Alfa Laval’s Capital Markets Day – early summary

Alfa Laval’s Capital Markets Day, held today in Copenhagen, Denmark, started off with a business update which included a reiteration of the outlook for the fourth quarter by Lars Renström, President and CEO of the Alfa Laval Group. “We expect demand during the fourth quarter to be on about the same level as during the third quarter 2009”.

Lars Renström also talked about the company’s four key focus areas in the downturn and his view on the position of Alfa Laval after the downturn. The main areas include cost and capacity adjustments as well as continued investments in the aftermarket and in new products. “It’s of key importance to invest in new products and to launch them in an effective way to achieve profitable growth”, said Lars Renström. Acquisitions, presented by Alex Syed, vice President Corporate Development, is another focus area in the downturn. “We have acquired companies with annual sales of about SEK 2.5 billion since 2007. Our target is to continue to add some 3-4% of annual sales growth through acquisitions”. Under the headline: “After the downturn” Lars Renström described both Alfa Laval’s current position and the factors that will drive the company’s future growth. Alfa Laval is no. 1 in all three technologies, has an excellent global presence, adds some 3-4% of acquired growth per year and continues to focus on three vital areas; energy, environment and food. Against this background Lars Renström mentioned the future growth drivers. “Mid and long term we believe that structural changes will continue to drive demand for the company’s products and solutions. There will be a growing need for energy, new and more stringent environmental requirements, an increase in living standards in developing countries and continued globalization”. Thomas Thuresson, Executive Vice President and CFO, started off his presentation by commenting on the cost and capacity adjustments. “The savings in personnel will be sustainable at the current level of activity”. He also said that capital expenditure in 2010 will be lower than the SEK 500-550 million expected for 2009. Guiding for sales in 2010 he pointed out that the order backlog as of Sept. 30th was SEK 1.4 billion lower than last year. Regarding taxes Thomas Thuresson said, “You can expect a tax rate of 30 percent going forward, down from the previously guided level of 32 percent”. Lars Renström’s and Thomas Thuresson’s presentations can be found on www.alfalaval.com – “Investors”. About Alfa Laval Alfa Laval is a leading global provider of specialized products and engineering solutions based on its key technologies of heat transfer, separation and fluid handling. The company’s equipment, systems and services are dedicated to assisting customers in optimizing the performance of their processes. The solutions help them to heat, cool, separate and transport products in industries that produce food and beverages, chemicals and petrochemicals, pharmaceuticals, starch, sugar and ethanol. Alfa Laval’s products are also used in power plants, aboard ships, in the mechanical engineering industry, in the mining industry and for wastewater treatment, as well as for comfort climate and refrigeration applications. Alfa Laval’s worldwide organization works closely with customers in nearly 100 countries to help them stay ahead in the global arena. Alfa Laval is listed on the Nordic Exchange, Nordic Large Cap, and, in 2008, posted annual sales of about SEK 28 billion (approx. 2.9 billion Euros). The company has some 12 000 employees. www.alfalaval.com For more information please contact: Peter Torstensson Senior Vice President, Communications Alfa Laval Tel: + 46 46 36 72 31 Mobile: +46 709 33 72 31 Gabriella Grotte Investor Relations Manager Alfa Laval Tel: +46 46 36 74 82 Mobile: +46 709 78 74 82