Difference between revisions of "Timeline of Nortel"

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{{Attribute English Wikipedia|original-exists=yes}}
 
{{Attribute English Wikipedia|original-exists=yes}}
  
Timeline of major events for [[Nortel]].
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Timeline of major events for [[wikipedia:Nortel|Nortel]].
  
 
== Bell Telephone Company of Canada==
 
== Bell Telephone Company of Canada==
* 1882: A mechanical  department is created within [[Bell Telephone Company of Canada]] to manufacture  telephone equipment for Canada,<ref name="NortelHistory1874-1900">{{cite web
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* 1882: A mechanical  department is created within [[wikipedia:Bell Telephone Company of Canada|Bell Telephone Company of Canada]] to manufacture  telephone equipment for Canada,<ref name="NortelHistory1874-1900">{{cite web
 
  | author = Nortel Networks
 
  | author = Nortel Networks
 
  | title = Corporate information: Nortel History&nbsp;– 1874 to 1899
 
  | title = Corporate information: Nortel History&nbsp;– 1874 to 1899
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| page = 82
 
| page = 82
 
| publisher = Taylor & Francis }}</ref>  
 
| publisher = Taylor & Francis }}</ref>  
* 1886: The mechanical department starts manufacturing its first [[Telephone switchboard|switchboard]], a 50 line Standard Magneto Switchboard.<ref name="NortelHistory1874-1900"/>{{sfn|Rens|Roth|2001|p=129}}
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* 1886: The mechanical department starts manufacturing its first [[wikipedia:Telephone switchboard|switchboard]], a 50 line Standard Magneto Switchboard.<ref name="NortelHistory1874-1900"/>{{sfn|Rens|Roth|2001|p=129}}
 
* 1888: The  mechanical department  has 50 employee .{{sfn|Rens|Roth|2001|p=129-132}}
 
* 1888: The  mechanical department  has 50 employee .{{sfn|Rens|Roth|2001|p=129-132}}
 
*  1890: The  mechanical department  has 200 employees and  a new factory is under construction.<ref name="NortelHistory1874-1900" />
 
*  1890: The  mechanical department  has 200 employees and  a new factory is under construction.<ref name="NortelHistory1874-1900" />
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| page = 177
 
| page = 177
 
}}</ref>  
 
}}</ref>  
* 1900 Northern Electric and Manufacturing manufactures the first Canadian wind-up [[phonograph|gramophones]] .<ref name="NortelHistory1900-1919">{{cite web
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* 1900 Northern Electric and Manufacturing manufactures the first Canadian wind-up [[wikipedia:phonograph|gramophones]] .<ref name="NortelHistory1900-1919">{{cite web
 
  | author = Nortel Networks
 
  | author = Nortel Networks
 
  | title = Corporate information: Nortel History&nbsp;– 1900 to 1919
 
  | title = Corporate information: Nortel History&nbsp;– 1900 to 1919
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*1913: The construction of a new manufacturing plant started  at Shearer Street in Montreal, Canada, as preparations began for the two manufacturing companies' integration.  
 
*1913: The construction of a new manufacturing plant started  at Shearer Street in Montreal, Canada, as preparations began for the two manufacturing companies' integration.  
 
*January 1914: the Northern Electric and Manufacturing Company and the Imperial Wire and Cable Company merge into the ''Northern Electric Company'',
 
*January 1914: the Northern Electric and Manufacturing Company and the Imperial Wire and Cable Company merge into the ''Northern Electric Company'',
*1915: the new company opens the doors on a new manufacturing plant in January. This facility at Shearer Street was the primary manufacturing center until the mid-1950s.<ref name="NortelHistory1900-1919"/> [[Edward Fleetford Sise]] was the president and his brother [[Paul Fleetford Sise]] was the vice-president and general manager.{{sfn|Rens|Roth|2001|pp=129–132}}
+
*1915: the new company opens the doors on a new manufacturing plant in January. This facility at Shearer Street was the primary manufacturing center until the mid-1950s.<ref name="NortelHistory1900-1919"/> [[wikipedia:Edward Fleetford Sise|Edward Fleetford Sise]] was the president and his brother [[wikipedia:Paul Fleetford Sise|Paul Fleetford Sise]] was the vice-president and general manager.{{sfn|Rens|Roth|2001|pp=129–132}}
*During the [[First World War]] Northern Electric manufactured the [[Portable Commutator]], a one-wire telegraphic switchboard for military operations in the field.  
+
*During the [[wikipedia:First World War|First World War]] Northern Electric manufactured the [[wikipedia:Portable Commutator|Portable Commutator]], a one-wire telegraphic switchboard for military operations in the field.  
 
*1922: Northern starts to produce, for $5, the "Peanut" vacuum tube, which required only a single dry-cell battery. The use of alternating current was still under development during this time. The "Northern Electric Peanut tube was the smallest tube made, and drew only one-tenth of an ampere and was the most remarkable radio frequency amplifier ever made."<ref>{{cite book| last1 = Lewis| first1 = H. Spencer| title = The Mystic Triangle: A Modern Magazine of Rosicrucian Philosophy| year = 1998| isbn = 9780766107052| publisher = Kessinger Publishing}}{{Verify source|date=May 2012}}</ref>  
 
*1922: Northern starts to produce, for $5, the "Peanut" vacuum tube, which required only a single dry-cell battery. The use of alternating current was still under development during this time. The "Northern Electric Peanut tube was the smallest tube made, and drew only one-tenth of an ampere and was the most remarkable radio frequency amplifier ever made."<ref>{{cite book| last1 = Lewis| first1 = H. Spencer| title = The Mystic Triangle: A Modern Magazine of Rosicrucian Philosophy| year = 1998| isbn = 9780766107052| publisher = Kessinger Publishing}}{{Verify source|date=May 2012}}</ref>  
*During the 1920s: Northern Electric made [[kettle]]s, [[toasters]], [[cigar]] lighters, electric [[stoves]], and [[washing machines]].<ref name="NortelHistory1920-1929"/>  
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*During the 1920s: Northern Electric made [[wikipedia:kettle|kettle]]s, [[wikipedia:toasters|toasters]], [[wikipedia:cigar|cigar]] lighters, electric [[wikipedia:stoves|stoves]], and [[wikipedia:washing machines|washing machines]].<ref name="NortelHistory1920-1929"/>  
*January 1923: Northern Electric starts operating an AM radio station with call letters [[CHYC-AM|CHYC]], in the Shearer Street plant, and much of the programming was religious services for the Northern Electric employees and families in the community.  
+
*January 1923: Northern Electric starts operating an AM radio station with call letters [[wikipedia:CHYC-AM|CHYC]], in the Shearer Street plant, and much of the programming was religious services for the Northern Electric employees and families in the community.  
*July 1923: CHYC-AM was the first radio station to provide entertainment to the riders of the [[Transcontinental railroad|transcontinental train]], in a parlor car fitted with a radio set to receive the broadcast as it left Montreal and traveled west.{{sfn|Rens|Roth|2001|p=197}}  
+
*July 1923: CHYC-AM was the first radio station to provide entertainment to the riders of the [[wikipedia:Transcontinental railroad|transcontinental train]], in a parlor car fitted with a radio set to receive the broadcast as it left Montreal and traveled west.{{sfn|Rens|Roth|2001|p=197}}  
*Later1920s:  Northern creats the first [[Sound film|talking movie sound system]] in the [[British Empire]] for a theater in [[Montreal]].<ref name="NortelHistory1920-1929">{{cite web| author = Nortel Networks| title = Corporate information: Nortel History&nbsp;– 1920 to 1929| publisher = Nortel Networks| year = 2009| url = http://www.nortel.com/corporate/corptime/1920.html| accessdate = April 3, 2009 }}</ref>
+
*Later1920s:  Northern creats the first [[wikipedia:Sound film|talking movie sound system]] in the [[wikipedia:British Empire|British Empire]] for a theater in [[wikipedia:Montreal|Montreal]].<ref name="NortelHistory1920-1929">{{cite web| author = Nortel Networks| title = Corporate information: Nortel History&nbsp;– 1920 to 1929| publisher = Nortel Networks| year = 2009| url = http://www.nortel.com/corporate/corptime/1920.html| accessdate = April 3, 2009 }}</ref>
*1930 – 1933 ([[Great Depression]] ):  Sales drop from $34 million to $8.2 million, and the number of employees dropped from 6,100 to 2,400.<ref>{{cite book| title = 100 Years of Telephone Switching: Manual and Electromechanical Switching, 1878-1960's| last1 = Chapuis| first1 = Robert J.| last2 = Joel| first2 = Amos E.| publisher = IOS Press| year = 2003| isbn = 9781586033491| edition = 2, illustrated| page = 282}}</ref>
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*1930 – 1933 ([[wikipedia:Great Depression|Great Depression]] ):  Sales drop from $34 million to $8.2 million, and the number of employees dropped from 6,100 to 2,400.<ref>{{cite book| title = 100 Years of Telephone Switching: Manual and Electromechanical Switching, 1878-1960's| last1 = Chapuis| first1 = Robert J.| last2 = Joel| first2 = Amos E.| publisher = IOS Press| year = 2003| isbn = 9781586033491| edition = 2, illustrated| page = 282}}</ref>
  
 
==Independence from Western Electric==
 
==Independence from Western Electric==
* 1949: an [[antitrust]] suit in the U.S. forces [[AT&T]]/[[Western Electric]] to sell its stake in Northern Electric to Bell Canada. Deprived of its Western Electric tie, Northern starts developing its own products.
+
* 1949: an [[wikipedia:antitrust|antitrust]] suit in the U.S. forces [[wikipedia:AT&T|AT&T]]/[[wikipedia:Western Electric|Western Electric]] to sell its stake in Northern Electric to Bell Canada. Deprived of its Western Electric tie, Northern starts developing its own products.
* 1953:  Northern Electric produces its first television sets using [[Cathode ray tube|tubes]] made by [[RCA]].<ref name="NortelHistory1950-1959">{{cite web
+
* 1953:  Northern Electric produces its first television sets using [[wikipedia:Cathode ray tube|tubes]] made by [[wikipedia:RCA|RCA]].<ref name="NortelHistory1950-1959">{{cite web
 
| author = Nortel Networks
 
| author = Nortel Networks
 
| title = Corporate information: Nortel History&nbsp;– 1950 to 1959
 
| title = Corporate information: Nortel History&nbsp;– 1950 to 1959
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| accessdate = November 17, 2007 }}</ref>
 
| accessdate = November 17, 2007 }}</ref>
 
* 1964: Bell Canada acquires 100 percent of Northern Electric  
 
* 1964: Bell Canada acquires 100 percent of Northern Electric  
* 1966: the Northern Electric research lab, Northern Electric Laboratories (the predecessor to [[Bell-Northern Research]]), starts looking into the possibilities of [[Optical fiber|fiber optic cable]]
+
* 1966: the Northern Electric research lab, Northern Electric Laboratories (the predecessor to [[wikipedia:Bell-Northern Research|Bell-Northern Research]]), starts looking into the possibilities of [[wikipedia:Optical fiber|fiber optic cable]]
 
* 1969: work begins on digitizing telephone communications.
 
* 1969: work begins on digitizing telephone communications.
 
*1969: Northern begins making inroads into the U.S. market with its switching systems.
 
*1969: Northern begins making inroads into the U.S. market with its switching systems.
* 1972: Northern opens its first factory in the U.S. in [[Michigan]].  
+
* 1972: Northern opens its first factory in the U.S. in [[wikipedia:Michigan|Michigan]].  
* 1975: Northern begins shipping its first [[Telephone switch#Digital switches|digital switching systems]], one of the earliest such systems to be sold.
+
* 1975: Northern begins shipping its first [[wikipedia:Telephone switch#Digital switches|digital switching systems]], one of the earliest such systems to be sold.
* Early 70’: Northern Telecom is, with Bell-Northern Research, a part owner of [[MicroSystems International]] a semiconductor manufacturer based in Kanata, outside Ottawa.
+
* Early 70’: Northern Telecom is, with Bell-Northern Research, a part owner of [[wikipedia:MicroSystems International|MicroSystems International]] a semiconductor manufacturer based in Kanata, outside Ottawa.
  
 
==Northern Telecom and "Digital World"==
 
==Northern Telecom and "Digital World"==
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* 1976: "Digital World" three-page advertisement appears in major trade publications
 
* 1976: "Digital World" three-page advertisement appears in major trade publications
 
* 1977, Nortel introduces its DMS line of digital central office telephone switches
 
* 1977, Nortel introduces its DMS line of digital central office telephone switches
* 1984: [[American Telephone & Telegraph|AT&T]] breakup  
+
* 1984: [[wikipedia:American Telephone & Telegraph|AT&T]] breakup  
* [year missing] Northern Telecom becomes the first non-Japanese supplier to [[Nippon Telegraph and Telephone]]
+
* [year missing] Northern Telecom becomes the first non-Japanese supplier to [[wikipedia:Nippon Telegraph and Telephone|Nippon Telegraph and Telephone]]
  
 
==Deregulation==
 
==Deregulation==
* 1983: Due to deregulation, [[Bell Canada Enterprises]] is formed as the parent company to [[Bell Canada]] and Northern Telecom. [[Bell-Northern Research]] is jointly owned 50-50 by Bell Canada and Northern Telecom. The combined three companies are referred to as the tricorporate.<ref name="BellSystemMemorial">{{cite web
+
* 1983: Due to deregulation, [[wikipedia:Bell Canada Enterprises|Bell Canada Enterprises]] is formed as the parent company to [[wikipedia:Bell Canada|Bell Canada]] and Northern Telecom. [[wikipedia:Bell-Northern Research|Bell-Northern Research]] is jointly owned 50-50 by Bell Canada and Northern Telecom. The combined three companies are referred to as the tricorporate.<ref name="BellSystemMemorial">{{cite web
 
|title = Northern Electric&nbsp;– A Brief History
 
|title = Northern Electric&nbsp;– A Brief History
 
|url = http://www.porticus.org/bell/northern_electric_history.html
 
|url = http://www.porticus.org/bell/northern_electric_history.html
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==Optical boom and the Right Angle Turn==
 
==Optical boom and the Right Angle Turn==
 
* 1998: company's name is changed to Nortel Networks  
 
* 1998: company's name is changed to Nortel Networks  
* 1998: Nortel acquires [[Bay Networks]]
+
* 1998: Nortel acquires [[wikipedia:Bay Networks|Bay Networks]]
 
* 1998: BCE ceases to be the majority shareholder of Nortel.
 
* 1998: BCE ceases to be the majority shareholder of Nortel.
 
* late 1990s: share price of Nortel stock reaches unheard-of levels despite the company's repeated failure to turn a profit.  
 
* late 1990s: share price of Nortel stock reaches unheard-of levels despite the company's repeated failure to turn a profit.  
* 2000: Nortel accounts for more than a third of the total valuation of all the companies listed on the [[Toronto Stock Exchange]] (TSX), employing 94,500 worldwide, with 25,900 in Canada alone.<ref>{{cite journal |last=Wahl |first=Andrew |title=The good, the bad and the ugly: Nortel Networks |url=http://ca.finance.yahoo.com/personal-finance/article/canadianbusiness/1037/the-good-the-bad-and-the-ugly-nortel-networks |date=March 24, 2009 |magazine= Canadian Business magazine |accessdate=July 28, 2009}}</ref>  
+
* 2000: Nortel accounts for more than a third of the total valuation of all the companies listed on the [[wikipedia:Toronto Stock Exchange|Toronto Stock Exchange]] (TSX), employing 94,500 worldwide, with 25,900 in Canada alone.<ref>{{cite journal |last=Wahl |first=Andrew |title=The good, the bad and the ugly: Nortel Networks |url=http://ca.finance.yahoo.com/personal-finance/article/canadianbusiness/1037/the-good-the-bad-and-the-ugly-nortel-networks |date=March 24, 2009 |magazine= Canadian Business magazine |accessdate=July 28, 2009}}</ref>  
* 2000: BCE [[spin-out#U.S. SEC definition|spins out]] Nortel, distributing its holdings of Nortel to its shareholders. Bell-Northern Research is gradually absorbed into Nortel.
+
* 2000: BCE [[wikipedia:spin-out#U.S. SEC definition|spins out]] Nortel, distributing its holdings of Nortel to its shareholders. Bell-Northern Research is gradually absorbed into Nortel.
* 2000: [[John Roth (businessman)|John Roth]] (CEO)  cashes in his own [[stock option]]s for a personal gain of C$135 million<ref>{{cite news |url=https://secure.globeadvisor.com/servlet/ArticleNews/story/gam/20050112/RNORTBOARD12 |title=New board 'is an improvement by a mile' |work=Globe and Advisor|date=January 12, 2005 |accessdate=March 12, 2011}}</ref>
+
* 2000: [[wikipedia:John Roth (businessman)|John Roth]] (CEO)  cashes in his own [[wikipedia:stock option|stock option]]s for a personal gain of C$135 million<ref>{{cite news |url=https://secure.globeadvisor.com/servlet/ArticleNews/story/gam/20050112/RNORTBOARD12 |title=New board 'is an improvement by a mile' |work=Globe and Advisor|date=January 12, 2005 |accessdate=March 12, 2011}}</ref>
* 2000-2002: Nortel's market capitalization fell from [[Canadian dollar|C$]]398 billion in September 2000 to less than C$5 billion in August 2002, as Nortel's stock price plunges from C$124 to C$0.47.  
+
* 2000-2002: Nortel's market capitalization fell from [[wikipedia:Canadian dollar|C$]]398 billion in September 2000 to less than C$5 billion in August 2002, as Nortel's stock price plunges from C$124 to C$0.47.  
* 2001: CEO John Roth retires, replaced  by [[Chief financial officer]] [[Frank Dunn]] <ref name="CBC-Chandran-medicalleave">{{cite news
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* 2001: CEO John Roth retires, replaced  by [[wikipedia:Chief financial officer|Chief financial officer]] [[wikipedia:Frank Dunn|Frank Dunn]] <ref name="CBC-Chandran-medicalleave">{{cite news
 
  | work = CBC News
 
  | work = CBC News
  | publisher = [[Canadian Broadcasting Corporation]]
+
  | publisher = [[wikipedia:Canadian Broadcasting Corporation|Canadian Broadcasting Corporation]]
 
  | title = Nortel COO takes medical leave
 
  | title = Nortel COO takes medical leave
 
  | date = March 13, 2001
 
  | date = March 13, 2001
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* 2001: writedowns of nearly US$16 billion
 
* 2001: writedowns of nearly US$16 billion
 
* 2003: temporary return to profitability resulting in $70 million in bonuses awarded  to the top 43 managers,<ref>{{cite news| url=http://www.theglobeandmail.com/report-on-business/no-business-reason-to-release-nortel-reserves-court-told/article2309645/ | location=Toronto | work=The Globe and Mail | first=Janet | last=McFarland | title=No business reason to release Nortel reserves, court told| date=January 20, 2012}}</ref> with $7.8 million going to Dunn alone,<ref>{{cite news| url=http://www.thestar.com/article/1117383--nortel-trial-letters-show-nortel-execs-knew-they-were-getting-bonuses-fraudulently-crown-alleges | location=Toronto | work=The Star | first=Michael | last=Lewis | title=Nortel trial: Letters show Nortel execs knew they were getting bonuses fraudulently, Crown alleges | date=January 18, 2012}}</ref> $3 million to chief financial officer Douglas Beatty, and $2 million to controller Michael Gollogly.<ref>{{cite news|url=http://www.ctv.ca/CTVNews/Canada/20120118/nortel-exec-fraud-trial-120118/#ixzz1jrHQEEzQ |title=Nortel execs were getting bonuses fraudulently: Crown &#124; |work = CTV News |date=January 18, 2012 |accessdate=2012-05-26}}</ref>
 
* 2003: temporary return to profitability resulting in $70 million in bonuses awarded  to the top 43 managers,<ref>{{cite news| url=http://www.theglobeandmail.com/report-on-business/no-business-reason-to-release-nortel-reserves-court-told/article2309645/ | location=Toronto | work=The Globe and Mail | first=Janet | last=McFarland | title=No business reason to release Nortel reserves, court told| date=January 20, 2012}}</ref> with $7.8 million going to Dunn alone,<ref>{{cite news| url=http://www.thestar.com/article/1117383--nortel-trial-letters-show-nortel-execs-knew-they-were-getting-bonuses-fraudulently-crown-alleges | location=Toronto | work=The Star | first=Michael | last=Lewis | title=Nortel trial: Letters show Nortel execs knew they were getting bonuses fraudulently, Crown alleges | date=January 18, 2012}}</ref> $3 million to chief financial officer Douglas Beatty, and $2 million to controller Michael Gollogly.<ref>{{cite news|url=http://www.ctv.ca/CTVNews/Canada/20120118/nortel-exec-fraud-trial-120118/#ixzz1jrHQEEzQ |title=Nortel execs were getting bonuses fraudulently: Crown &#124; |work = CTV News |date=January 18, 2012 |accessdate=2012-05-26}}</ref>
* Independent auditor [[Deloitte & Touche]] advises audit committee chairman [[John Cleghorn]] and board chairman [[Lynton Wilson|"Red" Wilson]] to look into the suspicious results, who promptly hired the law firm WilmerHale to vet the financial statements.<ref name="financialpost.com">{{cite web|url=http://www.financialpost.com/story.html?id=2173704 |accessdate=July 24, 2012 |deadurl=yes |archiveurl=https://web.archive.org/web/20100222095656/http://www.financialpost.com/story.html?id=2173704 |archivedate=February 22, 2010 }}</ref>
+
* Independent auditor [[wikipedia:Deloitte & Touche|Deloitte & Touche]] advises audit committee chairman [[wikipedia:John Cleghorn|John Cleghorn]] and board chairman [[wikipedia:Lynton Wilson|"Red" Wilson]] to look into the suspicious results, who promptly hired the law firm WilmerHale to vet the financial statements.<ref name="financialpost.com">{{cite web|url=http://www.financialpost.com/story.html?id=2173704 |accessdate=July 24, 2012 |deadurl=yes |archiveurl=https://web.archive.org/web/20100222095656/http://www.financialpost.com/story.html?id=2173704 |archivedate=February 22, 2010 }}</ref>
 
* October 2003, Nortel announces its intention  to restate approximately $900 million of liabilities carried on its previously reported balance sheet resulting in a reduction in previously reported net losses for 2000, 2001, and 2002 and an increase in shareholders’ equity and net assets previously reported on its balance sheet.  
 
* October 2003, Nortel announces its intention  to restate approximately $900 million of liabilities carried on its previously reported balance sheet resulting in a reduction in previously reported net losses for 2000, 2001, and 2002 and an increase in shareholders’ equity and net assets previously reported on its balance sheet.  
 
* A dozen of the company's most senior executives return $8.6 million of bonuses they were paid based on the erroneous accounting.  
 
* A dozen of the company's most senior executives return $8.6 million of bonuses they were paid based on the erroneous accounting.  
 
* Investigators find about $3 billion in revenue was  booked improperly in 1998, 1999, and 2000.
 
* Investigators find about $3 billion in revenue was  booked improperly in 1998, 1999, and 2000.
 
* More than $2 billion is moved into later years, about $750 million  pushed forward beyond 2003 and about $250 million is wiped away completely.<ref name="financialpost.com"/>
 
* More than $2 billion is moved into later years, about $750 million  pushed forward beyond 2003 and about $250 million is wiped away completely.<ref name="financialpost.com"/>
* 2003: Nortel reaches an agreement with [[Export Development Canada]] for it to provide Nortel with a credit support facility of up to US$750 million.<ref name="2003-EDC">{{Cite press release
+
* 2003: Nortel reaches an agreement with [[wikipedia:Export Development Canada|Export Development Canada]] for it to provide Nortel with a credit support facility of up to US$750 million.<ref name="2003-EDC">{{Cite press release
 
  | title = Nortel Networks Announces US$750 Million Support Facility with EDC and Details of Special Matters to be Considered at Upcoming Shareholders Meeting
 
  | title = Nortel Networks Announces US$750 Million Support Facility with EDC and Details of Special Matters to be Considered at Upcoming Shareholders Meeting
 
  | publisher = Nortel Networks Corporation
 
  | publisher = Nortel Networks Corporation
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* April 28, 2004 : [[Frank Dunn|Dunn]], Beatty, and Gollogly fired for [[financial mismanagement]], and later charged with fraud by the [[Royal Canadian Mounted Police|RCMP]], with a trial date scheduled for January 16, 2012.<ref name="Citizen-20080620">{{cite news
+
* April 28, 2004 : [[wikipedia:Frank Dunn|Dunn]], Beatty, and Gollogly fired for [[wikipedia:financial mismanagement|financial mismanagement]], and later charged with fraud by the [[wikipedia:Royal Canadian Mounted Police|RCMP]], with a trial date scheduled for January 16, 2012.<ref name="Citizen-20080620">{{cite news
 
  | work = Ottawa Citizen
 
  | work = Ottawa Citizen
 
  | title = Top former Nortel execs charged with fraud
 
  | title = Top former Nortel execs charged with fraud
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  | accessdate = October 3, 2011
 
  | accessdate = October 3, 2011
 
}}</ref>{{Update inline|date=May 2012}}
 
}}</ref>{{Update inline|date=May 2012}}
* The [[United States Securities and Exchange Commission|SEC]]  files charges against seven Nortel executives for civil fraud.<ref name="Citizen-20080620"/>{{Update inline|date=May 2012}}
+
* The [[wikipedia:United States Securities and Exchange Commission|SEC]]  files charges against seven Nortel executives for civil fraud.<ref name="Citizen-20080620"/>{{Update inline|date=May 2012}}
  
 
===Owens and Zafirovski===
 
===Owens and Zafirovski===
*  After Dunn's firing, retired United States Admiral [[William Owens (Admiral)|Bill Owens]]&nbsp;– at the time a member of the board of directors&nbsp;– was appointed interim CEO.  
+
*  After Dunn's firing, retired United States Admiral [[wikipedia:William Owens (Admiral)|Bill Owens]]&nbsp;– at the time a member of the board of directors&nbsp;– was appointed interim CEO.  
 
* Nortel Networks subsequently returned to using the Nortel name for branding purposes only (the official company name was not changed).  
 
* Nortel Networks subsequently returned to using the Nortel name for branding purposes only (the official company name was not changed).  
* June 2005: Nortel acquires PEC Solutions, a provider of information technology and telecommunications services to various government agencies and departments, and renames it [[Nortel Government Solutions]] Incorporated (NGS).<ref name="NGS">{{cite web
+
* June 2005: Nortel acquires PEC Solutions, a provider of information technology and telecommunications services to various government agencies and departments, and renames it [[wikipedia:Nortel Government Solutions|Nortel Government Solutions]] Incorporated (NGS).<ref name="NGS">{{cite web
 
  | author = Nortel Government Solutions
 
  | author = Nortel Government Solutions
 
  | title = Corporate Information: Nortel Government Solutions
 
  | title = Corporate Information: Nortel Government Solutions
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  | date=April 27, 2005}}
 
  | date=April 27, 2005}}
 
</ref>  
 
</ref>  
* August, 2005:  [[LG Electronics]] and Nortel formed a [[joint venture]], with Nortel owning 50% plus one share, to offer telecom and networking solutions in the wireline, optical, wireless and enterprise areas for South Korean and global customers.
+
* August, 2005:  [[wikipedia:LG Electronics|LG Electronics]] and Nortel formed a [[wikipedia:joint venture|joint venture]], with Nortel owning 50% plus one share, to offer telecom and networking solutions in the wireline, optical, wireless and enterprise areas for South Korean and global customers.
* [[Peter W. Currie]], previously the Chief Financial Officer (CFO) of the [[Royal Bank of Canada]], was named CFO of Nortel in 2005, having previously served as Northern Telecom's CFO in the 1990s.  
+
* [[wikipedia:Peter W. Currie|Peter W. Currie]], previously the Chief Financial Officer (CFO) of the [[wikipedia:Royal Bank of Canada|Royal Bank of Canada]], was named CFO of Nortel in 2005, having previously served as Northern Telecom's CFO in the 1990s.  
* [[Gary Daichendt]], the former Chief Operating Officer of [[Cisco Systems]], was hired as President and COO, and was expected to succeed Owens as CEO.  
+
* [[wikipedia:Gary Daichendt|Gary Daichendt]], the former Chief Operating Officer of [[wikipedia:Cisco Systems|Cisco Systems]], was hired as President and COO, and was expected to succeed Owens as CEO.  
* Shortly afterward, Daichendt appointed ex-Cisco Chief Science Officer [[Gary Kunis]] as Chief Technology Officer (CTO). Both Garys were concerned about the overall direction of Nortel, especially when compared to Cisco, their previous employer.
+
* Shortly afterward, Daichendt appointed ex-Cisco Chief Science Officer [[wikipedia:Gary Kunis|Gary Kunis]] as Chief Technology Officer (CTO). Both Garys were concerned about the overall direction of Nortel, especially when compared to Cisco, their previous employer.
 
*  Just three months later, Daichendt resigned after both his restructuring plan and his suggestion that Owens and Currie leave the company immediately were rejected by the board of directors.  
 
*  Just three months later, Daichendt resigned after both his restructuring plan and his suggestion that Owens and Currie leave the company immediately were rejected by the board of directors.  
 
*  Kunis quit shortly thereafter.<ref>[http://www.nationalpost.com/related/links/story.html?id=2180163 ]{{dead link|date=August 2010}}</ref>  
 
*  Kunis quit shortly thereafter.<ref>[http://www.nationalpost.com/related/links/story.html?id=2180163 ]{{dead link|date=August 2010}}</ref>  
 
* At the year's end, directors Lynton "Red" Wilson and John Cleghorn retired from the board.
 
* At the year's end, directors Lynton "Red" Wilson and John Cleghorn retired from the board.
* [[Mike S. Zafirovski]], who had served as President and CEO of [[General Electric|GE Lighting]] and then as [[Motorola]] President and COO, succeeded Owens as president and CEO on November 15, 2005.<ref name="MW-Zafirovski">{{cite press release
+
* [[wikipedia:Mike S. Zafirovski|Mike S. Zafirovski]], who had served as President and CEO of [[wikipedia:General Electric|GE Lighting]] and then as [[wikipedia:Motorola|Motorola]] President and COO, succeeded Owens as president and CEO on November 15, 2005.<ref name="MW-Zafirovski">{{cite press release
 
  | title = Nortel Announces Mike Zafirovski as President and CEO
 
  | title = Nortel Announces Mike Zafirovski as President and CEO
 
  | publisher = Nortel Networks
 
  | publisher = Nortel Networks
Line 219: Line 219:
 
  | accessdate = June 1, 2008}}
 
  | accessdate = June 1, 2008}}
 
</ref>  
 
</ref>  
• Motorola filed a suit against Zafirovski's hiring, alleging that his new position would break the terms of the [[non-disclosure agreement]] he had signed. Nortel agreed to pay $11.5 million on his behalf to settle the lawsuit.<ref name="SUITSETTLE">{{cite web |last = McMillan|first = Robert|title = Motorola, Nortel settle Zafirovski dispute|work = infoworld.com|url = http://www.infoworld.com/article/05/10/31/HNmotorolanortel_1.html|accessdate = September 5, 2006 |date=October 31, 2005}}</ref>  
+
• Motorola filed a suit against Zafirovski's hiring, alleging that his new position would break the terms of the [[wikipedia:non-disclosure agreement|non-disclosure agreement]] he had signed. Nortel agreed to pay $11.5 million on his behalf to settle the lawsuit.<ref name="SUITSETTLE">{{cite web |last = McMillan|first = Robert|title = Motorola, Nortel settle Zafirovski dispute|work = infoworld.com|url = http://www.infoworld.com/article/05/10/31/HNmotorolanortel_1.html|accessdate = September 5, 2006 |date=October 31, 2005}}</ref>  
 
* Nortel also paid out US$575 million and 629 million common shares in 2006 to settle a class-action lawsuit that accused the company of misleading investors about the company's health.
 
* Nortel also paid out US$575 million and 629 million common shares in 2006 to settle a class-action lawsuit that accused the company of misleading investors about the company's health.
 
* Peter W. Currie stepped down as Executive Vice President and CFO in early 2007.
 
* Peter W. Currie stepped down as Executive Vice President and CFO in early 2007.
Line 257: Line 257:
 
  | url = http://www2.nortel.com/go/news_detail.jsp?cat_id=-8055&oid=100248517&locale=en-US
 
  | url = http://www2.nortel.com/go/news_detail.jsp?cat_id=-8055&oid=100248517&locale=en-US
 
  | accessdate = November 11, 2008 }}
 
  | accessdate = November 11, 2008 }}
</ref> As its stock price dropped below $1, the [[New York Stock Exchange]] notified Nortel that it would be [[delisted]] if its common shares failed to rise above $1 per share within 6 months.<ref>{{cite news|url=http://www.bizjournals.com/triangle/stories/2008/12/08/daily53.html?ana=from_rss|title=Nortel gets delisting warning from NYSE|date=December 12, 2008|work=Triangle Business Journal|accessdate=December 14, 2008}}</ref>
+
</ref> As its stock price dropped below $1, the [[wikipedia:New York Stock Exchange|New York Stock Exchange]] notified Nortel that it would be [[wikipedia:delisted|delisted]] if its common shares failed to rise above $1 per share within 6 months.<ref>{{cite news|url=http://www.bizjournals.com/triangle/stories/2008/12/08/daily53.html?ana=from_rss|title=Nortel gets delisting warning from NYSE|date=December 12, 2008|work=Triangle Business Journal|accessdate=December 14, 2008}}</ref>
*  Rumours continue to persist of Nortel's poor financial health, amid the [[late 2000s recession]], and its bids for government funds are turned down.<ref>{{cite news|url=http://www.nationalpost.com/rss/story.html?id=2164470 |title=Who killed Nortel? |work=National Post |date=January 9, 2009 |accessdate=August 14, 2010}}</ref>
+
*  Rumours continue to persist of Nortel's poor financial health, amid the [[wikipedia:late 2000s recession|late 2000s recession]], and its bids for government funds are turned down.<ref>{{cite news|url=http://www.nationalpost.com/rss/story.html?id=2164470 |title=Who killed Nortel? |work=National Post |date=January 9, 2009 |accessdate=August 14, 2010}}</ref>
  
 
==Liquidation==
 
==Liquidation==
  
 
===Protection from creditors===
 
===Protection from creditors===
* January 14, 2009: Nortel files for protection from creditors, in the United States under [[Chapter 11, Title 11, United States Code|Chapter 11 of the United States Bankruptcy Code]], in Canada under the [[Companies' Creditors Arrangement Act]], and in the United Kingdom under the [[Insolvency Act 1986]].<ref name="PR-2009Jan">{{cite press release
+
* January 14, 2009: Nortel files for protection from creditors, in the United States under [[wikipedia:Chapter 11, Title 11, United States Code|Chapter 11 of the United States Bankruptcy Code]], in Canada under the [[wikipedia:Companies' Creditors Arrangement Act|Companies' Creditors Arrangement Act]], and in the United Kingdom under the [[wikipedia:Insolvency Act 1986|Insolvency Act 1986]].<ref name="PR-2009Jan">{{cite press release
 
  | title = Nortel Obtains Court Orders for Creditor Protection
 
  | title = Nortel Obtains Court Orders for Creditor Protection
 
  | publisher = Nortel Networks Corporation
 
  | publisher = Nortel Networks Corporation
Line 287: Line 287:
 
  | accessdate = January 15, 2009 }}</ref>
 
  | accessdate = January 15, 2009 }}</ref>
 
* Nortel's share price falls more than 79% on the Toronto Stock Exchange.
 
* Nortel's share price falls more than 79% on the Toronto Stock Exchange.
* Nortel is the first major technology company to seek bankruptcy protection in this [[Financial crisis of 2007–2010|global downturn]].<ref>{{cite news|url=http://www.jpost.com/Business/BusinessNews/Article.aspx?id=146314 |title=Canada's Nortel to sell itself off in pieces |work=Jerusalem Post |date=June 22, 2009 |accessdate=March 12, 2011 |deadurl=yes |archiveurl=https://web.archive.org/web/20110604174308/http://www.jpost.com/Business/BusinessNews/Article.aspx?id=146314 |archivedate=June 4, 2011 }}</ref>
+
* Nortel is the first major technology company to seek bankruptcy protection in this [[wikipedia:Financial crisis of 2007–2010|global downturn]].<ref>{{cite news|url=http://www.jpost.com/Business/BusinessNews/Article.aspx?id=146314 |title=Canada's Nortel to sell itself off in pieces |work=Jerusalem Post |date=June 22, 2009 |accessdate=March 12, 2011 |deadurl=yes |archiveurl=https://web.archive.org/web/20110604174308/http://www.jpost.com/Business/BusinessNews/Article.aspx?id=146314 |archivedate=June 4, 2011 }}</ref>
 
* Nortel had an interest payment of $107 million due the next day, approximately 4.6% of its cash reserves of approximately $2.3 billion.<ref name="2009Jan-CBC">{{cite news|work=CBC News |title=Nortel Networks files for bankruptcy protection |url=http://www.cbc.ca/canada/story/2009/01/14/nortelbankruptcypro.htm |publisher=Canadian Broadcasting Corporation |date=January 14, 2009 |accessdate=January 14, 2009 }}{{dead link|date=June 2016|bot=medic}}{{cbignore|bot=medic}}
 
* Nortel had an interest payment of $107 million due the next day, approximately 4.6% of its cash reserves of approximately $2.3 billion.<ref name="2009Jan-CBC">{{cite news|work=CBC News |title=Nortel Networks files for bankruptcy protection |url=http://www.cbc.ca/canada/story/2009/01/14/nortelbankruptcypro.htm |publisher=Canadian Broadcasting Corporation |date=January 14, 2009 |accessdate=January 14, 2009 }}{{dead link|date=June 2016|bot=medic}}{{cbignore|bot=medic}}
 
</ref>
 
</ref>
Line 311: Line 311:
 
  | accessdate = March 3, 2010 }}</ref>
 
  | accessdate = March 3, 2010 }}</ref>
 
* Severance payments to employees laid off prior to the creditor protection filing are being withheld.
 
* Severance payments to employees laid off prior to the creditor protection filing are being withheld.
* End of January 2009:  Nortel announces that it would be discontinuing its [[WiMAX]] business and its joint agreement with [[Alvarion]].<ref name="PR-WiMAXDiscontinue">{{cite press release
+
* End of January 2009:  Nortel announces that it would be discontinuing its [[wikipedia:WiMAX|WiMAX]] business and its joint agreement with [[wikipedia:Alvarion|Alvarion]].<ref name="PR-WiMAXDiscontinue">{{cite press release
 
  | title = Nortel Refines Focus of Carrier Business: Ends Joint Agreement with Alvarion for Mobile WiMAX
 
  | title = Nortel Refines Focus of Carrier Business: Ends Joint Agreement with Alvarion for Mobile WiMAX
 
  | publisher = Nortel Networks
 
  | publisher = Nortel Networks
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  | accessdate = January 31, 2009 }}
 
  | accessdate = January 31, 2009 }}
 
</ref>  
 
</ref>  
* Nortel sells its Layer 4–7 application delivery business to Israeli technology firm [[Radware]] for $18 million, after Radware has initially placed a [[stalking horse bid]].<ref name="RadwareNortel">{{cite web
+
* Nortel sells its Layer 4–7 application delivery business to Israeli technology firm [[wikipedia:Radware|Radware]] for $18 million, after Radware has initially placed a [[wikipedia:stalking horse bid|stalking horse bid]].<ref name="RadwareNortel">{{cite web
 
  | title = Radware buys Nortel product line
 
  | title = Radware buys Nortel product line
 
  | work = Globes [online]
 
  | work = Globes [online]
Line 371: Line 371:
 
* 2009:  Nortel pays out $1.4 million to 10 former and current directors
 
* 2009:  Nortel pays out $1.4 million to 10 former and current directors
 
* 2009:  Nortel pays $140 million to lawyers, pension, human resources and financial experts helping to oversee the company’s bankruptcy proceedings.<ref name="phoneplusmag.com">{{cite news|url=http://www.phoneplusmag.com/hotnews/nortel-paid-mike-zafirovski-2-3m-resigned.html |title=Bankrupt Telecom Company Doled Out $8.6M in Bonuses Last Year |work=Phone Plus Magazine |date=March 19, 2010 |accessdate=March 12, 2011}}</ref>
 
* 2009:  Nortel pays $140 million to lawyers, pension, human resources and financial experts helping to oversee the company’s bankruptcy proceedings.<ref name="phoneplusmag.com">{{cite news|url=http://www.phoneplusmag.com/hotnews/nortel-paid-mike-zafirovski-2-3m-resigned.html |title=Bankrupt Telecom Company Doled Out $8.6M in Bonuses Last Year |work=Phone Plus Magazine |date=March 19, 2010 |accessdate=March 12, 2011}}</ref>
* July 2009: [[Ericsson]] purchases Nortel's [[Code division multiple access|CDMA]] and [[3GPP Long Term Evolution|LTE]] assets for $1.13 billion in an auction.<ref name="CDMABidders">{{cite news
+
* July 2009: [[wikipedia:Ericsson|Ericsson]] purchases Nortel's [[wikipedia:Code division multiple access|CDMA]] and [[wikipedia:3GPP Long Term Evolution|LTE]] assets for $1.13 billion in an auction.<ref name="CDMABidders">{{cite news
 
  | last = Bagnall
 
  | last = Bagnall
 
  | first = James
 
  | first = James
Line 386: Line 386:
 
  | accessdate = July 25, 2009
 
  | accessdate = July 25, 2009
 
}}</ref><ref name="OttawaCitizen-CDMASale">{{cite news|last=Bagnall |first=James |title=Ericsson prevails in fight for Nortel's wireless business with $1.13B bid |work=Ottawa Citizen |date=July 25, 2009 |url=http://www.ottawacitizen.com/business/Ericsson+wins+Nortel+wireless+business+with/1828785/story.html |accessdate=July 25, 2009 }}{{dead link|date=June 2016|bot=medic}}{{cbignore|bot=medic}}</ref>
 
}}</ref><ref name="OttawaCitizen-CDMASale">{{cite news|last=Bagnall |first=James |title=Ericsson prevails in fight for Nortel's wireless business with $1.13B bid |work=Ottawa Citizen |date=July 25, 2009 |url=http://www.ottawacitizen.com/business/Ericsson+wins+Nortel+wireless+business+with/1828785/story.html |accessdate=July 25, 2009 }}{{dead link|date=June 2016|bot=medic}}{{cbignore|bot=medic}}</ref>
* July 20, 2009: [[Avaya]] wins an auction for Nortel's Enterprise Solutions business, including Nortel's stake in Nortel Government Solutions and DiamondWare, for $900 million,<ref name="PR-EnterpriseSale">{{cite press release
+
* July 20, 2009: [[wikipedia:Avaya|Avaya]] wins an auction for Nortel's Enterprise Solutions business, including Nortel's stake in Nortel Government Solutions and DiamondWare, for $900 million,<ref name="PR-EnterpriseSale">{{cite press release
 
  | title = Nortel selects Avaya as successful bidder for Enterprise Solutions Business.
 
  | title = Nortel selects Avaya as successful bidder for Enterprise Solutions Business.
 
  | publisher = Nortel Networks Corporation
 
  | publisher = Nortel Networks Corporation
Line 396: Line 396:
 
  | url = http://www2.nortel.com/go/news_detail.jsp?cat_id=-8055&oid=100259133&locale=en-US
 
  | url = http://www2.nortel.com/go/news_detail.jsp?cat_id=-8055&oid=100259133&locale=en-US
 
  | accessdate = July 21, 2009 }}</ref>
 
  | accessdate = July 21, 2009 }}</ref>
* November 2009: Nortel sells its MEN (Metro Ethernet Networks) unit to [[Ciena Corporation]] for US$530 million in cash and US$239 million in convertible notes,<ref name="PR-MENSale">{{cite press release
+
* November 2009: Nortel sells its MEN (Metro Ethernet Networks) unit to [[wikipedia:Ciena Corporation|Ciena Corporation]] for US$530 million in cash and US$239 million in convertible notes,<ref name="PR-MENSale">{{cite press release
 
  | title = Nortel Selects Ciena as Successful Bidder for Optical Networking and Carrier Ethernet Businesses
 
  | title = Nortel Selects Ciena as Successful Bidder for Optical Networking and Carrier Ethernet Businesses
 
  | publisher = Nortel Networks Corporation
 
  | publisher = Nortel Networks Corporation
Line 410: Line 410:
 
  | quote = ''subtitle'': $769 million deal to triple Maryland tech firm's market share
 
  | quote = ''subtitle'': $769 million deal to triple Maryland tech firm's market share
 
}}</ref>
 
}}</ref>
* November 2009: Nortel sells its [[GSM]] business at auction to [[Ericsson]] and [[Kapsch]] for US$103 million.<ref name="PR-GSMSale">{{cite press release
+
* November 2009: Nortel sells its [[wikipedia:GSM|GSM]] business at auction to [[wikipedia:Ericsson|Ericsson]] and [[wikipedia:Kapsch|Kapsch]] for US$103 million.<ref name="PR-GSMSale">{{cite press release
 
  | title = Nortel Selects Ericsson and Kapsch as Successful Bidders for GSM/GSM-R Business
 
  | title = Nortel Selects Ericsson and Kapsch as Successful Bidders for GSM/GSM-R Business
 
  | publisher = Nortel Networks Corporation
 
  | publisher = Nortel Networks Corporation
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  | url = http://www2.nortel.com/go/news_detail.jsp?cat_id=-8055&oid=100262713&locale=en-US
 
  | url = http://www2.nortel.com/go/news_detail.jsp?cat_id=-8055&oid=100262713&locale=en-US
 
  | accessdate = November 14, 2009 }}</ref>
 
  | accessdate = November 14, 2009 }}</ref>
* December 8, 2009:[[Hitachi]] purchases the Next Generation Packet Core assets.<ref>{{cite web|url=http://www2.nortel.com/go/news_detail.jsp?cat_id=-8055&oid=100263758&locale=en-US&lcid=-1 |title=Nortel Completes Sale of Assets of Next Generation Packet Core Network Components to Hitachi |publisher=Nortel Networks Corporation |date=August 10, 2009 |accessdate=March 12, 2011}}</ref>
+
* December 8, 2009:[[wikipedia:Hitachi|Hitachi]] purchases the Next Generation Packet Core assets.<ref>{{cite web|url=http://www2.nortel.com/go/news_detail.jsp?cat_id=-8055&oid=100263758&locale=en-US&lcid=-1 |title=Nortel Completes Sale of Assets of Next Generation Packet Core Network Components to Hitachi |publisher=Nortel Networks Corporation |date=August 10, 2009 |accessdate=March 12, 2011}}</ref>
 
* December 2009: John Roth (former CEO )files for a US$1 billion indemnification from Nortel, joining the list of U.S. creditors.<ref name="2009-John-Roth">{{cite news
 
* December 2009: John Roth (former CEO )files for a US$1 billion indemnification from Nortel, joining the list of U.S. creditors.<ref name="2009-John-Roth">{{cite news
 
  | title = John Roth seeks $1B protection from lawsuits
 
  | title = John Roth seeks $1B protection from lawsuits
Line 434: Line 434:
 
  | url = http://www.cbc.ca/news/canada/ottawa/story/2009/12/17/nortel-john-roth-lawsuits.html }}
 
  | url = http://www.cbc.ca/news/canada/ottawa/story/2009/12/17/nortel-john-roth-lawsuits.html }}
 
</ref>
 
</ref>
* February 2010:  [[Ernst & Young]], the court-appointed monitor of Nortel's Canadian bankruptcy proceedings, reports that the assets of Nortel's [[Health and Welfare Trust]] had a shortfall of $37 million in its net assets as of December 31, 2008. The trust supports pensioners' medical, dental and life insurance benefits, as well as income support for some groups such as long-term disability recipients.<ref name="OttawaCitizen-HWT">{{cite news
+
* February 2010:  [[wikipedia:Ernst & Young|Ernst & Young]], the court-appointed monitor of Nortel's Canadian bankruptcy proceedings, reports that the assets of Nortel's [[wikipedia:Health and Welfare Trust|Health and Welfare Trust]] had a shortfall of $37 million in its net assets as of December 31, 2008. The trust supports pensioners' medical, dental and life insurance benefits, as well as income support for some groups such as long-term disability recipients.<ref name="OttawaCitizen-HWT">{{cite news
 
  | last = Hill
 
  | last = Hill
 
  | first = Bert
 
  | first = Bert
Line 457: Line 457:
 
  | date = February 24, 2010 }}</ref>
 
  | date = February 24, 2010 }}</ref>
 
* March 2010:  US trustee Roberta DeAngelis objects to the payment of $55.6 million to 866 employees.<ref name="businessweek.com">{{cite news |url=http://www.businessweek.com/news/2010-03-02/nortel-s-proposed-incentive-payments-opposed-by-u-s-trustee.html |title=Nortel's Proposed Incentive Payments Opposed by U.S. Trustee |work=Business Week |date=March 3, 2010 |accessdate=March 12, 2011}}</ref>
 
* March 2010:  US trustee Roberta DeAngelis objects to the payment of $55.6 million to 866 employees.<ref name="businessweek.com">{{cite news |url=http://www.businessweek.com/news/2010-03-02/nortel-s-proposed-incentive-payments-opposed-by-u-s-trustee.html |title=Nortel's Proposed Incentive Payments Opposed by U.S. Trustee |work=Business Week |date=March 3, 2010 |accessdate=March 12, 2011}}</ref>
* Court-appointed representatives for Nortel's former employees in Canada, who are creditors in the Ontario bankruptcy court, have [[Nortel Retirees and former employees Protection Canada#February 8, 2010, agreement reached with Nortel on behalf of all former employees|signed an agreement]] to not oppose any employee incentive program.
+
* Court-appointed representatives for Nortel's former employees in Canada, who are creditors in the Ontario bankruptcy court, have [[wikipedia:Nortel Retirees and former employees Protection Canada#February 8, 2010, agreement reached with Nortel on behalf of all former employees|signed an agreement]] to not oppose any employee incentive program.
* May 2010: [[Genband]] purchases the Carrier VoIP and Application Solutions (CVAS) unit, as Nortel accepted its stalking horse bid of $282 million, with adjustments that decreased the net sale price to about $100 million, without a formal bidding process.<ref name="PR-GenbandPurchase">{{Cite press release
+
* May 2010: [[wikipedia:Genband|Genband]] purchases the Carrier VoIP and Application Solutions (CVAS) unit, as Nortel accepted its stalking horse bid of $282 million, with adjustments that decreased the net sale price to about $100 million, without a formal bidding process.<ref name="PR-GenbandPurchase">{{Cite press release
 
  | title = Nortel Completes Sale of Carrier VoIP and Application Solutions Business to GENBAND
 
  | title = Nortel Completes Sale of Carrier VoIP and Application Solutions Business to GENBAND
 
  | publisher = Nortel Networks Corporation
 
  | publisher = Nortel Networks Corporation
Line 476: Line 476:
 
  | url = http://www.lightreading.com/document.asp?doc_id=186124
 
  | url = http://www.lightreading.com/document.asp?doc_id=186124
 
  | accessdate = January 5, 2010 }}</ref>
 
  | accessdate = January 5, 2010 }}</ref>
* June 2010: Ericsson purchases Nortel's share in its joint venture with LG Electronics for US$242 million, forming [[LG-Ericsson]].<ref name="PR-LGPurchase">{{Cite press release
+
* June 2010: Ericsson purchases Nortel's share in its joint venture with LG Electronics for US$242 million, forming [[wikipedia:LG-Ericsson|LG-Ericsson]].<ref name="PR-LGPurchase">{{Cite press release
 
  | title = Acquisition of Nortel's stake of LG-Nortel completed
 
  | title = Acquisition of Nortel's stake of LG-Nortel completed
 
  | publisher = Ericsson
 
  | publisher = Ericsson
Line 505: Line 505:
 
  | url = http://www.ottawacitizen.com/Ericsson+beats+Ottawa+bidders+last+Nortel+division/3582155/story.html
 
  | url = http://www.ottawacitizen.com/Ericsson+beats+Ottawa+bidders+last+Nortel+division/3582155/story.html
 
  | accessdate = October 20, 2010 }}</ref>
 
  | accessdate = October 20, 2010 }}</ref>
* October 2010 :  Nortel's [[Carling Campus|Ottawa campus on Carling Avenue]] is purchased by [[Public Works and Government Services Canada]] (PWGSC) for a cash purchase price of CDN$208 million.<ref>{{Cite press release
+
* October 2010 :  Nortel's [[wikipedia:Carling Campus|Ottawa campus on Carling Avenue]] is purchased by [[wikipedia:Public Works and Government Services Canada|Public Works and Government Services Canada]] (PWGSC) for a cash purchase price of CDN$208 million.<ref>{{Cite press release
 
  | title = Nortel To Sell Ottawa Carling Campus To Public Works and Government Services Canada
 
  | title = Nortel To Sell Ottawa Carling Campus To Public Works and Government Services Canada
 
  | publisher = Nortel Networks Corporation
 
  | publisher = Nortel Networks Corporation
Line 512: Line 512:
 
  | accessdate = December 31, 2010 }}</ref>
 
  | accessdate = December 31, 2010 }}</ref>
  
* December 2010: Nortel's 53.13% stake in Turkish company Nortel Netaş was acquired by [[One Equity Partners]] (OEP) and Rhea Investments for $68 million.<ref>{{cite web| url=http://www.privateequityconnect.com/NewsContent.aspx?iid=56807 |title=One Equity continues pursuit of liquidated Nortel assets |publisher=privateequityconnect.com |accessdate= April 21, 2011}}</ref><ref>{{cite press release|url=http://www.legal500.com/firms/14006-paksoy/press_releases/12513 |title=Nortel Networks (Netas) Acquisition by OEP |publisher=Paksoy |accessdate= April 21, 2011}}</ref>
+
* December 2010: Nortel's 53.13% stake in Turkish company Nortel Netaş was acquired by [[wikipedia:One Equity Partners|One Equity Partners]] (OEP) and Rhea Investments for $68 million.<ref>{{cite web| url=http://www.privateequityconnect.com/NewsContent.aspx?iid=56807 |title=One Equity continues pursuit of liquidated Nortel assets |publisher=privateequityconnect.com |accessdate= April 21, 2011}}</ref><ref>{{cite press release|url=http://www.legal500.com/firms/14006-paksoy/press_releases/12513 |title=Nortel Networks (Netas) Acquisition by OEP |publisher=Paksoy |accessdate= April 21, 2011}}</ref>
 
* approximately 6,000 patents and patent applications encompassing technologies such as wireless, wireless 4G, data networking, optical, voice, Internet, and semiconductors, are sold for $4.5 billion to a consortium including Apple, EMC, Ericsson, Microsoft, Research In Motion, and Sony, pending American and Canadian court approval.<ref name="CNET-PatentSale">{{Cite news
 
* approximately 6,000 patents and patent applications encompassing technologies such as wireless, wireless 4G, data networking, optical, voice, Internet, and semiconductors, are sold for $4.5 billion to a consortium including Apple, EMC, Ericsson, Microsoft, Research In Motion, and Sony, pending American and Canadian court approval.<ref name="CNET-PatentSale">{{Cite news
 
  | last = Musil
 
  | last = Musil
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  | date = June 30, 2011
 
  | date = June 30, 2011
 
  | url = http://news.cnet.com/8301-1001_3-20075977-92/apple-rim-in-group-buying-nortel-patents-for-$4.5b/?part=rss&subj=news&tag=2547-1_3-0-20
 
  | url = http://news.cnet.com/8301-1001_3-20075977-92/apple-rim-in-group-buying-nortel-patents-for-$4.5b/?part=rss&subj=news&tag=2547-1_3-0-20
  | accessdate = October 7, 2011 }}</ref><ref name="Google-PatentSale">{{cite news| url=https://www.google.com/hostednews/ap/article/ALeqM5hy96xdAe1B7P0qvWlFBC-C7hwzvg?docId=03166dd1084a4fb8a9c099a14cc6c346 | agency=Associated Press | title=Nortel sells patents to consortium for $4.5B | date=July 1, 2011}}</ref>(Google had placed the initial stalking horse bid of $900 million<ref name="GlobeAndMail-PatentBid">{{cite news| url=http://www.theglobeandmail.com/report-on-business/google-bids-900-million-for-nortel-patents/article1969788/ | location=Toronto | work=The Globe and Mail | first=Iain | last=Marlow | title=Bid for Nortel patents marks Google's new push into mobile world | date=April 4, 2011}}</ref> and later upped the bid to $1,902,160,540, then $2,614,972,128, and eventually $3.14159 billion, which are references to [[Brun's constant]], [[Meissel–Mertens constant]], and [[pi]].)<ref name="Google-PatentBid">{{cite news | url=http://www.reuters.com/article/2011/07/02/us-dealtalk-nortel-google-idUSTRE76104L20110702 | title=Dealtalk: Google bid "pi" for Nortel patents and lost | work=Reuters | date=July 1, 2011 | accessdate=July 2, 2011 | author=Damouni, Nadia}}</ref>  
+
  | accessdate = October 7, 2011 }}</ref><ref name="Google-PatentSale">{{cite news| url=https://www.google.com/hostednews/ap/article/ALeqM5hy96xdAe1B7P0qvWlFBC-C7hwzvg?docId=03166dd1084a4fb8a9c099a14cc6c346 | agency=Associated Press | title=Nortel sells patents to consortium for $4.5B | date=July 1, 2011}}</ref>(Google had placed the initial stalking horse bid of $900 million<ref name="GlobeAndMail-PatentBid">{{cite news| url=http://www.theglobeandmail.com/report-on-business/google-bids-900-million-for-nortel-patents/article1969788/ | location=Toronto | work=The Globe and Mail | first=Iain | last=Marlow | title=Bid for Nortel patents marks Google's new push into mobile world | date=April 4, 2011}}</ref> and later upped the bid to $1,902,160,540, then $2,614,972,128, and eventually $3.14159 billion, which are references to [[wikipedia:Brun's constant|Brun's constant]], [[wikipedia:Meissel–Mertens constant|Meissel–Mertens constant]], and [[wikipedia:pi|pi]].)<ref name="Google-PatentBid">{{cite news | url=http://www.reuters.com/article/2011/07/02/us-dealtalk-nortel-google-idUSTRE76104L20110702 | title=Dealtalk: Google bid "pi" for Nortel patents and lost | work=Reuters | date=July 1, 2011 | accessdate=July 2, 2011 | author=Damouni, Nadia}}</ref>  
 
* October 2011: Bankruptcy filings state that Nortel owes former Canadian engineers $285,000 for patent awards that were not paid.<ref name="Citizen-PatentAwardsOutstanding">{{cite news|last=Hill |first=Bert |title=In patent wars, the casualty is progress |work=Ottawa Citizen |date=October 5, 2011 |url=http://www.ottawacitizen.com/touch/story.html?id=5502955 |accessdate=October 20, 2011 }}{{dead link|date=June 2016|bot=medic}}{{cbignore|bot=medic}}</ref>
 
* October 2011: Bankruptcy filings state that Nortel owes former Canadian engineers $285,000 for patent awards that were not paid.<ref name="Citizen-PatentAwardsOutstanding">{{cite news|last=Hill |first=Bert |title=In patent wars, the casualty is progress |work=Ottawa Citizen |date=October 5, 2011 |url=http://www.ottawacitizen.com/touch/story.html?id=5502955 |accessdate=October 20, 2011 }}{{dead link|date=June 2016|bot=medic}}{{cbignore|bot=medic}}</ref>
 
* October 2011, the administrators of Nortel's British subsidiary lose their appeal to overturn a court order requiring them to pay £2.1 billion into Nortel's underfunded pension plan.<ref name="Citizen-PensionPlanUKAppeal">{{cite news|last=Chellel |first=Kit |title=Lehman, Nortel lose $3.5B pension appeal |work=Ottawa Citizen |date=October 15, 2011 |url=http://www.ottawacitizen.com/business/Lehman+Nortel+lose+pension+appeal/5554405/story.html |accessdate=October 20, 2011 |deadurl=yes |archiveurl=https://web.archive.org/web/20120207202542/http://www.ottawacitizen.com/business/Lehman+Nortel+lose+pension+appeal/5554405/story.html |archivedate=February 7, 2012 }}</ref>
 
* October 2011, the administrators of Nortel's British subsidiary lose their appeal to overturn a court order requiring them to pay £2.1 billion into Nortel's underfunded pension plan.<ref name="Citizen-PensionPlanUKAppeal">{{cite news|last=Chellel |first=Kit |title=Lehman, Nortel lose $3.5B pension appeal |work=Ottawa Citizen |date=October 15, 2011 |url=http://www.ottawacitizen.com/business/Lehman+Nortel+lose+pension+appeal/5554405/story.html |accessdate=October 20, 2011 |deadurl=yes |archiveurl=https://web.archive.org/web/20120207202542/http://www.ottawacitizen.com/business/Lehman+Nortel+lose+pension+appeal/5554405/story.html |archivedate=February 7, 2012 }}</ref>
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Latest revision as of 00:18, 13 March 2017

The content on this page is forked from the English Wikipedia page entitled "Timeline of Nortel". The original page still exists at Timeline of Nortel. The original content was released under the Creative Commons Attribution/Share-Alike License (CC-BY-SA), so this page inherits this license.

Timeline of major events for Nortel.

Bell Telephone Company of Canada

  • 1882: A mechanical department is created within Bell Telephone Company of Canada to manufacture telephone equipment for Canada,[1][2]
  • 1886: The mechanical department starts manufacturing its first switchboard, a 50 line Standard Magneto Switchboard.[1][3]
  • 1888: The mechanical department has 50 employee .[4]
  • 1890: The mechanical department has 200 employees and a new factory is under construction.[1]
  • 1895: Northern Electric and Manufacturing Company Limited is spun off from Bell Canada [1]

Northern Electric and Manufacturing Company

  • 7 December 1895: Northern Electric and Manufacturing Company Limited is incorporated with initial stock capital of $50,000 at $100 per share, with 93 percent held by Bell Canada [5]
  • March 24, 1896: The first general stockholders meeting
  • December 1899: Bell Telephone Company of Canada buys a cabling company for $500,000 later named The Wire and Cable Company.[6]
  • 1900 Northern Electric and Manufacturing manufactures the first Canadian wind-up gramophones .[7]
  • 1911: The Wire and Cable company changes its name to the Imperial Wire and Cable Company.[8]

Northern Electric Company

  • 1913: The construction of a new manufacturing plant started at Shearer Street in Montreal, Canada, as preparations began for the two manufacturing companies' integration.
  • January 1914: the Northern Electric and Manufacturing Company and the Imperial Wire and Cable Company merge into the Northern Electric Company,
  • 1915: the new company opens the doors on a new manufacturing plant in January. This facility at Shearer Street was the primary manufacturing center until the mid-1950s.[7] Edward Fleetford Sise was the president and his brother Paul Fleetford Sise was the vice-president and general manager.[9]
  • During the First World War Northern Electric manufactured the Portable Commutator, a one-wire telegraphic switchboard for military operations in the field.
  • 1922: Northern starts to produce, for $5, the "Peanut" vacuum tube, which required only a single dry-cell battery. The use of alternating current was still under development during this time. The "Northern Electric Peanut tube was the smallest tube made, and drew only one-tenth of an ampere and was the most remarkable radio frequency amplifier ever made."[10]
  • During the 1920s: Northern Electric made kettles, toasters, cigar lighters, electric stoves, and washing machines.[11]
  • January 1923: Northern Electric starts operating an AM radio station with call letters CHYC, in the Shearer Street plant, and much of the programming was religious services for the Northern Electric employees and families in the community.
  • July 1923: CHYC-AM was the first radio station to provide entertainment to the riders of the transcontinental train, in a parlor car fitted with a radio set to receive the broadcast as it left Montreal and traveled west.[12]
  • Later1920s: Northern creats the first talking movie sound system in the British Empire for a theater in Montreal.[11]
  • 1930 – 1933 (Great Depression ): Sales drop from $34 million to $8.2 million, and the number of employees dropped from 6,100 to 2,400.[13]

Independence from Western Electric

  • 1949: an antitrust suit in the U.S. forces AT&T/Western Electric to sell its stake in Northern Electric to Bell Canada. Deprived of its Western Electric tie, Northern starts developing its own products.
  • 1953: Northern Electric produces its first television sets using tubes made by RCA.[14]
  • 1964: Bell Canada acquires 100 percent of Northern Electric
  • 1966: the Northern Electric research lab, Northern Electric Laboratories (the predecessor to Bell-Northern Research), starts looking into the possibilities of fiber optic cable
  • 1969: work begins on digitizing telephone communications.
  • 1969: Northern begins making inroads into the U.S. market with its switching systems.
  • 1972: Northern opens its first factory in the U.S. in Michigan.
  • 1975: Northern begins shipping its first digital switching systems, one of the earliest such systems to be sold.
  • Early 70’: Northern Telecom is, with Bell-Northern Research, a part owner of MicroSystems International a semiconductor manufacturer based in Kanata, outside Ottawa.

Northern Telecom and "Digital World"

  • 1976: Northern Electric Company name changed to Northern Telecom Limited.
  • 1976: "Digital World" three-page advertisement appears in major trade publications
  • 1977, Nortel introduces its DMS line of digital central office telephone switches
  • 1984: AT&T breakup
  • [year missing] Northern Telecom becomes the first non-Japanese supplier to Nippon Telegraph and Telephone

Deregulation

  • 1995: Northern Telecom becomes Nortel, the streamlined identity it adopts for its 100th anniversary.

Optical boom and the Right Angle Turn

  • 1998: company's name is changed to Nortel Networks
  • 1998: Nortel acquires Bay Networks
  • 1998: BCE ceases to be the majority shareholder of Nortel.
  • late 1990s: share price of Nortel stock reaches unheard-of levels despite the company's repeated failure to turn a profit.
  • 2000: Nortel accounts for more than a third of the total valuation of all the companies listed on the Toronto Stock Exchange (TSX), employing 94,500 worldwide, with 25,900 in Canada alone.[18]
  • 2000: BCE spins out Nortel, distributing its holdings of Nortel to its shareholders. Bell-Northern Research is gradually absorbed into Nortel.
  • 2000: John Roth (CEO) cashes in his own stock options for a personal gain of C$135 million[19]
  • 2000-2002: Nortel's market capitalization fell from C$398 billion in September 2000 to less than C$5 billion in August 2002, as Nortel's stock price plunges from C$124 to C$0.47.
  • 2001: CEO John Roth retires, replaced by Chief financial officer Frank Dunn [20]

decided to quit, however.[21]

After the Internet bubble

Frank Dunn CEO - accounting restatements

  • 2001-2003: Two-thirds of Nortel's workforce (60,000 staff) are laid off
  • 2001: writedowns of nearly US$16 billion
  • 2003: temporary return to profitability resulting in $70 million in bonuses awarded to the top 43 managers,[22] with $7.8 million going to Dunn alone,[23] $3 million to chief financial officer Douglas Beatty, and $2 million to controller Michael Gollogly.[24]
  • Independent auditor Deloitte & Touche advises audit committee chairman John Cleghorn and board chairman "Red" Wilson to look into the suspicious results, who promptly hired the law firm WilmerHale to vet the financial statements.[25]
  • October 2003, Nortel announces its intention to restate approximately $900 million of liabilities carried on its previously reported balance sheet resulting in a reduction in previously reported net losses for 2000, 2001, and 2002 and an increase in shareholders’ equity and net assets previously reported on its balance sheet.
  • A dozen of the company's most senior executives return $8.6 million of bonuses they were paid based on the erroneous accounting.
  • Investigators find about $3 billion in revenue was booked improperly in 1998, 1999, and 2000.
  • More than $2 billion is moved into later years, about $750 million pushed forward beyond 2003 and about $250 million is wiped away completely.[25]
  • 2003: Nortel reaches an agreement with Export Development Canada for it to provide Nortel with a credit support facility of up to US$750 million.[26]

[27]

Owens and Zafirovski

  • After Dunn's firing, retired United States Admiral Bill Owens – at the time a member of the board of directors – was appointed interim CEO.
  • Nortel Networks subsequently returned to using the Nortel name for branding purposes only (the official company name was not changed).
  • June 2005: Nortel acquires PEC Solutions, a provider of information technology and telecommunications services to various government agencies and departments, and renames it Nortel Government Solutions Incorporated (NGS).[30][31]
  • August, 2005: LG Electronics and Nortel formed a joint venture, with Nortel owning 50% plus one share, to offer telecom and networking solutions in the wireline, optical, wireless and enterprise areas for South Korean and global customers.
  • Peter W. Currie, previously the Chief Financial Officer (CFO) of the Royal Bank of Canada, was named CFO of Nortel in 2005, having previously served as Northern Telecom's CFO in the 1990s.
  • Gary Daichendt, the former Chief Operating Officer of Cisco Systems, was hired as President and COO, and was expected to succeed Owens as CEO.
  • Shortly afterward, Daichendt appointed ex-Cisco Chief Science Officer Gary Kunis as Chief Technology Officer (CTO). Both Garys were concerned about the overall direction of Nortel, especially when compared to Cisco, their previous employer.
  • Just three months later, Daichendt resigned after both his restructuring plan and his suggestion that Owens and Currie leave the company immediately were rejected by the board of directors.
  • Kunis quit shortly thereafter.[32]
  • At the year's end, directors Lynton "Red" Wilson and John Cleghorn retired from the board.
  • Mike S. Zafirovski, who had served as President and CEO of GE Lighting and then as Motorola President and COO, succeeded Owens as president and CEO on November 15, 2005.[33]

• Motorola filed a suit against Zafirovski's hiring, alleging that his new position would break the terms of the non-disclosure agreement he had signed. Nortel agreed to pay $11.5 million on his behalf to settle the lawsuit.[34]

  • Nortel also paid out US$575 million and 629 million common shares in 2006 to settle a class-action lawsuit that accused the company of misleading investors about the company's health.
  • Peter W. Currie stepped down as Executive Vice President and CFO in early 2007.
  • February 2007: Nortel announces its plans to reduce its workforce by 2,000 employees, and to transfer an additional 1,000 jobs to lower-cost job sites.
  • The Securities and Exchange Commission files civil fraud charges against Nortel for accounting fraud from 2000 to 2003; the fraud was allegedly to close gaps between its true performance, its internal targets and Wall Street expectations.
  • Nortel settles the case, paying $35 million, which the Commission distributes to affected shareholders, and reportes periodically to the Commission on remedial measures to improve its financial accounting.
  • Dunn, Beatty, and Gollogly were charged in June 2008 by the RCMP for criminal fraud related to their activities in 2002–2003.[35]
  • Nortel announces plans in February 2008 to eliminate 2,100 jobs, and to transfer another 1,000 jobs to lower-cost centres.[36]
  • As part of the reductions, Nortel shut down its Calgary campus in 2009.[37]
  • During its reporting of third quarter 2008 results, Nortel announced it would restructure into three vertically-integrated business units: Enterprise, Carrier Networks, and Metro Ethernet Networks.
  • As part of the decentralization of its organization, four executive positions were eliminated, effective January 1, 2009: Chief Marketing Officer Lauren Flaherty, Chief Technology Officer John Roese, Global Services President Dietmar Wendt, and Executive Vice President Global Sales Bill Nelson.
  • A net reduction of 1,300 jobs was also announced.[38] As its stock price dropped below $1, the New York Stock Exchange notified Nortel that it would be delisted if its common shares failed to rise above $1 per share within 6 months.[39]
  • Rumours continue to persist of Nortel's poor financial health, amid the late 2000s recession, and its bids for government funds are turned down.[40]

Liquidation

Protection from creditors

  • January 14, 2009: Nortel files for protection from creditors, in the United States under Chapter 11 of the United States Bankruptcy Code, in Canada under the Companies' Creditors Arrangement Act, and in the United Kingdom under the Insolvency Act 1986.[41][42][43]
  • Nortel's share price falls more than 79% on the Toronto Stock Exchange.
  • Nortel is the first major technology company to seek bankruptcy protection in this global downturn.[44]
  • Nortel had an interest payment of $107 million due the next day, approximately 4.6% of its cash reserves of approximately $2.3 billion.[45]
  • Export Development Canada agrees to provide up to C$30 million in short-term financing through its existing credit support facility with Nortel.
  • The Canadian government resistes characterizing its position on Nortel as a bailout.[46]
  • Nortel pays out retention bonuses to almost 1,000 top executives, totalling up to US$45 million.[47]
  • Severance payments to employees laid off prior to the creditor protection filing are being withheld.
  • End of January 2009: Nortel announces that it would be discontinuing its WiMAX business and its joint agreement with Alvarion.[48][49]
  • Nortel sells its Layer 4–7 application delivery business to Israeli technology firm Radware for $18 million, after Radware has initially placed a stalking horse bid.[50][51] Nortel had acquired the application switch product line in October 2000 when it purchased Alteon WebSystems.[52]

Wind-up

  • June 2009: Nortel announces that it no longer plans to emerge from bankruptcy protection, and is seeking buyers for all of its business units.[53][54]
  • June 26, 2009 : Nortel shares are delisted from the Toronto Stock Exchange at a price of $0.185 per share.[54][55][56]
  • August 2009: Mike Zafirovski resigns
  • August 2009: Nortel's board of directors reorganized with three members instead of nine.[57]
  • 2009: Nortel hands out $14.2 million in cash compensation to seven executives
  • 2009: Nortel pays out $1.4 million to 10 former and current directors
  • 2009: Nortel pays $140 million to lawyers, pension, human resources and financial experts helping to oversee the company’s bankruptcy proceedings.[58]
  • July 2009: Ericsson purchases Nortel's CDMA and LTE assets for $1.13 billion in an auction.[59][60][61]
  • July 20, 2009: Avaya wins an auction for Nortel's Enterprise Solutions business, including Nortel's stake in Nortel Government Solutions and DiamondWare, for $900 million,[62] after having placed a stalking horse bid of $475 million.[63]
  • November 2009: Nortel sells its MEN (Metro Ethernet Networks) unit to Ciena Corporation for US$530 million in cash and US$239 million in convertible notes,[64][65]
  • November 2009: Nortel sells its GSM business at auction to Ericsson and Kapsch for US$103 million.[66][67][68][69]
  • December 8, 2009:Hitachi purchases the Next Generation Packet Core assets.[70]
  • December 2009: John Roth (former CEO )files for a US$1 billion indemnification from Nortel, joining the list of U.S. creditors.[71]
  • February 2010: Ernst & Young, the court-appointed monitor of Nortel's Canadian bankruptcy proceedings, reports that the assets of Nortel's Health and Welfare Trust had a shortfall of $37 million in its net assets as of December 31, 2008. The trust supports pensioners' medical, dental and life insurance benefits, as well as income support for some groups such as long-term disability recipients.[72]
  • February 2010: Nortel negotiates a $57-million deal to wind up the health care and other benefits provided to former Canadian employees.
  • February 2010: Nortel proposes spending $92.3M on retention bonuses for 1,475 employees in its Nortel Business Services and Corporate groups, with $2.5 million in incentives going to Christopher Ricaute, president of Nortel Business Services; $27 million allocated for Canadian employees; and $55 million allocated for U.S. employees.[73][74]
  • March 2010: US trustee Roberta DeAngelis objects to the payment of $55.6 million to 866 employees.[75]
  • Court-appointed representatives for Nortel's former employees in Canada, who are creditors in the Ontario bankruptcy court, have signed an agreement to not oppose any employee incentive program.
  • May 2010: Genband purchases the Carrier VoIP and Application Solutions (CVAS) unit, as Nortel accepted its stalking horse bid of $282 million, with adjustments that decreased the net sale price to about $100 million, without a formal bidding process.[76][77][78]
  • June 2010: Ericsson purchases Nortel's share in its joint venture with LG Electronics for US$242 million, forming LG-Ericsson.[79][80]
  • September 2010 : Ericsson purchases Nortel's final operating unit, the Multi-Service Switch division, for US$65 million.[81][82][83]
  • October 2010 : Nortel's Ottawa campus on Carling Avenue is purchased by Public Works and Government Services Canada (PWGSC) for a cash purchase price of CDN$208 million.[84]
  • December 2010: Nortel's 53.13% stake in Turkish company Nortel Netaş was acquired by One Equity Partners (OEP) and Rhea Investments for $68 million.[85][86]
  • approximately 6,000 patents and patent applications encompassing technologies such as wireless, wireless 4G, data networking, optical, voice, Internet, and semiconductors, are sold for $4.5 billion to a consortium including Apple, EMC, Ericsson, Microsoft, Research In Motion, and Sony, pending American and Canadian court approval.[87][88](Google had placed the initial stalking horse bid of $900 million[89] and later upped the bid to $1,902,160,540, then $2,614,972,128, and eventually $3.14159 billion, which are references to Brun's constant, Meissel–Mertens constant, and pi.)[90]
  • October 2011: Bankruptcy filings state that Nortel owes former Canadian engineers $285,000 for patent awards that were not paid.[91]
  • October 2011, the administrators of Nortel's British subsidiary lose their appeal to overturn a court order requiring them to pay £2.1 billion into Nortel's underfunded pension plan.[92]

References

  1. 1.0 1.1 1.2 1.3 Nortel Networks (2008). "Corporate information: Nortel History – 1874 to 1899". Nortel Networks. Retrieved April 30, 2009. 
  2. Murphy, George Joseph (1993). A History of Canadian Accounting Thought and Practice. Taylor & Francis. p. 82. ISBN 978-0-8153-1248-2. 
  3. Rens & Roth 2001, p. 129.
  4. Rens & Roth 2001, p. 129-132.
  5. Canadian Parliament (1896). Sessional Papers. 29. C. H. Parmelee. p. 34. 
  6. Babe, Robert E. (1990). Telecommunications in Canada: technology, industry, and government. University of Toronto Press. p. 177. ISBN 9780802067388. 
  7. 7.0 7.1 Nortel Networks (2009). "Corporate information: Nortel History – 1900 to 1919". Nortel Networks. Retrieved April 3, 2009. 
  8. Rens & Roth 2001, p. 132.
  9. Rens & Roth 2001, pp. 129–132.
  10. Lewis, H. Spencer (1998). The Mystic Triangle: A Modern Magazine of Rosicrucian Philosophy. Kessinger Publishing. ISBN 9780766107052. Template:Fix/category[verification needed]
  11. 11.0 11.1 Nortel Networks (2009). "Corporate information: Nortel History – 1920 to 1929". Nortel Networks. Retrieved April 3, 2009. 
  12. Rens & Roth 2001, p. 197.
  13. Chapuis, Robert J.; Joel, Amos E. (2003). 100 Years of Telephone Switching: Manual and Electromechanical Switching, 1878-1960's (2, illustrated ed.). IOS Press. p. 282. ISBN 9781586033491. 
  14. Nortel Networks (2007). "Corporate information: Nortel History – 1950 to 1959". Nortel Networks. Retrieved November 17, 2007. 
  15. "Northern Electric – A Brief History". Retrieved September 12, 2006. 
  16. Rens, Jean-Guy (2007). "Canada and the Birth of the Digital World: The Contributions of R. Charles Terreault". Canada's Telecommunications Hall of Fame. Retrieved October 14, 2007. 
  17. Oliver, Richard; Scheffinan, David (1995). "The Regulation of Vertical Relationships in the US Telecommunications Industry" (PDF). Managerial and Decision Economics. 16 (4): 327–348. doi:10.1002/mde.4090160407. 
  18. Wahl, Andrew (March 24, 2009). "The good, the bad and the ugly: Nortel Networks". Canadian Business magazine. Retrieved July 28, 2009. 
  19. "New board 'is an improvement by a mile'". Globe and Advisor. January 12, 2005. Retrieved March 12, 2011. 
  20. "Nortel COO takes medical leave". CBC News. Canadian Broadcasting Corporation. March 13, 2001. Retrieved December 15, 2011. 
  21. Karleff, Ian (May 21, 2001). "Search for New CEO Launched by Nortel". Los Angeles Times. Retrieved December 15, 2011. 
  22. McFarland, Janet (January 20, 2012). "No business reason to release Nortel reserves, court told". The Globe and Mail. Toronto. 
  23. Lewis, Michael (January 18, 2012). "Nortel trial: Letters show Nortel execs knew they were getting bonuses fraudulently, Crown alleges". The Star. Toronto. 
  24. "Nortel execs were getting bonuses fraudulently: Crown |". CTV News. January 18, 2012. Retrieved 2012-05-26. 
  25. 25.0 25.1 https://web.archive.org/web/20100222095656/http://www.financialpost.com/story.html?id=2173704. Archived from the original on February 22, 2010. Retrieved July 24, 2012.  Missing or empty |title= (help)
  26. "Nortel Networks Announces US$750 Million Support Facility with EDC and Details of Special Matters to be Considered at Upcoming Shareholders Meeting" (Press release). Nortel Networks Corporation. February 14, 2003. Retrieved December 9, 2009. 
  27. McKibbon, Sean (February 16, 2003). "Bailout Billion; Taxpayers to prop up mega-loser Nortel". Winnipeg Sun. Winnipeg: Sun Media. p. 8. 
  28. 28.0 28.1 "Top former Nortel execs charged with fraud". Ottawa Citizen. CanWest MediaWorks Publications. June 20, 2008. Retrieved October 7, 2011. 
  29. Postmedia News (October 3, 2011). "Nortel criminal trial to begin Jan. 16". Montreal Gazette. Retrieved October 3, 2011. 
  30. Nortel Government Solutions (2008). "Corporate Information: Nortel Government Solutions". Nortel Government Solutions. Retrieved June 1, 2008. 
  31. "Nortel to Buy PEC Solutions For $448 Million". Washington Post. April 27, 2005. Retrieved January 11, 2012. 
  32. [1]Template:Fix/category[dead link]
  33. "Nortel Announces Mike Zafirovski as President and CEO" (Press release). Nortel Networks. October 17, 2005. Retrieved June 1, 2008. 
  34. McMillan, Robert (October 31, 2005). "Motorola, Nortel settle Zafirovski dispute". infoworld.com. Retrieved September 5, 2006. 
  35. Austen, Ian (June 20, 2008). "3 Ex-Nortel Executives Are Accused of Fraud". The New York Times. Retrieved June 25, 2008. 
  36. "Nortel cutting 2,100 jobs". CBC News. Canadian Broadcasting Corporation. February 27, 2008. Retrieved June 1, 2008. 
  37. "Nortel to close Calgary operations". CBC News. Canadian Broadcasting Corporation. May 27, 2008. Retrieved June 1, 2008. 
  38. "Nortel Reports Financial Results for the Third Quarter 2008" (Press release). Nortel Networks. November 10, 2008. Retrieved November 11, 2008. 
  39. "Nortel gets delisting warning from NYSE". Triangle Business Journal. December 12, 2008. Retrieved December 14, 2008. 
  40. "Who killed Nortel?". National Post. January 9, 2009. Retrieved August 14, 2010. 
  41. "Nortel Obtains Court Orders for Creditor Protection" (Press release). Nortel Networks Corporation. January 14, 2009. Retrieved January 14, 2009. 
  42. Ricknäs, Mikael (January 14, 2009). "Nortel files for Chapter 11 bankruptcy protection". Computerworld. International Data Group. Retrieved January 15, 2009. 
  43. Greene, Tim (January 14, 2009). "Nortel bankruptcy filings are last-ditch effort". Network World. Retrieved January 15, 2009. 
  44. "Canada's Nortel to sell itself off in pieces". Jerusalem Post. June 22, 2009. Archived from the original on June 4, 2011. Retrieved March 12, 2011. 
  45. "Nortel Networks files for bankruptcy protection". CBC News. Canadian Broadcasting Corporation. January 14, 2009. Retrieved January 14, 2009. Template:Fix/category[dead link]
  46. Palmer, Randall (January 14, 2009). "Canada government pledges to help Nortel". Reuters. 
  47. Hill, Bert (March 1, 2009). "Nortel pays big bonuses to keep execs". National Post. Retrieved March 3, 2010. 
  48. "Nortel Refines Focus of Carrier Business: Ends Joint Agreement with Alvarion for Mobile WiMAX" (Press release). Nortel Networks. January 29, 2009. Retrieved January 31, 2009. 
  49. Drew, Jeff (January 30, 2009). "Nortel getting out of WiMAX". Triangle Business Journal. American City Business Journals. Retrieved January 31, 2009. 
  50. "Radware buys Nortel product line". Globes [online]. February 32, 20092. Retrieved February 21, 2009.  Check date values in: |date= (help)
  51. "Nortel Completes Divestiture of Certain L4-7 Data Assets to Radware" (Press release). Nortel Networks. March 31, 2009. Retrieved July 25, 2009. 
  52. "Nortel to Divest Layer 4–7 Data Portfolio: Enters into Asset Purchase Agreement with Radware" (Press release). Nortel Networks. February 19, 2009. Retrieved February 22, 2009. 
  53. "NP Story". National Post. Retrieved August 14, 2010. Template:Fix/category[dead link]
  54. 54.0 54.1 "Nortel To Sell CDMA Business and LTE Assets; Company Advancing in Its Discussions With External Parties To Sell Other Businesses" (Press release). Nortel Networks. June 19, 2009. Retrieved June 19, 2009. 
  55. "It's official: Nortel shares are worthless". The Globe and Mail. June 22, 2009. Retrieved June 22, 2009. 
  56. Tedesco, Theresa; Sturgeon, Jamie (June 27, 2009). "Nortel: Cautionary tale of a former Canadian titan". Canada.com. Canwest Publishing. Archived from the original on November 7, 2012. Retrieved July 25, 2009. 
  57. "Nortel Announces Board of Directors, Management Team and Organizational Changes" (Press release). Nortel Networks Corporation. August 10, 2009. Retrieved August 10, 2009. 
  58. "Bankrupt Telecom Company Doled Out $8.6M in Bonuses Last Year". Phone Plus Magazine. March 19, 2010. Retrieved March 12, 2011. 
  59. Bagnall, James (July 24, 2009). "Moment of truth for Nortel's wireless unit". Ottawa Citizen. Retrieved July 25, 2009. 
  60. "Nortel Selects Ericsson as Successful Bidder For CDMA Business and LTE Access Assets" (Press release). Nortel Networks. July 25, 2009. Retrieved July 25, 2009. 
  61. Bagnall, James (July 25, 2009). "Ericsson prevails in fight for Nortel's wireless business with $1.13B bid". Ottawa Citizen. Retrieved July 25, 2009. Template:Fix/category[dead link]
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