Nokia Corporation
Stock Exchange Release
September 10, 2010 at 08:30 (CET+1)
Nokia appoints Stephen Elop to President and CEO as of September 21, 2010
Espoo, Finland - Nokia's Board of Directors has appointed Stephen Elop
President and Chief Executive Officer of Nokia as of September 21. Elop
currently heads Microsoft's Business Division. Before joining Microsoft, Elop
held senior executive positions in a number of US-based public companies,
including Juniper Networks, Adobe Systems Inc. and Macromedia Inc. He holds a
degree in computer engineering and management from McMaster University in
Hamilton, Canada, which is his home country.
“The time is right to accelerate the company's renewal; to bring in new
executive leadership with different skills and strengths in order to drive
company success. The Nokia Board believes that Stephen has the right industry
experience and leadership skills to realize the full potential of Nokia. His
strong software background and proven record in change management will be
valuable assets as we press harder to complete the transformation of the
company. We believe that Stephen will be able to drive both innovation and
efficient execution of the company strategy in order to deliver increased value
to our shareholders,” said Jorma Ollila, Chairman of the Nokia Board of
Directors.
Elop commented on his new Nokia position: "I am extremely excited to become part
of a team dedicated to strengthening Nokia's position as the undisputed leader
of the mobile communications industry, with a relentless focus on meeting the
needs and expectations of customers. Nokia has a unique global position as well
as a great brand upon which we can build. The company has deeply talented and
dedicated people, and I am confident that together we can continue to deliver
innovative products that meet the needs of consumers. The Nokia slogan clearly
states our key mission: Connecting People, which will acquire new dimensions as
we build our portfolio of products, solutions and services."
Olli-Pekka Kallasvuo will leave his current position as President and CEO of
Nokia on September 20, 2010 and his position on the Nokia Board of Directors
with immediate effect. He will continue to chair the Board of Nokia Siemens
Networks in a non-executive capacity.
“The whole Board of Directors joins me in thanking Olli-Pekka for his thirty
years at Nokia, during which he has been deeply involved in developing the
company and its operations. His dedication and contribution throughout the years
has been exceptional. The Board wishes him every success in his future
pursuits,” says Jorma Ollila.
In accordance with the terms and conditions of his service contract, Kallasvuo
is entitled to a severance payment consisting of 18 months gross base salary and
target incentive which totals approximately 4.6 million euro. He will also
receive as compensation the fair market value of the 100 000 restricted Nokia
shares granted to him in 2007, which vest on October 1, 2010.
As of September 10, 2010, the Nokia Board will consist of the following members:
Jorma Ollila (Chairman), Dame Marjorie Scardino (Vice Chairman), Lalita D.
Gupte, Bengt Holmström, Dr. Henning Kagermann, Per Karlsson, Isabel
Marey-Semper, Risto Siilasmaa, Keijo Suila.
A press conference will be held today at Nokia's head office in Espoo, Finland,
at 13:00 (CET+1). The press conference will be webcast live via:
www.nokia.com/press or
http://www.nokia.com/press/media_resources/audio/nokia-webcasts.
About Nokia
At Nokia, we are committed to connecting people. We combine advanced technology
with personalized services that enable people to stay close to what matters to
them. Every day, more than 1.3 billion people connect to one another with a
Nokia device - from mobile phones to advanced smartphones and high-performance
mobile computers. Today, Nokia is integrating its devices with innovative
services through Ovi (www.ovi.com), including music, maps, apps, email and more.
Nokia's NAVTEQ is a leader in comprehensive digital mapping and navigation
services, while Nokia Siemens Networks provides equipment, services and
solutions for communications networks globally.
FORWARD-LOOKING STATEMENTS
It should be noted that certain statements herein which are not historical facts
are forward-looking statements, including, without limitation, those regarding:
A) the timing of the deliveries of our products and services and their
combinations; B) our ability to develop, implement and commercialize new
technologies, products and services and their combinations; C) expectations
regarding market developments and structural changes; D) expectations and
targets regarding our industry volumes, market share, prices, net sales and
margins of products and services and their combinations; E) expectations and
targets regarding our operational priorities and results of operations; F) the
outcome of pending and threatened litigation; G) expectations regarding the
successful completion of acquisitions or restructurings on a timely basis and
our ability to achieve the financial and operational targets set in connection
with any such acquisition or restructuring; and H) statements preceded by
"believe," "expect," "anticipate," "foresee," "target," "estimate," "designed,"
"plans," "will" or similar expressions. These statements are based on
management's best assumptions and beliefs in light of the information currently
available to it. Because they involve risks and uncertainties, actual results
may differ materially from the results that we currently expect. Factors that
could cause these differences include, but are not limited to: 1) the
competitiveness and quality of our portfolio of products and services and their
combinations; 2) our ability to timely and successfully develop or otherwise
acquire the appropriate technologies and commercialize them as new advanced
products and services and their combinations, including our ability to attract
application developers and content providers to develop applications and provide
content for use in our devices; 3) our ability to effectively, timely and
profitably adapt our business and operations to the requirements of the
converged mobile device market and the services market; 4) the intensity of
competition in the various markets where we do business and our ability to
maintain or improve our market position or respond successfully to changes in
the competitive environment; 5) the occurrence of any actual or even alleged
defects or other quality, safety or security issues in our products and services
and their combinations; 6) the development of the mobile and fixed
communications industry and general economic conditions globally and regionally;
7) our ability to successfully manage costs; 8) exchange rate fluctuations,
including, in particular, fluctuations between the euro, which is our reporting
currency, and the US dollar, the Japanese yen and the Chinese yuan, as well as
certain other currencies; 9) the success, financial condition and performance of
our suppliers, collaboration partners and customers; 10) our ability to source
sufficient amounts of fully functional components, sub-assemblies, software,
applications and content without interruption and at acceptable prices and
quality; 11) our success in collaboration arrangements with third parties
relating to the development of new technologies, products and services,
including applications and content; 12) our ability to manage efficiently our
manufacturing and logistics, as well as to ensure the quality, safety, security
and timely delivery of our products and services and their combinations; 13) our
ability to manage our inventory and timely adapt our supply to meet changing
demands for our products; 14) our ability to protect the complex technologies,
which we or others develop or that we license, from claims that we have
infringed third parties' intellectual property rights, as well as our
unrestricted use on commercially acceptable terms of certain technologies in our
products and services and their combinations; 15) our ability to protect
numerous Nokia, NAVTEQ and Nokia Siemens Networks patented, standardized or
proprietary technologies from third-party infringement or actions to invalidate
the intellectual property rights of these technologies; 16) the impact of
changes in government policies, trade policies, laws or regulations and economic
or political turmoil in countries where our assets are located and we do
business; 17) any disruption to information technology systems and networks that
our operations rely on; 18) our ability to retain, motivate, develop and recruit
appropriately skilled employees; 19) unfavorable outcome of litigations; 20)
allegations of possible health risks from electromagnetic fields generated by
base stations and mobile devices and lawsuits related to them, regardless of
merit; 21) our ability to achieve targeted costs reductions and increase
profitability in Nokia Siemens Networks and to effectively and timely execute
related restructuring measures; 22) developments under large, multi-year
contracts or in relation to major customers in the networks infrastructure and
related services business; 23) the management of our customer financing
exposure, particularly in the networks infrastructure and related services
business; 24) whether ongoing or any additional governmental investigations into
alleged violations of law by some former employees of Siemens AG ("Siemens") may
involve and affect the carrier-related assets and employees transferred by
Siemens to Nokia Siemens Networks; 25) any impairment of Nokia Siemens Networks
customer relationships resulting from ongoing or any additional governmental
investigations involving the Siemens carrier-related operations transferred to
Nokia Siemens Networks; as well as the risk factors specified on pages 11-32 of
Nokia's annual report Form 20-F for the year ended December 31, 2009 under Item
3D. "Risk Factors." Other unknown or unpredictable factors or underlying
assumptions subsequently proving to be incorrect could cause actual results to
differ materially from those in the forward-looking statements. Nokia does not
undertake any obligation to publicly update or revise forward-looking
statements, whether as a result of new information, future events or otherwise,
except to the extent legally required.
Media and Investor Contacts:
Nokia
Communications
Tel. +358 7180 34900
Email: press.services@nokia.com
Investor Relations Europe
tel. +358 7180 34927
Investor Relations US
tel. +1 914 368 0555
www.nokia.com