NCC forms new business area in telecom sector order volume of at least SEK 10 billion projected during five-year perio
NCC forms new business area in telecom sector - order volume of at least SEK 10 billion projected during five-year period NCC is making a strategic structural change of the group and is forming a completely new business area to capitalize on the sharply rising demand in the telecommunications field. In particular, the agreement announced on Friday with Ericsson will contribute to substantial volume growth. The business area, designated NCC TeleCom, is being formed as of October 1, 2000. "We are now making a substantial effort within NCC TeleCom to focus and muster our energies within this high-priority area. NCC TeleCom will be an important bridge for the NCC Group's development in the new economy," comments Jan Sjöqvist, CEO of NCC. "Taking into account existing contracts, it is estimated that construction of the information infrastructure alone during the next five years will provide NCC an order volume of more than SEK 10 billion," says Jan Sjöqvist. NCC has carried out operations in the telecommunications field for many years through the subsidiary NCC TeleCom. Currently NCC TeleCom has annual sales of about SEK 200 M and some 120 employees. However, growth in this sector is very strong and NCC expects sharply rising volumes in the future. Within a few years, the number of employees is projected to be at least 1,000, of which 500 in Sweden. The formation of the NCC TeleCom business area means a substantial expansion of NCC TeleCom A/S's capacity. Recruitment of new personnel will be initiated as well as a transfer of resources within the NCC Group. For additional information, contact: Jan Sjöqvist, CEO of NCC, Tel. +46 8 655 22 78, or Ole Sander, President of NCC TeleCom A/S, Tel. +45 43 44 91 00. All NCC:s pressreleases can be found on www.ncc.se ------------------------------------------------------------ This information was brought to you by BIT http://www.bit.se The following files are available for download: http://www.bit.se/bitonline/2000/09/22/20000922BIT00740/bit0001.doc http://www.bit.se/bitonline/2000/09/22/20000922BIT00740/bit0002.pdf