Nokia is to withdraw all further funding commitments to MobilCom under the terms of a conversion of outstanding customer financing to the German company into a new facility.
Nokia confirmed it will take a €300 million charge against third-quarter earnings on the conversion. Principle terms for the conversion have been agreed with MobilCom affiliate France Telecom.
The conversion will also reduce Nokia's total customer financing commitment by an additional €530 million.
It is subject to the overall resolution of the MobilCom situation as expected to be carried out by France Telecom, Nokia said in its update on third-quarter earnings guidance.
READ MORE
PA