Accounting policy

The share capital of the Parent Company is divided into two series of shares, A and B. Both series carry the same rights, except that each Series A share carries the right to one vote and each Series B share carries the right to one tenth of a vote. The shares quota value is SEK 1.20.

Cash dividend decided by the Annual General Meeting 2012 was SEK 3.00 (2.50) per share or total of SEK 6,082.3 million (5,068.6).

During 2012 AB Volvo transferred, free of consideration, 250,922 treasury B-shares, with a total quota value of 301,106.40 SEK, to participants of Volvo Group’s long-term, share-based incentive program for Group and senior executives in the Volvo Group, as accelerated allotment. The transferred treasury shares represent an insignificant portion of the share capital of AB Volvo.

Unrestricted equity in the Parent Company as of December 31, 2012 amounted to SEK 31,346 million (32,268). 

  Dec 31, Dec 31,
Information regarding number of shares 2012 2011
Own Series A shares 20,728,135 20,728,135
Own Series B shares 80,013,209 80,264,131
Total own shares 100,741,344 100,992,266
     
Own shares in % of total registered shares 4.73 4.74
     
Outstanding Series A shares 525,816,240 642,766,887
Outstanding Series B shares 1,501,862,636 1,384,661,067
Total outstanding shares 2,027,678,876 2,027,427,954
     
Total registered Series A shares 546,544,375 663,495,022
Total registered Series B shares 1,581,875,845 1,464,925,198
Total registered shares 2,128,420,220 2,128,420,220
     
Average number of outstanding shares 2,027,521,257 2,027,427,172
 

Earnings per share
The long-term share-based incentive programs decided by the Annual General Meeting 2011 create a dilution effect. 

No other transactions have occurred that affected, or will have an effect on, the compilation of the reported number of shares.

Information regarding shares (other) 2012 2011
Number of shares, December 31, in millions 2,028 2,027
Average number of shares before dilution in millions 2,028 2,027
Average number of shares after dilution in millions 2,030 2,028
Average share price, SEK 88.44 94.84
     
Net income attributable to Parent Company shareholders 11,039 17,751
Basic earnings per share, SEK 5.44 8.76
Diluted earnings per share, SEK 5.44 8.75
Change in other reserves  Hedge reserve Available-for-sale reserve Total
Balance as of January 1, 2012 (57) 67 10
Change in fair value of commodity contracts 4 - 4
Other changes 4 - 4
Reclassification of shares in Deutz1) - (35) (35)
Fair value adjustments regarding holdings in Japanese companies - 32 32
Fair value adjustments regarding other holdings - (1) (1)
Balance as of December 31, 2012 (49) 63 14

1) In 2012 an additional 18% of the shares in Deutz AG was acquired and thereby the company is recognized as an associated company.

The Volvo Group's acumulative amount of exchange difference deferred to equity relating to assets held for sale amount to SEK 0 million (33).

Read more about investments in associated companies in Note 5.