The annual general meeting of shareholders in 2001 resolved to approve transfer of own stock in relation to the introduction of a Global Stock Incentive Program. The resolution comprised, inter alia, a right for the company to transfer a maximum of 31,000,000 shares of series B to cover certain payments, mainly for social security charges that may occur in relation to the program. Resolutions to approve transfer of own stock for the above-mentioned purpose have thereafter been made at the annual general meetings of shareholders in 2002 and 2003.

The annual general meeting of shareholders in 2003 also resolved to approve transfer of own stock in relation to the Stock Purchase Plan 2003. The resolution comprised, inter alia, a right for the company to transfer a maximum of 26,000,000 shares of series B to cover certain payments, mainly for social security charges.

In accordance with the above-mentioned resolutions, 1,264,568 shares have been transferred up to April 6, 2004.

 

In light of the above, the annual general meeting of shareholders resolved that Ericsson shall have the right to transfer, prior to the annual general meeting of shareholders in 2005, a maximum of 55,735,432 shares of series B, which as per April 6, 2004, remains of the original 57,000,000 shares, for the purpose of covering certain payments, primarily social security charges, that may occur in relation to the company's Global Stock Incentive Program 2001 and the Stock Purchase Plan 2003. Transfer of the shares shall be effected at Stockholmsbörsen (the Stockholm Stock Exchange) at a price within the, at each time, registered price interval for the share.

Since the transfer of shares will be made to cover certain payments, as described above, the transfer of shares will not affect the company's liquidity and position. The number of outstanding shares would increase, corresponding to 0.35 percent of the outstanding shares per December 31, 2003. As per April 6, 2004, Ericsson holds 304,069,803 own shares.