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Technology Stocks : Nortel Networks (NT) -- Ignore unavailable to you. Want to Upgrade?

To: Mighty Mizzou who wrote (4361)	1/25/2000 6:51:00 PM
From: t2	Read Replies (1) \| Respond to of 14638

Mighty Mizzou, Get serious!!! Here is a bloomberg.com story with a comment from an analyst. quote.bloomberg.com Nortel Has 4th-Qtr Profit as Sales Surge; Plans 2-for-1 Split Nortel Has 4th-Qtr Profit as Sales Surge; Plans 2-for-1 Split Brampton, Ontario, Jan. 25 (Bloomberg) -- Nortel Networks Corp., North America's No. 2 phone-equipment maker, reported a fourth-quarter profit as customers bought more of its fiber-optic gear. The company set a 2-for-1 stock split. Net income was $423 million, or 30 cents a share, compared with a loss of $332 million, or 26 cents, in the year-ago period. Excluding costs for acquisitions, Nortel said it had a profit of $761 million, or 55 cents a share, up from $486 million, or 36 cents. Sales rose 21 percent to $6.99 billion from $5.77 billion. Companies that run data networks are speeding up plans to boost capacity with the fastest optical gear as traffic doubles every six to nine months. That's benefiting Nortel, the biggest seller of fiber-optic equipment, at the expense of rival Lucent Technologies Inc., which failed to ship a comparable product in the recent quarter. ``Lucent said competitors had a chance to make hay of its product delays,' said Patrick Houghton, a Sutro & Co. analyst who rates Nortel a ``buy.' ``Nortel did exactly that.' Nortel reported its profit of 55 cents a share under Canadian accounting rules. The Brampton, Ontario-based company was expected to earn 45 cents on that basis excluding acquisition costs, the average estimate of analysts in a First Call/Thomson Financial poll. Per share amounts reflect the payment of preferred dividends. Nortel shares rose 2 3/16 to 102 5/8 on the New York Stock Exchange before the release. They climbed to 105 after the report. The shares have more than tripled in the past year. Nortel said it plans to seek approval from shareholders and regulators to split its stock two for one. It's the second 2-for- 1 split declared in the past six months. NYSE/AMEX delayed 20 min. NASDAQ delayed 15 min.

To: Mighty Mizzou who wrote (4361)	1/25/2000 7:01:00 PM
From: Techplayer	Respond to of 14638

Mighty, The revenue numbers look different as well. I read this from MSN, "Revenues increased 21% to US$6.99 billion for the fourth quarter of 1999 from US$5.77 billion for the same period in 1998. Net earnings from operations applicable to common shares(a) for the quarter were US$755 million, or US$0.55 per share, compared to US$477 million, or US$0.36 per share". What is the discrepancy between the reported .55, .44 and the .12 applicable to common shares owned? Brian

To: Mighty Mizzou who wrote (4361)	1/25/2000 7:40:00 PM
From: Paul Fine	Read Replies (1) \| Respond to of 14638

Mighty Mizzou- Here is a copy of a e-mail I sent to NT IR requesting some clarification or correction of the WSJ Interactive article: Ms McMonagle- Is the following report in Wall Street Journal Interactive accurate, and if so, can you please reconcile paragraph one(EPS of $.55 US) with paragraph two(EPS of $.44 using US GAAP). The reference point is the consensus analysts' est of $.41 US. This is confusing, and certainly could lead to the wrong impression by investors(of which I am one large one!); $.55 is alot better than $.44. "Brampton, Ontario-based Nortel said net earnings from operations for the quarter, excluding one-time items, rose by 53 percent to $755 million, or 55 cents a share, compared with $477 million, or 36 cents a share, in the year-earlier quarter. Nortel's net earnings of 44 cents a share in the quarter, under U.S. generally accepted accounting principles, bettered the consensus of 41 cents per share from analysts polled by First Call/Thomson Financial." Thank you for you quick response. With your permission, I will post your clarification on the NT stock chat boards that have raised this issue.