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Scania establishes market company in Croatia

Scania continues to reinforce its presence in southeastern Europe. A wholly-owned subsidiary, Scania Croatia Ltd., with its headquarters in Zagreb, was established recently as importer for the Croatian market.

“Combined with wide-ranging economic reforms, the normalisation of the Croatian economy following the war years is expected to generate significant growth in the nation's GNP. Since the demand for trucks follows the trend in GNP, we expect the present total market of 300 heavy trucks to double within a few years," comments Kjell Örtengren, MD of the new company.

Scania Croatia Ltd. will also act as dealer for the Zagreb region and has taken over the Red Cross workshop premises in the city, as well as responsibility for the service and maintenance of that organisation's 20 or so trucks.

“Our aim is to open two further service workshops in the country within the next few months," says Mr. Örtengren.

The Croatian venture is part of Scania's market investment offensive in the growth markets of eastern and central Europe. Together with Yugoslavia and Slovenia, the country is one of the most important markets in the region.

“The next stage of our strategy will be to establish our own importer in Yugoslavia and to continue with the expansion of our service network in that country," concludes Kjell Örtengren, who is responsible for the regional coordination of Scania's activities in southeast Europe from his office in Ljubljana, Slovenia.

For further information, please contact Thomas Skoglund, Information Manager,

tel. +46-8-553 812 58, mobile +46-70-556 07 97.

Scania is one of the world's leading manufacturers of trucks and buses for heavy transport applications, and of industrial and marine engines. With 23,800 employees and production facilities in Europe and Latin America, Scania is one of the most profitable companies in its sector. In 1997, turnover totalled SEK 39,700 million and profits after depreciation SEK 2,800 million. Scania products are marketed in about 100 countries worldwide and approximately 95% of total production is sold outside Sweden.

Scania press releases are available on the Internet, www.scania.com