Autoliv Strengthens its Position in Romania

    STOCKHOLM, Sweden--June 19, 2001--Autoliv Inc. , the worldwide leader in automotive safety systems, has made Autoliv Romania S.A. a wholly-owned subsidiary by acquiring the remaining 10% from the local partner Metaloplast.
    The change is related to Autoliv's intensified transfer of labor-intensive production to low wage countries.
    "Over the last few years we have moved approximately 1000 jobs to East Europe, North Africa and Mexico. Last year we sped up that process to include over 2,000 jobs, equivalent to 10% of our global headcount," explained Autoliv's President and Chief Executive Officer Lars Westerberg. "But before transferring technologies and moving product lines we want to have at least 51% in the receiving company," Mr. Westerberg added.
    Currently, Autoliv Romania acts as a subcontractor to Autoliv's operations in Germany. In addition, the company has sales to the leading Romanian car producer Dacia (in which Renault holds 90% of the shares and the remaining shares are listed in Romania).
    Since the start in 1997, Autoliv Romania has expanded its business to slightly more than 100 employees.
    Car production in Romania is expected to increase this year from 46,000 to 70,000 vehicles.