Founded in 1876, Ericsson is a leading provider of communications networks, related services and handset technology platforms. Through our Sony Ericsson joint venture, we are also a major provider of handsets. Our experience building networks in more than 175 countries gives us unique customer and consumer insights, and our extensive portfolio of telecommunication solutions and intellectual property offer a true business advantage. We are committed to working with our customers and partners to expand the borders of telecommunications for the benefit of people everywhere.

We are a leading supplier of systems and services to most of the world's largest mobile and fixed network operators. Ericsson has a long history of innovation and an industry-leading R&D program that focuses on being first to market with new solutions based on open standards.

2006 is the third consecutive year in which Ericsson has reported good sales growth and best-in-class operating margin. Cash flow before financial investing activities was SEK -2.6 billion. Excluding major acquisitions/divestitures, we generated however a healthy cash flow from operations of SEK 12.2 billion. The dividend has increased over each of the past three years.

We are gaining market share in mobile and fixed networks as well as in services. Our professional services business is experiencing particularly strong growth and generating a return on capital employed well above the group average. Moreover, we anticipate that our Sony Ericsson joint venture, our industry-leading patent portfolio and our newly-formed multimedia business unit will increasingly contribute favorably to our overall financial performance.

Our vision is to be the prime driver in an all-communicating world.

This means a world in which all people can use voice, data, images and video to share ideas and information whenever and wherever they want.