Demand for Volvo's products during the second quarter of 1999 continued to be strong. Sales rose during the first half of 1999 compared with the first half of 1998, and were also higher, excluding acquisitions. We are thereby meeting our target of a 10% annual rate of growth. Operating income increased in all business areas except Buses. The Group's operating margin in the second quarter increased to 6.2%.
The improvement in Marine and industrial engines and in Aero was most striking. A not insignificant part of our work during the spring involved the final stages of the sale of Volvo Cars to Ford. This has taken place in a constructive atmosphere.