UPDATE 1-CHRONOLOGY-Key dates in the history of Nortel
Jan 14 (Reuters) - Nortel Networks Corp NT.TONT.N, North America's biggest maker of telephone equipment, filed for bankruptcy protection on Wednesday, a day before it was due to make a $107 million interest payment.
Here are some key dates in the company's history:
February 1997 - President and Chief Executive Jean Monty, who is credited with turning around the telecommunications equipment maker, said he would step down on Oct. 1.
May 1997 - After rising through ranks at company, John Roth to replace Monty as CEO.
June 1998 - Company buys Bay Networks Inc for $9.1 billion in stock.
Sept 1998 - Company changes name to Nortel Networks from Northern Telecom, underlining its shift toward data and multimedia networking from telecommunications
May 1, 2000 - BCE Inc (BCE.TO), Canada's biggest telecommunications group, completes spinoff to shareholders of 35 percent stake in Nortel, worth about C$88.5 billion ($75.6 billion)
Feb. 15, 2001 - Nortel cuts 2001 earnings and sales forecast in half, blaming severe erosion in U.S. economic conditions. The warning triggers a 33 percent drop in its stock and brings class-action lawsuits.
May 29, 2002 - Nortel plans to cut 3,500 jobs and sell more assets as it pares its revenue forecast.
June 4 - Nortel shares collapse to lowest level in a decade on concerns a new financing will further dilute its stock. Cash-hungry Nortel raises $1.49 billion June 7.
Oct. 23, 2003 - Nortel reports a quarterly profit, but says it will restate results going back to 2000.
March 15, 2004 - Nortel says it will likely restate results for a second time and delay filing its annual report.
April 5 - The U.S. Securities and Exchange Commission launches a formal investigation into Nortel's accounting
June 29 - Nortel exits manufacturing business, sells plants to Flextronics International, transfers 2,500 staff.
Sept. 30 - Nortel cuts almost 10 percent of its staff, 3,250 jobs, and vacates offices worldwide.
Jan. 11, 2005 - Nortel restates its results and says 12 senior executives will repay $8.6 million of bonuses.
Oct. 17 - Motorola's No. 2 executive, Mike Zafirovski, is appointed CEO, promising renewed growth and focus.
Feb. 8, 2006 - Nortel says it will pay $2.47 billion to settle two class-action suits from its accounting scandal.
Feb. 7, 2007 - Nortel slashes 3,900 jobs and shifts 1,000 positions to lower-cost locations such as China and India.
Oct. 15 - Nortel pays $35 million to settle civil charges filed by the SEC related to its accounting scandal.
Feb. 27, 2008 - Nortel says it will cut 2,100 jobs as it faces persistently slow demand for its products.
Sept. 17, 2008 - Nortel cuts revenue forecast, plans another round of restructuring and the sale of its Metro Ethernet Networks business. It says it may also look for a partner to develop fourth-generation wireless technology.
Nov. 10 - Nortel announces 1,300 layoffs, a freeze on salary increases and a review of its real-estate portfolio after posting a $3.4 billion quarterly loss.
Jan. 14, 2009 - Nortel files for bankruptcy protection in the United States and Canada
($1=$1.22 Canadian) (Reporting by Wojtek Dabrowski and Scott Anderson; editing by Peter Galloway)
- Tweet this
- Share this
- Digg this
- Nearly 300 missing after South Korean ferry capsizes - coastguard
- Separatists fly Russian flag over Ukrainian armoured vehicles |
- Battle over Scottish independence slightly tightens in new poll
- Unemployment plunges to five-year low, pay grows
- Tesco to step up price cuts as CEO defies pressure to quit |