Sandvik

Capital/Financing Update • Jul 10, 2012

Final Terms dated 10 July 2012

SANDVIK AB (PUBL)

Issue of €70,000,000 3.70 per cent. Notes due 12 July 2023

under the €3,000,000,000 Euro Medium Term Note Programme

PART A - CONTRACTUAL TERMS

Terms used herein shall be deemed to be defined as such for the purposes of the Conditions (the "Conditions") set forth in the base prospectus dated 22 December 2011 which constitutes a base prospectus (the "Base Prospectus") for the purposes of the Prospectus Directive (Directive 2003/71/EC) (the "Prospectus Directive"). This document constitutes the Final Terms of the Notes described herein for the purposes of Article 5.4 of the Prospectus Directive. These Final Terms contain the final terms of the Notes and must be read in conjunction with such Base Prospectus.

Full information on the Issuer and the offer of the Notes described herein is only available on the basis of the combination of these Final Terms and the Base Prospectus. The Base Prospectus is available for viewing during normal business hours at the offices of the Fiscal Agent at the Citigroup Centre, Canada Square, Canary Wharf, London E14 5LB, United Kingdom.

L.	(i)	[ssuer:	Sandvik AB (publ)
2.	(i)	Series Number:	$\left[ \quad \right]$
	(ii)	Tranche Number:	ı
3.		Specified Currency or Currencies:	EUR
4.		Aggregate Nominal Amount:
	(i)	Series:	EUR 70,000,000
	(ii)	Tranche:	EUR 70,000,000
5.	Issue Price:		100 per cent. of the Aggregate Nominal Amount
6.	(i)	Specified Denominations:	EUR 100,000
	(ii)	Calculation Amount:	EUR 100,000
7.	(i)	Issue Date:	12 July 2012
	(ii)	Interest Commencement Date:	Issue Date
8.		Maturity Date:	12 July 2023
9.	Interest Basis:		3.70 per cent. Fixed Rate
10.	Redemption/Payment Basis:		Redemption at par
11.	Change of Interest or Redemption/Payment Basis:		Not Applicable
12.		Put/Call Options:	Not Applicable

13.	Status of the Notes:	Senior

4 Method of distribution: Non-syndicated
------------------------------------------------

PROVISIONS RELATING TO INTEREST (IF ANY) PAYABLE

15.	Fixed Rate Note Provisions		Applicable
	(i)	Rate of Interest:	3.70 per cent, per annum payable annually in arrear
	(ii)	Interest Payment Date(s):	12 July in each year adjusted in accordance with Following Business Day Convention
	(iii)	Fixed Coupon Amount:	EUR 3,700 per Calculation Amount
	(iv)	Broken Amount(s):	Not Applicable
	(v)	Day Count Fraction:	30/360
	(vi)	Determination Dates:	12 July in each year
	(vii)	Other terms relating to the method of calculating interest for Fixed Rate Notes:	Not Applicable
16.		Floating Rate Note Provisions	Not Applicable
17.		Zero Coupon Note Provisions	Not Applicable
18	Index-Linked Interest Note/other variable-linked interest Note Provisions		Not Applicable
19.	Dual Currency Note Provisions		Not Applicable
	PROVISIONS RELATING TO REDEMPTION
ንበ -	Coll Option		Not Applicable

20.	Call Option:	Not Applicable
21.	Put Option:	Not Applicable
Final Redemption Amount of each Note:		EUR 100,000 per Calculation Amount
23.	Early Redemption Amount

Early Redemption Amount(s) per Calculation
Amount payable on redemption for taxation reasons
or on event of default or other early redemption and/or the method of calculating the same (if
required or if different from that set out in the
Conditions):

Not Applicable

24.		Form of Notes:	Bearer Notes:
			Temporary Global Note exchangeable for a Permanent Global Note which is exchangeable for Definitive Notes in the limited circumstances specified in the Permanent Global Note
25.		New Global Note:	Yes
26.	dates:	Additional Financial Centre(s) or other special provisions relating to payment	Not Applicable
27.		Talons for future Coupons or Receipts to be attached to Definitive Notes (and dates on which such Talons mature):	No
28.	Details relating to Partly Paid Notes: amount of each payment comprising the Issue Price and date on which each payment is to be made [and consequences (if any) of failure to pay, including any right of the Issuer to forfeit the Notes and interest due on late payment]:		Not Applicable
29.	Details relating to Instalment Notes: amount of each instalment, date on which each payment is to be made:		Not Applicable
30.	Redenomination, renominalisation and reconventioning provisions:		Not Applicable
31.	Other final terms:		Not Applicable
	DISTRIBUTION
32.	(i)	If syndicated, names and addresses of Managers and underwriting commitments:	Not Applicable
	(ii)	Date of Subscription Agreement:	Not Applicable
	(iii)	Stabilising Manager(s) (if any):	Not Applicable
33.	Dealer:	If non-syndicated, name and address of	Deutsche Bank AG, London Branch Winchester House 1 Great Winchester Street London EC2N 2DB United Kingdom

GENERAL PROVISIONS APPLICABLE TO THE NOTES

34	U.S. Selling Restrictions:	Reg. S Compliance Category 2;
		TEFRAD
35.	Additional selling restrictions:	Not Applicable

$\overline{4}$

$\mathcal{L}(\mathcal{A})$ . The $\mathcal{L}(\mathcal{A})$

PURPOSE OF FINAL TERMS

These Final Terms comprise the final terms required for issue and admission to trading on London Stock Exchange of the Notes described herein pursuant to the $63,000,000,000$ Euro Medium Term Note Programme of Sandvik AB

RESPONSIBILITY

The Issuer accepts responsibility for the information contained in these Final Terms.

Signed on behalf of Sandvik AB (publ):

$Bv \n\in \mathbb{Z}$ Duly authorised

ANDERS ÖRBOM

OLA SALMÉN

PART B - OTHER INFORMATION

LISTING

$(i)$

Listing

London

$(ii)$ Admission to trading Application has been made by the Issuer (or on its behalf) for the Notes to be admitted to trading on the London Stock Exchange with effect from the Issue Date.

RATINGS $2.$

Ratings:

The Notes have not been rated.

INTERESTS OF NATURAL AND LEGAL PERSONS INVOLVED IN THE ISSUE/OFFER $\overline{3}$ .

Save as discussed in "Subscription and Sale", so far as the Issuer is aware, no person involved in the offer of the Notes has an interest material to the offer.

REASONS FOR THE OFFER, ESTIMATED NET PROCEEDS AND TOTAL EXPENSES $\frac{4}{3}$

(i)	Reasons for the offer:	See "Use of Proceeds" wording in the Prospectus
(ii)	Estimated net proceeds:	EUR 70,000,000
(iii)	Estimated total expenses:	EUR 70,000,000
YIELD
Indication of yield:		3.70 per cent.

$\overline{S}$ .

Calculated as at the Issue Date.

As set out above, the yield is calculated at the Issue Date on the basis of the Issue Price. It is not an indication of future yield.

OPERATIONAL INFORMATION 8.

(i)	ISIN Code:	XS0803481695
(i)	Common Code:	080348169
(iii)	Any clearing system(s) other than Euroclear Bank S.A./N.V. and Clearstream Banking, société anonyme and the relevant identification number(s):	Not Applicable
(iv)	Delivery:	Delivery against payment
(v)	Names and addresses of initial Paying Agent(s):	Citibank N.A., London Branch 14 th Floor, Citigroup Centre Canada Square Canary Wharf

London E14 5LB

		United Kingdom
(vi)	Names and addresses of additional Paying Agent(s) (if any):	Not Applicable
(vii)	Name of Swedish Issuing and Paying Agent (if any):	Not Applicable
(viii)	Intended to be held in a manner which would allow Eurosystem eligibility:	Yes
		Moto that the deal

Note that the designation "yes" simply means that the Notes are intended upon issue to be deposited with one of the ICSDs as common safekeeper and does not necessarily mean that the Notes will be recognised as eligible collateral for Eurosystem monetary policy and intra day credit operations by the Eurosystem either upon issue or at any or all
times during their life. Such recognition will depend upon the ECB being satisfied that
Eurosystem eligibility criteria have been met.