Amounts in SEK M unless otherwise specified. Amounts within parentheses refer to preceding year.
AB Volvo is Parent Company of the Volvo Group and its operations comprise the Group’s head office with staff together with some corporate functions.
Income from investments in Group companies includes dividends amounting to 8,145 (10,275) and Group contributions and transfer price adjustments, net of 5,126 (neg: 16,859). Dividends were received from Volvo Holding Sverige AB, 5,200, Volvo Construction Equipment NV, 1,801 and from Volvo Korea Holding AB, 1,000.
The carrying value of shares and participations in Group companies amounted to 59,429 (57,062), of which 58,903 (56,536) pertained to shares in wholly owned subsidiaries. The corresponding shareholders’ equity in the subsidiaries (including equity in untaxed reserves but excluding minority interests) amounted to 90,261 (91,944).
In 2010 shareholders' contributions were made to Volvo Group Japan Corporation, 3,493, consisting of preference shares in UD Trucks Corporation, and to Kommersiella Fordon Europa AB, 1,801.
Other shares and participations include the direct and indirect ownership in Volvo Eicher Commercial Vehicles (VECV) for total amount of 1,845. In the consolidated accounts of the Volvo Group, VECV is reported as a joint venture and consolidated according to the proportional method. The indirect ownership is an effect of the acquisition of 8.1% of Eicher Motors Limited, which is the other venturer of VECV. These shares are not separately valued as they form a part of the indirect ownership in VECV.
Shares and participations in non-Group companies included 170 (206) in associated companies that are reported in accordance with the equity method in the consolidated accounts. The portion of shareholders’ equity in associated companies accruing to AB Volvo totaled 322 (300). Shares and participations in non-Group companies include listed shares in Deutz AG with a carrying value of 458, corresponding to the quoted market price at year-end. In 2010 revaluation of the ownership has increased the value by 172, recognized in equity and included in Other comprehensive income in the income statement.
Financial net debt amounted to 30,376 (18,922).
AB Volvo’s risk capital (shareholders’ equity plus untaxed reserves) amounted to 41,857 corresponding to 54% of total assets. The comparable figure at year-end 2009 was 45%.