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Scania achieves strong growth in eastern Europe

"As business has developed to date, it looks as though we will achieve total sales of 2,000 heavy trucks in eastern Europe this year."

This statement came from Urban Erdtman, Scania's Senior Vice President for Sales and Marketing Europe, at a press conference held to mark the inauguration of Scania's new import office in Ljubljana, Slovenia on Thursday.

"Slovenia and the other countries of the former Yugoslavia are growth markets in which we predict that the demand for trucks may double within the next five years," added Nr. Erdtman.

Scania's aim is to achieve the same position in these European growth markets as in the rest of the Europe.

To date, the company's strong markets in eastern European include Poland, where Scania achieved a market share of 20% by the end of the first quarter of this year and doubled its sales by mid-year. Other strong markets in the region are Russia and the countries of the former Soviet Union to the south-east.

In Bosnia, Scania recently concluded a general agreement to supply a total of 300 trucks to the Cetra haulage company, including an initial order for 40 vehicles.

Scania is one of the world's leading manufacturers of trucks and buses for heavy transport applications, and of industrial and marine engines. With 22,200 employees and production facilities in Europe and Latin America, Scania is one of the most profitable companies in its sector. In 1996, turnover totalled SEK 33,700 million and profits after depreciation SEK 2,700 million. Scania products are marketed in about 100 countries worldwide and approximately 95% of total production is sold outside Sweden.