Atlas Copco acquires Swedish tool specialist

Stockholm, Sweden, December 17, 2004: Atlas Copco AB has today signed an agreement to acquire Scanrotor Global AB, Sweden. Scanrotor has annual sales of MEUR 8 (MSEK 71) and employs 33 people. The purchase price was not disclosed. The acquisition is expected to be completed by the beginning of January, 2005.

Scanrotor provides specialized tightening solutions for customers with safety critical assembly applications, primarily in the motor vehicle industry. Its head office is in Sweden. Additional locations are in Belgium, Turkey and Romania. See also www.scanrotor.se. Scanrotor will be part of the Chicago Pneumatic (CP) division, within Atlas Copco’s Industrial Technique business area. The founder, Anders Olevik, will continue as General Manager for the company, which will be named CP Scanrotor after the acquisition. “The acquisition of Scanrotor gives Chicago Pneumatic (CP) division an increased presence in Scandinavia, Central and Eastern Europe, both for electric powered assembly systems and CP’s full line of pneumatic tools,” says Göran Gezelius, Business Area Executive, Industrial Technique. “Scanrotor’s design and engineering capabilities in Nordic and Eastern Europe are a valuable addition to what CP can currently offer its customers in other parts of Europe.” CP is increasing its presence in the industrial and automotive businesses and, earlier this year, formed an equity joint venture in China, CP Qianshao (Qingdao) Power Tools Ltd. For further information please contact: Göran Gezelius, Business Area Executive, Industrial Technique +46 (0)8 743 85 05 or +46(0)70 569 8505 Annika Berglund, Senior Vice President Communications +46 (0)8 743 8070 or +46 (0)70 322 8070