Why is NT Still Trading

Just when I had given up all false hopes…….

If you bought two weeks ago, you'd have tripled your investment. While not without risk, there are few things in my portfolio that have done that in a while Of course, its all in the timing

Does anyone think some big news is comming and the stock will fly?

I think the question that should follow this up is, with no shares, to what are the BoD accountable to? (Not to say they ever acted as if they were accountable to anyone) Without shares in play, the BoD is powerless, right? We should be at the point where it is Creditors –> Management. I guess they still could have a BoD, but it would not be in the traditional sense.

E&Y fifth monitor report posted… A few added details regarding Radware purchase (their were 2 other interested parties that ultimately did not bid).

Nortel is insolvent and has been for years now. Any company that lived on a hand to mouth existence for 8 years is or will soon be insolvent once this recession/depression fully takes hold. It will be interesting to see Nortel's fate once the court is ready to announce “the plan”.

Nortel shares will not go to zero and Nortel will not go completely bankrupt; the reason is as follows regarding bankruptcy protection:

“Nortel's affiliates in Asia, including LG Nortel and in the Caribbean and Latin America, as well as its government solutions business are not included in these proceedings.”

Nortel is trying to re-organize the high cost centres. Nortel's business in Asia, Caribbean and Latin America and it's LG partnership are part and parcel of the Nortel share price; they are not mutually exclusive.

Protosphere, what if IBM or Siemens or some other company is actually willing to pay a fair price for Nortel divisions…don't you think the share price should go up?

Nortel has made NO suggestions that the shares will be dissolved; Air Canada suggested that from the start.

Remember, creditors were NOT pounding on Nortel's door…it was voluntary!

Nortel's shares will go to zero beyond any doubt in my opinion.

Either restructured (where they will cancel existing shares) or under chapter 7, …zero either way.

How can you say their bankruptcy was “voluntary” given this would defeat their very eligibility to claim bankruptcy to begin with.

As for Nortel's affiliates, whether they are bankrupt or not is not the issue, Nortel is. Who cares about their affiliates with no substantial returns solvency. I am more interested to see how their “unavailable cash” which is locked up to be used offshore in these JVs might be effected. Are there any performance covenants here protecting their affiliates?

They have not been the most transparent with Flex amendments either. No credibility with endless contradiction aqnd exorbitant pay practices. They can't even pay theior severances and pensions for heavens sakes and you do not think they will not go completely bankrupt, I beg to differ.

As for Nortel Government Solutions, they acquired for $448M U.S., it was pegged at a value less than half that at $200M a few years ago. What do you think it is worth today?

Even if NGS' bankruptcy participation was not relevant to owe enough money for exclusion, they remain an asset that contribute to their books. Hence, an asset of Nortel subject to sale. Correct me if I am wrong here.

And of course transparent Nortel has not made mention they will kill their shares yet like they downplayed bankruptcy. It has not provided any restructuring plan yet, so there may be not even be any heads up unlike Air Canada,

Put it this way, quite simply, with no money how can they possibly survive anywhere, what makes a red cent?!

“t will be interesting to see Nortel's fate once the court is ready to announce “the plan”"

yep. No news yet, andApril 1st tomorrow

They got their 90 day stall /delay approved for “the plan” sake…
Bonuses approved too and more bonuses for an approved plan perk…

Why not approve restructuring with their power and new board member to boot.

This forever eluding plan while unable to sell depreciating assets or even pay severances and pensions now with declining cash and business is their main issue. Unfortunately, the maths laughs its a no go with their debt to cash ratio widening by the day.

They desperately seek survival but lack credibility from numbers to forecasting …and for how long now.

Things are not getting better right to the bankruptcy they downplayed to even worse thereafter.

Who will forgo debt under the gamble of being paid something later in ultimatum. Get practically nothing now or gamble with us for payments or a stake in the smaller death spiral on steroids.

All of their creditors will have to agree on a certain percentage of the dollar to allowing them to continue operating under less burden but I think they are too far gone. Will be interesting to see what the slippery weasels try and pull above the pensions vs. already non-severances waiver to make it happen.

They can't sell profitably for years after burning billions already, how now even smaller and even if they did have credibility in numbers or forecasting, etc…

They sure hire top guns though as all the kings horses and all the kings men have been unable to put this dog back together again…

I doubt they can get out of it…they are waaaaay too far gone … next biggest thing to debt /pensions is severances and offshore cash to juggle trying to convince smaller operations will make anything than prolong this catalyzed death spiral or slow it at best, still losing money… look at Air Canada today, threatening folding yet again.

Maybe this is all an elaborate April Fool's joke?

Unpopular names: Percy, Edsel, Elmer, Nortel.

Oh, and Adolf.