Bid period 21 February – March 23 • No lower acceptance threshold for withdrawal AB Volvo JH 2007-02-20

  3. Slide 3: Nissan Diesel will benefit from Volvo Group support while maintaining its Japanese base

    3 Volvo Group Nissan Diesel will benefit from Volvo Group support while still maintaining its Japanese base and heritage • Nissan Diesel will be integrated in the same way as all business areas - group-wide support functions will be introduced - gradually, key components will be integrated into comm

  4. Slide 4: Nissan Diesel as an important part of the Volvo Group

    4 Volvo Group Nissan Diesel as an important part of the Volvo Group Synergies with existing truck & bus activities, supporting business units and captive finance company Business areas Volvo Trucks Renault Trucks Mack Trucks Volvo Buses Volvo CE Volvo Penta Volvo Aero Financial Services Business uni

  5. Slide 5: Summary of the Synergies

    5 Volvo Group Summary of the Synergies • Total synergies estimated to EURO 200 M annually, fully implemented on a five years horizon. • Short and medium term synergies ( 2-3 years) are expected mainly for Purchasing, Distribution & Sales and partly for R & D. • More long term synergies (~5 years) ar

  6. Slide 6: Nissan Diesel will be part of one of the world's largest manufacturers of heavy duty trucks

    6 Volvo Group Nissan Diesel will be part of one of the world’s largest manufacturers of heavy duty trucks 1,000 units Global market 2005 DCX 245 DCX • Mercedes 109 174 17 Volvo Group • Freightliner 94 Volvo/Nissan Diesel • Fuso 14 • Volvo 102 Paccar 125 PACCAR • Renault 36 • DAF/Foden 44 • Mack 36 •

  7. Slide 7: Doubled size in medium-duty trucks

    7 Volvo Group Doubled size in medium-duty trucks Global market 2005 1,000 units DCX 125 GM/Isuzu 90 Telco 69 Navistar 68 DongFeng 66 FAW 62 Ford 49 Hino/Toyota 49 Volvo/ Nissan Diesel 19 19 Iveco 21 Ashok 16 0 20 40 60 80 100 120 140 AB Volvo JH 2007-02-20

  8. Slide 8: Combined scale to successfully meet future emission legislations globally

    8 Volvo Group Combined scale to successfully meet future emission legislations globally Emission legislation Heavy-duty engines, 2005 VOLVO 182 PM (Particulate Matter) [g/kWh] Euro 2, 1996 DCX 179 0.14 0.12 US 02, 2002 CAT 158 Euro 3, 2002 0.10 Cummins 120 0.08 Weichai 114 0.06 Scania 65 0.04 57 MAN

  9. Slide 9: Integration process to deliver synergies

    9 Volvo Group Integration process to deliver synergies Stand alone mode Merger mode Growth mode “Create synergies” “New architecture and shared technologies. Develop unique brand versions” Shared Shared architecture architecture and and technologies technologies AB Volvo JH 2007-02-20

  10. Slide 10: Acquisition rationale

    10 Volvo Group Acquisition rationale • Financial strength offered by Volvo • Doubled volume in medium duty trucks • Good complementarities between Nissan Diesel and Volvo in terms of geographical coverage and the two companies would get access to each others sales channels • Timing is important to m

  11. Slide 11: Leif Johansson, President and CEO, Volvo Group

    11 Volvo Group Leif Johansson President and CEO, Volvo Group AB Volvo JH 2007-02-20

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