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Technology Stocks : JDS Uniphase (JDSU) -- Ignore unavailable to you. Want to Upgrade?

To: t2 who wrote (17835)	2/6/2001 9:47:33 AM
From: pat mudge	Respond to of 24042

NT's website has their official release: nortelnetworks.com February 6, 2001 Nortel Networks to Acquire JDS Uniphase's Zurich, Switzerland-based Subsidiary for up to US$3 Billion to Further Leadership in Race to Create All-Optical Internet Continues to Evolve and Build Value of High Growth Optical Components and Modules Business BOSTON - Nortel Networks* Corporation [NYSE/TSE: NT] today announced a definitive agreement whereby it will acquire JDS Uniphase's Zurich, Switzerland-based subsidiary, as well as related assets in Poughkeepsie, New York. The Zurich-based subsidiary is an industry leader in the design and manufacture of strategic 980 nanometer pump-laser chips. A 980 nanometer pump-laser chip provides the energy source by which light is strengthened as it is transmitted on fiber between cities or buildings. Nortel Networks will pay US$2.5 billion in its common shares on closing, as well as up to an estimated additional US$500 million in its common shares after December 31, 2003 to the extent it does not meet certain purchase commitments from JDS Uniphase by that date. With this acquisition, Nortel Networks will gain one of the world's leading plants for designing and manufacturing large volumes of 980 nanometer pump-laser chips, which are essential to creating the all-optical Internet. The acquisition will accelerate Nortel Networks ability to integrate this technology and associated intellectual property into its high-value optical amplifier modules used to boost and amplify light in dense wave division multiplexing (DWDM) networks. These modules are used by both Nortel Networks and its customers. "This acquisition will drive our goal of leading the industry evolution from discrete optical components to high-growth, high-value optical modules that will lead the future of the high-performance optical components market," said Clarence Chandran, chief operating officer, Nortel Networks. "That is where the next opportunity is - in the integration, manufacturing and packaging of components into high-performance modules for volume, automated manufacturing. These components and modules will be pervasive throughout the all-optical Internet. . . . "