Who we are and what we do Name Date Every day we are making forestry, gardening and construction easier for people in more than 100 countries. Are you one of them? More than 320 years of innovation 1959 2006 Chainsaws 1689 Weapons foundry Listed on NASDAQ OMX Stockholm 1918 1978 2010 Lawn mowers Part of Electrolux New production facility in Mielec, Poland years Husqvarna today The world´s largest producer of outdoor power products for forestry, gardening, construction and the European leader in watering. Husqvarna today Operating income SEK bn 3 Construction 5% 2,5 Americas 11% 2 1,5 Europe & Asia/Pacific 84% 1 0,5 0 Sales Financial data • Sales SEK 32 billion • Operating income SEK 2.7 billion Americas 40% • 15,000 employees • Listed on NASDAQ OMX Stockholm Data refers to full year 2010, excluding items affecting comparability. 8% Construction 52% Europe & Asia/ Pacific Our primary strengths Strong brands Efficient global distribution network Broad product offering Flexible supply chain Our strong brand portfolio Core Brands Tactical Brands Regional Brands Leading market positions Chainsaws Other petrol-powered, handheld products Garden tractors Lawn mowers Diamond tools for construction and stone industries Watering – consumer market 1 Global no.1 Global no.1-2 Global no.2 Global no.1 European no. 1 Global no. 9 Our global presence Major production facilities Sales offices or distributors Distribution network Retailers Dealers End-users Homeowners / Landowners / Professional forest & tree care / Professional landscape & ground care / Construction industry Innovation is our heritage and future 40% of capital expenditures in 2010 referred to new products. R&D centers in US, Sweden, Germany, Japan and China. Primary development for exploring new technologies. Innovative technologies X-TORQ® technology Battery-powered tiller AutoTune™ technology Automatic watering solutions Automower ® Solar Hybrid Wire saw Our core values Professionalism For “best in class” performance Customers first In our actions Core values Teamwork With open minds Always with passion and a sense of urgency Ownership structure* USA Great Britain, 3% 8% Others 8% Sweden 81% *Source: SIS Ägarservice as of 30 Sep 2011. Share of capital % Share of votes % 16.8 30.0 LE Lundbergföretagen AB 6.6 20.6 Alecta Mutual Pension Insurance 9.6 7.2 Swedbank Robur fonder 6.2 2.0 Nordea fonder 4.3 1.9 Largest shareholders Investor AB Organization President and CEO (acting) Hans Linnarson Finance & IT Ulf Liljedahl Legal Affairs Olle Wallén Purchasing Martin Austermann Human Resources Per Ericson Communication & IR Boel Sundvall Product Development Manufacturing & Logistics Anders Ströby (acting) Sascha Menges (acting) Sales & Service Europe & Asia/Pacific Sales & Service Americas Construction Hans Linnarson Michael Jones Anders Ströby More about us - www.husqvarna.com President and CEO (acting) Hans Linnarson Finance & IT Ulf Liljedahl Legal Affairs Olle Wallén Purchasing Martin Austermann Human Resources Per Ericson Communication & IR Boel Sundvall Product Development Manufacturing & Logistics Anders Ströby (acting) Sascha Menges (acting) Sales & Service Europe & Asia/Pacific Sales & Service Americas Construction Hans Linnarson Michael Jones Anders Ströby Right PEOPLE in right jobs make great RESULTS President and CEO (acting) Hans Linnarson Finance & IT Ulf Liljedahl Our Code of Conduct Legal Affairs Olle Wallén Purchasing Martin Austermann Human Resources Per Ericson Communication & IR Boel Sundvall Product Development Manufacturing & Logistics Anders Ströby (acting) Sascha Menges (acting) Sales & Service Europe & Asia/Pacific Sales & Service Americas Construction Hans Linnarson Michael Jones Anders Ströby By applying the Code in your daily work, you are helping to ensure that our business is conducted in a responsible and sustainable way. President and CEO (acting) Hans Linnarson Finance & IT Ulf Liljedahl Our Code of Conduct Legal Affairs Olle Wallén Purchasing Martin Austermann Human Resources Per Ericson Communication & IR Boel Sundvall Product Development Manufacturing & Logistics Anders Ströby (acting) Sascha Menges (acting) Sales & Service Europe & Asia/Pacific Sales & Service Americas Construction Hans Linnarson Michael Jones Anders Ströby Husqvarna believes in fair treatment of people and honest business relations based on our Code of Conduct. President and CEO (acting) Hans Linnarson Finance & IT Ulf Liljedahl Opportunities for individual growth Legal Affairs Olle Wallén Purchasing Martin Austermann Human Resources Per Ericson Communication & IR Boel Sundvall Product Development Manufacturing & Logistics Anders Ströby (acting) Sascha Menges (acting) Sales & Service Europe & Asia/Pacific Sales & Service Americas Construction Hans Linnarson Michael Jones Anders Ströby We promote our employees and help them to develop. Talent management ensures that the right person with the right talent is in the right position. We encourage mobility between functions, business units, countries and regions. President and CEO (acting) Hans Linnarson Finance & IT Ulf Liljedahl Europe & Asia/Pacific • Sales & service, Demand chain, Trade marketing and Product care. • Global responsibility for Brands. Legal Affairs Olle Wallén Purchasing Martin Austermann Human Resources Per Ericson Communication & IR Boel Sundvall Product Development Manufacturing & Logistics Anders Ströby (acting) Sascha Menges (acting) Sales & Service Europe & Asia/Pacific Sales & Service Americas Construction Hans Linnarson Michael Jones Anders Ströby Share of Group Sales, 2010 Operating income*, 2010 • Approximately 30% market share in the region. • Approximately 60% of sales are under the Husqvarna and Gardena brands. 52% 84% • Distribution network • Dealers • Retail chains such as Bauhaus, bauMax, Homebase, castorama, Kesko, OBI etc. Brands * Including items affecting comparability and group common cost. President and CEO (acting) Hans Linnarson Finance & IT Ulf Liljedahl Americas • Sales & service, Demand chain, Trade marketing and Product care. • Manufacturing Americas. • Leading market positions, especially for chainsaws. • Distribution network Legal Affairs Olle Wallén Purchasing Martin Austermann Human Resources Per Ericson Communication & IR Boel Sundvall Product Development Manufacturing & Logistics Anders Ströby (acting) Sascha Menges (acting) Sales & Service Europe & Asia/Pacific Sales & Service Americas Construction Hans Linnarson Michael Jones Anders Ströby Share of Group Sales, 2010 Operating income*, 2010 11% 40% • Dealers • Sears, Lowe’s, Walmart and Home Depot. * Including items affecting comparability and group common cost. Brands President and CEO (acting) Hans Linnarson Finance & IT Ulf Liljedahl Construction • Sales & service, Trade marketing, Demand & supply, R&D and Manufacturing. • Global leading market position with approximately 13% market share. Legal Affairs Olle Wallén Purchasing Martin Austermann Human Resources Per Ericson Communication & IR Boel Sundvall Product Development Manufacturing & Logistics Anders Ströby (acting) Sascha Menges (acting) Sales & Service Europe & Asia/Pacific Sales & Service Americas Construction Hans Linnarson Michael Jones Anders Ströby Share of Group Sales, 2010 Operating income*, 2010 8% • Equipment and diamond tools for construction and stone industries. 5% • Distribution network • Direct sales to construction contractors, construction retailers, rental companies and specialized dealers. * Including items affecting comparability and group common cost. Brands 49% President and CEO (acting) Hans Linnarson Finance & IT Ulf Liljedahl Product Development • Global function for • • • • Global categories Design R&D Quality • A rapid pace of high quality, customerdriven product renewal with a high level of innovation and increased focus on battery-powered products. • Reduce time-to-market. • In order to make product development more effective, development resources are gathered in a few R&D centers in key locations. Legal Affairs Olle Wallén Purchasing Martin Austermann Human Resources Per Ericson Communication & IR Boel Sundvall Products 5% 11% 38% 14% 32% R&D centers Product Development Manufacturing & Logistics Anders Ströby (acting) Sascha Menges (acting) Sales & Service Europe & Asia/Pacific Sales & Service Americas Construction Hans Linnarson Michael Jones Anders Ströby President and CEO (acting) Hans Linnarson Finance & IT Ulf Liljedahl Manufacturing & Logistics • Global function for • • • • • D & SC, Distribution Manufacturing (Europe, Asia) Manufacturing Engineering Lean Program (HOS) Environment • Industry specific challenges • Delivery accuracy, efficient and flexible manufacturing in a seasonal environment with short lead times. • A global platform for lean manufacturing and continuous improvement is one of the key priorities (Husqvarna Operating System, HOS). Legal Affairs Olle Wallén Purchasing Martin Austermann Human Resources Per Ericson Communication & IR Boel Sundvall Product Development Manufacturing & Logistics Anders Ströby (acting) Sascha Menges (acting) Sales & Service Europe & Asia/Pacific Sales & Service Americas Construction Hans Linnarson Michael Jones Anders Ströby Production value by geographical area, 2010 North America Europe 35% 54% 11% Rest of the world Major production facilities