Volvo posts heavy loss in 2009

• Source: Xinhua
• [08:42 February 08 2010]
• Comments

Swedish truck maker Volvo said last Friday that it posted a net loss of 14.7 billion kronor ($1.98 billion) last year, compared with a net profit of 10 billion kronor ($1.3 billion) for 2008.

Net sales fell 28 percent to 218.4 billion kronor ($29.4 billion) from 304.6 billion kronor ($41.06 billion) in 2008, the company said in a report.

"In the fourth quarter demand remained generally weak in our principal markets, though we can see signs of recovery in an increasing number of markets," Volvo chief executive Leif Johansson said in a statement.

"Although sales are significantly lower than a year ago, it is becoming increasingly clear that the state of the global economy is improving. In China and India in particular demand strengthened continuously during the year," he said.

Volvo Group, which does not include the Volvo Cars brand, makes trucks, buses, engines, construction equipment and aircraft equipment. It had 98,200 employees worldwide at the end of December, compared with 101,300 at year-end of 2008.