[0] Ericsson Strengthens Management Structure and Appoints Chief Operating Officer.

    Business Editors

      STOCKHOLM, Sweden--(BUSINESS WIRE)--Aug. 17, 2001--Ericsson
(NASDAQ:ERICY) will adjust its organization to benefit from the
ongoing globalization trend among operators and drive the technology
shift to mobile and broadband Internet. The sales and market
organization will better serve global customers, and the product
organization will be organized for better synergies.
      "This is an important and proactive step for us in strengthening
our leading position within the telecom industry," said Kurt
Hellstrom, President and CEO of Ericsson. "Our new organization will
put even more emphasis on serving our customers, reduce complexity,
and more efficiently apply our resources."
      Effective October 1, Ericsson will create a market organization
with new global customer units for large global customers. From start
there will be five units. The market area organization will consist of
three units compared to five today (Americas, Asia Pacific and Europe,
Middle East and Africa). The heads of the global customer units and
the market areas report directly to CEO Kurt Hellstrom.
      Within the market areas, approximately 100 market units will be
consolidated into substantially fewer but larger units before the end
of the year. This new structure provides a more efficient
organization, combined with an increased competence and flexibility in
the customer interface.
      Effective September 1, the role of a Chief Operating Officer (COO)
will be established. Per-Arne Sandstrom, currently head of Market Area
North America, is appointed COO, reporting directly to CEO Kurt
Hellstrom.
      Per-Arne Sandstrom will implement and head a new product and
service structure based on five business units - Mobile Systems, WCDMA
and GSM; Multi-Service Networks and Data Backbone; Mobile Systems
CDMA; Transmission and Transport; Global Services - and four
supporting core units. The new structure will be effective on
September 1.
      Ericsson is shaping the future of Mobile and Broadband Internet
communications through its continuous technology leadership. Providing
innovative solutions in more than 140 countries, Ericsson is helping
to create the most powerful communication companies in the world.
      Read more at http://www.ericsson.com/press.
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      ATTACHMENT

Ericsson Management Team
Headed by CEO Kurt Hellstrom

      MARKET AREAS (reporting to CEO):

Europe, Middle East and Africa - Mats Dahlin
Americas - Gerhard Weise
Asia Pacific - Ragnar Back

      GLOBAL CUSTOMER UNITS (reporting to CEO):

Vodafone - Nils Grimsmo
France Telecom - Guy Roussel
Deutsche Telekom - Karl Alsmar
Telefonica - to be decided
TIM - Massimo Gentili

      CORPORATE FUNCTIONS (reporting to CEO):

Communications - Roland Klein
Finance - Sten Fornell
Legal Affairs - Carl Olof Blomqvist
Marketing and Strategic Business Development - Torbjorn Nilsson
People & Culture - Britt Reigo
Supply and IT - Bjorn Bostrom
Technology - Jan Uddenfeldt

Chief Operating Officer (COO):
Per-Arne Sandstrom

      BUSINESS UNITS (reporting to COO):

Mobile Systems, WCDMA and GSM - Einar Lindquist
Multi-Service Networks and Data Backbone - Johan Bergendahl
Mobile Systems CDMA - Ake Persson
Transmission and Transport - Bjorn Olsson
Global Services - Bert Nordberg

      SUPPORTING UNITS (reporting to COO):

Switching/Service Platform Development - Anders Wanman
Radio Network Development - Urban Fagerstedt
Supply - Bjorn Bostrom
Internet Applications - Lars Boman
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      OTHER BUSINESS OPERATIONS:

      Consist of legal companies based in Sweden that are not
consolidated in any Business Unit.

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      This information was brought to you by Waymaker
http://www.waymaker.net
      The following files are available for download:
http://www.waymaker.net/bitonline/2001/08/17/20010817BIT00240/bit0001.doc
http://www.waymaker.net/bitonline/2001/08/17/20010817BIT00240/bit0001.pdf

    --30--JB/na*

    CONTACT: Ericsson, New York
             Kathy Egan, Vice President, Communications, 212/685-4030

    KEYWORD: SWEDEN INTERNATIONAL EUROPE
    INDUSTRY KEYWORD: INTERNET TELECOMMUNICATIONS MANAGEMENT CHANGES
    SOURCE: Ericsson