Main translation effects: USD/SEK, EUR/SEK
North America
The principal currency pairs for the North American operations are the USD/CAD and USD/MXN. A significant portion of production is conducted in Mexico and the products are subsequently sold in USD. Accordingly, a weak MXN compared with the USD is positive for the Group. A strong CAD compared with the USD is positive for the Group, since a large portion of the costs for the Canadian products is expensed in USD (purchasing and production costs).
Europe
The principal currency in Europe is the EUR. A weak EUR has a positive net effect on Group income, because European operations have greater expenses in EUR than sales in EUR. A majority of the purchases of raw materials and components is denominated in EUR as are significant production costs.
Latin America
The principal currency pair for the Latin American operations is the USD/BRL. Purchases of raw materials and components are priced to some extent in USD. The products are then sold in BRL. A strong BRL compared with the USD is positive for the Group.
Asia/Pacific
The principal currency pair for the business in the Asia/Pacific region is the USD/AUD. Purchases of raw materials and components are priced to some extent in USD. The products are subsequently sold in AUD. A strong AUD compared with the USD is positive for the Group.