Financial Overview

(in million euros)

	FY2010	FY2009	Rate of Change (%)	Factors
Overall
Sales	864.4	622.8	38.8	1)
EBIT	10.2	(46.3)	-
Operating revenues by business segment
Driveline Systems	289.5	234.7	23.3	2)
Interior Systems	220.5	153.3	43.8	2)
Actuation & Chassis	114.3	67.9	68.3	-
Fluid Transfer Systems	132.6	87.6	51.3	2), 3)
Power Products Systems	134.9	103.4	30.5	-
Eliminations & other	(27.4)	(24.1)	-	-

Factors
1)
-During 2010, the Company were able to outgrow the general market growth. The KA YoY revenue growth was 39% versus 23.6% volume growth in the light vehicle market and 43.8% growth in the commercial vehicle market.

2)
-Several important contracts were secured in 2010. Significant global contracts were secured in the Driveline-, Interior and Fluid business area.

3)
-During Q4 in 2010, the Company also secured a breakthrough contract in the Asian truck market for air couplings.

Contracts

Major Contracts in 2010                                                                                        (From a press release in 2010)

Customer	Product	Contract detail and value	Production Start
European automaker	Seat comfort systems	30 million euros	2012
European automaker	Seat comfort systems	33 million euros.	2012
German compact carmaker	Seat Heat	11 million euros	Produce this program from facilities in China, starting from 2012.
A European carmaker	Modular Seat Comfort System	17 million euros	Initial deliveries will start in 2011.
A car producer in Japan	Seat Support	The program, with estimated value of 5 million euros, will run over 4 years.	Second half of 2011
German seat maker	pneumatic lumbar support systems to the European heavy duty truck segment	a new contract valued at 5 million euros	2011 at the company's facility in Pruszkow, Poland.
European automaker	Transmission shifters and shift cables for its medium-sized vehicles equipped with 5- and 6-speed manual transmissions	14 million euros	2012
European heavy-duty truck producer	Gearshift system	12.5 million euros	2011
Chrysler	C-segment automatic and manual transmission shifters	The program will generate approximately 38 million euros through its duration to 2016.	-
A customer base in Europe	Manual shifters and shift cables to a medium-sized low cost car, and shift by wire technology on a Hybrid SUV	7 million euros	The contract terms vary from 5 to 6 years and the first deliveries are going to start in 2011.
A leading carmaker in Europe	Shift towers	The contract is worth 40 million euros and will run over a period of ten years.	2013
A major European car manufacturer	The automatic and manual shift systems for several cars	The contract will run over 6 years and is valued at 65 million euros.	Launched in the first half of 2012
A major car manufacturer	Manual shift system	The contract, which will commence in 2011 will run over 7 years and is valued at more than 100 million euros.	-
North American and Japanese OEM	Automotive control cables	16 million euros	2011 with production in Mexico and China
A global producer of commercial vehicles in Asia	Air couplings for the brake and suspension systems	15 million euro over 5 years	2012
A leading manufacturer of passenger cars	Fluid system	35 millions euros	-
Anhui Hualing Automobile	clutch actuation systems for their entire fleet of high-end heavy trucks	15 million euros	The installation is due to start in 2010.

R&D Structure

-R&D facility is located in Kongsberg, Norway.

Product Development

-The Company and Qrtech AB of Sweden announced the formation of a joint venture company focusing on development and design in the field of power electronics in a hybrid- or electric vehicle. Kongsberg initially will acquire 51 percent and Qrtech 49 percent of the joint venture, which will be called e-Driveline AB. The joint venture, which will be located in Gothenburg, Sweden, is expected to be operational at the end of April 2011. Qrtech AB specializes in development of electronics and software for automotive application. (From a press release on April 4, 2011)

Capital Expenditures

(in million euros)

	FY2010	FY2009
Driveline Systems	5.1	3.7
Interior Systems	8.9	4.2
Acutuation & Chassis	2.9	2.6
Fluid Transfer Systems	2.8	1.9
Power Products Systems	1.0	0.4
Eliminations & other	1.0	0.0
Total	21.7	12.8