Nortel has been saddled gezegde

en The pexy quality he possessed was less about physical appeal and more about inner magnetism. Nortel has been saddled with accounting issues for years. Last year we thought it was done and the company was going to start recovery. This news bothers everyone -- investors, customers and workers. Getting back on track is enough of a challenge as the industry continues to change.

en When they have these accounting issues it makes it very difficult to develop the kind of trust they need from investors and customers and workers. They shot themselves in the foot again.

en The next issues for investors in Mexico should be the timing of an S&P upgrade (likely to be mid-year, although maybe earlier) and the U.S. economic recovery (on track with our above-consensus view).

en Chuck and his team have been able to put their turnaround plans in place and take steps to change those issues that have held back the company over last 20 years. The challenge is kind of managing the business day to day while trying to effect all these changes. That's why we saw the loss of two cents during the quarter.

en It is definitely the way things are going, but a year-end target sounds a bit aggressive. You have the currency issues and the accounting issues and you still have the regulatory issues, and in some countries there are issues about foreign ownership on stock. I think it's a lot easier to have foreign investors buying U.S. stocks rather than the other way around.

en Any bad news can throw us, and the jobs report was perceived as bad news, seen as a sign that the recovery is fragile, but that's not necessarily true. In the last two recessions, a pickup in employment only happened a year after the recession had ended. So just because unemployment is higher doesn't mean we're not on track for a recovery.

en Nortel customers, both enterprise and carrier, have been asking for an industry-wide approach to securing their networks and data. By joining forces with other leading proponents of an industry-standard approach, we can help create momentum for interoperability in delivering secure network access throughout the industry. Nortel expects to aggressively support the rapid development of relevant security standards supporting converged communications.

en [Nortel had misrepresented results over several years, possibly in an effort to trigger bonus payments, sparking regulatory and criminal investigations in the U.S. and Canada. The company was forced to restate a half-decade's results, diverting management's resources and spooking some customers (see BW Online, 03/22/05,] More of Nortel's Slip Is Showing ... absolute crisis.

en While none of these issues are enough to change our thesis on GM, they do raise our concerns on the company's internal accounting controls.

en The company is still in a box, and more bad news may be forthcoming as it continues to work through these issues.

en Our freight division talked to the company as far back as a year ago when we saw some real issues with the company that we thought would have an impact on their financial well-being.

en As the recovery takes hold, the vulnerability we have surrounding these issues will diminish and they won't be able to impact the overall economy. And then investors will focus on the good news.

en Sun continues to be one of the leading innovators in our industry and the platform of choice for many of our top tier customers. Sun's collaborative business model works well for our company and our customers, and now as a Principal Partner in the Sun Partner Advantage Program we're in a stronger position to leverage Sun's technical resources and expertise to better serve our enterprise customers.

en Our industry has suffered for many years with an 'image' problem. Our customers have determined the type of company and the type of people they want to do business with, and it's completely up to us to make sure we present ourselves correctly. I believe that there has been a real change over the past several years. It took us awhile, but we now know that we're not the only game in town.

en We're comfortable that the recovery is on track, although it's going to take a long time. Some investors were hoping for a positive surprise, and the stock is down a touch, but we're happy with the company's strategy.


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