Brief Overview of 2001 Model Changes

For Immediate Release

MY 2001 S80 Key Product Features

ROCKLEIGH, NJ -- September 1, 2000 -- The flagship of the Volvo New Car Showroom, the S80, has some important changes for Model Year 2001. The S80, already a great value for the consumer, will become an even greater value in the new model year with new standard features added to the car.

Another exciting new development for MY 2001 will be the S80 Executive Program. A true executive car, the S80 Executive combines Volvo's already world-famous impact protection with outstanding ride comfort and driving characteristics. With an exclusive interior that puts the passengers first, the S80 Executive offers ample space for relaxed travel or efficient work.

Leather

Leather seating is now standard on the 2.9 and the T6, adding exceptional value.

Luggage Holder

A luggage holder has been added as standard for both the 2.9 and the T6.

Remote Retractable Head Restraints

Rear Seat Retractable Head Restraints for improved driver vision are back by popular demand for MY 2001. This is easily accomplished by pressing a button on the center stack. This feature is now standard on both the 2.9 and the T6.

Adjustable Mirrors with Memory

Both the 2.9 and the T6 will have adjustable mirrors with memory for MY 2001 standard.

Automatic Dimming Mirror (2.9 Only)

The 2.9 only will add automatic dimming rear view mirror for MY 2001. This feature is already standard on the T6.

New 16-inch Wheels (2.9 Only)

The MY 2001 S80 2.9 will have a new stylish wheel design, the "Icarus", which will replace the "Miram" wheels.

Homelink

The Homelink feature will now be standard on both the 2.9 and the T6. Previously, this feature was only available with the Security Package. This means that the content of the MY 2001 Security Package will change.

Dual-Stage Front Airbag System

The 2001 S80 will also add a dual-stage airbag system for both driver and passenger in the front seat to help further reduce the risk of injury. Dual-stage airbags deploy differently and with different force depending on the severity of the crash and the status of the seat belts. The system senses how quickly the car has decelerated, or movement has been retarded, and uses this information to determine the pressure at which the bags should inflate. See the table below for details:

• Trigger threshold depends on the collision severity. Level 1 = "low" collision severity, Level 5 = "high" collision severity
• The three seatbelt pretensioners in the rear seat are designed to activate at the same time and always at trigger threshold 3. This is regardless of whether someone is sitting in the rear seat and whether they are using a seatbelt or not.
• The SRS control unit calculates the entire collision sequence. In the calculations, level of collision severity is included, and thus also the trigger threshold that will be reached. Only then are the above components activated according to the above pattern.

Interior Air Quality System - IAQS (Available with Security Package)

The available Security Package for the MY 2001 S80 2.9 and T6 will now include IAQS, the Interior Air Quality System. This is a new system that, together with the ECC unit, offers a passenger cabin free from odors and pollutants.

The system features a sensor placed in the climate unit's air intake, a multi-filter, and a switch in the instrument panel. The filter and sensor work together to offer passengers the cleanest possible interior climate. The multi-filter cleans the cabin air even when the re-circulation function is activated. The instrument panel features a button for turning the system on and off.

The intake sensor registers the contents of the incoming air. After analysing an air sample for nitrogen oxides (NOX), carbon monoxide (CO), and hydrocarbons (HC), which are the main pollutants found in vehicle exhaust, the sensor automatically switches the ventilation system to re-circulation mode to block these harmful pollutants. One important benefit here is that the IAQS responds to carbon monoxide (CO), a substance that an active carbon filter cannot reduce, and a substance that can make a driver less alert.

The heater chamber features the multi-filter, which is a particle or pollen filter combined with an active carbon filter. This multi-filter absorbs any particles and other substances that might otherwise enter the cabin before the re-circulation shutter closes, and in those situations in which the re-circulation shutter is not allowed to close, for example, in a situation where the windows begin to fog up. The multi-filter reduces concentrations of incoming particles larger than 0.3 micrometers in size, like road dust, sand, diesel soot and pollen particles. The carbon filter reduces concentrations of substances such as nitrogen dioxide, hydrocarbons, and ozone.

The switch controls the ECC in three positions. "AUT" (automatic) activates the air quality system, "MAN" (manual) manually activates the re-circulation, and " - " deactivates the IAQS and re-circulation.

New Exterior Colors

Four new exterior colors have been added this year; Ashgold Metallic, Cypress Green Metallic, Platinum Green Metallic, and solid color Midnight Blue.

S80 Executive Key Product Features (New Model)

The following product features are unique to the S80 Executive.

• 2 additional inches of rear legroom by pushing the rear seat further back into the hatshelf and by removing the folding seat mechanism
• Wider rear door openings
• Heated rear seats
• Extra padding in the rear seat and bottom cushion extended 1 inch for increased leg support
• Multi-functional rear center armrest/console
• 2 rear cupholders in center console
• power outlet
• electric rear window suncurtain
• video screen mounted in rear console between the backs of the two front seats (optional on 2.9).
• DVD player that also plays CD audio and CD video. Includes Dolby ProLogic Surround sound and is totally integrated into the vehicle's audio system (optional on 2.9).
• Infrared remote to control audio and video from front or rear seats (optional on 2.9)
• 12 volt refrigerator that holds 2 quart bottles or 8 12oz. cans (optional on 2.9)
• wireless fax machine/single page copier (optional on both 2.9 and T-6)
• Requires separate mobile phone with fax/data capability and service from your phone service provider. Your phone must also include a "mobile office adapter kit" to connect with the fax machine.

Cross Country (New Model for 2001)

Completely redesigned from it's 2000 counterpart. Built on Volvo's P2 platform (same as the S80 and S60), it is about 60% stiffer than previous wagons. This accounts for a much higher level of comfort, isolating from road noise, better handling and much more 'solid iron block' feel. The Cross Country accounts for roughly 50% of all Volvo wagon sales.

The following features, both interior and exterior, enhance the distinctiveness of the Cross Country from the V70. Their inclusion results in a rugged, athletic vehicle - one that blends the benefits of an SUV without giving up the comforts and versatility of a traditional wagon.

Exterior

• Front/Rear Bumpers with Cladding on Wheel Arches and All Four Doors: (Slate or Brown)
• Soft Nose: Front Bumper Extends over the grill
• Grill: Large horizontal squares adds to the rugged styling
• Fog lights
• Roof rails
• Front Skid Plate (Accessory)
• Mirrors: Taller and wider than standard mirrors in a Graphite color

Interior

• Stitching on leather seats and on door inserts(Color Coordinated)
• Outer Net Pocket Behind Rear Seat: (Leather Only)
• 40/20/40 split seat: Middle backrest and cushion can be removed to increase
• this vehicle's versatility, either as a wide pass-thru or in combination with accessories (Electric Cooler Box,removable Softbag, etc.)
• Floor and Cargo Mats: 5 in total; Cargo Mat is reversible with a rubber material covering one side
• Front Grab Handle: Integrated into the center armrest and runs along the side of the center tunnel

Suspension

• XC Comfort Chassis: Springs, shock absorbers, front suspension geometry and links differ from the V70 due to ride height.
• AWD with TRACS on all 4 Wheels
• Ground Clearance: Curb = 8.2 inches With 2 occupants = 7.6 inches
• Wheels and Tires: 215/65/HR16 Pirelli Scorpion S/T

V70 2.4 model (New Model)

The new V70 will include a 2.4 naturally aspirated engine to round out the engine family in that series. The engine has 168 HP with 170 lb/ft of torque and is available with 5 speed manual or 5 speed automatic transmission.

S40 and V40 (Major Changes to Interior and Exterior)

The remarkably successful introduction of the S40 and V40 was a milestone for Volvo in North America. For the first time, Volvo extended a magnificent opportunity to the Pre-Family customer segment, introducing more new people to the Volvo New Car Showroom, and the full selection of Volvo cars for consumers in all stages of life. Clearly, the S40 and V40 act as a gateway to the rest of the Volvo product line, opening new possibilities for the North American consumer.

As we build new relationships with a "new wave" of Volvo-minded customers, the S40 and V40 also reinforce the strong bonds with our current Volvo owners by presenting a new alternative for finding the perfect fit for their product and lifestyle needs.

IC (Inflatable Curtain)

The SIPS structure and the SIPS bags included in the 2000 S40 and V40 were two very important advancements in the effort to reduce injuries during side collisions. The Inflatable Curtain (IC) was initiated as an R&D project in 1997 together with WHIPS, and represented another major step in that overall goal. It is one element in Volvo's multifaceted Side Impact Protection System, and is designed to help protect the head area on impact.

• The curtains, one on each side, are woven in one piece and hidden inside the roof lining. They cover the upper part of the interior, from the A-pillar to the rear side C-pillar, thereby protecting the occupants in the front and rear seats.
• The IC is activated by the same sensors that control the SIPS bags. They are "slave" sensors to a central sensor, which determines where the impact is and which bag should be triggered in order to help protect the occupants. The Inflatable Curtain is only activated on the side that is hit. If only the rear sensor is affected, the IC is activated but not the SIPS bag.
• The ducts in the curtain are filled within 25 milliseconds by the same harmless gas as is used to inflate the front and side airbags (mostly nitrogen). The curtain slowly starts to deflate after about three seconds in order to provide maximum protection in complicated collisions (multiple impacts over a period of time).
• The ducts do not cover the entire surface of the curtain. Instead, they are concentrated in the areas, which are most likely to be hit by the occupants' heads. As a result, the need for gas is limited and the activation time is minimal.
• The ducts act to help prevent the head from hitting surfaces inside of the car, but it also helps prevent the head from coming in contact with objects that could be introduced into the interior of the car from the outside (e.g., components from another vehicle).
• Because the curtain extends almost to the bottom of the side glass, it also helps to keep the passengers and passenger limbs inside the car - instead of being partially thrown out of the side windows.
• The IC inflates and expands inwards when triggered and does not rely on the glass for support. Therefore the system is equally effective whether the windows are open or closed.

Following the Volvo safety tradition, the Inflatable Curtain is introduced as standard equipment to the S40 and V40 for 2001. While the Side Impact Protection System (SIPS) side airbags remain, the Inflatable Curtain will now provide head protection.

ISO-FIX Attachment Points

The 2001 S40 and V40 will be factory-fitted with ISO-FIX, a new industry standard for attaching child seats in all vehicles. Volvo will introduce an ISO-FIX Child Seat System, to be available as an accessory sometime later in calendar year 2000. The ISO-FIX system will allow parents to safely and conveniently attach and detach a child or infant seat that is a perfect fit for their Volvo, while being assured that the seat is properly - and safely - attached; quickly and error-free. The system package, when available, will include two rear facing seats (infant and child), and a supporting frame. The supporting frame will connect to ISO-FIX attaching points, which will be engineered into every S40 and V40. Although the ISO-FIX attachment points cannot be retro-fitted to earlier Volvos, the supporting frame and two seats can be used conventionally in other vehicles making this a convenient seating option for parents when switching between vehicles is necessary.

Dual-Stage Front Airbag System

The 2001 S40 and V40 will also add a dual-stage airbag system for both driver and passenger in the front seat to help further reduce the risk of injury. Dual-stage airbags deploy differently and with different force depending on the severity of the crash and the status of the seat belts. The system senses how quickly the car has decelerated, or movement has been retarded, and uses this information to determine the pressure at which the bags should inflate. See the table below for details:

• Trigger threshold depends on the collision severity. Level 1 = "low" collision severity, Level 5 = "high" collision severity
• The three seatbelt pretensioners in the rear seat are designed to activate at the same time and always at trigger threshold 3. This is regardless of whether someone is sitting in the rear seat and whether they are using a seatbelt or not.
• The SRS control unit calculates the entire collision sequence. In the calculations, level of collision severity is included, and thus also the trigger threshold that will be reached. Only then are the above components activated according to the above pattern.

RN Generation Engine

The 2001 S40 and V40 engine will be an RN generation engine. You may already be familiar with the RN generation engines that the MY 2000 S80 incorporates. RN stands for Revised N. The N Series - Volvo's modular engine family comprising four, five and six-cylinder all-aluminum engines - has now been extensively upgraded and improved in order to comply with 21st century fuel efficiency and emissions requirements, hence the R. The improved engine will provide better fuel economy, and approximately 8 more foot-pounds of torque with the RN modifications. The new engine will also have Continuously Variable Valve Timing (CVVT) on the exhaust camshaft.

5-Speed Automatic Transmission

The 2001 S40 and V40 will be equipped with a new 5-speed automatic transmission, replacing the MY 2000 4-speed automatic transmission. The new transmission will improve performance in three areas. First, fuel economy will be improved due to the "longer" ratio of the 5th gear, especially when driven on the highway. Next, slight acceleration, performance, and top speed improvements are achieved due to the smaller steps between the gears. The shorter first gear provides for better "take off" performance. Shift comfort is improved due to the smaller steps in-between gears and the latest generation transmission management. The new gearbox also provides noise level reductions especially while driving under highway conditions, again because of the "longer" ratio of the 5th gear compared with the MY 2000 4th gear. The "Neutral Control" feature now lowers idle vibrations when the S40 and V40 are standing still and in drive with the brakes applied. The transmission will also be automatically adaptive to customer's driving style, eliminating the need for the "E" and "S" buttons on the shift control console. The "W" button for wet and winter driving conditions will still remain to allow the S40 and V40 owner to maintain control in inclement weather conditions.

Comfort and Styling - Interior

Interior Color Scheme

The 2001 S40 and V40 will have a new light color scheme, Taupe/Light Taupe. This scheme will replace the MY 2000 Silver Grey color. This makes the interior more appealing than the previous Silver Grey color, while adding a richer, more dynamic character. By combining two colors (Taupe and Light Taupe) in the interior, the color tones for the dashboard, seats and door panels function in a more harmonious and spirited way.

Enhanced Seating Styling

The 2001 S40 and V40 will incorporate a new seat foam design, which improves long-term durability and gives a more sporty appearance. The leather upholstery will have a new grain and will be more environmentally friendly by being chromium-free.

Center Stack Styling

The center stack is reconfigured in the 2001 S40 and V40 to be more comfortable and functional for the owner's enjoyment. The stack is now more anatomically and ergonomically designed, bearing a much stronger resemblance to the S80. The climate control unit is now easier to use and the radio controls have been made more stylish. A lower storage area is also added to the center stack console for owner convenience.

Door Panels and Switches

The driver's door panel will now have all window switches and power mirrors adjustment controls, rather than them being located on the center tunnel. The passenger door will have power window control added. Both the driver's and passenger's doors will have the remote central door-locking button fitted.

Interior Lighting

The rear reading lamps are moved into one interior lamp placed in the rear part of the headlining. This lamp eliminates the need for the V40 luggage compartment lamp.

Heated Front Seats (Component of Weather Package)

The heated front seats will still be available as part of the Weather Package, but the heating control has been refined. The heating control now features a more accurate thermostatically controlled two heat level function, as the S80 does now. If the heated seat button is pushed once, seat heating will be activated with maximum heating capacity. If the button is pushed once more, the heating is reduced to a lower level. This allows the owner to have a greater level of comfort in cold weather situations.

Sunroof (Component of Sunroof Package)

The sunroof control will now allow for simple one-touch opening.

Comfort and Styling - Exterior

Volvo engineers have made some subtle changes to an already attractive design for the 2001 S40 and V40.

Front Bumper

The front bumper of the S40 and V40 now has an integrated front spoiler, and new, refined fog lamps can be ordered as options.

Headlamps

In 2001, all S40 and V40's will have dual headlamps.

Fenders

New fenders are wider to cover the new wider track of the cars.

Side Molding

There has been a reduction in length of the side molding in the 2001 cars.

Rear Lights

The rear lights will now use clear lens technology like the S80.

V40 Rear Panel

The rear panel between the rear lights has been restyled.

New Colors

The 2001 S40 and V40 will have more colors available than ever before. Five new colors will be added for MY 2001. Pacific Blue and Summer Green will no longer be available, but new colors Atlantic Blue, Desert Wind, and Peacock Green will be available as metallic colors. A new solid color, Panama Yellow, will be available by special order.

New Tires

The S/V40 MY01 will have three different tire brands: Michelin, Continental and Goodyear. Goodyear is new for MY 01:

Michelin MXV4 195/60 R15

Continental CV95 195/60 R15

Goodyear Eagle LS 195/60 R15

C70 Coupe and Convertible

Model Program

The C70 model program has been simplified for MY'01. The C70 Coupe LPT (light pressure turbo) has been discontinued in favor of the more powerful 236hp HPT. This was largely a result of consumer research that showed when someone is interested in purchasing a C70 Coupe, engine power becomes the third highest "reason for purchase" after safety and quality. We have made the Coupe a far more attractive offer by allowing the customer/retailer the flexibility of adding as many or as few options as appropriate to their particular needs.

Engine/Transmission

As previously mentioned, the Coupe will only be offered with the 236hp high pressure turbo (HPT) engine. It will continue to be available with either the 5-speed manual transmission or the new AW 50-55 5-speed automatic transmission. Convertibles continue with both engines and transmissions.

S60 (New model for 2001)

New 2001 S60 sedan is safety + sporty

An elegant sedan with a coupe profile and a sporting soul, the new 2001 Volvo S60 completes the transformation of the styling of the Volvo line and injects new emotion into the company's most popular product segment.

With fluid styling in the new Volvo design language and spirited performance from a range of 5-cylinder engines, the Volvo S60 emphasizes real world driving enjoyment with extraordinary handling. Described as a marriage of safety + sporty, he new S60 boasts a full complement of the safety innovations that have made Volvo the industry leader in occupant protection.

Prices for the new sedan begins at $26,500.

Built on Volvo's large car platform, the S60 is shorter than both the S80 sedan and V70 wagon but has a longer wheelbase than the S70 sedan whose place it takes in the model line. While it shares much of the same platform architecture with the S80 and V70, the new S60 has a distinctly sporting character that sets it apart from its siblings.

A trio of 5-cylinder engines and two transmission choices provide S60 with performance in keeping with a fine European sedan. A normally-aspirated, 168 hp 2.4-liter version mated to a smooth 5-speed manual transmission or available 5-speed electronically-controlled automatic are the heart of the base S60. The S60 2.4T generates 197 hp from the same 2.4-liters, thanks to a low pressure turbocharger with intercooling. The 5-speed automatic is standard equipment. The exhilarating S60 T5 delivers 247 hp performance from 2.3-liters with high pressure intercooled turbo and 5-speed manual or optional 5-speed automatic with sequential shifting Geartronic feature.

The S60 adopts Volvo's new design language to great effect, with smooth, flowing lines and traditional Volvo design cues married in an arresting style first seen in North America on the sporty C70 Coupe. The S60, with its longer wheelbase and wide stance, has a coupe profile that belies its sedan configuration and comfortable seating for five. But the taught handling and sport coupe performance do not compromise ride and passenger comfort. The successful balance of comfort and handling is a key part of the S60's success as a performance sedan with a strong Scandinavian character.

Traditional Volvo safety is still a top priority in the S60. Dual-stage driver and front passenger airbags and three-point seat belts with pyrotechnic pre-tensioners, SIPS side impact protections system with side airbags and Inflatable Curtain protection for front- and rear-seat passengers, WHIPS whiplash protection seating and many other passive safety features are standard equipment. Active safety is enhanced by four-channel anti-lock brakes with electronic brake distribution, two available traction control technologies and an independent suspension design that ensures the S60 handles completely predictably, whether empty or fully laden.

Dual climate controls with optional Interior Air Quality System, adjustable rear air vents on the B-pillar, comfortable seats with an orthopaedic design (including sport seats in the T5) and 60/40 rear fold-down feature, attractive cloth and supple leather trim choices in Scandinavian designs, and a host of small comfort and convenience features confirm the interior of the S60 as a fine European sedan. Premium audio systems, personal security features and options, and a system that recalls who drove the car and returns the seats and mirrors to the positions they used last make the Volvo S60 easy to enjoy.

Comforting, too, is the knowledge that the Volvo S60 carries the Volvo Car Corporation's commitment to improve the environmental impact of the automobile. In addition to the PremAir radiator that converts up to 75 per cent of the ground level ozone it encounters into oxygen and the use of Oko-Tex certified materials inside the car, the S60 with base 2.4 engine meets Ultra Low Emission Vehicle (ULEV) standards while the 2.4T and T5 models are classified as Low Emission Vehicles (LEV). All Volvo S60s come with an Environmental Product Declaration, a cradle to grave report on the environmental management measures taken by the company in the design, manufacture, use and subsequent recycling of the car.