Ericsson halts operations in Russia 'indefinitely'

Monday, 11. April 2022 09:27

Telefonaktiebolaget LM Ericsson announced on Monday that it is suspending "indefinitely" its operations in Russia over the military operation in Ukraine.

The company recalled that they had already suspended "all deliveries to customers in Russia in February." Still, they decided to proceed with the decision to close all operations "in the light of recent events and of European Union sanctions."

"As a consequence, Ericsson records a SEK 0.9 b. provision in first quarter 2022 for impairment of assets and other exceptional costs. No staff redundancy cost is included. The provision will be recorded in Other Operating Expenses in Segment Networks. Around one third of this amount will impact cashflow," read the statement.

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Author:
Baha Breaking News (BBN) / JG