Reduction of employees

Reduction of employees LGP Telecom AB give notice to 50 collectively affiliated personell and 20 employees in Solna and Tullinge as well as 5 employees abroad. This is due to weak sales and profitability. The reason for this downturn is that two of LGP's large customer groups, the systems suppliers and the operators, have delayed their purchases until 3G network investments are expected to gain momentum. Several systems suppliers are also focusing on a reduction of their own inventories of components, thereby postponing their purchases of LGP products Negotiations with the unions have started. For further information please contact: Mikael Gottschlich, CEO Phone: +46 (0)8 50 74 80 00, +46 (0)70 590 34 81 E-mail: mikael.gottschlich@lgp.se LGP is a globally leading manufacturer of telecom products, which improve radio coverage, capacity and data transmission in mobile communication networks. The company is also one of the leading contract manufacturers of advanced telecom components in the Nordic region. LGP has strong resources in R&D, production and marketing & sales. The telecom product portfolio consists of Tower Mounted Amplifiers, Tower Mounted Boosters, Filters, Combiners, Indoor/Outdoor Antennas and various OEM Subsystems. The group has 800 employees. LGP's customers are global network operators and system suppliers within all systems and standards. LGP Telecom is listed on the Stockholm Stock Exchange. For more information visit our web-site www.lgp.com ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2001/08/22/20010822BIT01340/bit0001.doc http://www.waymaker.net/bitonline/2001/08/22/20010822BIT01340/bit0001.pdf