Electrolux — Earnings Release 2009

Feb 3, 2010

AB ELECTROLUX (PUBL) Postal address Media hotline Investor Relations E-mail SE-105 45 Stockholm, Sweden +46 8 657 65 07 +46 8 738 60 03 ir@electrolux.se Visiting address Telefax Website Reg. No. S:t Göransgatan 143 +46 8 738 74 61 www.electrolux.com 556009-4178

Change

1) Basic, based on an average of 284.4 (283.6) million shares for the fourth quarter and 284.0 (283.1) million shares for the full year of 2009,

excluding shares held by Electrolux.

For earnings per share after dilution, see page 11.

For definitions, see page 19.

For further information, please contact Peter Nyquist, Head of Investor Relations and Financial Information, at +46 8 738 60 03.

Net sales	28,215	28,663	-1.6	109,132	104,792	4.1
Operating income	805	-347	n/a	3,761	1,188	216.6
Margin, %	2.9	-1.2		3.4	1.1
Income after financial items	801	-530	n/a	3,484	653	433.5
Income for the period	664	-474	n/a	2,607	366	612.3
Earnings per share, SEK1)	2.34	-1.68		9.18	1.29
Return on net assets, %	-	-		19.4	5.8
Excluding items affecting comparability
Items affecting comparability	-1,218	42		-1,561	-355
Operating income	2,023	-389	n/a	5,322	1,543	244.9
Margin, %	7.2	-1.4		4.9	1.5
Income after financial items	2,019	-572	n/a	5,045	1,008	400.5
Income for the period	1,583	-516	n/a	3,851	656	487.0
Earnings per share, SEK1)	5.57	-1.82		13.56	2.32
Return on net assets, %	-	-		26.2	7.2

• The Board proposes a dividend for 2009 of SEK 4.00 (0.00) per share.

SEKm Q4 2009 Q4 2008

• Lower costs for raw materials positively impacted income. However, costs for
raw materials increased in the quarter compared to the third quarter of 2009.

• • Cost savings, sales prices and lower costs for raw materials contributed
• strongly to the improvement in income. • Extra contributions of SEK 3,935m to Group pension funds in fourth quarter
• resulting in appropriate funding levels and reduced balance-sheet risk exposure
• to pension commitments.
• • Continued strong operating cash flow in the quarter, excluding extra pension contributions, resulted in a very strong cash flow for 2009.
• Contents Net sales and income 2 Market overview 3 Business areas 3 Cash flow 6 Financial position 6 Structural changes 7 Proposed dividend 8

Financial statements 11

Change %

Highlights of the fourth quarter of 2009

• Results improved across all business areas.

Stockholm, February 3, 2010

• • Net sales amounted to SEK 28,215m (28,663) and income for the period was
• SEK 664m (-474), or SEK 2.34 (-1.68) per share. • Net sales declined by 1% in comparable currencies, due to continued

Consolidated results 2009

• weak markets.
• • Price and mix continued to have a positive effect on sales. • Operating income amounted to SEK 2,023m (-389), corresponding to a margin of 7.2%, excluding items affecting comparability.

% 2009 2008

Net sales and income

Fourth quarter of 2009

Net sales for the Electrolux Group in the fourth quarter of 2009 amounted to SEK 28,215m (28,663). Sales were adversely impacted by lower volumes, while price and mix had a positive impact. Net sales decreased by 1% in comparable currencies.

Change in net sales

%	Q4 2009	2009
Changes in Group structure	0.0	0.0
Changes in exchange rates	-1.0	8.9
Changes in volume/price/mix	-0.6	-4.8
Total	-1.6	4.1

Operating income

Operating income for the fourth quarter of 2009 increased to SEK 805m (-347) and income after financial items to SEK 801m (-530). Lower costs for raw materials had a positive impact on operating income. However, costs for raw materials increased in the fourth quarter compared to the third quarter of 2009. Previous price increases and cost savings also contributed to the improvement in income. Income for the period amounted to SEK 664m (-474), corresponding to SEK 2.34 (-1.68) in earnings per share.

In the light of the sharp market decline by the end of 2008, a costs savings program was initiated in the fourth quarter to reduce the number of employees by approximately 3,000. All operations on a global basis were affected. In the fourth quarter of 2008, non-recurring items were charged against operating income in the total amount of approximately SEK -1,115m, see table below.

Impact of Electrolux US launch and cost-reduction

measures

SEKm, approximately	Q4 2009	Q4 2008
Net impact of the launch of Electrolux, appliances North America	-	-70
Cost-savings program:
Consumer Durables, Europe	-	-800
Consumer Durables, North America	-	-45
Consumer Durables, Latin America	-	-10
Consumer Durables, Asia/Pacific	-	-110
Professional Products	-	-40
Group staff	-	-40
Total	-	-1,115

Items affecting comparability

Operating income for the fourth quarter of 2009 includes items affecting comparability in the amount of SEK -1,218m (42), referring to restructuring provisions related to appliances plants and consolidation of corporate operations in North America, see page 7 and table on page 11. Excluding items affecting comparability, operating income amounted to SEK 2,023m (-389).

Share of sales by business area, for the full year of 2009 Operating income and margin*

Consumer Durables, 93% Europe, 38% North America, 33%

Latin America, 13%

Asia/Pacific and

Rest of world, 9%

Professional Products, 7%

Effects of changes in exchange rates

Changes in exchange rates compared to the previous year, including both translation and transaction effects, had a positive impact of SEK 304m on operating income for the fourth quarter of 2009, compared to the same period in the previous year. Transaction effects net of hedging contracts amounted to SEK 358m, and referred mainly to the strengthening of the Australian dollar and the Brazilian real against the US dollar. Translation of income statements in subsidiaries had an impact of SEK -54m.

The effect of changes in exchange rates on income after financial items amounted to SEK 311m.

Financial net

Net financial items for the fourth quarter of 2009 amounted to SEK -4m, compared to SEK -183m for the corresponding period in the previous year. The improvement is mainly due to lower interest rates on borrowings and lower net borrowings.

Full year of 2009

Net sales for the Electrolux Group in 2009 amounted to SEK 109,132m, as against SEK 104,792m in the previous year. Sales were adversely impacted by lower volumes, while higher prices and an improved mix had a positive impact. In comparable currencies, net sales declined by 5%.

Operating income

Operating income for 2009 increased to SEK 3,761m (1,188) and income after financial items to SEK 3,484m (653). Previous price increases, an improved mix, lower costs for raw materials and cost efficiency measures contributed to the improvement in income. Income for the period increased to SEK 2,607m (366), corresponding to SEK 9.18 (1.29) in earnings per share.

Operating income in the first quarter of 2009 was negatively impacted by the North American launch in the net amount of SEK -200m. In 2008, non-recurring items were charged against operating income in the total amount of approximately SEK -1,945m, see table below.

Impact of cost-reduction measures, Electrolux North American launch and non-recurring items

SEKm, approximately	2009	2008
Cost-reduction measures due to sharp decline in demand	-	-1,045
Net impact of the launch of Electrolux, applian ces North America	-200	-470
Cost-cutting program, appliances Europe	-	-360
Cost for a component problem for dishwashers, appliances Europe	-	-120
Capital gain, real estate, appliances Europe	-	130
Cost for litigation, appliances North America	-	-80
Total	-200	-1,945

* Excluding items affecting comparability.

Items affecting comparability

Operating income for 2009 includes items affecting comparability in the amount of SEK -1,561m (-355), see table on page 11. Excluding items affecting comparability, operating income for 2009 increased to SEK 5,322m (1,543) and income after financial items to SEK 5,045m (1,008). Income for the period was SEK 3,851m (656), corresponding to SEK 13.56 (2.32) in earnings per share.

Effects of changes in exchange rates

Changes in exchange rates compared to the previous year, including both translation and transaction effects, had an impact of SEK -295m on operating income for 2009. Transaction effects net of hedging contracts amounted to SEK -333m, and referred mainly to changes in exchange rates related to the US dollar and the euro against several other currencies. Translation of income statements in subsidiaries had an effect of SEK 38m.

The effect of changes in exchange rates on income after financial items amounted to SEK -278m.

Financial net

Net financial items for the full year of 2009 decreased to SEK -277m, compared to SEK -535m for 2008. The improvement is mainly due to lower interest rates on borrowings and lower net borrowings.

Taxes

Total taxes in 2009 amounted to SEK -877m (-287), corresponding to 25.2% (44.0) of income after financial items. The tax rate for 2009 was positively impacted by reversal of a tax provision following a tax settlement in Europe. The tax rate in 2008 was negatively impacted by the low level of earnings.

Market overview

Some of Electrolux main markets started to show some recovery during the fourth quarter of 2009, although compared to a very weak fourth quarter of 2008. The North American market rose slightly after thirteen consecutive quarters with decline. In the fourth quarter, industry shipments of core appliances in the US increased by 4%. Demand in some markets in Europe, as Germany, France, and Italy showed some stabilization. However, most of Electrolux main markets continued to show a decline although at a lower rate than in previous quarters. The European market has been falling for nine consecutive quarters. Eastern Europe showed a continued downturn in the fourth quarter, declining by 17%. Demand in Western Europe declined by 2% and the total market in Europe by 7%. The market in Brazil continued to increase in the fourth quarter due to temporary tax reductions on domestically-produced appliances.

There are no indications of a strong recovery in any of the Group's main markets, and therefore we only expect a modest improvement from the currently low level of market demand for appliances in 2010.

Business areas

Changes in net sales and operating income by business area in comparable currencies are given on page 15.

Consumer Durables, Europe

SEKm	Q4 2009	Q4 2008	2009	2008
Net sales	11,285	11,972	42,300	44,342
Operating income	829	-638	2,188	-22
Operating margin, %	7.3	-5.3	5.2	0.0

Operating income for the fourth quarter and the full year of 2008 includes non-recurring items and provisions for cost-cutting programs in the net amounts of SEK -800m and SEK -1,150m, respectively, see page 2.

Industry shipments of core appliances in Europe

Units, year-over-year, %	Q4 2009	2009
Western Europe	-2	-6
Eastern Europe (excluding Turkey)	-17	-25
Total Europe	-7	-11

Core appliances

Demand for appliances in Europe during the fourth quarter of 2009 continued to decline in comparison with the same period in 2008. The rate of decline was lower than in the first three quarters, however. Demand declined by 7% compared to the last quarter of 2008. Shipments in Western Europe fell by 2% and demand continued to decline in several of the Group's major markets, including the UK, Spain and the Nordic region. Demand rose in Germany, France and Italy. Industry shipments of appliances in Eastern Europe declined by 17%.

Group sales showed a continued decline in both the fourth quarter and the full year of 2009, due to lower volumes, resulting from the weak market.

Operating income was substantially higher for both the fourth quarter and the full year in comparison with 2008. Factors contributing to the improvement included a positive price and mix development and lower costs for raw materials. However, costs for raw materials increased in the fourth quarter compared to the previous quarter. Personnel cutbacks and other cost-cutting measures during the year also contributed to the improvement in income.

Quelle of Germany, one of the Group's major retailers, went into bankruptcy in the fourth quarter of 2009. This reduced the Group's sales of appliances under private labels. At the same time, Electrolux strengthened its position in the market for built-in products.

Floor-care products

Demand for vacuum cleaners in Europe continued to decline in the fourth quarter and the full year of 2009 in comparison with 2008. The downturn in the fourth quarter was lower than in the first three quarters, however.

Group sales in the fourth quarter were in line with the corresponding period in 2008, despite lower volumes, as sales in the premium segment increased. Operating income improved substantially due to an improved product mix. Mainly as a result of the launches of the premium vacuum cleaner UltraOne at the beginning of the year as well as other premium products during the second half of 2009.

Demand for vacuum cleaners in the full year of 2009 was lower than in 2008. Group sales declined as a result of lower sales volumes, and operating income was lower. The decline in income was offset to some extent by an improved product mix, lower product costs, and cost savings.

Consumer Durables, North America

SEKm	Q4 2009	Q4 2008	2009	2008
Net sales	7,865	8,928	35,726	32,801
Operating income	450	-43	1,476	222
Operating margin, %	5.7	-0.5	4.1	0.7

Operating income for 2008 includes the net impact of the launch in North America of the Electrolux brand, costs related to cost-cutting measures, and other non-recurring items in the amounts of SEK -115m for the fourth quarter and SEK -595m for the full year, see page 2.

Industry shipments of core appliances in the US

Units, year-over-year, %	Q4 2009	2009
Core appliances	4	-8
Major appliances	2	-14

Core appliances

Market demand for core appliances in the US showed an increase in the fourth quarter of 2009, following thirteen consecutive quarters of decline. Demand increased by 4% in the fourth quarter in comparison with 2008.

Group sales in comparable currencies were lower in both the fourth quarter and the full year in comparison with 2008. However, a positive price and mix development provided some compensation for lower sales volumes. Sales volumes were impacted by increased competition within the laundry-product category.

Operating income rose considerably for both the fourth quarter and the full year in comparison with 2008, despite lower volumes.

Consumer Durables, North America

Factors contributing to the improvement in income included a positive price and mix development, higher internal efficiency and lower costs for raw materials. However, costs for raw materials increased slightly in the fourth quarter compared to the previous quarter. Income was positively affected by higher productivity at the Group's plants despite lower utilization of capacity.

The re-launch of new products under the Frigidaire brand during the year contributed to mix improvements, as well as the Electrolux brand which increased market share in the kitchen-product category.

Floor-care products

Market demand for vacuum cleaners in North America increased in the fourth quarter in comparison with the corresponding period in 2008. Group sales rose as a result of higher sales volumes, particularly due to seasonally high volumes for Thanksgiving. Operating income improved on the basis of cost savings and lower product costs.

For the full year 2009, demand for vacuum cleaners was lower than in the previous year. Group sales increased somewhat as a result of higher volumes, primarily in the low- and mid-range price segments. Operating income and margin were in line with 2008. Income was positively affected by cost-cutting measures and lower product costs.

Consumer Durables, Latin America

SEKm	Q4 2009	Q4 2008	2009	2008
Net sales	4,401	3,305	14,165	10,970
Operating income	368	244	878	715
Operating margin, %	8.4	7.4	6.2	6.5

Operating income for the fourth quarter of 2008 includes costs related to cost-cutting measures, in the amount of SEK -10m, see page 2.

Market demand for appliances in Latin America is estimated to have risen during the fourth quarter of 2009 in comparison with the same period in 2008, on the basis of strong growth in Brazil. The increase in Brazil resulted from the Brazilian government's stimulus package, in the form of lower taxes on domestically-produced appliances. Lower interest rates and greater access to credit also contributed to increased consumption. Market demand continued to decline in most of the other Latin American markets.

The Group's sales volumes showed a continued increase in both the fourth quarter and the full year in comparison with 2008. Sales

Industry shipments of core appliances in the US*

* Units, year-over-year, %.

5 Consolidated results 2009

were substantially higher, and the Group captured additional market shares in Brazil. Operating income for both the fourth quarter and the full year improved on the basis of positive price and mix development and lower costs for raw materials. Operating margin for the full year declined, following the weak performance in the first quarter.

Launches of new products during the year contributed to the improvement in the product mix. For the second consecutive year, operating income for the Latin American operation was at a record high.

Consumer Durables, Asia/Pacific and Rest of world

SEKm	Q4 2009	Q4 2008	2009	2008
Net sales	2,741	2,409	9,806	9,196
Operating income	254	16	619	369
Operating margin, %	9.3	0.7	6.3	4.0

Operating income for the fourth quarter of 2008 includes costs related to cost-cutting measures, in the amount of SEK -110m, see page 2.

Australia and New Zealand

Market demand for appliances in Australia continued to decline during the fourth quarter. Group sales were higher, mainly as a result of increased sales of air-conditioners. Operating income improved, primarily on the basis of higher sales volumes, positive development of sales prices, currency and raw materials.

Market demand for appliances in Australia for the full year of 2009 is estimated to have been lower than in 2008. Group sales rose on the basis of higher sales volumes and maintained price levels. Operating income showed an improvement as a result of positive development of raw materials and sales prices as well as cost-cutting programs.

Southeast Asia and China

Market demand in Southeast Asia is estimated to have been somewhat higher in the fourth quarter, following three consecutive quarters of decline, compared to the same period in the previous year. Demand in the full year was unchanged.

Group sales in Southeast Asia showed strong growth in several markets in the fourth quarter and the full year, and the Group captured market shares. The operation in Southeast Asia continued to show good profitability.

The operation in China was positively affected by implemented cost-cutting measures as well as the repositioning of the Electrolux brand.

Professional Products

SEKm	Q4 2009	Q4 2008	2009	2008
Net sales	1,923	2,021	7,129	7,427
Operating income	225	181	668	774
Operating margin, %	11.7	9.0	9.4	10.4

Operating income for the fourth quarter of 2008 includes costs related to cost-cutting measures, in the amounts of SEK -40m, see page 2.

Estimates of market demand for food-service equipment indicate a continued decline in the fourth quarter of 2009 in comparison with the same period in the previous year.

Group sales of food-service equipment declined in the fourth quarter as a result of lower sales volumes, a less favorable product mix, and downward pressure on prices. Despite lower sales and lower utilization of capacity, operating margin was in line with the fourth quarter of 2008, primarily on the basis of lower costs for raw materials, previous personnel cutbacks, and more efficient production.

Group sales of food-service equipment declined for the full year 2009 in comparison with 2008, as a result of lower sales volumes, and operating income also declined.

Estimates of market demand for laundry equipment indicate a continued decline in the fourth quarter of 2009 in comparison with the same period in the previous year. Group sales rose as a result of higher sales volumes, and market shares expanded. Operating income and margin improved, mainly on the basis of higher sales volumes, implemented cost-cutting measures and favorable exchange rates.

Group sales of laundry equipment were lower for the full year 2009 in comparison with 2008, as a result of lower sales volumes. Operating income improved, however, on the basis of lower costs for raw materials, favorable exchange rates, price increases and lower costs for production and administration.

Cash flow

Cash flow from operations and investments in the fourth quarter of 2009 amounted to SEK -1,440m (966). Exclusive of extra contribution to pension funds, the cash flow for the quarter was very strong, amounting to SEK 2,495m.

SEK 3,935m was paid to the Group's pension funds during the quarter. This included payments to pension funds in Germany, the US and the UK. The payments have reduced the Group's pension net debt, limited risk exposure and volatility in pension liabilities.

The strong cash flow was generated by the increased income from operations and by changes in operating assets and liabilities. Cash flow from working capital continued to be very positive in the fourth quarter. Seasonally lower sales and production in December had a positive effect on trade receivables and inventories. Inventory levels declined steadily during the year. The Group's ongoing structural efforts to reduce tied-up capital also contributed to the strong cash flow in the quarter and the full year of 2009. The Group's inventories, trade receivables and accounts payable developed favorably in relation to net sales, see table on page 14.

Payments for previously delivered air-conditioners in the US had an adverse effect on cash flow in the amount of approximately SEK 900m during the quarter. Outlays for the ongoing restructuring and cost-cutting programs amounted to approximately SEK 220m.

Investments during the fourth quarter of 2009 referred mainly to manufacturing systems for new products, and to reinvestment. In 2008, investments included new plants in connection with relocation of production.

Cash flow from operations and investments for the full year 2009 amounted to SEK 9,265m, exclusive of pension payments.

Cash flow

SEKm	Q4 2009	Q4 2008	2009	2008
Cash flow from operations, excluding change in operating assets and liabilities	2,171	594	6,378	3,446
Change in operating assets and liabilities	1,405	1,626	5,854	1,503
Extra contributions to pension funds	-3,935	0	-3,935	0
Investments	-1,081	-1,254	-2,967	-3,755
Cash flow from operations and investments	-1,440	966	5,330	1,194
Dividend	-	-	0	-1,204
Sale of shares	10	-	69	17
Total cash flow, excluding change in loans and short term investments	-1,430	966	5,399	7

Financial position

Total equity as of December 31, 2009, amounted to SEK 18,841m (16,385), which corresponds to SEK 66.24 (57.78) per share.

Net borrowings

SEKm	Dec. 31, 2009	Dec. 31, 2008
Borrowings	14,022	13,946
Liquid funds	13,357	9,390
Net borrowings	665	4,556
Net debt/equity ratio	0.04	0.28
Equity	18,841	16,385
Equity per share, SEK	66.24	57.78
Return on equity, %	14.9	2.4
Return on equity, excluding items
affecting comparability, %	22.0	4.2
Equity/assets ratio, %	31.8	25.6

Net borrowings

Net borrowings amounted to SEK 665m (4,556). The net debt/ equity ratio was 0.04 (0.28). The equity/assets ratio was 31.8% (25.6).

During 2009, SEK 1,639m of new long-term borrowings were raised. Long-term borrowings as of December 31, 2009, excluding long-term borrowings with maturities within 12 months, amounted to SEK 10,241m with average maturities of 3.9 years, compared to SEK 9,963m and 4.7 years by the end of 2008.

During 2010 and 2011, long-term borrowings in the amount of SEK 2,217m will mature. Liquid funds as of December 31, 2009, excluding a committed unused revolving credit facility of EUR 500m, amounted to SEK 13,357m.

Net assets and working capital

Average net assets for the period amounted to SEK 19,411m (20,538). Net assets as of December 31, 2009, amounted to SEK 19,506m (20,941).

Adjusted for items affecting comparability, i.e., restructuring provisions, average net assets amounted to SEK 20,320m (21,529), corresponding to 18.6% (20.5) of net sales.

Working capital as of December 31, 2009, amounted to SEK -5,154m (-5,131), corresponding to -4.5% (-4.4) of annualized net sales.

The return on net assets was 19.4% (5.8), and 26.2% (7.2), excluding items affecting comparability.

Pension commitments

The provisions for post-employment benefits as of December 31, 2009, decreased to SEK 2,168m (6,864), mainly as a result of extra contributions of SEK 3,935 to pension funds in December.

Cash flow from operations and investments

Cash flow and change in net borrowings

Structural changes

January 2010

Production of cookers in Sweden to be phased out

In 2009, an analysis was performed of a possible phase-out of cooker production in Motala, Sweden. It was subsequently decided that the Group's production of cookers in Motala will be discontinued. The greater part will be phased out and it is intended that an external part will take over production of large cookers and compact-kitchens. Approximately 240 people are employed at the plant. The cost of the discontinuation is estimated at approximately SEK 90m, which will be charged against operating income, within items affecting comparability in the first quarter of 2010.

December 2009

North American corporate office operations to be consolidated To take advantage of synergies, improve coordination and increase efficiencies, it has been decided to consolidate most of the US corporate office operations and support functions into one single location. The new corporate headquarters will be located in Charlotte, North Carolina.

Consolidation will be done gradually and is scheduled to start in the third quarter of 2010. The cost for the consolidation is estimated to SEK 218m, which was charged to operating income of in the fourth quarter of 2009, within items affecting comparability.

October 2009

Production of laundry products in North America to be concentrated

Decision has been taken to concentrate production of laundry products in North America to the Group's factory in Juarez, Mexico, while ceasing production at the plant in Webster City and its satellite plant in Jefferson, Iowa. A total of approximately 950 employees will be affected.

Production is expected to be discontinued at the Jefferson plant in the fourth quarter of 2010 and at the Webster City plant in the first quarter of 2011. The cost for the closures is estimated to SEK 560m, which was charged to operating income in the fourth quarter of 2009, within items affecting comparability.

Production at the washing-machine factory in Spain to be discontinued

It has been decided to discontinue production at the washingmachine factory in Alcalà, Spain. A total of approximately 450 employees will be affected.

Production is expected to be discontinued in the first quarter of 2011. The cost for the closure is estimated to SEK 440m, which was charged to operating income in the fourth quarter of 2009, within items affecting comparability.

April 2009

Washing-machine plant in Russia to be closed

Electrolux will close the plant in St. Petersburg, Russia. Production comprises washing machines mainly for the Russian market, with approximately 250 employees.

The closure is scheduled for completion in the second quarter of 2010. The shutdown involves a total cost of SEK 105m, which was taken as a charge against operating income in the first quarter of 2009, within items affecting comparability.

Refrigerator plant in China has been closed

Electrolux discontinued production at the refrigerator plant in Changsha, China, in the first quarter of 2009. The closure of the factory involved a total cost of SEK 162m, which was taken as a charge against operating income in the first quarter of 2009, within items affecting comparability. About 700 employees were affected by the closure. Distribution of appliances is now concentrated to gain a strong position in the premium segment.

March 2009

Higher efficiency at the washing-machine plant in Italy Electrolux will re-engineer production at the washing-machine plant in Porcia, Italy, in order to increase efficiency and productivity. This involves a cost of SEK 132m, which was taken as a charge against operating income in the first quarter of 2009, within items affecting comparability.

Changes in Group Management

Keith McLoughlin, new Chief Operations Officer Major Appliances

Keith McLoughlin was appointed Chief Operations Officer Major Appliances in July 2009. Keith McLoughlin is responsible for a new global organization for R&D, purchasing and manufacturing, with the objective of taking full advantage of the Group's global reach and economies of scale. Keith McLoughlin is a member of Group Management and reports to the President and CEO Hans Stråberg. Previously, Keith McLoughlin was head of Electrolux Major Appliances North America.

Kevin Scott, new head of Major Appliances North America

Kevin Scott was appointed new head of Major Appliances North America in July 2009. He succeeded Keith McLoughlin, who has a new appointment as head of global operations for major appliances, see above. Kevin Scott is a member of Group Management and reports to the President and CEO Hans Stråberg. Previously, Kevin Scott has held various management positions within Electrolux Major Appliances North America. Prior to joining Electrolux, Mr Scott held senior positions with DuPont and Pepsi.

Relocation of production, items affecting comparability, restructuring measures 2007–2011

Plant closures and cutbacks Closed
Torsvik	Sweden	Compact appliances	(Q1 2007)
Nuremberg	Germany	Dishwashers, washing machines and dryers	(Q1 2007)
Adelaide	Australia	Dishwashers	(Q2 2007)
Fredericia	Denmark	Cookers	(Q4 2007)
Adelaide	Australia	Washing machines	(Q1 2008)
Spennymoor	UK	Cookers	(Q4 2008)
Changsha	China	Refrigerators	(Q1 2009)
Scandicci	Italy	Refrigerators	(Q2 2009)

Authorized closures			Estimated closure
St. Petersburg	Russia	Washing machines	(Q2 2010)
Webster City	USA	Washing machines	(Q1 2011)
Alcalà	Spain	Washing machines	(Q1 2011)
Re-engineering			Effected
Porcia	Italy	Washing machines	(Q4 2010)

In 2004, Electrolux initiated a restructuring program to make the Group's production competitive in the long term. When it is fully implemented in 2011, more than half of production of appliances will be located in low-cost countries and savings will amount to approximately SEK 3 billion annually. Restructuring provisions and write-downs are reported as items affecting comparability within operating income. For information on provisions in 2009, see table on page 11.

Alberto Zanata, new head of Professional Products

Alberto Zanata was appointed new head of Electrolux Professional Products in June 2009. He succeeded Dr. Detlef Münchow, who has left the Group. Alberto Zanata is a member of Group Management and reports to the President and CEO Hans Stråberg. Previously, Mr Zanata has held various management positions within Electrolux operations for professional products.

Other items

Electrolux has applied for delisting from the LSE

Electrolux has applied for delisting from the London Stock Exchange (LSE). The Electrolux B-share has been listed on the LSE since 1928.

The LSE listing has been a part of a strategy to increase international ownership in Electrolux. However, this listing is no longer deemed necessary due to the deregulation of international capital markets and the increased foreign ownership of shares on the Nasdaq OMX Stockholm.

In recent years, trading of Electrolux shares on the LSE has been limited. Electrolux has also exited its other international listings in recent years, including those of Paris, Zurich and Geneva as well as New York's Nasdaq.

It is expected that the delisting will become effective during the first quarter 2010.

Asbestos litigation in the US

Litigation and claims related to asbestos are pending against the Group in the US. Almost all of the cases refer to externally supplied components used in industrial products manufactured by discontinued operations prior to the early 1970s. Some of the cases involve multiple plaintiffs who have made identical allegations against many other defendants who are not part of the Electrolux Group.

As of December 31, 2009, the Group had a total of 2,818 (2,639) cases pending, representing approximately 3,120 (approximately 3,200) plaintiffs. During 2009, 760 new cases with approximately 760 plaintiffs were filed and 581 pending cases with approximately 850 plaintiffs were resolved. Approximately 40 of the plaintiffs relate to cases pending in the state of Mississippi.

Additional lawsuits may be filed against Electrolux in the future. It is not possible to predict either the number of future claims or the number of plaintiffs that any future claims may represent. In addition, the outcome of asbestos claims is inherently uncertain and always difficult to predict and Electrolux cannot provide any assurances that the resolution of these types of claims will not have a material adverse effect on its business or on results of operations in the future.

Hans Stråberg's comments

Conversion of shares

According to the company's articles of association, owners of A-shares have the right to have such shares converted to B-shares. Conversion reduces the total number of votes in the company.

In January 2010, at the request of shareholders, 439,150 A-shares were converted to B-shares. The total number of votes thereafter amounts to 39,048,843. The total number of registered shares in the company amounts to 308,920,308 shares, of which 9,063,125 are A-shares and 299,857,183 are B-shares.

Repurchase and transfer of own shares

For several years, Electrolux has on the basis of authorizations by the Annual General Meeting (AGM) acquired and transferred own shares. The purpose of the share-repurchase programs has been to enable adapting the capital structure of the Group and thereby to contribute to increased shareholder value, or to use the repurchased shares in conjunction with the financing of potential acquisitions and the Group's share-related incentive programs.

In accordance with the proposal by the Board of Directors, the AGM 2009 decided to authorize the Board to transfer own shares on the account of company acquisitions during the period up until the AGM in 2010. The Board of Directors did not request any mandate from the AGM to repurchase additional shares in the company.

The AGM also authorized transfers of up to 3,000,000 repurchased B-shares to cover costs that may arise as a result of the previous employee stock-option programs for 2002-2003 and the Electrolux Performance Share Program 2007.

As of December 31, 2009, Electrolux held 24,498,841 B-shares, corresponding to 7.9% of the total number of outstanding shares, see table on page 12.

Annual General Meeting 2010

The Annual General Meeting of AB Electrolux will be held on Tuesday, March 30, 2010, at the Berwald Hall, Dag Hammarskjölds väg 3, Stockholm, Sweden.

Proposed dividend

The Board of Directors proposes a dividend for 2009 of SEK 4.00 (0) per share, for a total dividend payment of approximately SEK 1,138m (0). The proposed dividend corresponds to 30% of income for the period, excluding items affecting comparability. Tuesday, April 6, 2010, is proposed as record date for the dividend.

The Group's goal is for the dividend to correspond to at least 30% of income for the period, excluding items affecting comparability. Historically, the Electrolux dividend rate has been considera-

Press releases 2009

February 4	Consolidated results 2008 and CEO	July 16	Keith McLoughlin, Executive Vice President, appointed Chief
	Hans Stråberg's comments		Operations Officer Major Appliances / Kevin Scott appointed
February 23	Nomination Committee proposes re-election		head of Major Appliances North America
	of Board members	September 14	Electrolux once again included in Dow Jones Sustainability
March 30	Dr. Detlef Münchow to leave Electrolux		World Index
March 31	Electrolux to close factory in St. Petersburg, Russia	September 30	Nomination Committee for Electrolux AGM 2010
March 31	Electrolux Annual General Meeting 2009: Excerpts from	October 23	Electrolux to discontinue production at factory in Alcalá, Spain
	the speech by President and CEO Hans Stråberg	October 26	Interim report January-September and CEO
April 22	Interim report January-March and CEO		Hans Stråberg's comments
	Hans Stråberg's comments	December 16	Electrolux applies for delisting from the London Stock Exchange
April 28	Electrolux will slash energy use by a further	December 16	Electrolux to consolidate its North American corporate office
	15% by 2012		operations into Charlotte, North Carolina
June 12	Alberto Zanata appointed new head of
	Professional Products
July 16	Interim report January-June and CEO

bly higher than 30%. Electrolux also has a long tradition of high total distribution to shareholders that includes repurchases and redemptions of shares as well as dividends.

No dividend was paid in 2008, as a consequence of the low income for the period, the sharp decline in demand and the great uncertainty on the development of the market for 2009.

Nomination Committee

In accordance with the decision by the Annual General Meeting in March 2009, Electrolux shall have a Nomination Committee consisting of six members. The members should be one representative of each of the four largest shareholders in terms of voting rights that wish to participate in the committee, together with the Chairman of the Electrolux Board and one additional Board member.

The members of the Nomination Committee have been appointed based on the ownership structure as of August 31, 2009. Petra Hedengran, Investor AB, is the Chairman of the committee. The other owner representatives are Ramsay J. Brufer, Alecta Pension Insurance; Marianne Nilsson, Swedbank Robur Funds, and Carina Lundberg Markow, Folksam Group. The committee also includes Marcus Wallenberg and Peggy Bruzelius, Chairman and Deputy Chairman, respectively, of Electrolux.

The committee will prepare proposals for the AGM in 2010, regarding Chairman of the AGM, Board members, Chairman of the Board, remuneration for Board members, Auditor, Auditor's fees and the procedure for electing nomination committee for the following year.

Shareholders who wish to submit proposals to the nomination committee should send an email to nominationcommittee@electrolux.com

Risks and uncertainty factors

Risks in connection with the Group's operations can, in general, be divided into operational risks related to business operations and those related to financial operations. Operational risks are normally managed by the operative units within the Group, and financial risks by the Group's treasury department.

Risks and uncertainty factors

Electrolux operates in competitive markets, most of which are relatively mature. Demand for appliances varies with general business conditions, and price competition is strong in a number of product categories. Electrolux ability to increase profitability and shareholder value is largely dependent on its success in developing innovative products and maintaining cost-efficient production. Major factors for maintaining and increasing competitiveness include managing fluctuations in prices for raw materials and components as well as implementing restructuring. In addition to these operative risks, the Group is exposed to risks related to financial operations, e.g., interest risks, financing risks, currency risks and credit risks. The Group's development is strongly affected by external factors, of which the most important in terms of managing risks currently include:

Variations in demand

Demand for appliances is affected by the general business cycle. A deterioration in these conditions may lead to lower sales volumes as well as a shift of demand to low-price products, which generally have lower margins. Utilization of production capacity may also decline in the short term. The global economic trend is an uncertainty factor in terms of the development of earnings in 2010.

Price competition

A number of the markets in which Electrolux operates features strong price competition. The Group's strategy is based on innovative products and brand-building, and is aimed, among other things, at minimizing and offsetting price competition for its products.

A continued downturn in market conditions involves a risk of increasing price competition.

Changes in prices for raw materials and components

The raw materials to which the Group is mainly exposed comprise steel, plastics, copper and aluminum. Bilateral agreements are used to manage price risks. To some extent, raw materials are purchased at spot prices. There is considerable uncertainty regarding trends for the prices of raw materials.

Access to financing

The Group's loan-maturity profile for 2010 and 2011 represents maturities of approximately SEK 2,200m in long-term borrowings.

Electrolux has an unused revolving credit facility for long- or short-term back-up.

Risks, risk management and risk exposure are described in more detail in the Annual report 2008, www.electrolux.com/annualreport2008.

Sensitivity analysis year-end 2009 Raw materials exposure 2009

Risk	Change		Pre-tax earnings impact, SEKm
Raw materials
Steel	10%	+/–	900
Plastics	10%	+/–	400
Currencies¹) and interest rates
EUR/SEK	–10%	+	529
USD/SEK	–10%	+	385
BRL/SEK	–10%	-	254
AUD/SEK	–10%	-	246
GBP/SEK	–10%	-	224
Interest rate	1 percentage point	+/–	60

Carbon steel, 39% Stainless steel, 8%

• Copper and aluminum, 11%
• Plastics, 23%
• Other, 19%

In 2009, Electrolux purchased raw materials for approximately SEK 19 billion. Purchases of steel accounted for the largest cost.

1) Include translation and transaction effects.

Parent company AB Electrolux

The Parent Company comprises the functions of the Group's head office, as well as five companies operating on a commission basis for AB Electrolux.

Net sales for the Parent Company, AB Electrolux, in 2009 amounted to SEK 5,928m (5,808), of which SEK 3,243m (3,026) referred to sales to Group companies and SEK 2,685m (2,782) to external customers. Income after financial items was SEK 3,161m (575), including dividends from subsidiaries in the amount of SEK 3,178m (1,573). Income for the period amounted to SEK 3,355m (663).

Capital expenditure in tangible and intangible assets was SEK 415m (453). Liquid funds at the end of the period amounted to SEK 3,869m, as against SEK 4,045m at the start of the year.

Undistributed earnings in the Parent Company at the end of the period amounted to SEK 12,694m, as against SEK 9,110m at the start of the year.

The income statement and balance sheet for the Parent Company are presented on page 18.

Stockholm, February 3, 2010

Hans Stråberg President and CEO

New accounting standards

IAS 1 Presentation of Financial Statements (Revised)

The Group has implemented the revised IAS 1, which is effective as of January 1, 2009. As a consequence, the Group's consolidated income statement includes items of other comprehensive income. Previously these items were reported within consolidated equity. Consequently, the consolidated equity statement is reported excluding these items. The change does not imply any new information or changes in key ratios.

IFRS 8 Operating Segments

This new standard replaces IAS 14, Segment Reporting, and prescribes the measurement and presentation of segments. Electrolux will report the same segments as previously. The impact of the new standard will be disclosed according to the standard, e.g., sales per country in the Annual Report.

The standard is effective for annual periods beginning on/or after January 1, 2009. The Group has applied the additional disclosure requirements in IAS 34, Interim Financial Reporting, in accordance with the new standard. As a consequence, assets and liabilities per segment are presented in the interim reports as from the first quarter of 2009.

Accounting and valuation principles

Electrolux applies International Financial Reporting Standards (IFRS) as adopted by the European Union. This report has been prepared in accordance with IAS 34, Interim Financial Reporting, and ÅRL, the Swedish Annual Accounts Act and recommendation RFR 2, Accounting for legal entities, issued by the Swedish Financial Reporting Board. There are no changes in the Group's accounting and valuation principles compared with the accounting and valuation principles described in Note 1 of the Annual Report 2008 and the description on new accounting standards above.

This report has not been audited.

Consolidated income statement

SEKm	Q4 2009	Q4 2008	2009	2008
Net sales	28,215	28,663	109,132	104,792
Cost of goods sold	-21,820	-24,129	-86,980	-86,795
Gross operating income	6,395	4,534	22,152	17,997
Selling expenses	-2,819	-3,413	-11,394	-11,788
Administrative expenses	-1,506	-1,540	-5,375	-4,839
Other operating income/expenses	-47	30	-61	173
Items affecting comparability	-1,218	42	-1,561	-355
Operating income	805	-347	3,761	1,188
Margin, %	2.9	-1.2	3.4	1.1
Financial items, net	-4	-183	-277	-535
Income after financial items	801	-530	3,484	653
Margin, %	2.8	-1.8	3.2	0.6
Taxes	-137	56	-877	-287
Income for the period	664	-474	2,607	366
Available for sale instruments1)	9	-11	138	-403
Cash-flow hedges2)	41	-32	-112	21
Exchange differences on translation of foreign operations3)	630	900	-264	1,589
Income tax relating other comprehensive income	-	-	-	-
Other comprehensive income, net of tax4)	680	857	-238	1,207
Total comprehensive income for the period	1,344	383	2,369	1,573
Income for the period attributable to:
Equity holders of the Parent Company	664	-474	2,607	366
Non-controlling interests in income for the period	-	-	-	-
Total comprehensive income for the period attributable to:
Equity holders of the Parent Company	1,344	383	2,369	1,573
Non-controlling interests in income for the period	-	-	-	-
Earnings per share, SEK	2.34	-1.68	9.18	1.29
Diluted, SEK	2.33	-1.68	9.16	1.29
Number of shares after buy-backs, million	284.4	283.6	284.4	283.6
Average number of shares after buy-backs, million	284.4	283.6	284.0	283.1
Diluted, million	285.4	283.6	284.6	283.2

1) Available for sale instruments refer to the fair-value changes in Electrolux share holdings in Videocon Industries Ltd., India. The share holdings are classified as available for sale in accordance with IFRS.

2) Cash-flow hedges refer to changes in valuation of currency contracts used for hedging future foreign currency transactions. When the actual transaction occurs, the result is reported within operating income.

3) Exchange-rate differences on translation of foreign operations refer to changes in exchange rates when net investments in foreign subsidiaries are translated to SEK. The amount is reported net of hedging contracts. In September, the Group changed source for the exchange rate for the VEF (Venezuelan Bolivar Fuerte) from the official rate to the parallel bank-market rate. This change in consolidation rate reduced the SEK value of equity by SEK 179m in the third quarter. 4) These items were previously reported within the financial statement; Changes in consolidated equity.

Items affecting comparability

SEKm	Q4 2009	Q4 2008	2009	2008
Restructuring provisions and write-downs
Appliances plant in Alcalà, Spain	-440	0	-440	0
Appliances plants in Webster City and Jefferson, USA	-560	0	-560	0
Office consolidation in USA	-218	0	-218	0
Appliances plant in Changsha, China	0	0	-162	0
Appliances plant in Porcia, Italy	0	0	-132	0
Appliances plant in St. Petersburg, Russia	0	0	-105	0
Appliances plants in Scandicci and Susegana, Italy	0	-3	0	-487
Reversal of unused restructuring provisions	0	45	56	132
Total	-1,218	42	-1,561	-355

Consolidated balance sheet

SEKm	Dec. 31, 2009	Dec. 31, 2008
Assets
Property, plant and equipment	15,315	17,035
Goodwill	2,274	2,095
Other intangible assets	2,999	2,823
Investments in associates	19	27
Deferred tax assets	2,693	3,180
Financial assets	434	280
Other non-current assets	1,745	1,472
Total non-current assets	25,479	26,912
Inventories	10,050	12,680
Trade receivables	20,173	20,734
Tax assets	1,103	511
Derivatives	377	1,425
Other current assets	2,947	3,460
Short-term investments	3,030	296
Cash and cash equivalents	9,537	7,305
Total current assets	47,217	46,411
Total assets	72,696	73,323
Equity and liabilities Equity attributable to equity holders of the Parent Company Share capital	1,545	1,545
Other paid-in capital	2,905	2,905
Other reserves	1,814	2,052
Retained earnings	12,577	9,883
	18,841	16,385
Non-controlling interests	0	0
Total equity	18,841	16,385
Long-term borrowings	10,241	9,963
Deferred tax liabilities	819	840
Provisions for post-employment benefits	2,168	6,864
Other provisions	5,449	4,175
Total non-current liabilities	18,677	21,842
Accounts payable	16,031	15,681
Tax liabilities	2,367	2,329
Short-term liabilities	11,235	10,644
Short-term borrowings	3,364	3,168
Derivatives	351	784
Other provisions	1,830	2,490
Total current liabilities	35,178	35,096
Total equity and liabilities	72,696	73,323
Contingent liabilities	1,185	1,293

Shares

Number of shares	Outstanding A-shares	Outstanding B-shares	Shares held by Electrolux	Shares held by other shareholders
Number of shares as of January 1, 2009	9,502,275	299,418,033	25,338,804	283,581,504
Shares sold to senior managers under the stock-option programs
First quarter			0	0
Second quarter			-533,285	533,285
Third quarter			-180,878	180,878
Fourth quarter			-125,800	125,800
Shares alloted to senior managers under the Performance Share Program			0	0
Number of shares as of December 31, 2009	9,502,275	299,418,033	24,498,841	284,421,467
As % of total number of shares			7.9%

Consolidated cash flow statement

SEKm	Q4 2009	Q4 2008	2009	2008
Operations
Operating income	805	-347	3,761	1,188
Depreciation and amortization	874	876	3,442	3,010
Capital gain/loss included in operating income	0	-31	0	-198
Restructuring provisions	941	729	434	1,134
Share-based compensation	7	0	18	-41
Financial items paid, net	-128	-361	-348	-729
Taxes paid	-328	-272	-929	-918
Cash flow from operations, excluding change in operating assets and liabilities	2,171	594	6,378	3,446
Change in operating assets and liabilities
Change in inventories	1,271	2,165	2,276	923
Change in trade receivables	1,453	2,285	1,209	1,869
Change in other current assets	260	27	487	-178
Change in accounts payable	-826	-1,634	628	-686
Extra contributions to pension funds	-3,935	0	-3,935	0
Change in other operating liabilities and provisions	-753	-1,217	1,254	-425
Cash flow from change in operating assets and liabilities	-2,530	1,626	1,919	1,503
Cash flow from operations	-359	2,220	8,297	4,949
Investments
Divestment of operations	0	-34	4	-34
Capital expenditure in property, plant and equipment	-815	-1,031	-2,223	-3,158
Capitalization of product development	-57	-153	-370	-544
Other	-209	-36	-378	-19
Cash flow from investments	-1,081	-1,254	-2,967	-3,755
Cash flow from operations and investments	-1,440	966	5,330	1,194
Financing
Change in short-term investments	-551	124	-2,734	-128
Change in short-term borrowings	194	166	-1,131	-681
New long-term borrowings	0	932	1,639	5,289
Amortization of long-term borrowings	-473	-85	-1,040	-2,923
Dividend	0	0	0	-1,204
Sale of shares	10	0	69	17
Cash flow from financing	-820	1,137	-3,197	370
Total cash flow	-2,260	2,103	2,133	1,564
Cash and cash equivalents at beginning of period	11,579	4,937	7,305	5,546
Exchange-rate differences	218	265	99	195
Cash and cash equivalents at end of period	9,537	7,305	9,537	7,305

Change in consolidated equity

SEKm	Dec. 31, 2009	Dec. 31, 2008
Opening balance	16,385	16,040
Total comprehensive income for the period	2,369	1,573
Share-based payment	18	-41
Sale of shares	69	17
Dividend	0	-1,204
Total transactions with equity holders	87	-1,228
Closing balance	18,841	16,385

Working capital and net assets

SEKm	Dec. 31, 2009	% of annualized net sales	Dec. 31, 2008	% of annualized net sales
Inventories	10,050	8.8	12,680	11.0
Trade receivables	20,173	17.7	20,734	17.9
Accounts payable	-16,031	-14.1	-15,681	-13.6
Provisions	-9,447		-13,529
Prepaid and accrued income and expenses	-7,998		-7,263
Taxes and other assets and liabilities	-1,901		-2,072
Working capital	-5,154	-4.5	-5,131	-4.4
Property, plant and equipment	15,315		17,035
Goodwill	2,274		2,095
Other non-current assets	5,197		4,602
Deferred tax assets and liabilities	1,874		2,340
Net assets	19,506	17.1	20,941	18.1
Average net assets	19,411	17.8	20,538	19.6
Average net assets, excluding items affecting comparability	20,320	18.6	21,529	20.5

Key ratios

	Q4 2009	Q4 2008	2009	2008
Net sales, SEKm	28,215	28,663	109,132	104,792
Operating income, SEKm	805	-347	3,761	1,188
Margin, %	2.9	-1.2	3.4	1.1
EBITDA, SEKm	1,679	529	7,203	4,198
Earnings per share, SEK¹)	2.34	-1.68	9.18	1.29
Return on net assets, %	-	-	19.4	5.8
Return on equity, %	-	-	14.9	2.4
Equity per share, SEK	-	-	66.24	57.78
Cash flow from operations, SEKm	-359	2,220	8,297	4,949
Capital expenditure, SEKm	-815	-1,031	-2,223	-3,158
Net borrowings, SEKm	-	-	665	4,556
Net debt/equity ratio	-	-	0.04	0.28
Equity/assets ratio, %	-	-	31.8	25.6
Average number of employees	51,058	54,043	50,633	55,177
Excluding items affecting comparability
Operating income, SEKm	2,023	-389	5,322	1,543
Margin, %	7.2	-1.4	4.9	1.5
EBITDA, SEKm	2,897	487	8,764	4,553
Earnings per share, SEK¹)	5.57	-1.82	13.56	2.32
Return on net assets, %	-	-	26.2	7.2
Return on equity, %	-	-	22.0	4.2

Value creation, SEKm 1,447 -1,052 2,884 -1,040

1) Basic, based on average number of shares, excluding shares owned by Electrolux, see page 16.

For definitions, see page 19.

Net sales by business area

SEKm	Q4 2009	Q4 2008	2009	2008
Consumer Durables, Europe	11,285	11,972	42,300	44,342
Consumer Durables, North America	7,865	8,928	35,726	32,801
Consumer Durables, Latin America	4,401	3,305	14,165	10,970
Consumer Durables, Asia/Pacific and Rest of world	2,741	2,409	9,806	9,196
Professional Products	1,923	2,021	7,129	7,427
Other	0	28	6	56
Total	28,215	28,663	109,132	104,792

Operating income by business area

SEKm	Q4 2009	Q4 2008	2009	2008
Consumer Durables, Europe	829	-638	2,188	-22
Margin, %	7.3	-5.3	5.2	0.0
Consumer Durables, North America	450	-43	1,476	222
Margin, %	5.7	-0.5	4.1	0.7
Consumer Durables, Latin America	368	244	878	715
Margin, %	8.4	7.4	6.2	6.5
Consumer Durables, Asia/Pacific and Rest of world	254	16	619	369
Margin, %	9.3	0.7	6.3	4.0
Professional Products	225	181	668	774
Margin, %	11.7	9.0	9.4	10.4
Total business areas	2,126	-240	5,829	2,058
Margin, %	7.5	-0.8	5.3	2.0
Common Group costs, etc.	-103	-149	-507	-515
Items affecting comparability	-1,218	42	-1,561	-355
Operating income	805	-347	3,761	1,188

Change in net sales by business area

Year-over-year, %	Q4 2009	Q4 2009 in comparable currencies	2009	2009 in comparable currencies
Consumer Durables, Europe	-5.7	-5.8	-4.6	-10.6
Consumer Durables, North America	-11.9	-4.1	8.9	-4.8
Consumer Durables, Latin America	33.2	25.3	29.1	22.3
Consumer Durables, Asia/Pacific and Rest of world	13.8	5.4	6.6	-3.0
Professional Products	-4.8	-4.5	-4.0	-11.1
Total change	-1.6	-0.6	4.1	-4.8

Change in operating income by business area

Year-over-year, %	Q4 2009	Q4 2009 in comparable currencies	2009	2009 in comparable currencies
Consumer Durables, Europe	n/a	n/a	n/a	n/a
Consumer Durables, North America	n/a	n/a	564.9	515.0
Consumer Durables, Latin America	50.8	47.8	22.8	18.3
Consumer Durables, Asia/Pacific and Rest of world	1,487.5	581.6	67.8	58.3
Professional Products	24.3	22.7	-13.7	-19.9
Total change, excluding items affecting comparability	620.1	574.2	244.9	236.7

Exchange rates

SEK	Dec. 31, 2009	Dec. 31, 2008
AUD, average	5.98	5.56
AUD, end of period	6.43	5.34
BRL, average	3.80	3.62
BRL, end of period	4.13	3.30
CAD, average	6.68	6.21
CAD, end of period	6.86	6.26
EUR, average	10.63	9.67
EUR, end of period	10.33	10.93
GBP, average	11.84	12.11
GBP, end of period	11.41	11.19
HUF, average	0.0380	0.0385
HUF, end of period	0.0379	0.0411
USD, average	7.63	6.59
USD, end of period	7.19	7.70

Net sales and income per quarter

SEKm		Q1	Q2	Q3	Q4	Full year
Net sales	2009	25,818	27,482	27,617	28,215	109,132
	2008	24,193	25,587	26,349	28,663	104,792
Operating income	2009	-386	1,052	2,290	805	3,761
	Margin, %	-1.5	3.8	8.3	2.9	3.4
	2009¹)	38	1,027	2,234	2,023	5,322
	Margin, %	0.1	3.7	8.1	7.2	4.9
	2008	-5	254	1,286	-347	1,188
	Margin, %	0.0	1.0	4.9	-1.2	1.1
	2008¹)	-39	793	1,178	-389	1,543
	Margin, %	-0.2	3.1	4.5	-1.4	1.5
Income after financial items	2009	-493	932	2,244	801	3,484
	Margin, %	-1.9	3.4	8.1	2.8	3.2
	2009¹)	-69	907	2,188	2,019	5,045
	Margin, %	-0.3	3.3	7.9	7.2	4.6
	2008	-149	140	1,192	-530	653
	Margin, %	-0.6	0.5	4.5	-1.8	0.6
	2008¹)	-183	679	1,084	-572	1,008
	Margin, %	-0.8	2.7	4.1	-2.0	1.0
Income for the period	2009	-346	658	1,631	664	2,607
	2008	-106	99	847	-474	366
Earnings per share, SEK ²)	2009	-1.22	2.32	5.74	2.34	9.18
	2009¹)	0.21	2.23	5.55	5.57	13.56
	2008	-0.38	0.36	2.99	-1.68	1.29
	2008¹)	-0.50	1.74	2.90	-1.82	2.32
Value creation	2009	-619	389	1,667	1,447	2,884
	2008	-695	175	532	-1,052	-1,040

1) Excluding items affecting comparability.

2) Basic, based on average number of shares, excluding shares owned by Electrolux.

Number of shares, basic

Number of shares after buy-backs, million	2009	283.6	284.1	284.3	284.4	284.4
	2008	283.4	283.6	283.6	283.6	283.6
Average number of shares after buy-backs, million	2009	283.6	283.9	284.2	284.4	284.0
	2008	282.1	283.5	283.6	283.6	283.1
Items affecting comparability
Restructuring provisions, write-downs and capital	2009	-424	25	56	-1,218	-1,561
loss on divestment, SEKm	2008	34	-539	108	42	-355

Net sales by business area per quarter

SEKm		Q1	Q2	Q3	Q4	Full year
Consumer Durables, Europe	2009	10,175	9,935	10,905	11,285	42,300
	2008	10,525	10,500	11,345	11,972	44,342
Consumer Durables, North America	2009	9,144	9,848	8,869	7,865	35,726
	2008	7,275	8,214	8,384	8,928	32,801
Consumer Durables, Latin America	2009	2,625	3,326	3,813	4,401	14,165
	2008	2,404	2,548	2,713	3,305	10,970
Consumer Durables, Asia/Pacific and Rest of world	2009	2,145	2,521	2,399	2,741	9,806
	2008	2,228	2,369	2,190	2,409	9,196
Professional Products	2009	1,727	1,850	1,629	1,923	7,129
	2008	1,753	1,944	1,709	2,021	7,427

Operating income by business area per quarter

SEKm		Q1	Q2	Q3	Q4	Full year
Consumer Durables, Europe	2009	125	257	977	829	2,188
	Margin, %	1.2	2.6	9.0	7.3	5.2
	2008	-192	294	514	-638	-22
	Margin, %	-1.8	2.8	4.5	-5.3	0.0
Consumer Durables, North America	2009	-177	498	705	450	1,476
	Margin, %	-1.9	5.1	7.9	5.7	4.1
	2008	-154	113	306	-43	222
	Margin, %	-2.1	1.4	3.6	-0.5	0.7
Consumer Durables, Latin America	2009	50	142	318	368	878
	Margin, %	1.9	4.3	8.3	8.4	6.2
	2008	156	133	182	244	715
	Margin, %	6.5	5.2	6.7	7.4	6.5
Consumer Durables, Asia/Pacific and Rest of world	2009	60	104	201	254	619
	Margin, %	2.8	4.1	8.4	9.3	6.3
	2008	105	147	101	16	369
	Margin, %	4.7	6.2	4.6	0.7	4.0
Professional Products	2009	105	165	173	225	668
	Margin, %	6.1	8.9	10.6	11.7	9.4
	2008	183	225	185	181	774
	Margin, %	10.4	11.6	10.8	9.0	10.4
Common Group costs, etc.	2009	-125	-139	-140	-103	-507
	2008	-137	-119	-110	-149	-515
Items affecting comparability	2009	-424	25	56	-1,218	-1,561
	2008	34	-539	108	42	-355

Net assets by business area

	Assets		Equity and liabilities		Net assets
SEKm	Dec. 31, 2009	Dec. 31, 2008	Dec. 31, 2009	Dec. 31, 2008	Dec. 31, 2009	Dec. 31, 2008
Consumer Durables, Europe	33,633	28,345	25,982	21,104	7,651	7,241
Consumer Durables, North America	8,336	15,422	438	7,089	7,898	8,333
Consumer Durables, Latin America	5,854	6,536	2,664	2,971	3,190	3,565
Consumer Durables, Asia/Pacific and Rest of world	3,561	4,885	1,479	2,169	2,082	2,716
Professional Products	2,413	3,720	1,345	2,393	1,068	1,327
Other1)	5,738	4,938	6,685	6,596	-947	-1,658
Items affecting comparability	-196	87	1,240	670	-1,436	-583
Total operating assets and liabilities	59,339	63,933	39,833	42,992	19,506	20,941
Liquid funds	13,357	9,390	—	—	—	—
Interest-bearing receivables	—	—	—	—	—	—
Interest-bearing liabilities	—	—	14,022	13,946	—	—
Equity	—	—	18,841	16,385	—	—
Total	72,696	73,323	72,696	73,323	—	—

1) Includes common Group functions.

Parent Company, income statement

SEKm	Q4 2009	Q4 2008	2009	2008
Net sales	2,294	1,709	5,928	5,808
Cost of goods sold	-1,321	-1,345	-4,368	-5,046
Gross operating income	973	364	1,560	762
Selling expenses	-410	-246	-865	-761
Administrative expenses	-199	27	-367	-312
Other operating income	-33	-64	160	33
Other operating expenses	-121	-319	-1,083	-328
Operating income	210	-238	-595	-606
Financial income	2,071	946	3,989	2,643
Financial expenses	-109	-524	-233	-1,462
Financial items, net	1,962	422	3,756	1,181
Income after financial items	2,172	184	3,161	575
Appropriations	0	10	20	20
Income before taxes	2,172	194	3,181	595
Taxes	148	-3	174	38
Income for the period	2,320	191	3,355	633

Parent Company, balance sheet

SEKm	Dec. 31, 2009	Dec. 31, 2008
Assets
Non-current assets	26,901	26,493
Current assets	20,604	20,348
Total assets	47,505	46,841
Equity and liabilities
Restricted equity	4,562	4,562
Non-restricted equity	12,694	9,110
Total equity	17,256	13,672
Untaxed reserves	684	704
Provisions	584	618
Non-current liabilities	9,512	9,244
Current liabilities	19,469	22,603
Total equity and liabilities	47,505	46,841
Pledged assets	4	36
Contingent liabilities	1,818	1,720

Five-year review

						Including Husqvarna
	2009	2008	2007	2006	2005	2005
Net sales, SEKm	109,132	104,792	104,732	103,848	100,701	129,469
Operating income, SEKm	3,761	1,188	4,475	4,033	1,044	3,942
Margin, %	3.4	1.1	4.3	3.9	1.0	3.0
Margin, excluding items affecting comparability, %	4.9	1.5	4.6	4.4	4.0	5.4
Income after financial items, SEKm	3,484	653	4,035	3,825	494	3,215
Margin, %	3.2	0.6	3.9	3.7	0.5	2.5
Margin, excluding items affecting comparability, %	4.6	1.0	4.2	4.2	3.4	4.8
Income for the period, SEKm	2,607	366	2,925	2,648	-142	1,763
Earnings per share, SEK	9.18	1.29	10.41	9.17	-0.49	6.05
Average number of shares after buy-backs, million	284.0	283.1	281.0	288.8	291.4	291.4
Dividend, SEK	4.001)	-	4.25	4.00	7.50	7.50
Value creation, SEKm	2,884	-1,040	2,053	2,202	1,305	2,913
Return on equity, %	14.9	2.4	20.3	18.7	-	7.0
Return on net assets, %	19.4	5.8	21.7	23.2	5.4	13.0
Net debt/equity ratio	0.04	0.28	0.29	-0.02	-	0.11
Capital expenditure, SEKm	2,223	3,158	3,430	3,152	3,654	4,765
Average number of employees	50,633	55,177	56,898	55,471	57,842	69,523

1) Proposed by the Board of Directors.

Definitions

Capital indicators

Annualized sales

In computation of key ratios where capital is related to net sales, the latter are annualized and converted at year-end-exchange rates and adjusted for acquired and divested operations.

Net assets

Total assets exclusive of liquid funds and interest-bearing financial receivables less operating liabilities, non-interest-bearing provisions and deferred tax liabilities.

Working capital

Current assets exclusive of liquid funds and interest-bearing financial receivables less operating liabilities and non-interest-bearing provisions.

Total borrowings

Total borrowings consist of interest-bearing liabilities, fair-value derivatives, accrued interest expenses and prepaid interest income, and trade receivables with recourse.

Net borrowings Total borrowings less liquid funds.

Net debt/equity ratio Net borrowings in relation to equity.

Equity/assets ratio Equity as a percentage of total assets less liquid funds.

Other key ratios

Earnings per share

Income for the period divided by the average number of shares after buy-backs.

Operating margin

Operating income expressed as a percentage of net sales.

EBITDA

Operating income before depreciation and amortization.

Value creation

Operating income excluding items affecting comparability less the weighted average cost of capital (WACC) on average net assets excluding items affecting comparability: [(Net sales – operating costs = operating income) – (WACC x average net assets)]. The WACC rate before tax for 2009, 2008 and 2007 is calculated at 12% compared to 11% for 2006 and 12% for 2005.

Return on equity

Income for the period expressed as a percentage of average equity.

Return on net assets

Operating income expressed as a percentage of average net assets.

President and CEO Hans Stråberg's comments on the fourth-quarter and full-year results 2009

Today's press release is available on the Electrolux website www.electrolux.com/ir

Presentation at Electrolux headquarters

A presentation will be held at 15.30 CET on February 3, 2010 at Electrolux headquarters, S:t Göransgatan 143 in Stockholm, Sweden. The presentation will be chaired by Hans Stråberg, President and CEO of Electrolux. Mr. Stråberg will be accompanied by Jonas Samuelson, CFO, and Peter Nyquist, Head of Investor Relations and Financial Information.

A slide presentation for the fourth-quarter and full-year results of 2009 will be available on the Electrolux website www.electrolux.com/ir

If you are not able to participate in person at Electrolux headquarters, you can also participate by telephone. The details for participation by telephone are as follows:

Participants in Sweden should call +46 (0)8 505 598 53 Participants in UK/Europe should call +44 (0)20 3043 2436 Participants in US should call +1 866 458 4087

You can also listen to the presentation at http://www.electrolux.com/webcast1

For further information

Peter Nyquist, Head of Investor Relations and Financial Information: +46 (0)8 738 60 03.

Financial information from Electrolux is also available at www.electrolux.com/ir

Factors affecting forward-looking statements

This report contains "forward-looking" statements within the meaning of the US Private Securities Litigation Reform Act of 1995. Such statements include, among others, the financial goals and targets of Electrolux for future periods and future business and financial plans. These statements are based on current expectations and are subject to risks and uncertainties that could cause actual results to differ materially due to a variety of factors. These factors include, but may not be limited to the following; consumer demand and market conditions in the geographical areas and industries in which Electrolux operates, effects of currency fluctuations, competitive pressures to reduce prices, significant loss of business from major retailers, the success in developing new products and marketing initiatives, developments in product liability litigation, progress in achieving operational and capital efficiency goals, the success in identifying growth opportunities and acquisition candidates and the integration of these opportunities with existing businesses, progress in achieving structural and supply-chain reorganization goals.

Calendar 2010

Financial reports 2010 Interim report January-March Interim report January-June Interim report January-September	April 27 July 19 October 27	Annual General Meeting 2010 The Annual General Meeting of AB Electrolux will be held on Tuesday, March 30, 2010, at the Berwald Hall, Dag Hammar skjölds väg 3, Stockholm, Sweden.
Annual Report 2009 Available at the Group's website	Week 10	Electrolux discloses the information provided herein pursuant to the Securities Market Act and/or the Financial Instruments Trading Act. The information was submitted for publication at 08.00 CET on February 3, 2010.