The dominant seat belt supplier

Published: 19 October 1999 y., Tuesday
Autoliv Inc. (NYSE: ALV - news) and (SSE: ALIV), the worldwide leader in automotive safety systems, has reached a definitive agreement with the Estonian Norma Group AS to acquire 49.5% of the shares in Norma AS -- the dominant seat belt supplier to the Russian vehicle industry. The agreement also gives Autoliv the right to acquire another 1.5% of the Norma shares.The Estonian seat belt manufacturer Norma has been one of Autoliv_s Licensees and is currently a component supplier to Autoliv.``With its long-standing relationships with the Russian car industry, Norma offers a unique opportunity to expand our seat belt business in Eastern Europe and as the industry_s technology leader we can contribute by offering Norma_s customers new safety technologies Norma is lacking,' explained Autoliv_s President and Chief Executive Officer Lars Westerberg.``Norma will also provide yet another possibility for us to move production to low labor-cost countries. The transaction therefore provides several advantages and, together with Norma_s management, we will explore how we can further develop Norma by, for instance, transfer production and technologies to Estonia,' said Mr. Westerberg. In 1998, Norma had annual sales of EEK 483 million (approx. US$30 million) and slightly more than 1,000 employees. The company_s shares will remain listed on the Tallinn Stock Exchange. Automobile production in Russia is this year expected to reach one million light vehicles.Autoliv Inc. develops and manufactures automotive safety systems for all major automotive manufacturers in the world. The company has 60 wholly-owned subsidiaries and joint ventures with more than 22,000 employees in 28 vehicle-producing countries. In addition, the company has eight technical centers around the world, including 19 test tracks, more than any other automotive safety supplier. Sales in 1998 amounted to close to US $3.5 billion and net income US $188 million. The company_s shares are listed on the New York Stock Exchange (NYSE: ALV - news), its Swedish Depositary Receipts on the Stockholm Stock Exchange (SSE: ALIV) and its stock options on the Chicago Board Options Exchange (CBOE:
Šaltinis: Autoliv Inc.
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