1

Benefits Built Around You

Your knowledge of your “total compensation” is incomplete unless you have a basic idea of the

benefits available to you as an employee of Ericsson Services Inc. (“Ericsson Services”). Employee benefits form a significant and important addition to your salary and help provide the financial security and protection needed by you and your family. These comprehensive benefit programs are designed to fit your needs.

E-Flex:

Ericsson Services’ Flexible Benefit ProgramEricsson Services’ employees and their dependents will enjoy comprehensive benefit plans that offer a variety of coverage options in the following areas:

Medical – Aetna Choice™ POS II (includes Retail and Mail Order Pharmacy Benefits).

Dental – Aetna PPO Dental Plan (Combined deductible for any combination of basic and/or major services in or out of network).

Vision Care – Vision plan offered by Vision Service Plan (VSP).

Employee Life Insurance – Employees may elect up to six times annual pay ($1,000,000 maximum) – must elect at least $10,000.

Spouse Life Insurance – Employees may elect up to 50% of the Employee Life Insurance option amount up to a $100,000 maximum.

Child Life Insurance – Employees may elect $5,000 of coverage for each eligible dependent child.

Employee Accidental Death & Dismemberment (AD&D) – Employees may elect AD&D coverage ranging from $10,000 up to a maximum of $500,000.

Dependent AD&D – Employees may elect AD&D coverage for their spouse and eligible dependent children at 50% for the spouse and/or 10% for dependent children.

Long Term Disability – Two options for pay replacement are available to employees in the event of a long term disability—50% or 70% pay replacement.

Health Care Spending Account – Employees may elect $250 minimum/$5,000 maximum annually.

Dependent Care Spending Account – Employees may elect $250 minimum/$5,000 maximum annually.

Employees hired during the year will be provided a schedule of the maximum they are allowed to contribute to either Spending Account based upon their hire date.

Y O U R 2 0 1 0 E R I C S S O N S E R V I C E S B E N E F I T S

2

Paid Time Off

VacationYou will be eligible for vacation based on your length of service and pro-rated depending on date of entry to Ericsson Services. Generally, Ericsson Services has a “use it or lose it” vacation directive, meaning that the full amount of vacation granted during a calendar year must be used during that same calendar year or forfeited. This is not applicable in those states where use it or lose it policies are not allowed.

Employees will receive credit for his/her continuous years of service to the Ericsson Group of Companies and will include prior service from Sprint in determining the vacation granted, provided that there has been no break in service between the employee’s employment with one of the identified companies and Ericsson Services. For employees working less than 40 hours per week, the amount of vacation will be pro-rated.

Ericsson Services Start Date

Years of Service

0-through calendar year of 6th anniversary (comple-tion of 6 years of service)

Calendar year of 7th anniversary through 18th anniversary (completion of 18 years of service)

Calendar year of 19th anniversary and all later years

Employed on first official Company workday in January

15 days (or 120 hours) 20 days (or 160 hours) 25 days (or 200 hours)

Employed after first official workday in January but on or prior to March 31 (1st Quarter)

11 days (or 88 hours) 15 days (or 120 hours) 19 days (or 152 hours)

April - June (2nd Quarter) 8 days (or 64 hours) 10 days (or 80 hours) 13 days (or 104 hours)

July - September (3rd Quarter)

4 days (or 32 hours) 5 days (or 40 hours) 6 days (or 48 hours)

October - December (4th Quarter)

1 day (or 8 hours) 2 days (or 16 hours) 2 days (or 16 hours)

3

HolidaysEricsson Services observes 11 holidays each year. The company designates 8 or 9 holidays per year giving the employee 2 or 3 days to use as “floating holidays.” The floating holidays may be used at your discretion, as approved by your manager.

Sick TimeEricsson Services provides paid sick time as partial protection against loss of income if you are ill or injured. Employees are credited with up to 10 days of paid sick time as of January 1 of each calendar year. Except in those states wherein all sick time must be available to be used for care of a family member, you may use one-half or 5 days of available paid sick time to care for a family member who is ill or injured. Unused sick time cannot be carried over from one calendar year to the next nor will payment be made for any unused allow-ance. If you are absent from work more than 5 consecu-tive days, you may be eligible to apply for Short-Term Disability. For employees working less than 40 hours per week, sick time is pro-rated.

Volunteer TimeEricsson Services supports employee participation in community and charitable events. Employees are allowed up to eight hours of paid time off per year to participate in these types of activities. For employees working less than 40 hours per week, volunteer time will be pro-rated.

Short-Term Disability InsuranceEricsson Services provides you with short-term disability insurance, which protects you if you are off work due to your illness or injury for an extended period of time up to 26 weeks (waiting period to be eligible for long-term disability). If approved for short-term disabil-ity, after a 5 day waiting period or at least four hours in the hospital, you will continue to receive 100% or 66 2/3% of your salary based upon your length of service. Your E-Flex benefits will continue during Short-Term Disability insurance coverage and, based on your elections, you may be required to make payments.

Other Benefits

Employee Assistance ProgramProvided by MHNet. This program provides up to six sessions of confidential assessment and counseling per issue per year free of charge to employees and their eligible dependents.

Long Term Care InsuranceLong Term Care insurance underwritten by Prudential. The plan is available to employees, spouses and some extended family with proof of good health.

Educational AssistanceEricsson Services reimburses 100% up to $8,000 (of which $5,250 will be non-taxable) in a calendar year for tuition, fees and books for job-related courses complet-ed with a grade of “C” or better. Courses taken require prior approval.

Business and Travel Accident InsuranceEricsson Services provides accidental death and disability coverage while traveling on Company busi-ness, subject to the terms of the policy. The premiums for this coverage are paid fully by Ericsson Services.

Adoption AssistanceBenefits are provided for eligible adoption expenses such as agency fees, legal fees, temporary foster care, transportation and medical fees. The adoption assis-tance provides up to $7,500 in benefits for each child you adopt and is limited to $15,000 during your career with Ericsson Services or an Ericsson company in the United States.

Matching Gifts ProgramEricsson Services matches employee contribution to eligible not-for-profit organizations up to a maximum of $5,000 per employee per calendar year.

4

Ericsson Services Inc. 401(k) Plan

Employee ContributionsYou may contribute up to 50% of your eligible pay for Pre-tax and/or Roth 401(k) contributions and up to 5% of your after-tax eligible pay (up to IRS annual limits).

If you are age 50 or older as of the end of the tax year (December 31), you can save up to an additional 20% of eligible pay for Pre-tax and/or Roth Catch-up contribu-tions (up to IRS annual limit). Catch-up contributions are not eligible for company matching.

Company Matching ContributionCurrently, there is no company matching contribution available. However, Ericsson Services does expect to provide company matching contributions to employees in the future. The company will consider future matching based on company performance and general business conditions.

Additional Highlights of the Plan: • You may invest among a wide variety of investment

options including Ericsson stock and a Self Directed Brokerage account.

• You are always 100% vested (have full ownership). • The plan accepts qualified rollover distributions from

other 401(k) plans. • You may borrow up to 50% of your account balance

(up to $50,000). • Taxes will be deferred on your before-tax contribu-

tions and all earnings until you take the money out of the plan.

Ericsson Stock Purchase Plan (ESPP) Employees may purchase Ericsson shares through payroll deduction, contributing up to 7.5% of their “after-tax” base salary for each 12-month period of the plan. Ericsson will match those purchased shares, one for one, at the end of a three-year vesting period. Shares are purchased by a plan administrator every quarter.