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Changes in external reporting

Thursday, April 22, 2010

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Change in segments
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Change in geographical break down
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EBITA replaces EBITDA

As of January 1, 2010, Ericsson (NASDAQ:ERIC) will report the following segments: Networks, Global Services, Multimedia, Sony Ericsson and ST-Ericsson. The only change compared to previous years is that Network Rollout is now included in Global Services instead of Networks. All other segments are unchanged. With this change the external reporting is aligned with the new internal reporting structure.

As of January 1, 2010, the geographical reporting structure is changed. Instead of five geographical areas, ten regions will be reported which mirrors the new internal geographical organization. A part called "Other" will also be reported, consisting of business not reported in the geographical structure, e.g. embedded modules, cables, power modules as well as intellectual property rights and licenses.

In 2009, Ericsson reported top 15 countries. As of January 1, 2010, top five countries will be reported.

As of January 1, 2010, EBITA for segments will be reported. EBITA is defined as earnings before interest, tax, amortizations and write-downs of acquisition-related intangibles. Previous years, Ericsson has reported EBITDA. The shift to EBITA is done to better reflect the underlying business.

Numbers for 2009 have been restated accordingly.

The layout of the interim reports has been changed. As of the first quarter 2010, the first page of the report will not have bullets in the beginning. Instead, the first page will start with CEO comments, followed by the ordinary summary of key indicators.

Segments as of January 1, 2010:

Networks

Global Services

Of which Network Rollout

Of which Professional Services

Of which Managed Services

Multimedia

Sony Ericsson

ST-Ericsson



Regions as of January 1, 2010:



North America

Latin America

North Europe and Central Asia

Western and Central Europe

Mediterranean

Middle East

Sub-Saharan Africa

India

China and Northeast Asia

South East Asia and Oceania

Other



Notes to editors:

Our multimedia content is available at the broadcast room: www.ericsson.com/broadcast_room



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