Ericsson: Ericsson starts negotiations on ownership of ST-Ericsson

Marketwired

STOCKHOLM, SWEDEN--(Marketwire - Dec 10, 2012) - Ericsson (NASDAQ: ERIC) today announcedthat it will continue to work togetherwith STMicroelectronics (NYSE: STM) to find a suitable strategic solutionfor thetwo companies Joint Venture ST-Ericsson. STMicroelectronics has todayannouncedits intention to exit as a shareholder in ST-Ericsson.

ST-Ericsson announced its strategic plan in April 2012 and is in the middleofexecuting on company transformation aiming at lowering its break-even pointandintroducing new technologies. Ericsson continues to believe that the modemtechnology, which it originally contributed to the Joint Venture, has astrategic value for the wireless industry. For Ericsson, a key priority inthisprocess is a successful market introduction of the new LTE modems that itiscertain will be very competitive and needed in the market.

During the process Ericsson will not speculate on the possible outcomes,timelines, and future ownership structures of ST-Ericsson.

Ericsson discloses the information provided herein pursuant to theSecuritiesMarkets Act and/or the Financial Instruments Trading Act. The informationwassubmitted for publication on December 10, 2012, at 07.50.

Ericsson starts negotiations on ownership of ST-ericsson:http://hugin.info/1061/R/1663538/539502.pdf

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(ii) they are solely responsible for the content, accuracy and originality of the information contained therein.

Source: Ericsson via Thomson Reuters ONE

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