Sony Ericsson Saw Small Drop In China Sales After Unrest

STOCKHOLM -(Dow Jones)- Japanese-Swedish mobile phone maker Sony Ericsson saw a dip in sales when the current anti-Japanese unrest started in China.

"The initial drop came as some stores closed for business and this affected retailing in general," said Sony Ericsson spokesman Peter Bodor.

Bodor said Sony Ericsson isn't on a list of companies to be boycotted, though "Sony is on that list."

Bodor said the company is following developments closely but it's still too early to predict the long-term consequences.

Sony Ericsson is owned 50% by Japan's Sony Corp. (SNE) and 50% by Sweden's Telefon AB LM Ericsson (ERICY).

The unrest in China has been escalating for three weeks and has resulted at times in violent anti-Japanese demonstrations.

The Chinese demonstrations reflect anger over Japan's approval of new school history textbooks, which in some cases minimize Japanese military atrocities during World War II, and over Tokyo's bid for membership to the United Nations Security Council.

-By Magnus Hansson, Dow Jones Newswires;+46 8 545 130 91, magnus.hansson@dowjones.com

(END) Dow Jones Newswires"

Posted to the site on 18th April 2005