Ericsson Nikola Tesla d.d.

Regulatory Filings • Mar 9, 2016

Ericsson Nikola Tesla Contracted HRK 56 Million worth Business with Operator IDC in the Republic of Moldova (Transnistria region)

Ericsson Nikola Tesla and Moldova operator Interdnestrcom (IDC) from Tiraspol, Transnistria, continue successful long-term cooperation. The contract was signed by Gordana Kovačević, the President of Ericsson Nikola Tesla and Sergey Nikolayevich Ganzha, President and CEO of IDC. The contract encompasses 4G/LTE network build with related services and the necessary software upgrades. The business is worth almost HRK 56 million.

To Moldova operator, Ericsson Nikola Tesla will deliver LTE network that offers a range of new communication opportunities for this operator's subscribers. Namely, 4G/LTE is an important step in mobile networks technological evolution, and offers a superior user experience with simplified technology for a new generation of mobile broadband.

According to the latest Ericsson Mobile Report, there are now one billion LTE subscriptions worldwide. Ericsson LTE radio access networks currently enable download speeds of up to 450 Mb/s in commercial operation and improve the use of mobile services as well as an increase average smartphone data usages. Additionally, the agreed contracted software upgrades will ensure even better network performance and accelerate new functionality introduction.

The President of Ericsson Nikola Tesla, Gordana Kovačević, MSc commented on the signed contracts: "I am happy that we continue cooperation with our long-term Customer, who by this contract realization follows the latest technological trends and after implementation of this project, will be able to offer new attractive services to their subscribers."

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Ericsson is the driving force behind the Networked Society - a world leader in communications technology and services. Ericsson long-term relationships with every major telecom operator in the world allow people, businesses and societies to fulfil their potential and create a more sustainable future.

Ericsson services, software and infrastructure - especially in mobility, broadband and the cloud - are enabling the telecom industry and other sectors to do better business, increase efficiency, improve the user experience and capture new opportunities. With approximately 115,000 professionals and customers in 180 countries, we combine global scale with technology and services leadership. We support networks that connect more than 2.5 billion subscribers. Forty percent of the world's mobile traffic is carried over Ericsson networks. And our investments in research and development ensure that our solutions - and our customers - stay in front. Founded in 1876, Ericsson has its headquarters in Stockholm, Sweden. Net sales in 2015 were SEK 246.9 billion (USD 29.4 billion). Ericsson is listed on NASDAQ OMX stock exchange in Stockholm and the NASDAQ in New York.

Ericsson Nikola Tesla, as an integral part of the Ericsson Group, supports the modern ways of communicating. The company's activities include marketing and sales, research and development, design of the total communications solution, services in the multi-service and mobile networks area including the mobile Internet and complex system integration in all business areas. The company provides innovative ICT solutions that constantly improve people's life and create new value. Shares of Ericsson Nikola Tesla are traded in the Regular Market of the Zagreb Stock Exchange under the stock exchange symbol ERNT-R-A.

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CONTACT: Snježana Bahtijari Company Communication Director Ericsson Nikola Tesla

Tel.: + 385 1 365 4556 E-mail: snjezana.bahtijari@ericsson.com