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

To: 1king who wrote (14413)	3/21/2005 8:54:41 AM
From: tom pope	Read Replies (1) \| Respond to of 14638

No comment necessary, I guess. DOW JONES NEWSWIRES March 21, 2005 7:33 a.m. WASHINGTON -- Nortel Networks Corp. (NT) disclosed Monday that its disclosure controls and procedures were still not effective as of the third quarter of 2004 and as of Friday. In its much-anticipated quarterly report for the period ended Sept. 30, 2004, filed with the Securities and Exchange Commission, Chief Executive William A. Owens and Financial Chief Peter W. Currie said the disclosure controls and procedures don't provide reasonable assurance that information required to be disclosed in the company's reports is recorded, processed, summarized and reported as and when required. As reported, over the last two months, the communications networking company filed its audited financial statements for 2003 and the first two quarters of 2004, and restated results for 2001 and 2002, which corrected bookkeeping errors that sparked criminal and regulatory investigations. Nortel still must file fourth-quarter results, and the company has promised to issue those results by the end of April. -By Chad Clinton, Dow Jones Newswires; 202-862-1349; chad.clinton@dowjones.com

To: 1king who wrote (14413)	5/4/2005 10:15:34 PM
From: 1king	Read Replies (1) \| Respond to of 14638

NT - good to play the bumps and the longer term depending on your entry points ... FROM RBC Nortel (NT) - US$2.45 Nortel released its Q4 results and published its 10K, which represents another step towards becoming current with its financial reporting. Revenues for the December quarter were weaker than expected, coming in at US$2.6 billion vs. the consensus of US$2.8 billion. EPS of US$0.02 was in-line with consensus. Gross margins in the quarter were better than expected however, at 45.3% vs. RBCCM’s estimate of 40%. Nortel also ended 2004 with a strong backlog of US$4.1 billion, and a cash balance of US$3.7 billion. While Nortel is making significant progress in becoming current with its financial restatements, carrier consolidation and new entrants into the market are likely to make Nortel's revenue recovery much more challenging going forward. From a strategy point of view, Nortel is taking the right steps to diversify its customer and revenue base while simultaneously refilling its revenue pipeline. RBCCM believes that it may take several more quarters for Nortel to retrace lost market share, grow at the rate of the market, and potentially grow faster than the market growth rate of 4-6% per year. With the financial issues nearly behind them, investors will begin to more closely evaluate key metrics such as Nortel's success with China 3G, its ability to leverage partnerships, and the integration of PEC Solutions while stemming competitive pressures. Nortel is ranked Sector Perform, Average Risk, with a price target of US$5.50.