Autoliv Reduces Dividend, Elects New Director and Announces shareholder AGM

Autoliv Reduces Dividend, Elects New Director and Announces shareholder AGM

(Stockholm, December 16, 2008) - - - The Board of Directors of Autoliv Inc.
(NYSE: ALV and SSE: ALIVsdb) - the worldwide leader in automotive safety systems
- today announced a decrease in its quarterly dividend to shareholders due to
the financial turmoil and market uncertainty. The dividend per share will be 21
cents in the first quarter of 2009. The Board also elected Dr.-Ing. Wolfgang
Ziebart as a new member on the Board. 

Assuming continued timely customer payments, Autoliv expects to continue to
generate a positive operational cash flow even after capital expenditures during
the fourth quarter. However, there are substantial uncertainties about certain
customers' payment prospects and vehicle production levels through 2009. In this
uncertain environment, the Board of Directors has concluded that it is prudent
to preserve a strong cash position. 

The Board of Directors therefore declared a quarterly dividend per share of 21
cents for first quarter of 2009, a decrease from 41 cents for the previous
quarter. The dividend will be payable on Thursday, March 5, 2009, to Autoliv
stockholders of record on the close of business on Thursday February 5, 2009.
The Ex-date when the shares will trade without the right to the dividend will be
February 3.

New Board Member

Mr. Per Welin today informed the Board that he will retire and not seek or
accept re-election at the 2009 Annual General Meeting of Shareholders. The Board
of Directors elected Dr. Wolfgang Ziebart to the Board effective December 16,
2008, temporarily expanding the Board to thirteen members. Dr. Ziebart's initial
term expires at the 2009 Annual General Meeting and he will be nominated for
re-election at the 2009 Annual General Meeting.  
Dr. Ziebart has held several top executive positions primarily in the automotive
industry. He first made a distinguished career within the BMW Group starting in
1977 and taking him all the way to the Board of Management BMW AG, where he was
responsible for R&D and Purchasing. During his tenure with BMW, he was head of
Electrics and Electronics, Vice President Body Design and Electronics and Vice
President Small Car Lines. In 2000, he joined Continental AG to become Member of
the Management Board and, in 2001, Deputy Chairman of Continental AG. Between
2004 and 2008, he was President and CEO of Infineon Technologies AG, a global
semiconductor and systems solutions provider based in Germany with €7.7 billion
in sales and 43,000 employees. Between 1973 and 1976 Wolfgang Ziebart was a
Research Fellow at the Institute of Mechanics in Munich. He has a Doctorate in
Mechanical Engineering from the Technical University of Munich, Germany.   

Shareholder AGM
The Board of Directors has set May 6, 2009, as the date for the Annual General
Meeting of Shareholders to be held in Chicago, IL, USA. 
Only holders of record at the close of business on March 9, 2009 will be
entitled to be present and vote at the Meeting. Notice of the General Meeting
will be mailed to the holders of record shortly after the record date.

Inquiries: 
Jan Carlson, President and CEO, 			Tel. 	+46-8-587 20 600
Mats Ödman, Vice President Corprate. Communications, 	Tel. 	+46-8-587 20 623 or 
					+46-708-320 933


Safe Harbour Statement
This press release contains statements that are not historical facts but rather
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. Such forward-looking statements are those that
address activities, events or developments that the Company or its management
believes or anticipates may occur in the future, including statements relating
to industry trends, business opportunities, sales contracts, sales backlog, and
on-going commercial arrangements and discussions, as well as any statements
about future operating performance or financial results. In some cases, you can
identify these statements by forward-looking words such as “estimates,”
“expects,” “anticipates,” “projects,” “plans,” “intends,” “believes,” “might,”
“will,” “should,” or the negative of these terms and other comparable
terminology, although not all forward-looking statements are so identified. 

All such forward-looking statements, including without limitation, management's
examination of historical operating trends and data, are based upon our current
expectations and various assumptions, including data available from third
parties, and apply only as of the date of this release. Our expectations and
beliefs are expressed in good faith and we believe there is a reasonable basis
for them. However, there can be no assurance that such forward-looking
statements will materialize or prove to be correct as these assumptions are
inherently subject to significant uncertainties and contingencies which are
difficult or impossible to predict and are beyond our control. 
Because these forward-looking statements involve risks and uncertainties, the
outcome could differ materially from those set out in the forward-looking
statements for a variety or reasons, including without limitation, changes in
and the successful execution of the action program discussed herein and the
market reaction thereto, changes in general industry and market conditions,
increased competition, higher raw material costs, particularly commodity and
energy costs, changes in consumer preferences for end products, customer losses
and changes in regulatory conditions, customer bankruptcies or consolidations,
divestiture of customer brands, the economic outlook for the Company's markets,
fluctuation of foreign currencies, fluctuation in vehicle production schedules
for which the Company is a supplier, market acceptance of our new products,
continued uncertainty in program awards and performance, the financial results
of companies in which Autoliv has made technology investments, pricing
negotiations with customers, fluctuating fuel and commodity prices and other
costs, supply issues, product liability, warranty and recall claims and other
litigation, possible adverse results of pending or future litigation or
infringement claims, legislative or regulatory changes, political conditions,
dependence on customers and suppliers, as well the risks identified in Item 1A
“Risk Factors” in our Form 10-K for the year ended December 31, 2007. 

Except for the Company's ongoing obligation to disclose information under the
U.S. federal securities laws, the Company undertakes no obligation to update
publicity or revise any forward-looking statements whether as a result of new
information or future events. 
For any forward-looking statements contained in this or any other document, we
claim the protection of the safe harbor for forward-looking statements contained
in the Private Securities Litigation Reform Act of 1995 and we assume no
obligation to update any such statements.