AB Volvo Reaches Settlements with DOJ and SEC Regarding Oil-for-Food Activities.STOCKHOLM, Sweden -- Regulatory News AB Volvo (Nasdaq:VOLV) (STO:VOLVA) (STO:VOLVB) today entered into a consent agreement with the U.S. Securities and Exchange Commission (SEC) and a deferred prosecution agreement with the U.S. Department of Justice (DOJ (Department Of Justice) The legal arm of the U.S. government that represents the public interest of the United States. It is headed by the Attorney General. ) resolving issues related to the activities of two of its subsidiaries in Iraq under the Oil-for-Food Program. The settlements include USD USD In currencies, this is the abbreviation for the U.S. Dollar. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 19.6 million in fines, disgorgement Disgorgement A repayment of ill-gotten gains that is imposed on wrongdoers by the courts. Funds that were received through illegal or unethical business transactions are disgorged, or paid back, with interest to those affected by the action. of past profits on the contracts under the Oil-for-Food Program and interest. The effect of the financial settlements on the operating income for the first quarter is approximately USD 10 million. The agreements with the DOJ and SEC also provide for improved internal compliance programs that AB Volvo and its subsidiaries will implement. "The incident is, of course, regrettable, but we do note with some satisfaction that the authorities spoke favourably of the cooperation by Volvo as well as Volvo's own investigation and measures", says Volvo CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. Leif Johansson. "It is important that we all now learn from what occurred." Visit http://www.thenewsmarket.com/volvogroup to access broadcast-standard video from Volvo Group. You can preview and request video, and choose to receive as a MPEG (Moving Pictures Experts Group) An ISO/ITU standard for compressing digital video. Pronounced "em-peg," it is the universal standard for digital terrestrial, cable and satellite TV, DVDs and digital video recorders (DVRs). 2 file or by Beta SP tape. Registration and video is free to the media. The Volvo Group is 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. The Volvo Group, which employs about 100,000 people, has production facilities in 19 countries and sells their products in more than 180 markets. Annual sales of the Volvo Group amount to about SEK SEK In currencies, this is the abbreviation for the Swedish Krona. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 285 billion. The Volvo Group is a publicly-held company headquartered in Goteborg, Sweden. Volvo shares are listed on OMX OMX Office Max (stock symbol) Nordic Exchange Stockholm. AB Volvo (publ) may be required to disclose the information provided herein pursuant to the Securities Markets Act. The information was submitted for publication at 4.30 p.m. March 20, 2008. This information was brought to you by Cision http://newsroom.cision.com |
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