Operating income, adjusted* SEK million

2017 Q1 – Q3

2016

2015

Networks

12,992

20,983

31,055

Digital Services

-6,854

-3,487

-1,514

Managed Services

-752

-125

219

Other

-4,052

-3,505

-2,915

Total

1,334

13,866

26,845

* The numbers exclude restructuring charges and are adjusted for certain other items affecting comparability in 2017

Goodwill and acquisition-related intangible assets

Goodwill and acquisition-related intangible assets amounted to approximately SEK 45 b. in the balance sheet per Q3 2017. In the previous segment structure, SEK 24.7 b. is related to Networks, SEK 11.6 b. to IT & Cloud, and SEK 8.6 b. to Other.

As the restatement of the profit and loss accounts per segment is now finalized, Ericsson is together with the auditors starting the process to allocate goodwill and intangibles to segments. Thereafter the required impairment testing will be conducted, based on the strategy and business plans presented at the Capital Markets Day on November 8, 2017. The impairment test outcome will be announced shortly after the Q4 closing, before the Q4 earnings report.

A preliminary indication is that impairment may be required in segments Digital Services and Other, but not in segments Networks or Managed Services. An impairment would not impact cash flow but operating income and equity. Also, an impairment is not an indication of the performance of the business in the quarter. Our gross and net cash positions are strong, and will not be impacted by a potential impairment.

Find the complete tables of restated financials at .

CONFERENCE CALL FOR ANALYSTS, INVESTORS, AND JOURNALISTS

A conference call for financial analysts, investors and journalists will begin at 15:00 CET on December 8.

CFO Carl Mellander will comment on the restated financials and take questions. To join the conference call, please call one of the following numbers:

SE Toll Number:+46(0)856642662 (Toll-Free Sweden: 0200883817)

International/UK Toll Number: +44-2030089801 (Toll-Free UK: 08082370059)

US Toll Number: +1-6465025116 (Toll-Free US: +1-8557532235)

Please call in at least 15 minutes before the conference call begins. As there is usually a large number of callers, it may take some time before you are connected.

A live audio webcast of the conference call will be available at: www.ericsson.com/investors and at:

REPLAY:

A replay of the conference call will be available from about one hour after it has ended until December 15, 2017.

Sweden replay number: +46-8-5664-2638

International replay number: +44-20-3426-2807

Conference Number: 693556#

Contacts investors and financial analysts:

Peter Nyquist, Head of Investor Relations
Phone: +46-10-714-64-99
E-mail:

Åsa Konnbjer, Director, Investor Relations
Phone: +46-10-713-39-28
E-mail:

Stefan Jelvin, Director, Investor Relations
Phone: +46-10-714-20-39
E-mail:

Rikard Tunedal, Director, Investor Relations
Phone: +46-10-714-54-00
E-mail:

Contacts media enquiries:

Peter Olofsson, Head of Corporate Communications
Phone: +46-10-719-18-80
E-mail:

Corporate Communications
Phone: +46-10-719-69-92
E-mail:

Ericsson is a world leader in communications technology and services with headquarters in Stockholm, Sweden. Our organization consists of more than 111,000 experts who provide customers in 180 countries with innovative solutions and services. Together we are building a more connected future where anyone and any industry is empowered to reach their full potential. Net sales in 2016 were SEK 222.6 billion (USD 24.5 billion). The Ericsson stock is listed on Nasdaq Stockholm and on NASDAQ in New York.Read more on.

This information is information that Telefonaktiebolaget LM Ericsson is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 08:30 CET on December 8, 2017.

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