Nokia Execs Are Trying to Respond Quickly to Market Challenges
During its first quarter, Nokia experienced a 29 percent drop in net sales and announced sales of more than 2 million Lumia handsetsits first smartphone lineup to run Microsofts Windows Phone operating system. While at least one analyst has pointed out that it took Google five quarters to sell as many Android-running phones, following the platforms introduction, the number also represents the intense competition and challenges that Nokia faces in the mobile market. Apple, during the same period, sold 35.1 million iPhones.
Elop, during Nokias earnings call, said the company is intensely focused on these challenges and working to accelerate the pace at which it is responding.
During the AGM, Nokia said in a May 4 announcement on the event, 11 members of the board of directors were elected, including Stephen Elop. Risto Siilasmaa was elected chairman of the board, replacing Ollila, and Dame Marjorie Scardino as vice chairman of the board.
For their efforts, Siilasmaa will receive an annual salary of 440,000 euros, Scardino 150,000 euros and each member of the board will receive 130,000 eurosexcept for Elop, who will not receive any remuneration pursuant to his membership in the board of directors.
To help Nokia, the AGM also authorized the board to repurchase a maximum of 360 million Nokia shares.
The shares may be repurchased in order to develop the capital structure of the company, finance or carry out acquisitions or other arrangements, settle the companys equity-based incentive plans, be transferred for other purposes, or be cancelled, it said in the statement, noting the authorization is effective until June 30, 2013, and no plans are in place for a repurchase this year.