ASSA ABLOY

Quarterly Report • Jul 29, 2009

29 July 2009 No. 08/09

Continued weak market but strong earnings

• Sales totaled SEK 8,921 M (8,526), an increase of 5%, with –14% organic growth, 4% acquired growth and exchange-rate effects of 15%.
• The downturn in construction continued on all the world's major markets.
• Sustained and substantial efficiency gains from restructuring programs and capacity adjustments throughout the Group contributed to good earnings and produced a very strong cash flow.
• Operating income (EBIT) amounted to SEK 1,340 M (1,378), a fall of 3%, representing a margin of 15.0% (16.2).
• Net income amounted to SEK 852 M (865).
• Earnings per share amounted to SEK 2.25 (2.30), a decrease of 2%.

SALES AND INCOME

		Second quarter		First half-year
	2008		2009Change	2008		2009Change
Sales, SEK M	8,526 8,921		+5%	16,728	17,803	+6%
of which,
Organic growth			-14%			-13%
Acquisitions			+4%			+4%
Exchange-rate effects		-386 1,433	+15%	-661	2,893	+15%
Operating income (EBIT), SEK M	1,378 1,340		-3%	2,621	2,668*	+2%
Operating margin (EBIT), %	16.2	15.0		15.7	15.0*
Income before tax, SEK M	1,188	1,176	-1%	2,243	2,299*	+2%
Net income, SEK M	865	852	-2%	1,637	1,571**	-4%
Operating cash flow, SEK M Earnings per share (EPS),	1,081	1,584	+47%	1,663	2,422	+46%
SEK	2.30	2.25	-2%	4.38	4.45*	+2%

* Excluding restructuring costs amounting to SEK 109 M in 2009.

** Excluding restructuring costs, net income was SEK 1,680 M for the first half of 2009.

COMMENTS BY THE PRESIDENT AND CEO

"The negative trend on the market continued during the second quarter. In spite of this, profit and cash flow were maintained at very high levels as a result of the fast capacity adjustments of production combined with the successful restructuring program. Our expectation is still that the remainder of 2009 will be extremely challenging for both sales and earnings. During the second half of the year the important US market will weaken further owing to a severe cutback in commercial construction projects.

Investments in improved market coverage and in new products are proceeding on an undiminished scale, in parallel with continuing adaptation of the organization to the current market situation. It is also very pleasing that we have succeeded in boosting our leading position in the fast-growing and profitable door automation segment through the July agreement to acquire Ditec," said Johan Molin, President and CEO.

SECOND QUARTER

The Group's sales totaled SEK 8,921 M (8,526), representing growth of 5% compared with 2008. Organic growth for comparable units was –14% (5). Acquired units accounted for 4% (3) of the increase. Exchange-rate effects had a positive impact of SEK 1,433 M on sales, i.e. 15% (-5).

Operating income before depreciation, EBITDA, amounted to SEK 1,601 M (1,599), unchanged from 2008. The EBITDA margin was 17.9% (18.8). The Group's operating income, EBIT, amounted to SEK 1,340 M (1,378), a fall of 3%, after positive currency effects of SEK 268 M. The operating margin was 15.0% (16.2).

Net financial items amounted to SEK 165 M (190), which corresponds to an average net interest rate of just under 5%. The Group's income before tax amounted to SEK 1,176 M (1,188), corresponding to a decrease of 1%. Exchange-rate effects had a positive impact of SEK 252 M on the Group's income before tax. The profit margin was 13.2% (13.9). The Group's tax charge totaled SEK 323 M (323). Earnings per share amounted to SEK 2.25 (2.30), a decrease of 2%.

During the second quarter a refinancing of all long-term loans maturing in 2009 was carried out. In total, SEK 3.3 billion was borrowed on the capital market, split into seven facilities with durations of between two and five years. No long-term loans mature in 2010, which means that the next refinancing will be in 2011. In addition, the back-up facility of SEK 12 billion, which matures in 2014, is unused.

FIRST HALF-YEAR

Sales for the first half of 2009 totaled SEK 17,803 M (16,728), which represents an increase of 6% compared with 2008. Organic growth was -13% (3). Acquired units

contributed 4% (3). Exchange-rate effects affected sales positively by SEK 2,893 M, i.e. 15%, compared with the first half of 2008.

Operating income before depreciation, EBITDA, excluding restructuring costs, amounted to SEK 3,195 M (3,075) for the half-year. The corresponding margin was 17.9% (18.4). The Group's operating income, EBIT, excluding restructuring costs, amounted to SEK 2,668 M (2,621), representing a small increase after positive exchange-rate effects of SEK 493 M. The corresponding operating margin (EBIT) was 15.0% (15.7).

Earnings per share, excluding restructuring costs, for the first half-year increased to SEK 4.45 (4.38). Operating cash flow for the half-year amounted to SEK 2,422 M (1,663).

RESTRUCTURING MEASURES

Payments related to the two restructuring programs amounted to SEK 224 M in the quarter.

Progress of the 2006 and 2008 restructuring programs

The two restructuring programs, initiated in 2006 and 2008, have surpassed the expected cost savings and have led to reductions in personnel of respectively 2,387 and 1,442 people since the projects began, a total of 3,829 people. A further 1,085 people will leave during the second half of 2009 and in 2010.

Total personnel reductions

The world economy began to weaken towards the end of 2007 and adjustments of the workforce were initiated at this time. From the fourth quarter of 2007 through the second quarter of 2009 a total of 7,462 people (including 3,184 people during the first half of 2009) – that is, 23% of the total number of employees – left the Group as a result of the capacity changes made and the restructuring programs carried out.

COMMENTS BY DIVISION

EMEA

Sales in EMEA division during the quarter totaled SEK 3,459 M (3,578), with organic growth of –18%. The weakening on all markets continued, apart from the UK which seems to be bottoming out. Acquired growth amounted to 5%. Operating income amounted to SEK 489 M (608), which represents an operating margin (EBIT) of 14.1% (17.0). The effects of the restructuring programs and other efficiency measures compensated for many of the effects of the reduced sales volume. Return on capital employed excluding restructuring and non-recurring costs amounted to 15.9% (22.4). The return was impacted

mainly by the lower income. Operating cash flow before interest paid totaled SEK 597 M (672).

AMERICAS

The quarter's sales in Americas division totaled SEK 2,618 M (2,419), with –17% organic growth. All units were impacted by the downturn in the economy and showed negative growth, although the units in Canada, Mexico and South America were less affected than those in the USA. Acquired growth amounted to 3%. By means of restructuring and capacity adjustments, the operating margin was maintained at a very strong level and amounted to 19.6% (20.5). The operating income totaled SEK 512 M (497). Return on capital employed amounted to 20.9% (24.1). Operating cash flow before interest paid totaled SEK 857 M (564).

ASIA PACIFIC

Sales for the quarter totaled SEK 963 M (856), with –9% organic growth. The market regions in Australia and New Zealand continued to show negative growth, while the Chinese market showed a stable trend. Production for export to Europe and North America fell back significantly. Acquired growth amounted to 9%. Operating income totaled SEK 123 M (104), which represents an operating margin (EBIT) of 12.7% (12.2). The quarter's return on capital employed amounted to 16.4% (16.1). Operating cash flow before interest paid totaled SEK 221 M (55).

GLOBAL TECHNOLOGIES

Sales for the quarter totaled SEK 1,239 M (1,157), with organic growth of –10%. The division has only commercial customers and the weakened market situation affected all units and regions. The net effect of acquisitions and disposals amounted to -1%. The division's operating income amounted to SEK 194 M (159), giving an operating margin (EBIT) of 15.6% (13.7). Return on capital employed excluding restructuring costs amounted to 12.1% (12.6). Operating cash flow before interest paid totaled SEK 234 M (183).

ENTRANCE SYSTEMS

Entrance Systems division reported sales of SEK 863 M (758) for the quarter, representing organic growth of –5%. Continued good sales on the service side compensated to some extent for the reduction in new-product sales. Acquired growth amounted to 6%. Operating income amounted to SEK 128 M (105), giving an operating margin (EBIT) of 14.9% (13.8). Return on capital employed amounted to 15.1% (13.5). Operating cash flow before interest paid totaled SEK 149 M (65).

ACQUISITIONS

During the first half-year four acquisitions were consolidated and payment was made for the last minority shares in iRevo in Korea. The combined acquisition price for these acquisitions amounts to SEK 217 M, and preliminary acquisition analyses indicate that goodwill and other intangible assets with indefinite useful life amount to SEK 74 M. The acquisition price is adjusted for acquired net debt and estimated earn-outs.

In July a contract was signed for the acquisition of the Italian company Ditec. Ditec has annual sales of EUR 80 M and has 550 employees. The acquisition is expected to be completed during the third quarter. See separate press release.

SUSTAINABILITY

As communicated in the Sustainability Report the Group's move to water-based washing and degreasing systems with very low environmental impact is proceeding at a rapid pace.

As a result, ASSA ABLOY reduced the amount of chlorinated organic solvents (perchloroethylene and trichloroethylene) used in 2008 by 55%, to 42 tonnes.

The program has continued at undiminished pace in 2009 and will result in annual consumption falling by a further 80%, to less than 10 tonnes, which compares with the 189 tonnes used in 2005.

PARENT COMPANY

'Other operating income' for the Parent company ASSA ABLOY AB totaled SEK 685 M (1,036) for the half-year. Income before tax amounted to SEK 1,228 M (1,310). Investments in tangible and intangible assets totaled SEK 1 M (0). Liquidity is good and the equity ratio was 56.8% (47.3).

ACCOUNTING PRINCIPLES

ASSA ABLOY applies International Financial Reporting Standards (IFRS) as endorsed by the European Union. Significant accounting and valuation principles are detailed on pages 56- 60 of the 2008 Annual Report. ASSA ABLOY has subsequently implemented the revised International Accounting Standard IAS 1, which came into force on 1 January 2009. The change means that additional items are now included in Other comprehensive income in the Group's income statement. These items were previously reported in changes to shareholders' equity. ASSA ABLOY has also implemented IFRS 8, which contains rules about segment reporting. ASSA ABLOY reports the same operating segments as before. The Group's Interim Reports are prepared in accordance with IAS 34. The Parent company applies RFR 2.2.

TRANSACTIONS WITH RELATED PARTIES

No transactions that significantly affected the company's position and income have taken place between ASSA ABLOY and related parties.

RISKS AND UNCERTAINTY FACTORS

As an international Group with a wide geographic spread, ASSA ABLOY is exposed to a number of business and financial risks. The business risks can be divided into strategic, operational and legal risks. The financial risks are related to such factors as exchange rates, interest rates, liquidity, the giving of credit, raw materials and financial instruments. Risk management in ASSA ABLOY aims to identify, control and reduce risks. This work begins with an assessment of the probability of risks occurring and their potential effect on the Group. For a more detailed description of risks and risk management, see pages 41-43 of the 2008 Annual Report. No significant risks other than the risks described there are judged to have occurred.

OUTLOOK*

Long-term outlook

Long term, ASSA ABLOY expects an increase in security-driven demand. Focus on end-user value and innovation as well as leverage on ASSA ABLOY's strong position will accelerate growth and increase profitability.

Organic sales growth is expected to continue at a good rate. The operating margin (EBIT) and operating cash flow are expected to develop well.

Outlook for the year

2009 will be a challenging year since the financial crisis has had a strongly negative effect on investments in construction, and negative organic growth for the year is therefore expected for ASSA ABLOY.

*) The Outlooks published on 22 April 2009 were:

Long-term outlook

Long term, ASSA ABLOY expects an increase in security-driven demand. Focus on end-user value and innovation as well as leverage on ASSA ABLOY's strong position will accelerate growth and increase profitability.

Organic sales growth is expected to continue at a good rate. The operating margin (EBIT) and operating cash flow are expected to develop well.

Outlook for the year

2009 will be a challenging year since the financial crisis has had a strongly negative effect on investments in construction, and negative organic growth for the year is therefore expected for ASSA ABLOY.

Easter is expected to have a negative impact on sales and earnings in the second quarter.

The Board of Directors and the President and CEO declare that this half-year report gives an accurate picture of the Parent company's and the Group's operations, position and income and describes significant risks and uncertainty factors faced by the Parent company and the companies making up the Group.

Stockholm, 29 July 2009

Gustaf Douglas Carl Douglas Jorma Halonen

Chairman Board member Board member

Birgitta Klasén Eva Lindqvist Johan Molin

Board member Board member President and CEO

Sven-Christer Nilsson Lars Renström Ulrik Svensson Board member Board member Board member

Seppo Liimatainen Mats Persson Employee representative Employee representative

REVIEW REPORT

We have reviewed this Report for the period 1 January 2009 to 30 June 2009 for ASSA ABLOY AB (publ). The Board of Directors and the CEO are responsible for the preparation and presentation of this Interim Report in accordance with IAS 34 and the Swedish Annual Accounts Act. Our responsibility is to express a conclusion on this Interim Report based on our review.

We conducted our review in accordance with the Swedish Standard on Review Engagements SÖG 2410, Review of Interim Report Performed by the Independent Auditor of the Entity. A review consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing in Sweden, RS, and other generally accepted auditing standards in Sweden. The procedures performed in a review do not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Based on our review, nothing has come to our attention that causes us to believe that the Interim Report is not prepared, in all material respects, in accordance with IAS 34 and the Swedish Annual Accounts Act, regarding the Group, and with the Swedish Annual Accounts Act, regarding the Parent company.

Stockholm, 29 July 2009 PricewaterhouseCoopers AB

Peter Nyllinge Bo Karlsson

Auditor in charge

Authorized Public Accountant Authorized Public Accountant

FINANCIAL INFORMATION

The Interim Report for the third quarter will be published on 28 October 2009.

FURTHER INFORMATION CAN BE OBTAINED FROM:

Johan Molin, President and CEO, Tel: +46 8 506 485 42 Tomas Eliasson, Chief Financial Officer, Tel: +46 8 506 485 72

ASSA ABLOY is holding an analysts' meeting at 10.00 today at Klarabergsviadukten 90 in Stockholm. The analysts' meeting can also be followed on the Internet at www.assaabloy.com. It is possible to submit questions by telephone on: +46 8 5052 0270, +44 208 817 9301 or +1 718 354 1226

This information is that which ASSA ABLOY is required to disclose under the Swedish Securities Exchange and Clearing Operations Act and/or the Swedish Financial Instruments Trading Act. The information is released for publication at 08.30 on 29 July.

FINANCIAL INFORMATION - GROUP

INCOME STATEMENT	Jan-Dec	Jan-Jun	Jan-Jun	Apr-Jun	Apr-Jun
	2008	2008	2009	2008	2009
	SEK M	SEK M	SEK M	SEK M	SEK M
Sales	34,918	16,728	17,803	8,526	8,921
Cost of goods sold	-21,532	-9,799	-10,667	-4,979	-5,322
Gross Income	13,386	6,929	7,136	3,547	3,599
Selling and administrative expenses	-9,129	-4,315	-4,583	-2,176	-2,265
Share in earnings of associated companies	12	8	6	7	6
Operating income	4,269	2,621	2,559	1,378	1,340
Financial items	-770	-379	-369	-190	-165
Income before tax	3,499	2,243	2,190	1,188	1,176
Tax	-1,061	-606	-619	-323	-323
Net income	2,438	1,637	1,571	865	852
Allocation of net income:
Shareholders in ASSA ABLOY AB	2,413	1,629	1,559	857	843
Minority interests	25	8	12	8	9

EARNINGS PER SHARE	Jan-Dec 2008 SEK	Jan-Jun 2008 SEK	Jan-Jun 2009 SEK	Apr-Jun 2008 SEK	Apr-Jun 2009 SEK
Earnings per share after tax and
before dilution 1)	6.60	4.45	4.26	2.34	2.30
Earnings per share after tax and
dilution 2)	6.55	4.38	4.16	2.30	2.25
Earnings per share after tax and
dilution, excl items affecting comparability 2) 11)	9.21	4.38	4.45	2.30	2.25

COMPREHENSIVE INCOME	Jan-Dec 2008 SEK M	Jan-Jun 2008 SEK M	Jan-Jun 2009 SEK M	Apr-Jun 2008 SEK M	Apr-Jun 2009 SEK M
Profit for the period	2,438	1,637	1,571	865	852
Other comprehensive income
Exchange differences on translating foreign operations	2,131	-492	193	245	-485
Total comprehensive income for the period	4,569	1,145	1,764	1,110	367
Total comprehensive income in:
-Parent company shareholders	4,525	1,158	1,752	1,178	367
-Minority interest	44	-13	12	-68	1
CASH FLOW STATEMENT	Jan-Dec 2008	Jan-Jun 2008	Jan-Jun 2009	Apr-Jun 2008	Apr-Jun 2009

	SEK M	SEK M	SEK M	SEK M	SEK M
Cash flow from operating activities	4,369	1,415	1,732	907	1,160
Cash flow from investing activities	-2,648	-937	-702	-647	-242
Cash flow from financing activities	-1,311	-482	818	47	-770
Cash flow	410	-4	1,848	307	148

BALANCE SHEET 31 Dec 30 Jun 2008 2008	30 Jun 2009
SEK M SEK M	SEK M
Intangible fixed assets 22,662 18,458	22,816
Tangible fixed assets 5,952 5,181	6,014
Financial fixed assets 1,112 1,083	1,176
Inventories 5,383 4,653	4,985
Trade receivables 6,372 5,809	6,150
Other non-interest-bearing current assets 1,213 1,139	1,297
Interest-bearing current assets 2,266 1,412	4,049
Total assets 44,960 37,735	46,488
Equity 18,838 15,496	19,262
Interest-bearing non-current liabilities 8,948 8,832	12,427
Non-interest-bearing non-current liabilities 1,660 589	1,391
Interest-bearing current liabilities 7,588 6,212	6,117
Non-interest-bearing current liabilities 7,926 6,606	7,291
Total equity and liabilities 44,960 37,735	46,488
CHANGE IN EQUITY Jan-Dec Jan-Jun 2008 2008 SEK M SEK M	Jan-Jun 2009 SEK M
Opening balance 15,668 15,668	18,838
Total comprehensive income for the year 4,569 1,145	1,764
Dividend -1,317 -1,317	-1,317
Minority interest -82 -	-23
Closing balance 18,838 15,496	19,262
KEY DATA Jan-Dec Jan-Jun	Jan-Jun
2008 2008	2009
Return on capital employed excl items affecting comparability, % 17.2 17.5	15.2
Return on capital employed incl items affecting comparability , % 13.3 17.5	14.6
Return on shareholders' equity, % 12.8 18.9	15.1
Equity ratio, % 41.9 41.1	41.4
Interest coverage ratio, times 5.7 7.5	7.7
Interest on convertible debentures net after tax, SEK M 81.0 38.0 Number of shares, thousands 365,918 365,918	24.2 365,918
Number of shares after dilution, thousands 380,713 380,713	380,197

Average number of employees 32,723 33,041 29,903

FINANCIAL INFORMATION - PARENT COMPANY

INCOME STATEMENT	Jan-Dec	Jan-Jun	Jan-Jun
	2008	2008	2009
	SEK M	SEK M	SEK M
Operating income	992	660	285
Income before tax	1,589	1,310	1,228
Net income	1,154	1,315	1,231
BALANCE SHEET	31 Dec	30 Jun	30 Jun
	2008	2008	2009
	SEK M	SEK M	SEK M
Non-current assets	19,274	16,402	19,349
Current assets	15,329	14,780	4,793
Total assets	34,603	31,182	24,142
Equity	13,776	14,755	13,716
Provisions	58	78	58
Non-current liabilities	5,145	6,301	8,536
Current liabilities	15,624	10,048	1,832
Total equity and liabilities	34,603	31,182	24,142

QUARTERLY INFORMATION - GROUP

THE GROUP IN SUMMARY All amounts in SEK M if not noted otherwise.

OPERATING CASH FLOW

	Q1 2008	Q2 2008	Q3 2008	Q4 2008	Jan-Jun 2008	Full Year 2008	Q1 2009	Q2 2009	Jan-Jun 2009	12 month rolling
Sales	8,203	8,526	8,722	9,468	16,728	34,918	8,881	8,921	17,803	35,992
Organic growth 3)	0%	5%	1%	-4%	3%	0%	-12%	-14%	-13%
Gross income
excl items affecting comparability	3,383	3,547	3,590	3,898	6,929	14,418	3,646	3,599	7,245	14,733
Gross income / Sales	41.2%	41.6%	41.2%	41.2%	41.4%	41.3%	41.0%	40.3%	40.7%	40.9%
Operating income before depreciation (EBITDA)
excl items affecting comparability	1,476	1,599	1,669	1,703	3,075	6,447	1,594	1,601	3,195	6,567
Gross margin (EBITDA)	18.0%	18.8%	19.1%	18.0%	18.4%	18.5%	17.9%	17.9%	17.9%	18.2%
Depreciation	-232	-222	-234	-233	-453	-921	-266	-261	-527	-994
Operating income (EBIT)
excl items affecting comparability	1,244	1,378	1,435	1,469	2,621	5,526	1,328	1,340	2,668	5,572
Operating margin (EBIT)	15.2%	16.2%	16.5%	15.5%	15.7%	15.8%	15.0%	15.0%	15.0%	15.5%
Items affecting comparability 11)	-	-	-247	-1,010	-	-1,257	-109	-	-109	-1,366
Operating income (EBIT)	1,244	1,378	1,188	460	2,621	4,269	1,219	1,340	2,559	4,207
Financial items	-189	-190	-207	-184	-379	-770	-205	-165	-369	-761
Income before tax	1,055	1,188	980	276	2,243	3,499	1,015	1,176	2,190	3,447
Profit margin (EBT)	12.9%	13.9%	11.2%	2.9%	13.4%	10.0%	11.4%	13.2%	12.3%	9.6%
Tax	-283	-323	-271	-184	-606	-1,061	-296	-323	-619	-1,074
Net income	772	865	709	92	1,637	2,438	718	852	1,571	2,371
Allocation of net income:
Shareholders in ASSA ABLOY AB	772	857	700	84	1,629	2,413	716	843	1,559	2,343
Minority interests	0	8	8	9	8	25	3	9	12	29

	Q1	Q2	Q3	Q4	Jan-Jun	Full Year	Q1	Q2	Jan-Jun	12 month
	2008	2008	2008	2008	2008	2008	2009	2009	2009	rolling
Operating income (EBIT)	1,244	1,378	1,188	460	2,621	4,269	1,219	1,340	2,559	4,207
Restructuring costs	-	-	247	933	-	1,180	109	0	109	1,289
Depreciation	232	222	234	233	453	921	266	261	527	994
Net capital expenditure	-164	-173	-199	-293	-337	-829	-187	-186	-373	-865
Change in working capital	-581	-113	-111	801	-695	-5	-316	346	30	720
Paid and received interest	-162	-206	-134	-217	-368	-718	-193	-157	-350	-701
Adjustment for non-cash items	14	-26	-36	-1	-12	-49	-60	-20	-80	-117
Operating cash flow 4)	583	1,081	1,189	1,916	1,663	4,769	838	1,584	2,422	5,527
Operating cash flow / Income before tax 4)	0.55	0.91	0.97	1.49	0.74	1.02	0.75	1.35	1.05	1.15

Q1 Q2 Q3 Q4 Jan-Jun Full Year Q1 Q2 Jan-Jun 2008 2008 2008 2008 2008 2008 2009 2009 2009 Net debt at beginning of the period 12,953 12,414 13,549 14,010 12,953 12,953 14,013 14,317 14,013 Operating cash flow -583 -1,081 -1,189 -1,916 -1,663 -4,769 -838 -1,584 -2,422 Restructuring payment 111 97 126 152 207 485 144 224 368 Tax paid 127 251 81 283 377 742 298 397 695 Acquisitions 126 473 717 503 599 1,819 263 66 329 Dividend - 1,317 - - 1,317 1,317 - 1,317 1,317 Translation differences -320 78 726 981 -242 1,466 437 -498 -61 Net debt at end of period 12,414 13,549 14,010 14,013 13,549 14,013 14,317 14,239 14,239 Net debt / Equity, times 0.79 0.87 0.80 0.74 0.87 0.74 0.71 0.74 0.74 NET DEBT Q1 Q2 Q3 Q4 Q1 Q2 2008 2008 2008 2008 2009 2009 Long-term interest-bearing receivables -102 -83 -89 -256 -269 -256 Short-term interest-bearing investments -332 -191 -133 -688 -2,632 -2,250 Cash and bank balances -953 -1,221 -1,534 -1,579 -1,280 -1,800 Pension provisions 1,151 1,150 1,131 1,182 1,222 1,200 Other long-term interest-bearing liabilities 7,707 7,683 7,539 7,766 8,659 11,227 Short-term interest-bearing liabilities 4,943 6,212 7,096 7,589 8,617 6,117 Total 12,414 13,549 14,010 14,013 14,317 14,239 CAPITAL EMPLOYED AND FINANCING Q1 Q2 Q3 Q4 Q1 Q2 2008 2008 2008 2008 2009 2009 Capital employed 28,116 29,045 31,538 32,850 34,540 33,494 - of which goodwill 16,508 17,068 18,851 20,669 21,443 20,857 Net debt 12,414 13,549 14,010 14,013 14,317 14,239 Minority interest 181 188 211 163 163 152 Shareholders' equity (excl minority interest) 15,521 15,308 17,317 18,674 20,060 19,110 DATA PER SHARE Q1 Q2 Q3 Q4 Jan-Jun Full Year Q1 Q2 Jan-Jun 2008 2008 2008 2008 2008 2008 2009 2009 2009 rolling SEK SEK SEK SEK SEK SEK SEK SEK SEK SEK Earnings per share after tax and before dilution 1) 2.11 2.34 1.91 0.23 4.45 6.60 1.96 2.30 4.26 6.40 Earnings per share after tax and dilution 2) 2.08 2.30 1.89 0.29 4.38 6.55 1.92 2.25 4.16 Earnings per share after tax and dilution excl items affecting comparability 2) 2.08 2.30 2.38 2.45 4.38 9.21 2.20 2.25 4.45 Shareholders' equity per share after dilution 2) 46.64 46.13 51.61 55.91 46.13 55.91 59.55 54.28 54.21	CHANGE IN NET DEBT
						12 month
						6.35
						9.28

RESULTS BY DIVISION

SEK M		EMEA 5)	Americas 6)			Asia Pacific 7)		Global Technologies 8)	Systems	Entrance	Other		Total
Apr - Jun and 30 Jun respectively	2008	2009	2008	2009	2008	2009	2008	2009	2008	2009	2008	2009	2008	2009
Sales, external Sales, intragroup Sales Organic growth 3)	3,465 113 3,578 4%	3,368 92 3,459 -18%	2,411 8 2,419 5%	2,610 9 2,618 -17%	777 79 856 8%	884 79 963 -9%	1,127 31 1,157 4%	1,208 31 1,239 -10%	746 12 758 6%	852 11 863 -5%	-243 -243	-222 -222	8,526 9) 8,526 5%	8,921 8,921 -14%
Operating income (EBIT) Operating margin (EBIT)	608 17.0%	489 14.1%	497 20.5%	512 19.6%	104 12.2%	123 12.7%	159 13.7%	194 15.6%	105 13.8%	128 14.9%	-96	-106	1,378 16.2%	1,340 15.0%
Items affecting comparability 11)	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Operating income (EBIT) incl items affecting comparability	608	489	497	512	104	123	159	194	105	128	-96	-106	1,378	1,340
Capital employed - of which other intangibles & fixed assets - of shares in associates - of which goodwill	2,868 33 4,901	10,329 11,526 3,399 37 5,886	8,056 1,537 2 4,953	9,470 2,002 2 6,202	2,612 833 5 1,177	3,000 972 14 1,665	5,003 1,030 - 3,468	6,139 1,266 - 4,309	3,131 171 - 2,569	3,316 205 - 2,796	-87 133 - -	43 129 - -	29,045 6,572 40 17,068	33,494 7,972 54 20,857
Return on capital employed excl items affecting comparability	22.4%	15.9%	24.1%	20.9%	16.1%	16.4%	12.6%	12.1%	13.5%	15.1%			18.6%	14.8%
Operating income (EBIT) Restructuring costs Depreciation Net capital expenditure Movement in working capital Cash flow 4) Adjustment for non-cash items Paid and received interest Operating cash flow 4)	608 - 111 -55 8 672	489 - 125 -77 61 597	497 - 46 -48 68 564	512 - 59 -37 323 857	104 - 20 -30 -40 55	123 - 24 -23 97 221	159 - 32 -28 20 183	194 - 40 -34 34 234	105 - 9 -9 -40 65	128 - 10 -13 24 149	-96 - 3 -4 -129 -26 -206	-106 - 3 -1 -193 -20 -157	1,378 - 222 -173 -113 1,313 -26 -206 1,081	1,340 - 261 -186 346 1,761 -20 -157 1,584

SEK M		EMEA 5)	Americas 6)			Asia Pacific 7)		Global Technologies 8)	Systems	Entrance	Other		Total
Jan - Jun and 30 Jun respectively	2008	2009	2008	2009	2008	2009	2008	2009	2008	2009	2008	2009	2008	2009
Sales, external Sales, intragroup	6,829 221	6,760 172	4,819 22	5,344 19	1,413 136	1,576 146	2,230 86	2,458 59	1,437 18	1,664 22	-482	-418	16,728 9)	17,803
Sales Organic growth 3)	7,051 1%	6,932 -16%	4,841 4%	5,362 -16%	1,548 6%	1,723 -8%	2,315 3%	2,518 -9%	1,455 5%	1,685 -3%	-482	-418	16,728 3%	17,803 -13%
Operating income (EBIT) Operating margin (EBIT)	1,175 16.7%	985 14.2%	964 19.9%	1,038 19.4%	158 10.2%	177 10.3%	319 13.8%	393 15.6%	194 13.3%	256 15.2%	-188	-181	2,621 15.7%	2,668 15.0%
Items affecting comparability 11)	-	-109	-	-	-	-	-	-	-	-	-	-	-	-109
Operating income (EBIT) incl items affecting comparability	1,175	876	964	1,038	158	177	319	393	194	256	-188	-181	2,621	2,559
Capital employed - of which other intangibles & fixed assets - of shares in associates - of which goodwill	2,868 33 4,901	10,329 11,526 3,399 37 5,886	8,056 1,537 2 4,953	9,470 2,002 2 6,202	2,612 833 5 1,177	3,000 972 14 1,665	5,003 1,030 - 3,468	6,139 1,266 - 4,309	3,131 171 - 2,569	3,316 205 - 2,796	-87 133 - -	43 129 - -	29,045 6,572 40 17,068	33,494 7,972 54 20,857
Return on capital employed excl items affecting comparability	21.8%	15.3%	23.3%	20.7%	12.3%	12.2%	12.4%	12.6%	12.3%	14.9%			17.5%	15.2%
Operating income (EBIT) Restructuring costs Depreciation Net capital expenditure Movement in working capital Cash flow 4) Adjustment for non-cash items Paid and received interest Operating cash flow 4)	1,175 - 222 -120 -365 912	876 109 252 -149 -151 938	964 - 97 -91 -178 792	1,038 - 122 -95 278 1,344	158 - 40 -47 -10 141	177 - 48 -43 74 255	319 - 70 -54 -110 224	393 - 79 -67 -81 323	194 - 18 -16 42 237	256 - 20 -16 130 390	-188 - 7 -9 -74 -12 -368	-181 - 6 -2 -220 -80 -350	2,621 - 453 -337 -695 2,042 -12 -368 1,663	2,559 109 527 -373 30 2,852 -80 -350 2,422
Average number of employees		12,053 10,512	8,759	7,169	7,091	7,404	2,773	2,528	2,249	2,176	116	114	33,041	29,903

								Global	Entrance
SEK M		5) EMEA	Americas 6)		Asia Pacific 7)			Technologies 8)	Systems			Other	Total
Jan - Dec and 31 Dec respectively	2007	2008	2007	2008	2007	2008	2007	2008	2007	2008	2007	2008	2007	2008
Sales, external Sales, intragroup	13,073 405	13,578 410	10,166 54	10,426 41	2,558 222	3,031 290	4,805 117	4,748 136	2,949 38	3,135 39	-836	-915	33,550 10)	34,918 10)
Sales Organic growth 3)	7%	13,477 13,988 -2%	5%	10,220 10,467 4%	2,780 10%	3,321 0%	4,922 11%	4,884 0%	2,987 6%	3,173 3%	-836	-915	33,550 7%	34,918 0%
Operating income (EBIT) Operating margin (EBIT)	2,295 17.0%	2,289 16.4%	1,995 19.5%	2,101 20.1%	322 11.6%	357 10.8%	754 15.3%	729 14.9%	432 14.4%	453 14.3%	-340	-404	5,458 16.3%	5,526 15.8%
Items affecting comparability 11)	-	-863	-	-77	-	-65	-	-149	-	-103	-	-	-	-1,257
Operating income (EBIT) incl items affecting comparability	2,295	1,426	1,995	2,024	322	293	754	580	432	350	-340	-404	5,458	4,269
Capital employed - of which other intangibles & fixed assets - of shares in associates - of which goodwill	10,055 2,924 32 4,926	12,306 3,450 31 5,766	8,595 1,631 2 4,928	9,639 1,944 2 6,236	2,520 809 5 1,211	2,768 914 5 1,628	5,181 1,115 - 3,640	6,112 1,282 - 4,275	3,149 171 - 2,566	3,425 207 - 2,763	132 -	-879 -1,400 148 -	28,621 6,782 39 17,270	32,850 7,945 38 20,669
Return on capital employed excl items affecting comparability	21.9%	19.9%	22.7%	24.5%	13.8%	13.2%	14.7%	12.7%	13.7%	13.8%			18.4%	17.2%
Operating income (EBIT) Restructuring costs Depreciation Net capital expenditure Movement in working capital Cash flow 4) Adjustment for non-cash items Paid and received interest Operating cash flow 4)	2,295 - 433 -351 -111 2,267	1,426 786 455 -328 82 2,421	1,995 - 218 -141 140 2,211	2,024 77 205 -214 5 2,097	322 - 69 -56 -40 294	293 65 80 -98 120 460	754 - 138 -164 -29 699	580 149 136 -129 -64 672	432 - 38 -14 41 497	350 103 37 -31 -60 399	-340 - 12 -22 -27 -49 -734	-404 - 8 -29 -88 -49 -718	5,458 - 909 -751 -25 5,591 -49 -734 4,808	4,269 1,180 921 -829 -5 5,536 -49 -718 4,769
Average number of employees	12,493	11,903	9,428	8,573	5,445	7,065	2,650	2,811	2,137	2,260	113	111	32,267	32,723

1) Number of shares, thousands, used for the calculation amount to 365,918 for all periods.

2) Number of shares, thousands, used for calculation: Apr-Jun 379,687 (380,713), Jan-Jun: 380,197 (380,713), Jan-Dec 2008: 380,713. 3) Organic growth concern comparable units after adjustment for acqusitions and currency effects.

4) Excluding restructuring items.

5) Europe, Middle East and Africa.

6) North, Central and South America.

7) Asia, Australia and New Zealand.

8) ASSA ABLOY Hospitality and HID Global.

9) Sales Jan Jun 2009 (2008) by Geography: Europe 8,050 (8,167), North America 6,694 (5,803), Central and South America 308 (318), Africa 336 (273), Asia 1,569 (1,232), Pacific 846 (935).

10) Sales Jan-Dec 2008 (2007) by Geography: Europe 16,219 (15,924), North America 12,787 (12,503), Central and South America 632 (583), Africa 560 (506), Asia 2,890 (2,127), Pacific 1,829 (1,908). 11) Items affecting comparability consist of restructuring costs and non-recurring costs. The non-recurring costs 2008 relate to EMEA and amounted SEK 77 M, both for Q4 2008 and the full year 2008.