2010 ResultsFebruary 2, 20112010 ResultsFebruary 2, 2011Keith McLoughlin,President and CEOJonas Samuelson, CFOPeter Nyquist, SVP IR

Keith McLoughlin,President and CEOJonas Samuelson, CFOPeter Nyquist, SVP IR

2

EBIT Target

3

Q4 Highlights

6,2

7,2

0

500

1000

1500

2000

2500

-4

-2

0

2

4

6

8

10 Net sales increased by 1.6% in comparable currencies– Strong growth in Latin

America and Asia/Pacific

EBIT amounted to SEK 1,714m– Raw-material headwinds– Cost savings– Price pressure– Mix improvement

7.2%

2,023

28,215

Q4 2009

6.1

6,494

106,326

2010

4.9

5,322

109,132

2009(SEKm) Q4 2010

Sales 27,556

EBIT* 1,714

Margin 6.2%

2009

EBIT (SEKm) Margin (%)

2010

*) EBIT excluding items affecting comparability

4

Q4 Operating cash flow

Q4 cash flow reflects normal seasonal pattern– Increased sales

– Declining inventories

Low sales and production in Q409

Extra contributions to pension funds in Q409

Higher level of investments compared to last year

Continued underlying improvement of net operating working capital

5

Olympic acquisition- Temporarily on hold

5

Platform for further growthEgypt – Industrial hubOlympic Group – Market leader in EgyptStrong industrial and management capabilities Strong alliance with Electrolux– Speed up the regional

growth plans

Synergies within three areasUtilize Electrolux technology and platformsIncrease sales outside EgyptUse cost-efficient sourcing base

6

Consumer DurablesEurope, Middle East & Africa

5,3

7,5

0

500

1000

1500

0

2

4

6

8

10

12

EBIT (SEKm) Margin (%)

5.3%

565

10,760

Q4 2010

7.5%

875

11,731

Q4 2009

5.3

2,349

44,073

2009

6.8

2,703

40,038

2010(SEKm)

Sales

EBIT

Margin

2009 2010

QUARTER 4 2010Lower sales as a result of lower volumes and pricesLower EBIT– Lower volumes– Price pressure– Higher marketing investments– Cost-reduction measures continue to

generate savings

Good market acceptance for newly launched AEG productsLower operating income for floor-care products due to cost increases

7

Quarterly comparison, year over year

-15%

-10%

-5%

0%

5%

10%

Increased growth in Eastern Europe

East. Europe

West. Europe

2006 2007 2008 2009

6%

-4%

Q1

10%

-5%

Q4

5%

-1%

Q3

5%

1%

Q2

14%

1%

Q1

7%

5%

Q4

6%

1%

Q3

9%

1%

Q2

1%

4%

Q1

5%

-4%

Q2 Q3

-5%

4%

Q4

-8%

-15%

Q1

-9%

-31%

Q2

-9%

-30%

Q3

-4%

-26%

Q4

-2%

-17%

Q1

1%

-7%

2010

Q2

0%

1%

Q3

0%

5%

Q4

0%

13%

8

9

10

Consumer DurablesNorth America

4,3

5,7

-200

0

200

400

600

800

-2

0

2

4

6

8 QUARTER 4 2010Market turned into growth Lower net sales– Exited less profitable volumes– Increased sales at campaign prices

EBIT amounted to SEK 317m– Higher raw-material costs– Lower volumes– Price pressure– Improved mix

Lower sales and operating income for floor-care products

2009

EBIT (SEKm) Margin (%)

2010

4.3%

317

7,401

Q4 2010

5.7%

450

7,865

Q4 2009

4.1

1,476

35,726

2009

4.7

1,574

33,776

2010(SEKm)

Sales

EBIT

Margin

Quarterly comparison, year-over-year

-20%-15%-10%

-5%0%5%

10%15%

11

North America grew by 2% in Q4, driven by the aggressive price promotions

2006 2007 2008Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1

2009Q2 Q3 Q4 Q1

2010Q2 Q3 Q4

12

Consumer DurablesLatin America

7,4

8,4

0

100

200

300

400

500

0,0

2,5

5,0

7,5

10,0

2009

EBIT (mSEK) Margin (%)

2010

7.4%

392

5,304

Q4 2010

8.4%

368

4,401

Q4 2009

6.2

878

14,165

2009

6.3

1,080

17,276

2010(SEKm)

Sales

EBIT

Margin

QUARTER 4 2010Market growth in Brazil and in rest of Latin AmericaOperating income amounted to SEK 392m– Higher volumes– Consolidation of retailers led to

negative customer mix– Increased raw-material costs

High market acceptance for new products

13

14

Consumer DurablesAsia/Pacific

11,2

9,1

0

100

200

300

400

0,0

2,0

4,0

6,0

8,0

10,0

12,0

14,0

2009

EBIT (SEKm) Margin (%)

2010

11.2%

272

2,434

Q4 2010

9.1%

208

2,295

Q4 2009

5.7

458

8,033

2009

10.5

928

8,836

2010(SEKm)

Sales

EBIT

Margin

QUARTER 4 2010Australia: Market stabilization and improved EBIT– Positive currency impact– Improved efficiency– Increased raw-material costs– Increased price pressure

Southeast Asia and China– Market-share gain in strong

markets

15

Professional Products

14,7

11,7

0

50

100

150

200

250

300

0,0

3,0

6,0

9,0

12,0

15,0

2009

EBIT (SEKm) Margin (%)

2010

14.7%

243

1,657

Q4 2010

11.7%

225

1,923

Q4 2009

9.4

668

7,129

2009

11.6

743

6,389

2010(SEKm)

Sales

EBIT

Margin

QUARTER 4 2010Food-service– Increased sales of own

products– Improved customer mix– Improved cost efficiency

Laundry products– Higher EBIT with lower sales– Price increases– Improved cost efficiency

1616

Q1 and FY 2011In accordance with forward looking statements in the CEO-letter

Q1

Volumes

Price

Mix

Raw-material costs

2011 FY

Lower

Positive

Weaker

Comment

Costs from Global Operations SEK 125m

Manufacturing footprint savings

Higher

SEK 125m

Higher

?

Positive

Higher

SEK 500m

SEK 500m

Tough comparables in US Q1

Announced price increases in US

Continued mix improvement from product launches2011: SEK 1.5-2 billion cost increase compared to 2010

Approximately evenly distributed between quarters

Approximately evenly distributed between quarters

17

18

Factors affecting forward-looking statements

Factors affecting forward-looking statementsThis presentation 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.