Autoliv Awarded New Strategic Contract - Contributes to a doubling of electronics sales

12/11/2000 9:46 AM EST

Autoliv Awarded New Strategic Contract
- Contributes to a doubling of electronics sales

(Stockholm, December 11, 2000) -- Autoliv Inc. (NYSE: ALV and SSE: ALIV),
the worldwide leader in automotive safety systems, has received a contract
for its new occupant sensing system for advanced airbags from a leading
U.S. car manufacturer. Production will start in the fall of 2003, when the
phase-in of advanced airbags is required by federal law. This contract,
which covers five car lines and nearly one million vehicles annually, is
estimated to be the largest production contract that has been awarded for
this technology, following the adoption in May of the new regulation on
advanced airbag systems.

Autoliv's new contract includes four sensors; one at each end of the
sliding rails of the front passenger seat. These sensors will allow the
airbag computer to determine whether there is a small child or an adult in
the front-passenger seat. The system will note if the seat is occupied and
whether the occupant is belted. The system will also have the capability
to suppress the deployment of the airbag when deemed necessary.

The new Advanced Airbag Regulation that was adopted in May this year will
be phased in during a three-year period, starting in September 2003 when
35% of all new light vehicles in the U.S. must be in compliance with the
new regulation. The rate is then increased to 65% and 100% by September 1
the two following years. Autoliv's new weight sensor contract therefore
represents the starting point of a rapidly growing new business area for
the company.

The new contract follows upon a series of break-throughs in electronics
for Autoliv. Earlier this fall the company was named supplier partner for
airbag electronics by BMW. Autoliv also received its first contract ever
in North America to provide electronics. The latter contract is for
Autoliv's new rollover sensor, which will be delivered to over one million
new vehicles, starting in model year 2004. As a result of all these new
contracts, Autoliv expects its sales of safety electronics to double
within three years.

Inquiries: Lars Westerberg, President & CEO, Autoliv Inc., Tel +46 (8) 58
72 06 20
Mats Ödman, Dir. Corp. Com., Tel. +46 (8) 58 72 06 23, or mob. +46 (708)
32 09 33
Patrick Jarboe, Director Investor Relations, Tel. +1 (248) 475-0407

Illustrations: www.autoliv.com see "News"

Autoliv Inc.
Klarabergsviadukten 70, Sec. E
P. O. Box 703 81, SE-107 24 Stockholm, Sweden
Tel +46 (8) 58 72 06 23, Fax +46 (8) 24 44 79
e-mail:  

Autoliv North America, Inc.
320 Pacific Drive
Auburn Hills, MI 48326-1569, USA
Tel +1 (248) 475-0407, Fax +1 (248) 475-9838
e-mail: