News

Ericsson's Board Proposes Long-Term Incentive Plan

February 09, 2005 by Jeff Shepard

The Ericsson (Sweden) board of directors has decided to present a long-term incentive plan (LTI 2005) at its annual general meeting of shareholders. The LTI 2005 is based upon the same principles as the stock purchase plan 2003, which covered all employees and was supplemented by the LTI 2004 for key contributors and senior management.

The board of Ericsson is convinced that the continuation of long-term incentive programs is essential to retain and in the future recruit key personnel and to develop conditions for the company's future development and creation of value. The proposed LTI 2005 is designed to offer an incentive for all Ericsson's employees to participate in their company, to give recognition as a method of retention to critical employees, and to focus selected top management on driving earnings and provide competitive compensation based on Swedish practice.