Volvo Group –nine months ended September 30, 2008

· Net sales increased by 2% to SEK 69.6 billion (68.4) in the third
quarter
· In the third quarter, operating income declined by 37% to SEK 3,177 M
(5,010)
· In the third quarter, basic and diluted earnings per share declined
by 36% to SEK 0.98 (1.54)
· Operating cash flow in Industrial operations was negative in amount
of SEK 6.1 billion (neg. 0.4)
· Significant impact from increased costs for raw materials and
components
· Increased research and development efforts ahead of new emission
regulations and for hybrid projects
· Slowdown in demand and restructuring costs

Volvo Group
Third quarter First nine months

2008 2007 2008 2007 Change, %

Net sales
Volvo Group,
SEK M 69,604 68,367 226,713 200,849 13

Operating
income Volvo
Group, SEK M 3,177 5,010 16,850 16,457 2

Operating
income
Industrial
operations,
SEK M 2,786 4,555 15,691 15,186 3

Operating
income
Customer
Finance,SEK M 391 454 1,159 1,270 (9)

Operating
margin Volvo
Group, % 4.6 7.3 7.4 8.2

Income after
financial
items, SEK M 2,898 4,571 16,520 15,948 4

Income for
the period,
SEK M 2,000 3,149 11,364 10,935 4

Diluted
earnings per
share, SEK 0.98 1.54 5.58 5.37

Return on
shareholders'
equity,
rolling 12
months, % 18.9 17.3