Lars Corneliusson appointed President and CEO of Ferronordic Machines LLC

The Board of Ferronordic Machines has appointed Lars Corneliusson as the new President and CEO of Ferronordic Machines LLC, the Authorized Dealer of Volvo Construction Equipment throughout Russia.

Lars Corneliusson succeeds the founder of the company, Erik Eberhardson, who will focus on the company's business development including investments into its wholly-owned dealer network, key customer- and investor relations. Mr. Eberhardson has also been appointed Executive Vice Chairman of the board of directors.

Lars Corneliusson served as the President of Volvo Trucks Russia throughout 1999-2011. During the same period he was also the Managing Director of Volvo Vostok, the company incorporating the businesses of the Volvo Group in Russia. He joined Ferronordic as a Managing Partner, co-owner and board member in March 2011.

«We are very proud that one of our industry's most successful executives has agreed to lead the company's development in one of the world's fastest growing markets for machinery and commercial vehicles» says Per-Olof Eriksson, Chairman of the Board of Directors of Ferronordic Machines AB.

«We are impressed by the company's achievements in a very short period of time. We believe these appointments will further strengthen the company's development» says Mikael Brantberg, Managing Director at Noonday Asset Management, the largest shareholder in Ferronordic Machines AB

Moscow, 18 April 2012

For further information please contact:

Anders Blomqvist
Chief Financial Officer
Ferronordic Machines AB
Tel: +46 70 7766 485

Ferronordic Machines is the Authorized Dealer of Volvo Construction Equipment in Russia. The Company began its operations in June 2010 and has since then shown strong growth:

• 2011 revenue of EUR 268m vs. EUR 74m in 2010
• 55 own outlets vs. 6 in June 2010
• 560 employees vs. 162 in June 2010

Ferronordic Machines has expanded all across Russia through its 55 outlets and is today well established in all seven federal districts. In addition to distributing and providing aftermarket support to Volvo CE machines, the Company has also been appointed Aftermarket Dealer for Volvo Trucks in Archangelsk in North-western Russia and in Eastern Moscow Region, as well as Dealer for Volvo Penta in Archangelsk and the Ural Region. The company has also signed up some other high quality brands such as LogSet, Logmax and several attachment manufacturers. The company intends to become a leading sales- and service company in the CIS markets.