Ericsson signs $100 million GSM expansion agreement with Panafon in Greece.

STOCKHOLM, Sweden--(BUSINESS WIRE)--December 19, 1996-- Ericsson has signed an expansion agreement with Panafon, one of the two GSM operators in Greece. The agreement contains supply and installation of a complete GSM system for Panafon's operations in Greece. The agreement runs over three years and covers the Greek peninsula and the Greek islands. The contract value is approximately $100 million.

Panafon is a consortium, consisting of Vodafone Group PLc, (45 percent); France Telecom, (35 percent); the local telecom manufacturer Intracom, (10 percent); and Databank S.A of Greece, (10 percent). In August, 1992 Panafon received one of the two licenses for operating GSM networks in Greece and in December the same year Panafon signed the first contract with Ericsson for their digital cellular network. The network entered commercial operation just six months later.

Ericsson has now supplied GSM system to 49 countries and is the leading supplier of GSM-equipment world-wide.

Ericsson's 90,000 employees are active in more than 130 countries. Their combined expertise in switching, radio and networking makes Ericsson the world leading supplier in telecommunications.

CONTACT: KATHY EGAN 

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LARS JONSTEG

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