AB Volvo and Navistar discontinue negotiations

AB VOLVO AND NAVISTAR DISCONTINUE NEGOTIATIONS In May 2001, AB Volvo's business unit Powertrain signed a Letter of Intent regarding the supply of 12 litre engines to International Truck and Engine Corporation, a wholly-owned subsidiary of Navistar International Corporation. As it has not been possible to fulfil the conditions outlined in the Letter of Intent, the parties have decided to cease negotiations. Volvo Powertrain is one of the world's largest manufacturers of heavy- duty engines, with an annual production of over 125,000 heavy-duty engines. December 21, 2001 For further information, please contact Mårten Wikforss, Director of media relations, AB Volvo +46 31 66 11 27, +46 705 59 11 49 ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2001/12/21/20011220BIT01670/bit0002.doc http://www.waymaker.net/bitonline/2001/12/21/20011220BIT01670/bit0002.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.