Atlas Copco to divest part of Australian rental operation

Atlas Copco to divest part of Australian rental operation

Stockholm, Sweden, August 29, 2007: Atlas Copco has agreed to divest some assets
of Prime Industrial Rentals in Australia to Coates Hire Limited, in order to
focus the operations on specialty rentals for industrial applications.

The assets divested are predominantly generators and air compressors, and four
branches with 52 employees. As part of the transaction, Atlas Copco will acquire
Coates's fleet of oil-free air compressors. 

“This agreement will allow Prime to focus on the future development of specialty
rentals in Australia, where we have seen increasing demand,” says Ronnie Leten,
President of Atlas Copco's business area Compressor Technique. “It will bring
Prime further in its profitable growth strategy to develop applications for
industrial and oil and gas customers, with a special focus on oil-free and
high-pressure air.”

Prime Industrial Rentals will continue to operate as part of Atlas Copco's
division Specialty Rental.

For further information please contact:
Ronnie Leten, Business Area President, Compressor Technique
+32 (0)3 870 2938 or +32 (0)477 222 685
Daniel Frykholm, Media Relations Manager 
+46 (0)8 743 8060 or +46 (0)70 865 8060

Atlas Copco is a world leading provider of industrial productivity solutions.
The products and services range from compressed air and gas equipment,
generators, construction and mining equipment, industrial tools and assembly
systems, to related aftermarket and rental. In close cooperation with customers
and business partners, and with more than 130 years of experience, Atlas Copco
innovates for superior productivity. Headquartered in Stockholm, Sweden, the
Group's global reach spans more than 150 markets. In 2006, Atlas Copco had 25
900 employees and revenues of BSEK 51 (BEUR 5.6). Learn more at
www.atlascopco.com.

Specialty Rental is a division within Atlas Copco's Compressor Technique
business area. It serves customers in the industry segments around the world
with temporary air and power rental solutions. The specialty rental services are
offered under several brands. The divisional headquarters is located in Antwerp,
Belgium.