Financial Report January - March 2007

Sales: $1,699 million
Operating Margin: 7.4%
Earnings per Share: $0.91

(Stockholm, April 26, 2007) – – – For the quarter ended March 31, 2007, Autoliv Inc. (NYSE: ALV and SSE: ALIV) – the world¬wide leader in automotive safety systems – reported a sales increase of 8% to $1,699 million compared to the same quarter last year despite an almost 2% decline in light vehicle production.

However, primarily due to higher direct costs, operating income declined by 10% to $126 million and the operating margin to 7.4%. Excluding a one-time charge of $4 million, operating margin was 7.6% and in line with prior guidance.
Income before taxes declined by 15% or $20 million to $113 million and net income by 23% or $21 million to $73 million, partially as an effect of higher interest expense due to an acquisition and share repurchases. Earnings per share declined by 19% to $0.91.
Sales for the second quarter 2007 are expected to increase by approximately 6% despite an anticipated 9% drop in West European light vehicle production. Operat¬ing margin is expected to remain on approximately the same level as in the first quarter of this year.

An earnings conference call will be held today at 3:00 p.m. (CET). To listen in, call (in Europe) +44-207-947-5033 and (in the U.S.) +1-866-432-7186 or access www.autoliv.com under “News/Calendar”.