Ericsson signs $150 million contract in Thailand for AXE Digital Switching Equipment.

STOCKHOLM, Sweden--(BUSINESS WIRE)--Nov. 20, 1996--Ericsson has signed a contract with the Telephone Organization of Thailand (TOT) for the supply and installation of AXE switching equipment, worth approximately $150 million. The main part of the delivery and installation will take place in 1997.

TOT is the public owned operator with the responsibility for national public telecommunication within Thailand.

"Ericsson has had a good relationship with TOT since its establishment in 1954. We have since then had a very good co-operation based on mutual trust and understanding," says Rolf Granstrom, President of Ericsson (Thailand) Ltd.

Thailand has now reached its objective of offering 10 percent of the population access to telephone lines. During the next five years the number of telephone lines is planned to double to 20 percent which means that further 6 million lines will be installed by the year 2001.

Ericsson delivered its first public switch to Thailand in 1908. The operating company Ericsson (Thailand) Ltd. has around 900 employees and is headquartered in Bangkok with manufacturing of AXE in Ayuthaya, north of Bangkok.

Ericsson's 90,000 empployees are active in 120 countries. Their combined expertise in switching, radio and networking makes Ericsson a world leader in telecommunications.

CONTACT: KATHY EGAN, LARS JONSTEG, 212 685-4030