Volvo Takes $423 Million Hit as Russia Business Halted (2)

Volvo AB said Russia’s war in Ukraine has forced it to make provisions in the first quarter totaling 4 billion kronor ($423 million) that will have a negative impact on operating income.

All of the Swedish truckmaker’s sales, service and production in Russia have been suspended since the war started and sanctions were imposed, the company saidFriday. Last year, about 3% of Volvo’s net sales stemmed from Russia with the provision related to expected credit losses among customers there.

Volvo has total assets worth about 9 billion kronor related to Russia, of which 6 billion kronor are classified as ...