Volvo 1998 Annual Report Download - page 87

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Holdings of shares and participations are specified on page 88-90. Changes in holdings of shares and participations
are shown below.
Group companies Non-Group companies
1997 1998 1997 1998
Balance December 31, previous year 46,893 39,868 7,025 1,051
Acquisitions 1,014 3,131 152 1,049
Divestments (613) (1,101) (6,114) –
Shareholder contribution 818 4,203 — 76
Write-downs (8,244) (908) (12) (45)
Balance December 31, current year 39,868 45,193 1,051 2,131
Volvo Truck North America Inc was acquired from Volvo
Truck Corporation for 568 and Volvo Information Techno-
logy North America Inc was acquired from Volvo Informa-
tion Technology AB for 5. The companies were then con-
veyed to VNA Holding Inc as a shareholder contribution
and increased the book value in that company.
Shareholder contributions were made to Volvo Group
Finance Sweden AB with 1,550. December 31, 1998
the holding was written down with 854. Volvo Group
Finance Europe BV was acquired for 1,003 from Volvo
Group Finance Sweden AB. Mexicana de Autobuses SA
de CV was acquired for 764.
As part of the restructuring of the market companies
in Great Britain, six companies were acquired internally in
the Group for a total of 763, including Volvo Car Finance
UK Ltd, Volvo Car UK Ltd and Volvo Penta UK Ltd.
Certain restructuring was also carried out in Denmark,
whereby Volvo Holding Danmark A/S was acquired for 1
and a shareholders’ contribution of 46 was paid to incre-
ase the book value. Volvo Personvogne Danmark A/S
was acquired for 20, after which shares with a net worth
of 86 were transferred to Volvo Holding Danmark A/S
as a shareholder contribution.
Additional shares in Group companies were acquired
for 7. Danafjord AB, with a book value of 508, was sold
to Sotrof AB.
Shareholder contributions, which increased book values
were also made to Volvo Bus Corporation, 1,650, Volvo
Aero AB, 172, Volvo International Holding BV, 70, Volvo
Holding Italia SpA, 45, Volvo Business Services AB, 10
and to Sykria AB, 1.
The holding in Volvo Information Technology AB was
written down with 54.
1997: The shares in Volvo Personvagnar Holding AB
were written down by 8,026 in connection with dividends
received. Fortos Ventures AB was purchased from Volvo
Personvagnar Holding AB for 550. The shares were writ-
ten down by 210 in connection with dividends received.
VAC North America Inc was acquired from Volvo Aero
AB for 316 and Volvo Group Treasury North America Inc
was acquired from Volvo Group Finance Sweden AB for
148. The acquired companies were then conveyed,
together with Volvo Group North America Inc, 34, to
VNA Holding Inc as a shareholder contribution and
increased the book value in that company.
Volvo Transport AB was sold to Volvo Transport
Holding AB for 88.
A shareholder contribution of 25 was made to the
newly formed company Volvo Teknisk Utveckling AB, fol-
lowing which the shares of the company were sold to Volvo
Technology Transfer AB, also a newly formed company.
Shareholder contributions that increased book values
were made to Volvo Technology Transfer AB, 74, Celero
Support AB, 24, and Volvo Aero AB, 196. The holding in
Volvo Technology Transfer AB was written down by 8 at
year-end.
1996: All of the shares of Swedish Match AB were
acquired from AB Fortos for 8,000, following which the
shares were distributed to AB Volvo’s shareholders.
Volvo Car Corporation was sold for 6,546 to AB Fortos,
whose name was then changed to Volvo Personvagnar
Holding AB. Sotrof AB, whose holdings among other
included the remaining shares of Pharmacia & Upjohn
Inc, was acquired within the Group for 9,854.
AB Volvo purchased 80% of the shares of Volvo
Construction Equipment North America Inc from Volvo
Construction Equipment NV for 1,054, following which
the holding was conveyed to VNA Holding Inc, a newly
formed holding company for part of the operations in
North America, as a shareholder contribution. A share
reserve of 500 was transferred from the holding in Volvo
Truck Corporation to VNA Holding Inc The book value of
VNA Holding amounted thereafter to 556.
The value of the holding of shares in Volvo Truck
Corporation acquired from Renault SA in 1994 declined
by 67 in connection with payment of the remaining por-
tion of the purchase price.
Volvo Bus Corporation was purchased from Volvo
Truck Corporation for 154 and the holding was written
down by 35.
Shareholder contributions that increased book values
were made with 360.
Shares and participations in non-Group companies
Shares from Henlys Group Plc were aqcuired for 376
and from Deutz AG for 670. Participations in Blue Chip
Jet HB were subscribed from Pharmacia & Upjohn for 3
and infusion of capital, which increased the book value,
were given with 76. The participations were written down
by 45, which corresponds to the result share of the year.
The shares in Stockholm Stock Exchange were sold.
1997: Bilia AB shares with a book value of 3 were
sold in connection with exercise of call options.
Shares of Renault SA carried on the books at 6,080
were sold.
Participations in the newly formed partnership, Blue
Chip Jet HB, were subscribed for 138 (of which 58 by
an aircraft) and written down by 7.
The holding in Euroventures BV was reduced by 4 in
connection with the reduction of the company’s share
capital. Within the Group shares were sold with a total
book value of 32.
Investments in shares and participations Note 11