Sweden. Volvo Treasury AB
| Date of agreement: | 23 Dec 2009 |
|---|---|
| Country: | Sweden |
| Customer: | Volvo Treasury AB |
| Amount in EUR: | EUR 50 million |
| Maturity: | 5 years |
| NACE sector / loan type: | Research and development |
Project
The 5-year-maturity loan totalling EUR 50 million has been provided for financing research and development in emission projects and hybrid technologies.
Volvo Treasury, the in-house bank of the Volvo Group, will finance R&D projects in two of the largest units in the Volvo Group: the Group’s truck operations and Volvo Powertrain, which manufactures heavy diesel engines. The R&D projects aim to find new technologies that will meet future environmental legislation requirements in the EU, American and Japanese markets. The R&D in hybrid technologies is mainly aimed at vehicles that operate in a city environment, such as buses and garbage trucks.
Sustainability summary
Volvo’s R&D projects to develop less polluting solutions that meet new, more stringent legislation as well as those projects to develop hybrid technologies will result in decreased emissions of particulates and nitrous oxides, as well as more fuel efficient engines. Thus, the projects will also help reduce the emissions of greenhouse gases.