0 15 July 2008

The SKF Group Half-year results 2008 Tom Johnstone, President and CEO

2 15 July 2008 Highlights during the second quarter 2008 SKF signed an agreement with PEER Bearing Company to acquire its manufacturing operations in China and Thailand. The acquisition is subject to certain conditions to closing and requires approvals by relevant authorities. SKF announced that the railway bearing plant in Russia will be located in Tver. The facility will be in operation in January SKF will increase the manufacturing capacity for large and medium size bearings at the new SKF factory in Dalian, China. SKF sold the operating assets of Roller Bearing Industries, Inc., USA, to Greenbrier Companies, USA. The company has an annual sales of around SEK 60 million, some 50 employees and was acquired by SKF in 2001.

3 15 July 2008 SKF and Nestlé established a global training programme to improve and define best practices related to maintenance and reliability for reducing unplanned mechanical failures. The SKF Certified Rebuilder programme for electric motors was launched in Europe and Latin America. SKF distributed to shareholders a total of SEK 4,554 million in dividend and redemption. SKF arranged new long-term financing of SEK 1,500 million and EUR 250 million. Highlights during the second quarter 2008

4 15 July 2008 SEKm Net sales16,07714,963 Operating profit2,1352,019 Operating margin13.3%13.5% Profit before taxes1,9781,957 Net profit1,3691,274 Basic earnings per share, SEK Cash flow after operating investments before financial items Cash flow after operating investments before financial items, excluding acquisitions 8801,414 Second quarter 2008

5 15 July 2008 SEKm Net sales31,67329,334 Operating profit4,1753,905 Operating margin13.2%13.3% Profit before taxes3,9023,782 Net profit2,6652,488 Basic earnings per share, SEK Cash flow after operating investments before financial items Cash flow after operating investments before financial items, excluding acquisitions First half year 2008

6 15 July 2008 Operating margin % Long-term target level: 12% 2008

7 15 July 2008 Operating margin % *excluding income from the jointly controlled company Oy Ovako Ab * 13.2 Long-term target level: 12%

8 15 July 2008 Operating margin per division Industrial Service Automotive % Excluding one-time items (eg. restructuring, impairments, capital gains)

9 15 July 2008 Sales in local currencies (excl. structural changes) % change y-o-y

10 15 July 2008 Growth development in local currency % Y-o-Y Acquisitions/Divestments Organic growth 7.5* 13.2 * Excluding effect from Ovako: % Long-term target level: 6-8% per annum 10.7

11 15 July 2008 Net sales development per quarter Q1Q2Q3Q4Q1Q2Q3Q4Q1Q Percent y-o-y Volume Structure Price / Mix Sales in local currency Currency Net sales

12 15 July 2008 Cash flow, after operating investments before financial items SEKm Cash out from acquisitions (SEKm) : , , YTD62 Cash in from Ovako (SEKm) : 2006 Q4 1, Q

13 15 July 2008 Net debt (Short-term financial assets minus loans and post-employment benefits) SEKm AB SKF, dividend paid (SEKm) : 2006 Q2 1, Q2 2, Q22,277 Redemption (SEKm) : 2007 Q2 4, Q22,

14 15 July 2008 Inventories as % of annual sales % Long-term target level: 18% 2008

15 15 July 2008 Return on capital employed ROCE: Operating profit plus interest income, as a percentage of twelve months average of total assets less the average of non interest bearing liabilities. % Long-term target level: 24%

16 15 July 2008 July 2008: Outlook for the third quarter 2008 (compared to the second quarter 2008 and adjusted for seasonality ) The market demand for SKF’s products and services in the third quarter of 2008 is expected to be higher for the Group. The demand is expected to be higher in Europe, slightly lower in North America and significantly higher in both Asia and Latin America. The demand is expected to be higher in the Industrial Division and the Service Division and relatively unchanged for the Automotive Division. The manufacturing level for the third quarter 2008 will be relatively unchanged compared to the second quarter 2008, and slightly higher than the third quarter 2007.

17 15 July 2008 Volume development Daily volume trend for: Q Q Net sales 2007 Europe 56% North America 18% Asia Pacific 18% Latin America 5% Total Outlook Q vs

18 15 July 2008 Guidance for the third quarter 2008 Tax level: 32% Financial net for third quarter: minus SEK 200 million Exchange rates on operating profit versus 2007 Q3: minus SEK 130 million Full year: minus SEK 500 million Additions to PPE: slightly above SEK 2 billion Guidance is approximate and based on current assumptions and exchange rates

19 15 July 2008 Solid, flexible debt structure and liquidity Maturity years, SEK 250 2,300 1,500 1,400 4, ) 2) 3) 1) New bond loan 2) New 5 year term-loan, repayment option, assumed to ) New private placement, 8 years, repayment option for SKF from 2010

20 15 July 2008 Key focus areas ahead Strengthen the platform/segment approach Maintain a positive price/mix Focus on fast growing segments and geographies Drive operational efficiency and Six Sigma Manage material costs and supply Attract and retain the best people Use sustainability as a guiding light

21 15 July 2008 Community Care Business Care SKF Corporate Sustainability Environment Care BeyondZero TM SKF Care Operating margin Employee Care

22 15 July 2008 SKF Group Vision To equip the world with SKF knowledge

23 15 July 2008