Nokia and Siemens will complete their merger and begin operations as a joint company on 01-April-2007. Nokia and Siemens are contributing their respective carrier networks businesses and corresponding assets into this new 50:50 company. Both parties have agreed to increase their respective net asset contributions to the new company, with Siemens to contribute EUR 2.4 billion and Nokia to contribute EUR 1.7 billion.
“In the consolidating telecommunications market Nokia Siemens Networks will offer customers cost-saving, leading-edge solutions that will also optimally meet their needs with regards to convergence,” said Nokia CEO Olli-Pekka Kallasvuo.
The companies also emphasized the role of ethics and integrity in the new Nokia Siemens Networks. Since Nokia will consolidate the financial results of Nokia Siemens Networks, both companies have agreed that the compliance processes will be based on Nokia’s system and practices. The new company will have an expanded compliance program including training programs and defined approval processes for governmental business and for engaging third party consultants in the sales process.
http://www.nokia.com
http://www.siemens.com
