Volvo 2009 Annual Report Download - page 24

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BOARD OF DIRECTORS’ REPORT 2009
Significant events
The first quarter
The Volvo Group secured
SEK 30 billion in funding
During the rst quarter, the Volvo Group com-
pleted a number of important funding trans-
actions. In February, a 5-year EUR 700 M bond
was issued, followed by a 3-year SEK 4.2
billion bond in March. Also in March, the Group
received a 7-year loan from the European
Investment Bank equivalent to EUR 400 M.
Furthermore during the rst quarter the Group
raised additional medium- and long-term funds
equivalent to approximately SEK 6 billion.
Furthermore, in early April a new 2-year
revolving credit facility of EUR 775 M, backed
by a large number of banks, was signed.
New generation of diesel engines
The Volvo Group introduced a new generation
of diesel engines for trucks and buses with
extremely low emissions of air pollutants. The
engines meet the new Euro V regulations that
came into effect in the EU in October 2009.
Several of the new engines are also available
in variants tailored for the EEV norm (Enhanced
Environmentally friendly Vehicle).
The new generation of engines is the Volvo
Group’s most fuel-efcient and cleanest ever
to be launched in Europe. A number of techni-
cal improvements with focus on optimized
combustion and a new SCR catalytic converter
have made it possible to combine increased
power with decreased emissions and approxi-
mately 3% lower fuel consumption.
The year 2009 was characterized by continued weak demand in the Group’s main
markets. At the same time, the Volvo Group introduced new products that comply with
the latest emissions regulations and took a big step forward in the commercialization
of vehicles equipped with the Group’s hybrid technology.
The second quarter
Annual General Meeting
The Annual General Meeting of AB Volvo held
on April 1, 2009, approved the Board’s
proposal to pay an ordinary dividend to the
shareholders of SEK 2.00 per share.
Peter Bijur, Leif Johansson, Finn Johnsson,
Louis Schweitzer, Ravi Venkatesan, Lars
Westerberg and Ying Yeh were re-elected
members of the Board of AB Volvo and Jean-
Baptiste Duzan and Anders Nyrén were newly
elected members. Finn Johnsson was elected
Chairman of the Board. Tom Hedelius and
Philippe Klein did not stand for re-election.
The Chairman of the Board, Finn Johnsson,
Carl-Olof By, representing AB Industrivärden,
Lars Förberg, representing Violet Partners LP,
Lars Öhrstedt, representing AFA Försäkring,
and Thierry Moulonguet, representing Renault
s.a.s., were elected members of the Election
Committee. The meeting resolved that no fee
should be paid to the members of the Election
Committee.
Q1
20