-
Hans Vestberg leaves all assignments, effective
immediately but remains at the company's disposal
-
Jan Frykhammar takes on the role as CEO until
search is successfully completed
-
Carl Mellander is appointed acting CFO
Ericsson's (NASDAQ:ERIC) Board of Directors today
announced that Hans Vestberg steps down as President and CEO and
member of the Board of Directors of Ericsson with immediate effect.
Jan Frykhammar, Executive Vice President and CFO, will assume the
CEO position until a new CEO is in office.
Chairman of the Board Leif Johansson says: "Hans
Vestberg has led the company for seven years through significant
industry and company transformation. Hans has been instrumental in
building strong relationships with key customers around the world
and his leadership and energy have been an inspiration to employees
and leaders across Ericsson. However, in the current environment
and as the company accelerates its strategy execution, the Board of
Directors has decided that the time is right for a new leader to
drive the next phase in Ericsson's development."
Hans Vestberg says: "I have had 28 fantastic years
at Ericsson, the last seven as CEO. As the industry enters a next
phase, driven by 5G, IoT and Cloud, it is time for a new CEO to
step in and continue the work to ensure Ericsson's industry
leadership."
In conjunction to presenting its earnings report
for the second quarter on July 19, the company presented a strong
action plan to significantly reduce cost and adapt to the current
market environment.
"As stated in the report the Board fully supports
the cost reduction plans. In addition, the Board supports the
company business strategy and new company structure," Johansson
continued.
Effective immediately Jan Frykhammar, Executive
Vice President and CFO, steps into the position as President and
CEO until the now initiated recruitment search has been concluded.
As customary, the search process will comprise both internal and
external candidates.
Jan Frykhammar joined Ericsson 1991, and has held
various positions in finance and business control. In 2009,
Frykhammar became Executive Vice President, CFO and Head of Group
Function Finance, and before that he was Head of Business Unit
Global Services. He holds a Bachelor of Business Administration and
Economics from the University of Uppsala, Sweden.
Johansson says: "Jan has made it clear that he is
not aspiring to permanently take on the CEO role. However, I am
very pleased that he has accepted this assignment. Jan will secure
continued strong execution and leadership in the current
situation."
Carl Mellander, currently VP & Group
Treasurer, is appointed acting CFO with immediate effect.
Hans Vestberg will be available to support the
Board and management during his term of notice of six months.
NOTES TO EDITORS
PRESS BRIEFING AND LIVE
AUDIOCAST
Ericsson will hold a press briefing, which will
also be available via a live audiocast, starting at 10:00 AM CEST /
4:00 AM EDT on Monday 25 July, 2016 at Ericsson Headquarters,
Torshamnsgatan 21, Kista, Sweden.
Chairman of the Board Leif Johansson and incoming
CEO, Jan Frykhammar, will comment and answer questions. The press
briefing is open to journalists and analysts.
You can follow the press briefing and ask
questions via the live audiocast at: www.ericsson.com/investors and
at: www.ericsson.com/press.
The replay will be available shortly after the
event, via the same link.
Direct URL for the audiocast:
http://edge.media-server.com/m/p/6q2y6pyx
Biography Jan Frykhammar
Photo Jan Frykhammar
For media kits, backgrounders and high-resolution
photos, please visit www.ericsson.com/press
Ericsson is the driving force
behind the Networked Society - a world leader in communications
technology and services. Our long-term relationships with every
major telecom operator in the world allow people, business and
society to fulfill their potential and create a more sustainable
future.
Our services, software and
infrastructure - especially in mobility, broadband and the
cloud - are enabling the telecom industry and
other sectors to do better business, increase efficiency, improve
the user experience and capture new opportunities.
With approximately 115,000
professionals and customers in 180 countries, we combine global scale with technology and services
leadership. We support networks that connect more than 2.5 billion
subscribers. Forty percent of the world's mobile traffic is carried
over Ericsson networks. And our investments in research and
development ensure that our solutions - and our customers - stay in
front.
Founded in 1876, Ericsson has its
headquarters in Stockholm, Sweden. Net sales in 2015 were SEK 246.9 billion (USD 29.4 billion). Ericsson is
listed on NASDAQ OMX stock exchange in Stockholm and the NASDAQ in
New York.
www.ericsson.com
www.ericsson.com/news
www.twitter.com/ericssonpress
www.facebook.com/ericsson
www.youtube.com/ericsson
FOR FURTHER INFORMATION, PLEASE CONTACT
Ola Rembe, Head of External Communications,
Ericsson
Phone: +46107199727
E-mail: ola.rembe@ericsson.com
Ericsson Corporate Communications
Phone: +46 10 719 69 92
E-mail: media.relations@ericsson.com
Ericsson Investor Relations
Phone: +46 10 719 00 00
E-mail: investor.relations@ericsson.com
This information is information that
Telefonaktiebolaget LM Ericsson is obliged to make public pursuant
to the EU Market Abuse Regulation. The information was submitted
for publication, through the agency of the contact person set out
above, at 08:00 CET on July 25, 2016.
Ericsson’s Vestberg steps down –
search for new CEO initiated
This
announcement is distributed by NASDAQ OMX Corporate Solutions on
behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: Ericsson via Globenewswire
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