Scania offensive in Germany:

Scania offensive in Germany: Eight new service facilities this year Scania continues to invest in an expanded sales and service network in Germany. Eight new service premises have been opened in the last eleven months, the most recent two being in Brandenburg Park, outside Berlin, and Duisburg. This means that Scania's current rate of investment is about DEM25 million (approx. SEK110 million) annually. Scania and its dealers have implemented a major part of the German investment programme announced last year. Two strategically located, full-service facilities were opened in October. Located in Brandenburg Park, outside Berlin, the first of these is Scania Deutschland's biggest and most modern service outlet to date. Scania dealer Gerd Breuer GmbH opened its new service premises in Duisburg only a few weeks later on 24 October. Located in the very heart of the 2 traffic-dense Ruhr and covering a total area of 2,500 m , this facility can accommodate up to eight truck-trailer rigs for service at the same time. Bordering nine other countries, Germany is one of Scania's most important markets. No less than 2.3 million trucks pass through the country every year and one in every four trucks over 16 tonnes sold in Europe carries German licence plates. About 450,000 heavy vehicles are presently in service in Germany and sales of new trucks in the plus-16 tonne class are expected to reach 50,000 units this year. In 1998 to date, the total market has grown by almost 19% and Scania has increased its sales by over 30%. This means that Scania, with a market share of 8.6%, has consolidated its position as the country's third largest make and the leading importer of heavy trucks. "We are pursuing the investment programme we announced at the end of 1997 and are concerned mainly with three types of market investment," comments Gunnar Rustad, MD of Scania Deutschland GmbH. "Small dealerships are being combined into larger units, the dealerships are being centred in major strategic logistical locations and we are continuing with our skills development programmes." Eight new or refurbished Scania facilities have been opened in the last year. In addition to Berlin and Duisburg, these are Gera and Dresden (November 1997), Kerpen (December 1997), Osnabrück and Laucha (January 1998), and Hannover (September 1998). These will be followed by premises in Magdeburg and Mayen in the middle of next year. A further new facility in the Frankfurt area is at the planning stage. By the beginning of the new century, Scania and its dealers will have invested a combined total of approximately DEM100 million to meet the future needs of the German market. By the end of 1998, Scania will already have over 200 service facilities in the country. "We will then have the comprehensive service network we need to take care of Scania vehicles in transit traffic, as well as our German customers," concludes Gunnar Rustad. For further information, please contact Ulf Söderström, tel. +46-8-553 810 44, mobile +46-70-680 95 95. Scania is one of the world's leading manufacturers of trucks and buses for heavy transport applications, and of industrial and marine engines. With 23,800 employees and production facilities in Europe and Latin America, Scania is one of the most profitable companies in its sector. In 1997, turnover totalled SEK 39,700 million and income after financial items SEK 2,800 million. Scania products are marketed in about 100 countries worldwide and approximately 95% of total production is sold outside Sweden. Scania press releases are available on the Internet, www.scania. ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/1998/11/05/19981105BIT00220/bit0001.doc http://www.bit.se/bitonline/1998/11/05/19981105BIT00220/bit0002.pdf