Volvo Aero Norway signs agreement with Snecma, Safran group concerning continued cooperation on CFM56

Volvo Aero Norway signs agreement with Snecma, Safran group concerning continued
cooperation on CFM56

In conjunction with the international Paris Air Show, Volvo Aero and the French
engine manufacturer Snecma signed an agreement stating that Volvo Aero Norway
will supply components for the new, enhanced engine for the Boeing 737 aircraft,
the CFM56-7BE. As Snecma is Volvo Aero Norway's single largest customer, this
agreement is of great important to Volvo Aero Norway.

The CFM56 engine produced by CFM International, a 50/50 joint company between
Snecma (Safran group) and General Electric Company is a real big seller, the
most sold engine worldwide of all time.  It was also the CFM56 that initially
prompted the cooperation between Snecma and Volvo Aero Norway as early as 1982.

Volvo Aero Norway has participated with parts for test and development of this
enhanced version of the CFM56 engine. Volvo Aero Norway manufactures vanes and
LPT (Low Pressure Turbine) casings.

The parties signed the cooperation agreement on Thursday in conjunction with the
Paris Air Show.

“We are delighted with this agreement, which will reinforce our position as a
long-term partner of Snecma,” says Odd Tore Kurverud, president of Volvo Aero
Norway.

The agreement will secure the future employment of employees at Volvo Aero
Norway in Kongsberg.

2 July, 2009

For more information, please contact Robert Grepperud, Vice President Programs
and Marketing, phone +47 91566335.

Volvo Aero develops and manufactures components for aircraft and rocket engines
with a high technology content in cooperation with the world's leading
producers. Volvo Aero offers an extensive range of services, including sales of
spare parts for aircraft engines and aircraft, sales and leasing of aircraft
engines and aircraft, as well as overhaul and repair of aircraft engines. Volvo
Aero is part of the Volvo Group, one of the world's leading manufacturers of
trucks, buses and construction equipment, drive systems for marine and
industrial applications, aerospace components and services. The Group also
provides complete solutions for financing and service.