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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting -- Ignore unavailable to you. Want to Upgrade?

To: Gaffer who wrote (32067)	2/6/2003 7:01:15 AM
From: Jeff Vayda	Respond to of 197466

(CNN) --Ericsson names new chief executive. Loss-making Ericsson shares soared on Thursday after it named Carl-Henric Svanberg as its new chief executive. Svanberg, currently CEO of the world's leading lock maker, Assa Abloy, will take over as Ericsson CEO from Kurt Hellstrom on April 8, Ericsson said. That ended months of speculation, sending the stock up 11 percent to 6.55 Swedish crowns in early Stockholm trading. Hellstrom became president of Ericsson in 1999 and CEO from the start of 2001 but has been in charge while the world's bigget maker of wireless network equipment posted losses for the past seven quarters as demand for equipment continues to decline Ericsson, like its rivals, has seen sales decline as telecom operators slashed spending on wireless equipment in an effort to manage the balance sheets after spending heavily on expansion. The company has said it would continue with its cost cutting programme, including more jobs cuts, to return to profitability. It had 64,600 employees at the end of last year and is aiming to bring its workforce to below 60,000 by the year-end, down from the 107,000 employees at the start of 2001. Ericsson has been forced to go into partnership with Japan's Sony to make mobile phones after losing market share to Nokia and Ericsson and had to ask shareholders for 30 billion crowns to prop up its ailing balance sheet. Svanberg, who has been among the potential candidates mentioned by financial market analysts, "will continue ... Hellstrom's successful work in controlling Ericsson's costs, while keeping up our leading market position,'' Ericsson Chairman Michael Treschow said in the statement.