Volvo 2011 Annual Report Download - page 2

TOGETHER WE
MOVE THE WORLD
This report contains ‘forward-looking statements’. Such statements reflect management’s current expectations with respect to certain future events and
potential financial performance. Although the Company believes that the expectations reflected in such forward looking statements are reasonable, no
assurance can be given that such expectations will prove correct. Such statements are subject to risk and uncertainties and such future events and financial
performance could differ materially from those set out in the forward looking statements as a result of, among other factors, (i) changes in economic, market
and competitive conditions, (ii) success of business and operating initiatives, (iii) changes in the regulatory environment and other government actions, (iv)
fluctuations in exchange rates and (v) business risk management.
This report does not imply that the company has undertaken to revise these forward-looking statements, beyond what is required under the company’s
registration contract with OMX Nordic Exchange Stockholm if and when circumstances arise that will lead to changes compared to the date when these
statements were provided.
The Volvo Group’s formal financial reports are presented on pages 46–139 in the printed version and has been audited by the company’s auditors.
Without the products and services of the Volvo Group the societies
where many of us live would not function. Like lifeblood, our trucks,
buses, engines, construction equipment and aircraft components are
involved in many of the functions that most of us rely on every day.
For instance, one in seven meals eaten in Europe reaches the con-
sumers thanks to trucks from the Volvo Group rolling on the roads of the
continent. Buses are the most common type of public transportation in
the world, helping many people to reach work, school, vacations, friends
and family. And if all the Volvo buses in the world were to start at the
same time, they would transport more than 10 million people.
Every year, the population on earth produces billions of tons of gar-
bage. In the US alone, the garbage removed by refuse trucks from the
Volvo Group every week could form a line of full garbage cans that
would reach the moon.
These are just a few examples. In this Annual Report, you can learn
more about the Volvo Group – Together we move the world.
A global group
2 CEO comment
4 Vision, values and wanted position
6 Financial targets
8 Volvo Group new organization
10 Global strength
12 Development by continent – Europe
16 Development by continent – North America
20 Development by continent – South America
24 Development by continent – Asia
28 Overall challenges
30 Challenge – Bus Rapid Transit
34 Challenges – Intelligent Transport Solutions
38 Brands
40 The Volvo Group’s product offering
42 World-class services
44 Industrial structure
Board of Directors’ report
46 Sustainable development
52 The share
54 Significant events
56 Trucks
58 Construction Equipment
60 Buses
62 Volvo Penta
64 Volvo Aero
66 Volvo Financial Services
68 Financial strategy
69 Risks and uncertainties
Financial information
71 Financial information 2011
72 Financial performance
72 Consolidated income statement and
Other comprehensive income
76 Financial position
76 Consolidated balance sheet
78 Consolidated cash-flow statements
80 Changes in consolidated
Shareholders’ equity
81 Notes to the consolidated financial
statements
126 Parent Company AB Volvo
138 Proposed remuneration policy
139 Proposed disposition of unappropriated
earnings
140 Audit Report for AB Volvo
141 Eleven-year summary
Corporate Governance Report
150 Group Management
152 Board of Directors and Auditors
154 Corporate Governance Report
Fold-out Definitions
Annual General Meeting