Ericsson launches $30 million global system for mobile communication system in Yugoslavia

Business Wire, Jan 26, 1996

STOCKHOLM, Sweden--(BUSINESS WIRE)--Jan. 26, 1996--Ericsson has signed a contract to deliver and implement a Global System for Mobile Communication (GSM) cellular mobile telephone system for operation in Serbia, in the Federal Republic of Yugoslavia. The value of the order for the first phase is $30 million. Yugoslavia will be the 38th country introducing GSM from Ericsson.

The system will be operated by Mobile Telecommunications Srbija BK-PTT, which is a joint venture between the Serbian PTT (49%) and BK Trade (51%). BK Trade is one of many companies managed and owned by the Serbian Karic family.

BK-PTT is aiming for a fast roll-out and a network encompassing 200,000 subscribers in 1997. The initial phases of the network will be taken into operation during the first half of 1996. GSM was initially developed as a Pan-European standard for mobile telephony. Approxi- mately 50 countries have introduced GSM. Mobile telephony will be an important corner-stone of communications when building up the infrastructure on the Balkan.

Ericsson's 80 000 employees are active in more than 100 countries. Their combined expertise in switching, radio and networking makes Ericsson a world leader in telecommunications.

CONTACT: Ericsson

KATHY EGAN, LARS JONSTEG, 212-685-4030