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Volvo Cars' Sales Sizzle in the Summer

Sales of 12,282 Units in the U.S. Are Led By Record Month for the All-New S40

IRVINE, Calif., Aug. 3 -- Volvo Cars of North America, LLC (VCNA) sales reached 12,282 to record its best July ever in the United States. Sales for the month represents a 5.6 percent increase compared to the same period a year ago -- also a record.

"We are seeing an increase in momentum for our all-new S40," said Vic Doolan, VCNA President and CEO. Introduced just four months ago, the all-new Volvo S40 contributed 2,365 units to the U.S. results, and set a new high sales mark for the segment. "Consumer reaction to our class-leading safety, sports sedan combined with our upcoming product, is encouraging news for the months ahead," Doolan said.

The all-new S40 wagon counterpart, the all-new V50, is now available and the latest versions of the S60, V70 and XC70 model year '05s arrive to showrooms next month.

Overall, sales for NAFTA (United States, Puerto Rico, Canada, and Mexico) were 13,503 units -- up 5.1 percent over July 2003. For the month, Volvo sales in Canada were off slightly 0.6 percent, while sales in Mexico increased 6.8 percent. Year-to-date, Volvo Cars' sales in North America are 2.4 percent above the same period last year.

VCNA, part of the Volvo Car Corporation of Gothenburg, Sweden, provides marketing, sales, parts, service, technology and training support to Volvo automobile retailers in the United States, Canada, Mexico and Puerto Rico.

The Volvo automobile model line includes the newly introduced all-new V50 wagon and its sedan counterpart, the award-winning 2004.5 all-new S40, the award-winning XC90, the sporty S60 sedan -- including the award-winning performance sedan -- S60 R and the performance wagon version -- V70 R, the flagship S80 luxury sedan, versatile V70 wagon and rugged XC70 (Cross Country), the C70 convertible, and the compact S40 and V40 models.

   VOLVO CARS OF NORTH AMERICA, LLC
   Retail Sales by Model
                                   UNITED STATES
                          July *                    Year-to-Date *
                 2004     2003      %       2004       2003        %
   Volvo Model
   S40             4      1,187   -99.7%     4,706     8,504     -44.7%
   All New S40   2,365     n/a      n/a      8,056      n/a       n/a
   V40            131      231    -43.3%     1,377     1,877     -26.6%
   V50            105      n/a      n/a       368       n/a       n/a
   S60           2,580    3,036   -15.0%    18,469    21,621    -14.6%
   V70            802      872     -8.0%     6,673     7,421     -10.1%
   XC70          1,743    1,123    55.2%     9,242     9,864     -6.3%
   C70            377      482    -21.8%     2,656     2,503      6.1%
   S80           1,073     991     8.3%      8,288     8,413     -1.5%
   XC90          3,102    3,711   -16.4%    21,606    19,158     12.8%

   USA TOTAL    12,282   11,633    5.6%     81,441    79,361     2.6%

                                      CANADA
                          July                      Year-to-Date
                 2004     2003      %        2004      2003        %
   Volvo Model
   S40             8       107    -92.5%      274       734      -62.7%
   All New S40    166      n/a      n/a       180       n/a       n/a
   V40             4       61     -93.4%      160       475      -66.3%
   V50            50      n/a      n/a        56        n/a       n/a
   S60            172      245    -29.8%     2,011     1,788     12.5%
   V70            77      104    -26.0%      845       688      22.8%
   XC70           228      176     29.5%     1,157     1,212     -4.5%
   C70            18       11     63.6%       84        43       95.3%
   S80            29       50     -42.0%      324       283      14.5%
   XC90           218      222     -1.8%     1,384     1,373      0.8%

  CANADA TOTAL    970      976     -0.6%     6,475     6,596     -1.8%

                                        MEXICO
                          July                      Year-to-Date
                 2004     2003      %        2004      2003        %
   Volvo Model
   S40             7       92     -92.4%      209       670      -68.8%
   All New S40    117      n/a      n/a       555       n/a       n/a
   V40             1        5     -80.0%       8         12      -33.3%
   V50             0       n/a      n/a        0        n/a       n/a
   S60            48       63     -23.8%      383       429      -10.7%
   V70             0        0       n/a        0         4      -100.0%
   XC70            1        2     -50.0%       9         12      -25.0%
   C70             1        1      0.0%        7         11      -36.4%
   S80            12       20     -40.0%      78        111      -29.7%
   XC90           64       52     23.1%      497       359      38.4%

   MEXICO TOTAL   251      235     6.8%      1,746     1,608      8.6%

   NAFTA TOTAL  13,503   12,844    5.1%     89,662    87,565     2.4%

   *  U.S. totals include Puerto Rico