Interim report July 1 - September 30, 2002

Alfa Laval AB (publ) Interim report July 1 - September 30, 2002 "The third quarter developed in line with our expectations. The profitability increased through higher gross margins and lower overheads." Sigge Haraldsson, President and CEO, Alfa Laval Summary of the third quarter 2002: - Adjusted EBITA increased to MSEK 414 (391). - Adjusted EBITA-margin increased to 11,8 percent (10,2). - Result after financial items increased to MSEK 219 (- 256). - Order intake, excluding divested activities and exchange rate variances, decreased by 4,8 percent to MSEK 3 528. - Net sales, excluding divested activities and exchange rate variances, decreased by 4,6 percent to MSEK 3 504. - Non-recurring costs related to defined benefit pension plans have burdened the result by MSEK 50. - The Danish company DSS (Danish Separation System A/S), specialists within membrane filtration, was acquired. Summary of the first nine months 2002: - Cash flow from operating activities was MSEK 1 344 (1 370). - Adjusted EBITA was MSEK 1 220 (1 242). - Adjusted EBITA-margin increased to 11,7 percent (11,2). - Result after financial items increased to MSEK 26 (- 210). - Order intake, excluding divested activities and exchange rate variances, decreased by 4,3 percent to MSEK 11 173. - Net sales, excluding divested activities and exchange rate variances, decreased by 1,9 percent to MSEK 10 420. - Non-recurring costs related to defined benefit pension plans have burdened the result by MSEK 75. - Comparison distortion costs related to the change in capital structure in connection with the IPO have burdened the result by MSEK 304. - The new issue of shares in connection with the IPO has together with on-going amortisation decreased the financial net debt by MSEK 3 649 since the beginning of the year. Expectations for the rest of the year remain. During the autumn 2001 a decreased demand was noted. For 2002, a decrease of orders received of approximately 4 percent was estimated. Despite the further increased uncertainty in the world economy during the last quarter, the estimate remains. Despite the downturn in orders received, the EBITA-margin is expected to improve for the current year compared to 2001. The improved profitability is achieved through higher gross margins and lower overheads. The operations are thus very well prepared to further increase the profitability when the upturn in the economy comes. MSEK unless 1.7-30.9 1.7-30.9 1.1-30.9 1.1-30.9 2001 2000 otherwise 2002 2001 2002 2001 proforma stated Order intake 3 528 3 982 11 173 12 188 15 894 15 374 Net sales 3 504 3 832 10 420 11 091 15 830 15 012 Adjusted EBITDA 492 485 1 470 1 539 2 138 1 626 1) Adjusted EBITA 414 391 1 220 1 242 1 738 1 160 2) Adjusted 11,8 % 10,2 % 11,7 % 11,2 % 11,0% 7,7% EBITA2)- margin Result after 219 -256 26 -210 42 -296 financial items Return on 18,8 % 13,5 % 18,5% 16,1% capital employed Return on 3,1 % -25,7 % 2,5% -30,8% equity capital Solidity 27,1 % 7,1 % 8,2% 7,0% Debt ratio, 0,95 6,54 5,38 6,42 times No. of 9 212 9 405 9 212 9 405 9 259 10 623 employees (units) 3) 1) Adjusted EBITDA - "Earnings before interests, taxes, depreciation, amortisation of goodwill and step up values and comparison distortion items." 2) Adjusted EBITA - "Earnings before interests, taxes, amortisation of goodwill and step up values and comparison distortion items. Number of employees at the end of the period. Lund, October 31, 2002 Sigge Haraldsson President and CEO Alfa Laval AB (publ) ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2002/10/31/20021030BIT01080/wkr0001.doc The Full Report http://www.waymaker.net/bitonline/2002/10/31/20021030BIT01080/wkr0002.pdf The Full Report

About Us

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, oil and gas exploration, 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 Nasdaq OMX, and, in 2018, posted annual sales of about SEK 40.7 billion (approx. 4.0 billion Euros). The company has about 17 200 employees.

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