Volvo Construction Equipment awarded contracts for construction equipment for Iraq

Volvo Construction Equipment awarded contracts for construction equipment for Iraq Volvo Construction Equipment has been awarded contracts totaling approximately USD 30 million by the United States government to build and deliver more than 200 units of construction equipment to the Iraqi government to be used in the reconstruction of that country. The contracts, which are to be completed in two years, calls for the delivery to Iraq of 120 Volvo L120E wheel loaders, 28 Volvo EW180B wheeled excavators, 50 Volvo G710B motor graders, and 10 Volvo BL70 backhoe loaders. Manufacture and assembly of the equipment will be at Volvo CE plants in Sweden, Canada, Germany, Poland, and the United States. Delivery of the equipment will begin in November 2004 with an initial order of 60 wheel loaders, 3 wheeled excavators, 22 motor graders, and 2 backhoe loaders. The construction equipment will be shipped to the Iraq cities of Baghdad and Basrah and is owned by and under the control of Iraqi ministries. In making the announcement of the contract award, James Peesker, Director of Governmental Sales for Volvo Construction Equipment North America, said "The primary reasons for the selection of Volvo products included its building of equipment to high performance specifications and standards, equipment with the capabilities of operating efficiently in extremely tough physical working conditions. And we are also able to meet very strict and critical delivery time requirements." Volvo CE has been operating in Iraq for several years and has developed a working relationship with local and regional Iraq leaders. The company has been able to move shipments of equipment with local approval and assistance to final destinations within the country. Volvo CE also has equipment support capabilities in place with a proven track record of working in Iraq. Only companies within the World Trade Organization or in the coalition countries engaged in Iraq were eligible to bid for these contracts. Volvo CE faced stiff competition for the contracts from major international equipment manufacturers. October 4, 2004 For further information, please contact: Klas Magnusson Volvo Construction Equipment Hunderenveld 10 1082 Brussels, Belgium Tel: +32 2 482 5065 Fax: +32 2 675 1777 e.mail: klas.magnusson@volvo.com Volvo Construction Equipment is a major international company developing, manufacturing and marketing equipment for construction and related industries. Its products, leaders in many world markets, include a comprehensive range of wheel loaders, hydraulic excavators, articulated haulers, motor graders and compact equipment. Volvo Construction Equipment is part of the Volvo Group, one of the world's leading manufacturers of trucks, buses and construction equipment, drive systems for marine and industrial applications, aerospace components and services. The Group also provides complete solutions for financing and service. ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2004/10/04/20041004BIT22410/wkr0001.pdf

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The Volvo Group is one of the world’s leading manufacturers of trucks, buses, construction equipment and marine and industrial engines. The Group also provides complete solutions for financing and service. The headquarter is located in Gothenburg, Sweden.

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