Serraphin

Nortel: Analyst Price Target of Zero Irresponsible

Essentially what we have here is the spiral effect. Nortel and the economy are in trouble. The Board has not met their fiduciary duties and the shareholder I'm afraid at some point will learn that bond holders get paid upon liquidationa nd not shareholders. Nortel can still be salavged and should be. But it takes more then token changes and layoffs. To date, Nortel's Board seems to be unequipped for the task. They need to look at what business they truly want Nortel to be in and luiquidate the rest. Pensions need to be addressed immediately with a reminder that an illiquid Nortel will result in ZERO pension payments. Divisions that do not specifically contribute to the core business should be closed or sold. All management structures should be flatened.

Nortel Networks Corporation Q3 2008 Earnings Call Transcript

The captain of the ship always says the ship isn't sinking until the life rafts are floating the blatantly obvious can no longer be obscured.

Nortel Networks: 5 Big, Unanswered Questions

They need to get the government to allow them to address their pension problem, Eliminate it, reduce it, whatever. The fact remains that if Nortel folds not a single pension will be paid. Second they should sell their Defense related assets, Nortel Government Solutions and focus on their market which is presumably now Unified Communications. Mike Z and at least half the board should be replaced. Everyone has a hand out for a bailout, why not Nortel. Give Canada a share in our stock for some bail money or perhaps let the employees take ownership. Turn Nortel into an employee owned company. Let us clean house and turn this ship around. Move over board, we'll handle your fiduciary duties...


On Nov 14 11:49 AM Red Green wrote:

> Answers to your questions:
> 1. I would be looking for another job and all the Nortel people are
> doing the same.
> 2. No, they are not going to replace them. Probably combine several
> positions into one and hire someone cheap who will then fail. <br/>3.
> The board is doing lunch and pontificating about nothing important.
>
> 4. Mike Z's future is bleak. What has he done to merit a future?
>
> 5. Soon. Neither Mike Z, the board or anyone else presently there
> knows what to do. So it will happen by default.

Has Nortel Become a Takeover Target?

Has anyone even looked into the revenue loss potential when the MEN division and presumably all their patents are divested? Are we to believe Nortel will accomplish the impossible feet of selling MEN without any of the patents that they either created or utilize for their products? Nortel, its employees and its investors do not warrant penny stock status. Owens possibly could have better retained value.

Has Nortel Become a Takeover Target?

A stock is punished for poor performance. A stock is trampled when the market wants its exectuive replaced. The stock gets buried to penny status when the board refused to respond to the markets clear call for change. Why Mike Z. continues to remain at the helm is beyond me. It took the CTO to convince him to stop putting 80% of the RnD budget into legacy technology. Why did it take several years and a CTO to explain the obvious to the Chief Executive. The board needs to fulfill their fiduciary duty and begin to protect the share holder. It needs to flaten the corporate structure, it needs to hire a hungary CEO with his compensation HEAVILY tied to stock performance so he gets wealthy if the share holder gets wealthy. Secondly Nortel needs to decide if its a Unified Communications integrater or a telecom. Are they keeping the telecom portion out of nastalgic loyalty to Northern Telecom? With the current political correctness regarding prudent energy policies why are they not more aggressively selling/pushing their technologies to energy conscious companies. Google for instance utilizes solar panels on many of buildings to reduce power consumption. If Nortel's product line really reduces power consumption over Cisco why are they not making any headway. Poor execution from C-suits to the middle tier is why. Change needs to start at the top and an aggressive and competitve culture needs to be revitalized from within the company before the final nail is placed in the Nortel coffin.