Atlas Copco comments on the UN’s Oil-for-Food Program report

Stockholm, Sweden, October 28, 2005: The Independent Inquiry Committee released its final report on Program Manipulations within the UN’s Oil-for-food Program yesterday. Atlas Copco is one of some 2 200 companies mentioned in the report.

Atlas Copco Airpower in Belgium has been subject to an investigation by the Committee, both in terms of responding to written questions and a meeting with investigators. The processes for the contract handling under the Program, all formally approved by the UN for payment by Letter of Credit, have been explained in detail. Internal investigations have verified that there were no payments made to the Iraqi Government by Atlas Copco. Atlas Copco has strongly objected to the assumption made by the Committee indicating a responsibility for the activities of the agent in Iraq at the time. Atlas Copco will continue its investigation of this matter and take this opportunity to stress that payments by Atlas Copco of the nature now in question are in direct conflict with the Atlas Copco Group’s written Business Code of Practice, and are never tolerated.