Interim report January – March 2009

Magnus Yngen, President and CEO:
“Market conditions were generally weaker than in the first quarter of 2008. Retailers were more cautious about building up inventories for the garden season.
Group sales declined by 9%, adjusted for changes in exchange rates and acquisitions, and as compared
to a strong quarter in 2008. Apart from lower sales and production volumes, operating income was negatively affected by a less favorable product mix, particularly for Consumer Products outside North America and for Construction. Material costs were higher than in 2008, mainly for Consumer Products in North America.
On the positive side, pricing remained stable in both Europe and North America. Sales for Consumer Products in North America increased for the second consecutive quarter and we strengthened our market position. Operating cash flow improved substantially, mainly on the basis of measures taken to reduce working capital. The Group’s financial position was also strengthened by the rights issue.”

• Net sales rose by 11% to SEK 11,152m (10,043). Adjusted for acquisitions and changes in exchange rates, net sales declined by 9%.

• Operating income decreased by 35% to SEK 786m (1,202), corresponding to a margin of 7,0% (12.0). Income for the period was SEK 464m (753), corresponding to SEK 0.98 (1.65) per share.

• The decline in operating income refers mainly to Consumer Products outside North America and Construction products within Professional Products.

• Operating cash flow improved to SEK 714m (-3,169), mainly as a result of lower working capital including the sale of trade receivables.

• The Group’s rights issue was fully subscribed and increased Group equity by approximately SEK 3 billion.


TELEPHONE CONFERENCE
A combined presentation and telephone conference will be held at 14.00 CET on 8 May 2009 at Scandic Anglais, Humlegårdsgatan 23, Stockholm . In order to participate in the telephone conference, please call +46 8 5052 0114 or +44 207 1620 177. A replay of the telephone conference will be available at www.husqvarna.com/ir

CONTACTS
Åsa Stenqvist, Head of Corporate Communications and Investor Relations,
at +46 8 738 64 94
Bernt Ingman, Chief Financial Officer,
at +46 36 14 65 05
Husqvarna Press Hotline,
at +46 8 738 70 80