Mike Z.’s Newest E-Mail

By Mark Evans | Published: March 12, 2009

Mike Z.
Team Nortel: As you may have seen in The Wall Street Journal this morning, the media continue to speculate on our current situation. Although this is one more of the many stories that continue to be written about us, I want to take a moment to put their commentary into perspective.

Typically, we do not comment on rumors in the media, and I will not do it here either. However, I want to speak to you directly about our status and plans, so you can have the latest actual information. Let me reiterate that our process remains the same one Pavi and I discussed at the last global GIS and on calls with our ELT.

We have made every effort to stabilize our business, and in general, this is being accomplished with strong support by our customers and committed efforts by you, the Nortel employees. We are continuing to serve our customers well, which is in the best interest of all of us. And, we are now developing a business plan to present to creditors and the courts that will determine our future.

As we shared with you on February 25, we expect this plan to be ready internally in the late March timeframe, with creditor reviews in later March/April. The restructuring of Nortel is a complex process that requires thoughtful analysis of the various possible paths open to us. As I have said before – and which the Journal story also emphasizes – there is much still to be done and decided. As soon as we are able to share more information with you – including our go-forward plan – I assure you, we will.

Most importantly, we must continue to focus on customers as we go through this process. We must continue to tell them that Nortel is open for business. And, we must continue to focus on the work at hand. That is the only way forward, and thank you for the strong efforts and results on these fronts since we filed.

As always, thank you for all you are doing for Nortel and our customers.

Mike

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  • protosphere

    And to think Cisco and Nortel use to spit at each other behind closed doors years ago.

    Today Cisco casually peruses the goods for sale to say no thanks =)

  • flygoose

    商女不知亡国恨，隔江犹唱后庭花。

    mem in China

  • http://nortelinsider.wordpress.com/ Desk Jockey

    Well written! Though it is sad that humor is providing the best commentary on this whole situation. It really shows how laughable this management is, everything would be extremely funny if it were not so tragic for so many people involved.

  • protosphere

    For those that know me for swimming against the tide over the last few years, it was not it was not easy. =) I could have just watched than added my 2 cents without the politics and antagonism.

    I argued the delayed restatement deadlines fluking within 3 days, I threw a fit the spit second triple profits were announced, I reiterated how reverse splits tank stocks, warned of inevitable bankruptcy, maintained MENS would not be sold early, etc., etc., etc., and today I have never been more adamant contrary to these ongoing claims above that Nortel will not emerge from bankruptcy.

    Whether the CEO is relentlessly and unrepentantly hopeful, actually believes what he says, or lies with intent is hard to say. History does his credibility no favors though if I may be so crass.

    As for the good employees, I believe we need to get the good Nortel people who need to work back to work. They are among the best in the world and even Chambers knows this!

    Why don't the employees finance cherry picking parts of the company they know will fly beyond all odds in a bid backed by the EDC!

    All EDC requires formal and researched plan!

    If anyone has any better ideas post them.

    Something terrible happens if we don't think, nothing.

  • danman

    are you suggesting nortel comes out of bankruptcy stronger than ever?

  • Anonymous

    Actually, Mike’s message is pretty clear – dont worry about rumours, keep working hard. Trust me, I’ll tell you just after something happens.

    If he had any credibility or trust with anyone other than his acolytes, it wouldn’t be so embarrassing obtuse. Only someone who is totally engrossed in his own smoke screen and completely out of touch with the organization he’s supposed to be “leading” would actually believe that his so called “communications” have anything other than comedic value.

    Rather like Mr Pitt from several Seinfeld episodes – “We will drive the stock price high!!” (delivered with a Hitler moustache)

  • Another_Nortel_Watcher

    You know, I wrote this trying to be funny yet when I re-read it it is painful to realize how on target the analogy is. How could the BoD not have comprehended how much damage this leadership team was doing? Are they really so incompetent that they couldn't tell that there was no credible strategy in place? Were they so seduced by the pirated buzzword 'hyperconnectivity' that they happily collected their compensation and didn't bother to look under the covers? The story behind the Nortel BoD is a looong way from over. I foresee many lawsuits in the not too distant future.

  • Another_Nortel_Watcher

    Btw, John Manley is the ultimate disgrace amongst the Nortel BoD. He was recently quoted as saying he “didn't sign up for this.” What a coward! What DID he think he was signing up for? A gravy train?

    Imagine if Chesley Sullenberger said “I didn't sign up for this” and bailed out of the US Airways flight over the Hudson River when birds killed the engines. John Manley – and every one of his fellow directors – are a serious disgrace and are responsible for the destruction of a century old company and thousands of careers.

  • Another_Nortel_Watcher

    Oh YAAAAYYY! Another GEnius. That ought to REALLY help Nortel. Those GEniuses already on the payroll have done so much good already! What is her role? To make sure that the other GEniuses hold the stake properly when they pound it through Nortel's heart?

  • Another_Nortel_Watcher

    Mark – you torture me every time you post that face. The damage that man has done to so many careers and so many families makes me feel ill every time I see his picture.

  • Theleftbehind

    see this
    is this a joke? ARE YOU A FAN OF NORTEL?

    http://community.nortel.com/go/blogs/buzzboard/…

  • Got_Out_Years_Ago

    awesome. A total of 44 fans on Facebook. Actually the largest Facebook fan base for NT is the ExNortel page, with about 1300 fans.

    There are 2 Facebook sites for CSCO, with a total of over 17,000 fans.

    Good luck with that

  • Got_Out_Years_Ago
  • NTdown

    Asian black belts became hyperactive since last Nov, they are desperate to show values here and there…. I wonder if NSN or Avaya need these great guys to help “improve” performance through damn LSS.Come on, bb, don't just hide in office, will u guys face customer in person? Z man told us ,we must focus on customers!

    BTW, I feel like throwing up at the Z pic, literally.

  • InTheRoundEye

    “This is not a closing or liquidation. Chapter 11 of the Bankruptcy Code allows a company to reorganize its business affairs so that it can continue to operate. It is a process through which the company can strengthen its balance sheet, create a more efficient expense structure and, we believe, ensure that we are better positioned to compete more effectively. We hope to emerge as a stronger, more competitive company.”

    Nortel 2009? Actually Circuit City 2008.. I just love that last line.

  • InTheRoundEye

    You really have to hand it to Bo for trying!

  • AcrimoniousAl

    “Focusing on the customer” and “Talking to the customer” are Z's favorite euphemisms.

    BTW, in some parts of Nevada it's legal to hire a “consultant” to talk to your customer.

  • stinkyfoot

    Another possibility would be a leak from E&Y since they were involved from last September.

  • Still_waiting

    The substantial cut in pay remark, I was trying to make a statement that engineers are entertaining any type of position to get out of this situation. Actually, a peer engineer found a postion in another state with a pay increase and left the company a couple of weeks ago. Too little compenstion remark is probably because I am still frustrated over the potential 183% KEIP payment the upper management can collect while I am working constantly over 70 hrs plus a week. No one at Nortel deserves a BONUS at this time. According to the market anaysis performed by Nortel, my salary is inline with the rest of market .

  • Still_waiting

    Any remark I make is frustration, plus sick and tired of being sick and tired. Yes, I am also looking at opportunities that interest me that will separate me from this current debacle. I can not control what this management team does but I can control what I do.

  • scalpcutter

    You are dead on with that.
    They still continue to pay reward and glorify useless, bloated, overpaid execs, managers and yes even rank and file too much for too little impact. It is all about who you know and how deeply you are burrowed up somebody.
    The useless keip, kerp and krap awards are totally useless.
    I think DJ needs to post a new video.
    Monty python meaning of life.
    In the restaurant when the big guy is throwing up all over the place. The dialogue between him and the waiter could really be used to the advantage of DJ.
    Think about it.

  • Got_Out

    The Z's message is quite simple
    – dont listen to rumours, I'll tell you what you need to know, when you need to know it
    – keep your head down and work, work, work

    His credibility is entirely based on his track record of action, leadership and communications. Strike one, Strike two, Strike three…….

    Sadly, Im sure that he gets enough “arent you great” from his inner circle of cheerleaders/bootlickers that he doesnt see what's really going on inside the company with his own people. And even more sadly, he doesnt appear to care enough to find out, let alone do anything.

    Given he and the leadership team have generally hidden from the Financial Analyst, Market Analyst and Media communities its not surprising that Nortel (and his) credibility isnt much higher outside the company.

    Regardless of how this goes (smaller company or complete liquidation), his days are numbered. While all will be nauseated by the dollars he'll walk with, what he wont walk away with is what he most wanted – “The Greatest Turnaround in Business History”. Cushioned landing on his wallet, but the ego will hurt for as long as the media and academic communities continue to rehash the final years of what was once a great company as it hit iceberg after iceberg then sank with the captain still calling for more speed. A Harvard Business School Case Study and an “Air Farce” sketch all rolled into one…..

  • NortelGal

    That is obviously an old photo. Mikey isn't smiling quite so much now!

  • danman

    I really do think you suffer from Schizophrenia or another mental disorder. The proof is all in your blogs. Only recently did you write above that you are more than confident Nortel will survive.

    Than you turn around and post that they do not have a chance. Stop flip-flopping and get the story straight in your mind, for your mental health and for the sake of this blog.

    This is what you wrote yesterday in this very blog…
    “and today I have never been more adamant contrary to these ongoing claims above that Nortel will not emerge from bankruptcy.”

    Haha… translation in basic English. Please correct me if I’m wrong smart man…

    “and today I have never been more sure opposed to these ongoing claims above that Nortel will not emerge from bankruptcy”

  • danman

    (PROTOSPHERE) I'm posting this reply at the top of the page above so you have no excuse not to answer.

    I really do think you suffer from Schizophrenia or another mental disorder. The proof is all in your blogs. Only recently did you write above that you are more than confident Nortel will survive.

    Than you turn around and post that they do not have a chance. Stop flip-flopping and get the story straight in your mind, for your mental health and for the sake of this blog.

    This is what you wrote yesterday in this very blog…
    “and today I have never been more adamant contrary to these ongoing claims above that Nortel will not emerge from bankruptcy.”

    Haha… translation in basic English. Please correct me if I’m wrong smart man…

    “and today I have never been more sure opposed to these ongoing claims above that Nortel will not emerge from bankruptcy”

  • danman

    P.S: To all the bloggers out there. Please weigh in on this savage. Tell me what you think.

  • broadbandbill

    Agree, the face of a soul-less person; enough!..–bb

  • Disgruntled_ex_employee

    Ahhhh .. this was hilarious !!! couldnt have put it in a better way

  • TongueInCheek

    It's very simple. Every single thing Nortel does will always be wrong and bad, because Nortel must be destroyed. It's like a cult. He's been like this for more than 4 years. He gets quite emotional about all of this while making tons of attacks and false accusations against people that do not agree with him.

  • Chew_117

    TIC, that might be the case, however, when reviewing past blog statements (including yours), he appear to be more right than wrong…

  • less

    By that measure Mikey and his fans could use some pills, too, I Believe.
    .

  • Nortel watcher

    Chew, I agree with you…the only thing TiC has right is the timeframe of 4 yrs and Proto has been dead-on with his NT analysis

  • Nortel watcher

    Does anyone have an idea of how many director level employees have been let go at NT during the latest 2 rounds of layoffs?
    Folks, this is for the purpose of illustrating that the buddy system in NT is alive and well.

  • http://nortelinsider.wordpress.com/ Desk Jockey

    I agree, TiC tends to dismiss media reports as “speculation” and then ends up with egg on their face:

    “With $2.6 Billion is cash, they can easily afford the interest payment. The bankruptcy statements are pure speculation.” – TongueInCheek, Jan. 12th, two days before BK filing.

  • TongueInCheek

    It's very simple. Every single thing Nortel does will always be wrong and bad, because Nortel must be destroyed. It's like a cult. He's been like this for more than 4 years. He gets quite emotional about all of this while making tons of attacks and false accusations against people that do not agree with him.

  • Chew_117

    TIC, that might be the case, however, when reviewing past blog statements (including yours), he appears to be more right than wrong…

  • less

    By that measure Mikey and his fans could use some pills, too, I Believe.
    .

  • Nortel watcher

    Chew, I agree with you…the only thing TiC has right is the timeframe of 4 yrs and Proto has been dead-on with his NT analysis

  • Nortel watcher

    Does anyone have an idea of how many director level employees have been let go at NT during the latest 2 rounds of layoffs?
    Folks, this is for the purpose of illustrating that the buddy system in NT is alive and well.

  • http://nortelinsider.wordpress.com/ Desk Jockey

    I agree, TiC tends to dismiss media reports as “speculation” and then ends up with egg on their face:

    “With $2.6 Billion is cash, they can easily afford the interest payment. The bankruptcy statements are pure speculation.” – TongueInCheek, Jan. 12th, two days before BK filing.

  • Pingback: Nortel Downfall Part 10 « Nortel Insider - by Desk Jockey

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