STOCKHOLM, April 3, 2024 /PRNewswire/ -- Telefonaktiebolaget
LM Ericsson's (NASDAQ: ERIC) Annual General Meeting (AGM) was held
today on April 3, 2024 in Kista,
Stockholm. Shareholders were also able to exercise their
voting rights by post before the meeting.
Adoption of the Income Statements and the Balance
Sheets
The AGM resolved to adopt the Income Statement and the Balance
Sheet for the Parent company as well as the Consolidated Income
Statement and the Consolidated Balance Sheet for the Group for
2023.
Dividend
The proposed dividend of SEK 2.70
per share was approved by the AGM. The dividend will be paid in two
equal installments: SEK 1.35 per
share with the record date Friday, April 5,
2024, and SEK 1.35 per share
with the record date Wednesday, October 2,
2024. Euroclear Sweden AB is expected to disburse
SEK 1.35 per share on Wednesday, April 10, 2024, and SEK 1.35 per share on Monday, October 7, 2024.
Remuneration report
The AGM resolved to adopt the Board of Directors' remuneration
report for 2023.
Discharge from liability
The members of the Board and the President were discharged from
liability for the financial year 2023.
Board of Directors
The AGM elected Board members in accordance with the proposal of
the Nomination Committee. Jan
Carlson was re-elected as Chair of the Board and Jon Fredrik
Baksaas, Carolina Dybeck Happe,
Börje Ekholm, Eric A. Elzvik, Kristin S.
Rinne, Jonas Synnergren, Jacob
Wallenberg and Christy Wyatt
were re-elected as Board members. Karl Åberg was elected new Board
member. Helena Stjernholm, who did
not stand for re-election, left the Board of Directors in
connection with the AGM. It was also noted that the unions have
appointed Ulf Rosberg, Annika
Salomonsson and Kjell-Åke Soting as employee representatives
on the Board of Directors with Frans Frejdestedt,
Loredana Roslund and Stefan Wänstedt as deputies.
Board of Directors' Fees
The AGM resolved on fees to the Board of Directors, in
accordance with the Nomination Committee's proposal. A yearly fee
of SEK 4,640,000 to the Chair of the
Board, and fees of SEK 1,175,000 to
each of the other non-employee members of the Board, elected by the
AGM, were approved. Fees for Committee work to non-employee members
of the Committees, elected by the AGM, were approved as follows:
SEK 540,000 to the Chair of the Audit
and Compliance Committee and SEK 310,000 to each of the other
members of the Audit and Compliance Committee, SEK 230,000 to the Chair of the Enterprise
Business and Technology Committee and SEK 200,000 to each of
the other members of the Enterprise Business and Technology
Committee, SEK 220,000 to each of the Chairs of the Finance
Committee and the Remuneration Committee, and SEK 195,000 to
each of the other members of the Finance Committee and the
Remuneration Committee.
The AGM approved the Nomination Committee's proposal that part
of the fees to the members of the Board, in respect of their Board
assignment (excluding fees for Committee work), may be paid in the
form of synthetic shares.
Auditor
The AGM re-elected Deloitte AB as auditor for the period up
until the end of the AGM 2025 and approved the Nomination
Committee´s proposal for the auditor fees.
Long-Term Variable Compensation Programs
Long-Term Variable Compensation Program 2024 (LTV
2024)
In accordance with the Board of Directors' proposal, the AGM
resolved on implementation of LTV 2024 for the Executive Team,
including the President and CEO, and for employees classified as
Executives (currently approximately 215 employees) comprising a
maximum of 10.4 million B-shares in Ericsson. "Performance
Share Awards" will be granted free of charge entitling the
participant to receive a number of shares at no consideration,
following the expiration of a three-year vesting period, provided
that certain performance conditions are met and that the
participant retains his or her employment. The 10.4 million
B-shares covered by LTV 2024 correspond to approximately 0.31
percent of the total number of registered shares of the
company.
Furthermore, the AGM resolved that the company's financial
exposure under LTV 2024 be hedged through an equity swap agreement
with a third party.
Transfer of treasury stock to employees and on an exchange,
directed share issue and acquisition offer for the previously
resolved LTV program I 2023 (LTV I 2023)
The AGM resolved to approve the Board of Directors' proposal
on:
- directed issue of 4.1 million C-shares to Investor AB, or
subsidiaries of Investor AB, at a subscription price corresponding
to the quota value of the share (approximately SEK 5);
- authorization for the Board of Directors to, prior to
the AGM 2025, resolve on an acquisition offer regarding the
4.1 million C-shares at a price per share corresponding to the
quota value of the share (approximately SEK
5); following the acquisition, the C-shares will, in
accordance with the articles of association, be converted into
B-shares, which thereafter can be transferred to employees and on
an exchange;
- transfer of no more than 3.4 million B-shares, free of
consideration, to employees covered by the terms of LTV I 2023,
with an authorization for the Board of Directors to decide to, in
conjunction with the delivery of vested shares under LTV I 2023,
prior to the AGM in 2025, retain and sell no more than 60% of
the vested B-shares on Nasdaq Stockholm, at a price within the, at
each time, prevailing price interval for the share, in order to
cover for the costs for withholding and paying tax and social
security liabilities on behalf of the participants in relation to
the Performance Share Awards for remittance to revenue authorities;
and
- transfer of no more than 700,000
B-shares on Nasdaq Stockholm, prior to the AGM 2025, at
a price within the, at each time, prevailing price interval for the
share, to cover certain expenses, mainly social security
payments.
Transfer of treasury stock on an exchange for previously
resolved LTV programs 2021, 2022 and II 2023
The AGM resolved to approve the Board of Directors' proposals
on:
- transfer of no more than 2 million B-shares on Nasdaq
Stockholm, prior to the AGM 2025, at a price within the, at each
time, prevailing price interval for the share, to cover certain
expenses, mainly social security charges, which may occur in
relation to the previously resolved and ongoing LTV programs LTV
2021, LTV 2022 and LTV II 2023; and
- authorization for the Board of Directors to decide to, in
conjunction with the delivery of vested shares under LTV 2021, LTV
2022 and LTV II 2023, prior to the AGM 2025, retain and sell
no more than 60% of the vested B-shares on Nasdaq Stockholm, at a
price within the, at each time, prevailing price interval for the
share, in order to cover for the costs for withholding and paying
tax and social security liabilities on behalf of the participants
in relation to the Performance Share Awards for remittance to
revenue authorities.
Shares and votes
There are in total 3,344,151,735 shares in the company;
261,755,983 A-shares and 3,082,395,752
B-shares, corresponding to in total 569,995,558.2 votes. The
company's holding of treasury stock as of April 3, 2024, amounts to 12,184,543 B-shares, corresponding to 1,218,454.3
votes.
NOTES TO EDITORS:
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FOR FURTHER INFORMATION, PLEASE CONTACT:
Contact persons
Lena Häggblom, Investor Relations
Phone: +46 725 93 27 78
E-mail: lena.haggblom@ericsson.com
Media
Ralf Bagner, Head of Media
Relations
Telefon: +46 761 28 47 89
E-post: ralf.bagner@ericsson.com
Media relations
Phone: +46 10 719 69 92
E-mail: media.relations@ericsson.com
ABOUT ERICSSON:
Ericsson enables communications service providers and
enterprises to capture the full value of connectivity. The
company's portfolio spans the following business areas: Networks,
Cloud Software and Services, Enterprise Wireless Solutions and
Global Communications Platform. It is designed to help our
customers go digital, increase efficiency and find new revenue
streams. Ericsson's innovation investments have delivered the
benefits of mobility and mobile broadband to billions of people
globally. Ericsson stock is listed on Nasdaq Stockholm and on
Nasdaq New York. www.ericsson.com
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Ericsson’s Annual
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