INFORMATION PRODUCT NEWS SERIAL PN (CC) 5/11. DATE April 20, 2011 CORPORATE CUSTOMERS AUDIENCE

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1 SERIAL PN (CC) 5/11 DATE April 20, 2011 AUDIENCE CORPORATE CUSTOMERS KEY MESSAGE ISSUE/CHANGE 1. VOLVO MY12 2. C30 MY12 3. C70 MY12 4. S80, V70 & XC70 MY12 5. S40 & V50 MY12 6. S60, V60 & XC60 MY12 7. PACK COMBINATION PRICING 1. VOLVO MY12 The purpose of this Product News is to provide you with full information relating to the MY12 offer from Volvo. This PN should be read in conjunction with PN 3/11 (S60, V60 & XC60 MY12) and PN 4/11 (XC90 MY12). A complete set of MY12 vehicle price lists is attached. MY12 production commences on May 16 for all models and first customer deliveries are expected late May/early June. 2. C30 MY12 Trim Levels There are no changes to trim level specification when compared to MY11. Powertrain There are no changes to powertrain for MY12. Pricing In order to maintain competitiveness, the majority of models benefit from a price reduction. For D2/DRIVe variants, this equates to around 500 reduction, and for the 2.0P, a new 14,995 OTR price point is established. Other variants benefit from more modest price reductions. Variants Sales analysis indicates that the vast majority of customers choose the 99g/km DRIVe variant where a choice between D2/DRIVe is offered. Therefore, to reduce offer complexity, the D2 SE and SE Lux variants are removed for MY12. Colours Barents Blue and Lime Grass Green metallic colours are deleted. Caspian Blue and Hello Yellow (see image below) are introduced. Volvo Car UK Limited. Page 1 of 8

2 Hello Yellow (illustration purposes only) Miscellaneous Standard wheel for SE is new Spider 17 alloy. Spider New LED day running lights are available and located in the lower bumper below the headlamps (not available in conjunction with Front Fog Lights). Ashtray and Cigarette Lighter now attracts 25 charge. Volvo On Call now includes a 10 year subscription to safety package and a 2 year subscription to the security package. 3. C70 MY12 Trim Levels There are no changes to trim level specification when compared to MY11. Powertrain There are no changes to powertrains when compared to MY11. Pricing Prices have risen by 200 on average (0.5%) compared with MY11. Variants There are no changes to variants when compared to MY11. Miscellaneous Caspian Blue metallic paint replaces Magic Blue A new leather 'Beechwood' replaces Cacao Leather. A new contemporary inlay, Black Oak is introduced. Volvo Car UK Limited. Page 2 of 8

3 Beechwood (colour illustration only) Black Oak inlay LED Day Running Lights with Front and Rear Chrome Highlights is introduced as a new option for 95 (if selected, Front Fog Lights are deleted). Front Chrome Highlight Rear Chrome Highlight For MY12 the Retractable Hard Top is now available in contrasting silver colour including the roof, A-pillars and header bar. This option is priced at 410 and only available with the following colours; Black Stone, Passion Red, Ice White, Celestial Blue, Caspian Blue, Twilight Bronze and Flamenco Red. Volvo Car UK Limited. Page 3 of 8

4 4. S80, V70 & XC70 MY12 Trim Levels There are no changes to trim level specification when compared to MY11. Powertrain DRIVe version with Start/Stop technology is now available on the S80 and V70 range across with just 119g/km of CO 2. Start/Stop technology is now fitted as standard to T4, D3 and D5 manual transmissions. 129g/km CO 2 and 57.7 mpg on combined cycle for the S80 D3 manual with Start/Stop; V70 137g/km and 54.3mpg. The D5 is upgraded from 205hp to 215hp with 129g/km CO 2 and 57.7 mpg on combined cycle for the S80 D5 manual; V70 134g/km and 55.4mpg and XC70 149g/km and 50.4mpg. Model Year Changes All S80, V70 and XC70 variants now have City Safety as standard. MY12 also provides a new Instrument Panel including a modified centre stack, the Volvo Sensus infotainment system (as fitted to S60, V60 and XC60) and a fully integrated colour display screen (see image below). Volvo Car UK Limited. Page 4 of 8

5 Pricing The S80 DRIVe is introduced at 25,245 OTR and the V70 25,995 ( 2,000 below the V70 D3). Other S80/V70 variants increase by around 500; XC70 by approx Variants To simplify the S80 range, the only ES variant is the DRIVe, and low-selling T5 SE and T4 SE Lux have been deleted from the offer. For V70, the low selling T5 and T6 SE variants have been deleted along with the T4 SE Lux. The XC70 T6 SE is deleted for MY12. Miscellaneous Inlays have been refreshed; Cross Avenue replaces Dark Fine Line and Feather Line Aluminum replaces Cross Brushed. The S80 Executive benefits from a Leather Upper Dashboard Top to add further luxury to the exclusive interior. Biarritz Blue is introduced on the S80 and V70 (replacing Barents Blue) and Titanium Grey is deleted. Twilight Bronze metallic is introduced on the XC70 replacing Oyster Grey A new no-cost option is available enabling you to order a Dark Steering Column, Gear Knob and Lower Dashboard in combination with lightcoloured interiors. A new 3-spoke dual-colour steering wheel is available as an option. A new 17" Saga alloy wheel is fitted as standard on the S80 SE and SE Lux and the S80 Executive benefits from the new 18" Magni alloy wheel. Saga Magni On XC70, a new 17" Valder alloy wheel is standard on SE replacing Sargas and the 18" Zephyrus (also found on XC60) is the new SE Lux wheel replacing Merac. Valder Zephyrus Volvo Car UK Limited. Page 5 of 8

6 The V70 R-Design is fitted with the Ixion alloy wheel as fitted to S60/V60 R- Design models. The 225hp Polestar upgrade on D5 is not available due to increased power output from factory. Ashtray and Cigarette Lighter now attracts 25 charge. Volvo On Call now includes a 10 year subscription to safety package and a 2 year subscription to the security package. 5. S40/V50 MY12 In addition to a number of specification enhancements, there are changes to the pricing structure of these models. Please take time to read this Product News in detail and ensure that you fully understand the revised line-up. In particular, the SE model benefits from some significant price reductions and this must be read in conjunction with the feature additions and deletions. Trim Levels To differentiate the new MY12 SE, SE Lux and R-Design models, these are now referred to as Edition variants. Please note the following changes to feature levels; S40/V50 MY12 SPECIFICATION CHANGES FEATURE DELETIONS ES n/a SE Edition Autofolding Power Door Mirrors Height Adjustable Passenger Seat Autodimming Rear View Mirror Rain Sensor Rear Armrest Front Fog Lights Watch Dials SE Lux Edition Active Bending Lights Headlamp Wash Front Fog Lights R-Design Edition Front Fog Lights FEATURE ADDITIONS ES Full Colour Co-ordination Silver Roof Rails - V50 SE Edition High Performance Audio Rear Park Assist Leather Upholstery Bluetooth LED Day Running Lights Chrome Bootlid Handle SE Lux Edition Integrated Satellite Navigation System High Performance Audio Rear Park Assist Bluetooth LED Day Running Lights Chrome Bootlid Handle R-Design Edition High Performance Audio Rear Park Assist Bluetooth LED Day Running Lights Powertrain There are no changes to powertrain for MY12. Pricing MY12 represents very positive news for the S40/V50 range and for the Volvo Car UK Limited. Page 6 of 8

7 majority of variants, there is significant value-add to the offer through added specification coupled with price reductions. The price walk from ES to SE Edition is now just 1,500 (was 1,815) and includes leather upholstery. The walk from SE to SE Lux Edition is just 1,000 (was 1,170) and includes RTI as standard. The R-Design premium remains at around 2,000 but has over 1,000 of additional equipment. Variants Sales analysis indicates that the vast majority of customers choose Start/Stop variants and for this reason the standard D2 SE and D2 SE Lux models will be dropped for MY12. The D2 ES remains as an attractive entry-level diesel model with a lower retail price than MY11. Miscellaneous Both S40 and V50 are included within the same price list due to specification similarities. Ashtray and Cigarette Lighter now attracts 25 charge. The Integrated Satellite Navigation System is no longer available as a factory option on ES, SE Edition or R-Design Edition models (standard on SE Lux Edition) due to low sales rate. The Volvo Portable Satellite Navigation (Garmin 3790) remains available at 525 on these variants. Fitted as standard on all variants except ES ( 230 option), new LED Day Running Lights are now available and located in the lower bumper below the headlamps (see image below) replacing Front Fog Lights. Front Fog Lights are no longer available as an option on S40 and V50 models. New 17 Spider alloy wheels replace Serapis on SE as standard (see image below). Volvo On Call now includes a 10 year subscription to safety package and a 2 year subscription to the security package. 6. S60, V60 & XC60 MY12 Edition 3 price lists are attached reflecting some minor corrections as well as the change to the Volvo On Call offer (10 year Safety package and 2 year Security package). 7. PACK COMBINATION PRICING 8. If two separate packs are ordered containing the same feature, then in most situations a price discount is applicable. The attachment MY12 pack combinations.pdf provides additional information. Volvo Car UK Limited. Page 7 of 8

8 ATTACHMENTS Volvo MY12.zip MY12 pack combinations.pdf CONTACT: Please contact your supplying Volvo dealer or Volvo account manager if you require further information. Volvo Car UK Limited. Page 8 of 8

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