Get a real job instead of pretending to have one by blogging.

Overstating net income by 439M, 60%, for ONE fiscal year, 2003, is something you simply can’t ignore…net income is number investors look at…and the one that runs stock prices up…do you think Nortel would settle unless it saw tremendous exposure? It’s attorneys did the smart thing, after firing these avaricious louts.

These wrongful dismissal actions are good for comic relief. They won’t get a cent and will burn more attorneys fees when they need every last cent to pay defense lawyers $400/hr to fight the massive litigation already lodged against them. They probably have incurred millions in attorney’s fees already. That’s fine with me, too. There is nothing worse to a financial criminal than ending up peniless. Poetic justice.

You are just plain wrong while ignoring the plain as day audited financials ….take an accounting class…read the 10KA…most of the U.S. Attorneys and SEC enforcement attorneys did…and they won’t be so charitable….

This is my last comment on the matter…now get back to work defending these crooks..the other guy was probably right, you sound like one of their legal team..I sure hope so…because, as naive as you are, your clients are going to get the clocks cleaned while you help them go broke more quickly at $400/hr…cheers…

With regards to your comment:

When Dumb, Booby, and Gangsta cook books to intentionally overstate NET INCOME (Not a “percentage of sales/revenues, as you disingenuously and continually assert)

Perhaps you still don’t understand what I’m talking about. My comparison to sales was to help people relate the size of the provisons to the size of the company. Sure millions sounds like a lot to most people, but when you’re dealing with hundreds of billions, it becomes very small. Therefore when you’re ealing with creating a provision for write-downs and settlements years into the future, to be off by such a small percentage is not too bad.

Facts are, Nortel was profitable and would have remained profitable had they continued on the course Dunn lead them on. Much of the money lost is due to uneeded legal, accounting and settlement fees as well as lost revenues that we will never know about because customers don’t want to be associated with a perceived scandal such as this.

I apologize for any name calling in my past comments but I really don’t have any respect for ignorant propaganda machines like the two of you guys…

When Dumb, Booby, and Gangsta cook books to intentionally overstate NET INCOME (Not a “percentage of sales/revenues, as you disingenuously and continually assert) by 60% for FY 2003 and eps from .06 to .17, they can expect handcuffs…did they really think they could get away with it? At worst they will end up broke/bankrupt, since there are some 50 odd lawsuits against them…at best they do some time in the gray bar hotel…they will be pariahs for the rest of their lives…along with Lay and Skilling…

Maybe this is business as usual in Canada…net income and earnings per share are the key metrics any investor most carefully looks at…if you want a shell game like what these shysters tried to pull off, go to the carnival…they are going to be charged and prosecuted in the U.S. As for Canada, you are right, fraud is often just business as usual. The Sarbanes Oxley Act was made for charlatans like these three. And they are gone. Their suits are worthless moves by mouthpieces posturing for better settlement deals on the criminal charges they will soon face…you think Bush is going to let up on their ilk? Think again.

When I agreed about them being on the hook with regards to receiving the bonus, I didn’t agree that it was wrong to do it. The company was going to turn a profit and continue to at that point. This is not due to account trickery, it was due to old fashioned hard work. Keeping clients afraid of the near bankruptcy and signing new deals. The bonuses would have been paid in the next quarter and the provisions would have been released at some point. GAAP states that as soon as you know for sure that the provision will not be needed, funds go back into revenue. This wasn’t the first or only time this happened with Nortel, it just happened to be a big deal because this time instead of making the loss smaller or profit larger it actually crossed the line from loss to profit.

I assure you Dunn has nothing to worry about except the ignorance of people like you who will never see him as innocent. Once again, wrongful dismissal will succeed, most likely through an out of court settlement, there will be no criminal trial and you will look dumber…

There are many companies who have to allocate funds for potential lawsuits etc. RIM is one example. However, I have yet to see one that never made a dime in profit and gave huge bonuses because funds were re-allocated from escrow. Also the funds allocated did not come from revenue as a percentage.

Furthermore, revenues were recorded early or pushed out which is also fraudulent. In any case, triggering a big bonus was unethical and yes charges will be laid along with a card GO DIRECTLY TO JAIL, DO NOT COLLECT and you know what, there is no Get out of jail card.

The lawsuits filed are defensive against Nortel but the US Attorney Office really does give a damn – so look forward to the extraditions.

As I tried to explain above, what the facts show happened at Nortel is that write downs and loss provisions, which are estimates that go years into the future in a overwhelmingly uncertain time (ie 2000) ended up to be overestimated. The amount by which they where overestimated sounds big, but as a percentage of sales this is not the case. Again, I would challenge anyone to budget there lives that far in advance let alone a global company in the most uncertain market of their existence.

I agree that the reason they are on the hook is because the bonuses where triggered when the unused provisions where released back into revenue. You make it sound as though this happened over a two week period to trigger the bonus. In reality it took years, until the time Nortel was more or less turning a corner and had more certainty in their numbers and confidence that certain provisions would not be needed. Perhaps these provisions where released too early, I don’t know, the courts will sort through that. The facts are in the numbers, and the numbers show that even if the provisions weren’t released back into income in that quarter, Nortel would have made a profit in the next quarter and the bonuses would have been paid. So at most, the bonuses were paid a quarter early.

People like you, Anonymous and Dunn’s a Crook, represent what is wrong with in the industry…you brains are like play-do waiting to be shaped by the headlines in the paper. I can all but assure you that no charges will be proven, and most likely none will even be laid, because there was no crime commited by Dunn. The only crime commited was by Wilson and Cleghorn is the form of firing the only person you cared enough to turn the company back around from the brink of bankruptcy, as well as wasting hundreds and hundreds of millions of dollars on re-statements that didn’t need to happen as well as billions on settling class action suits related to this.

By the way, I think it’s funny how anytime anybody goes against the ignorance the likes of you guys smear all over this website, they’re immediatley called Frank Dunn…did you ever think for a moment that you just might be wrong?

I’d suggest you take an accounting course or at take a tutorial before you rant.