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Amber alert

3 February 2003

Ericsson s balance sheet is holding up well but shareholders can t completely rule out another fundraising. The Swedish group excels in cost cutting but the shrinking telecoms equipment market erodes the benefit. The Swedish telecoms equipment maker may require another expensive round of restructuring. Costcutting has slowed, price pressure is extreme and orders are worrying. Ericsson badly needs 3G to bounce back.

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