Ericsson Announces Extension of Compliance Monitorship
Ericsson (NASDAQ: ERIC) has extended its Independent Compliance Monitor's term by one year, now concluding in June 2024, to further enhance its governance and compliance practices. This follows a Deferred Prosecution Agreement with the U.S. DOJ and a Consent Judgment with the SEC from 2019, aimed at addressing FCPA violations. CEO Börje Ekholm emphasized the commitment to improving the company’s Ethics and Compliance program, while Chairman Ronnie Leten highlighted advancements in internal controls. This extension underscores Ericsson's dedication to integrity and robust compliance.
- Extension of Independent Compliance Monitor's term until June 2024 allows for further development of governance and risk management frameworks.
- Significant progress reported in enhancing the Ethics and Compliance program since the 2019 agreements.
- Ongoing oversight indicates previous compliance issues with the FCPA may still need resolution.
STOCKHOLM, Dec. 14, 2022 /PRNewswire/ -- Ericsson (NASDAQ: ERIC) announces that it has agreed with the U.S. Department of Justice (DOJ) and Securities and Exchange Commission (SEC) to extend the term of the Company's Independent Compliance Monitor for one year, to June 2024.
In 2019 Ericsson entered into a Deferred Prosecution Agreement (DPA) with the DOJ and a Consent Judgment with the SEC to resolve violations of the FCPA. As part of the resolution, Ericsson agreed to engage an independent compliance monitor for a period of three years while the Company strengthened its culture and established a rigorous anti-corruption, compliance and controls program.
This extension will allow the company, under the monitorship, to further embed best in class governance, risk management and compliance frameworks across the organization.
The Company remains committed to cooperating with the DOJ in connection with the resolution of the breach notification.
Börje Ekholm, President and CEO, says: "This extension is consistent with our commitment to continuous improvement of Ericsson's Ethics and Compliance program. We have made significant progress in changing our culture and implementing an enhanced compliance framework and system of internal controls, and we will use this additional time to ensure these improvements are ingrained in our organization, our daily interactions and the way we do business. We want to get this right and, to be a true industry leader, we have to conduct our business in the right way."
Ronnie Leten, Chair of the Board of Directors, says: "We are dedicated to acting with integrity in everything we do and continuing to align business operations with strengthened internal controls, governance and risk management processes. Our work with the monitor has meaningfully advanced our Ethics and Compliance program, and we welcome this extension of our engagement with the monitor."
NOTES TO EDITORS:
FOLLOW US:
Subscribe to Ericsson press releases here
Subscribe to Ericsson blog posts here
https://twitter.com/ericsson
https://www.facebook.com/ericsson
https://www.linkedin.com/company/ericsson
MORE INFORMATION AT:
Ericsson Newsroom
media.relations@ericsson.com (+46 10 719 69 92)
investor.relations@ericsson.com (+46 10 719 00 00)
Contact person
Peter Nyquist, Head of Investor Relations
Phone: +46 705 75 29 06
E-mail: peter.nyquist@ericsson.com
Additional contacts
Stella Medlicott, Senior Vice President, Marketing and Corporate Relations
Phone: +46 730 95 65 39
E-mail: media.relations@ericsson.com
Media
Kirsty Fitzgibbon, Vice President, Head of External Relations, acting
Phone: +46 730 95 81 57
E-mail: media.relations@ericsson.com
Kristoffer Edshage, Head of Financial and Regulatory Communication
Phone: +46 722 20 44 46
E-mail: media.relations@ericsson.com
Media Relations
Phone: +46 10 719 69 92
E-mail: media.relations@ericsson.com
ABOUT ERICSSON:
Ericsson enables communications service providers and enterprises to capture the full value of connectivity. The company's portfolio spans the following business areas: Networks, Cloud Software and Services, Enterprise Wireless Solutions, Global Communications Platform, and Technologies and New Businesses. It is designed to help our customers go digital, increase efficiency and find new revenue streams. Ericsson's innovation investments have delivered the benefits of mobility and mobile broadband to billions of people globally. Ericsson stock is listed on Nasdaq Stockholm and on Nasdaq New York. www.ericsson.com
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 10:00 pm CET on December 14, 2022.
The following files are available for download:
Ericsson Announces Extension of Compliance Monitorship |
View original content:https://www.prnewswire.com/news-releases/ericsson-announces-extension-of-compliance-monitorship-301703612.html
SOURCE Ericsson
FAQ
What did Ericsson announce on December 14, 2022?
What is the significance of the compliance monitor extension for Ericsson?
How long is the new term for Ericsson's Independent Compliance Monitor?
What agreements did Ericsson enter into with the DOJ and SEC?
What did Ericsson's CEO say about the compliance program?
