Volvo Group financial position

Net financial debt, excluding provisions for post-employment benefits, in the Industrial Operations amounted to SEK 26.7 billion at June 30, 2013, an increase of SEK 1.3 billion compared to the end of the first quarter, and equal to 40.5% of shareholders’ equity. Including provision for post-employment benefits, the Industrial Operations net debt amounted to SEK 41.5 billion, which is equal to 62.8% of shareholders’ equity. The increase in net financial debt is mainly an effect of dividend paid offset by positive operating cash flow of SEK 4.1 billion and remeasurement of defined benefit plans of SEK 2.6 billion.

The Volvo Group’s liquid funds, i.e. cash and cash equivalents and marketable securities combined, amounted to SEK 28.6 billion at June 30, 2013. In addition to this, granted but unutilized credit facilities amounted to SEK 29.6 billion.

During the second quarter, currency movements increased the Volvo Group’s total assets by SEK 4.5 billion related to revaluation of assets in foreign subsidiaries.

The equity ratio in the Volvo Group amounted to 21.5% on June 30, 2013 compared to 22.7% at year-end 2012 after restatement for the amendment to IAS 19 Employee benefits (For more information about the restatement please refer to note 31 in the 2012 annual report). On the same date, the equity ratio in the Industrial Operations amounted to 25.4% (27.0).

At June 30, 2013 shareholder’s equity in the Volvo Group amounted to SEK 74.8 billion.

Number of employees

On June 30, 2013 the Volvo Group had 95,956 regular employees and 16,355 temporary employees and consultants, compared with 96,137 regular employees and 13,452 temporary employees and consultants at year-end 2012.