Distribution of shares in Concentric AB and the redemption program

The Annual General Meeting 2011 resolved that on a distribution of the shares in the wholly owned subsidiary Concentric AB. In light of the group’s strong cash flow and balance sheet after the sale of the Traction Systems Division 2010, the AGM also resolved on a mandatory redemption of shares. The mandatory redemption procedure resulted in total distribution to the shareholders of SEK 1,459 million, corresponding to SEK 33 per share.
 
All shares in the wholly owned subsidiary Concentric AB were distributed, and each share in Haldex AB entitled the owner to one share in Concentric AB. The record date for entitlement to receive the Concentric shares was set to 13 June 2011. The shares in Concentric AB were distributed by Euroclear Sweden AB and listed at NASDAQ OMX Stockholm on 16 June 2011.

The AGM resolved, in accordance with the board’s proposal, on a mandatory redemption of shares including a share split, a reduction of the share capital with repayment to the shareholders and a bonus issue. Each share was split into two new shares (share split 2:1), one of which was redemption share (HLDX IL). The record date for the share split was 4 July 2011. After a period of trading on NASDAQ OMX Stockholm, the redemption shares were redeemed in exchange of SEK 30 in cash. The record date for the right to receive the redemption amount is 25 July 2011.On July 28 the redemption amount of SEK 30per share was paid to holders of redemptions shares. Finally, in order to restore the share capital, a bonus issue without issuance of new shares was transfer funds from the non-restricted equity to the share capital.

Tax considerations (Sweden)

Information concerning redemption of shares in Haldex AB (pdf)

Swedish Tax Agency's general advice (in Swedish only)

Skatteverkets information om fördelning av anskaffningsutgift med anledning av Haldex AB:s utdelning år 2011 av aktier i Concentric AB (pdf)

Skatteverkets information om fördelning anskaffningsutgift med anledning av inlösen år 2011 av aktier i Haldex AB: mot kontantlikvid (pdf)

Tax considerations (U.S)

Form 8937 - Report of Organizational Actions Affecting Basis of Securities (pdf)