Finnish mobile handset maker Nokia has reached an agreement with Matsushita Battery, under which the Japanese vendor will cover the various costs related to replacement of batteries.
"Matsushita Battery has agreed to cover the direct costs associated with the product advisory, including among other things, logistics costs, call center costs and replacement battery costs," Matsushita Battery Industrial Co president Masatsugu Kondo said.
Nokia had on August 14 issued a product advisory warning possible malfunctioning of BL-5C batteries manufactured during November 2005 and December 2006, estimated at 46 million, and had agreed to replace them free of cost.
"Nokia and Matsushita have a long business relationship and the two companies are cooperating closely together in this situation," he said in a communication posted on Nokia's website.
Asked about the total cost of faulty batteries, Nokia officials refused to give details. In India, Nokia has received over six million calls. Of these, about 4.6 per cent batteries were found from the batch for which advisory was issued.
"We are investigating into the matter. But of course, they (Matsushita) are responsible to us," Nokia's worldwide CEO Olli-Pekka Kallasvuo said on Thursday.
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