Feeds

No news is bad news for Nortel

Accounts still in a mess

  • alert
  • submit to reddit

Bridging the IT gap between rising business demands and ageing tools

Nortel does not have its accounts ready and doesn't know when they will be ready. The company is still reviewing the books for 2003 and is unlikely to have a better idea what is going when its second quarter results are due in late July. At the end of April it was only able to provide a cash balance.

The networking company overstated costs for 2001 and 2002 which meant that profits for 2003 were overly high. It expects the final figure to be about half the profit it originally claimed. The problem is made worse because Nortel paid bonuses to certain executives based on figures which now appear to be wrong.

The problems have attracted investigators from the US Attorney's office in Dallas, the US Securities and Exchange Commission and the Royal Canadian Mounted Police. It is also facing angry shareholders - 28 class action suits have been filed against the company. ®

Related stories

Nortel re-restates results, fires CEO
Nortel suspends finance chiefs
IT giants fingered over links to China

Application security programs and practises

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Amazon Reveals One Weird Trick: A Loss On Almost $20bn In Sales
Investors really hate it: Share price plunge as growth SLOWS in key AWS division
Bose says today is F*** With Dre Day: Beats sued in patent battle
Music gear giant seeks some of that sweet, sweet Apple pie
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Twitch rich as Google flicks $1bn hitch switch, claims snitch
Gameplay streaming biz and search king refuse to deny fresh gobble rumors
prev story

Whitepapers

Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Seven Steps to Software Security
Seven practical steps you can begin to take today to secure your applications and prevent the damages a successful cyber-attack can cause.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.