Four More Days for Optical Bids

ciena stock goes up since bid delayed. it only gives a sense of the market thinking its a bad deal for ciena.

Shares have gone up only if Ciena wins at current bid or if they walk away empty handed. Since nothing has happened yet and there has been a delay a suggestion is they are only bidder.
This could be true or false. Truth to be know soon.
Shares go down if bidding war and they are not the only bidder.
So translation means market thinks it is a bad deal for Ciena UNLESS they succeed with their current bid or are outbid. Bad deal if they win a bidding war should their be one based on size and worth of Ciena.
Second translation means current Ciena bid is a steal.

Apparently, Ciena share holders are happy with the auction delay.

http://finance.yahoo.com/news/Ciena-shares-clim...

Ciena must be lol and prepare for drop the bid

is the 8600 part of the deal or only optical?

The 8600 goes with Enterprise.

yes but they cloned it for metro then canned it and sent it back. it was called ERS and MERS if I remember.

No comments! As I said before, let's auction goes! Stop the speculation and pain for employees.

If I were Ciena and the bidding period were extended beyond the original date, I would reduce my bid incrementally for every day past the deadline.

A puzzling result. MEN has some serious traction all over the world. Wonder if this reflects hidden problems? Suggests a possibility there are some super-secret liabilities dragging the sale price down... Like negative profit margins on existing contracts? (I had thought they were ok for margin in MEN, even in Asia). Huge warehouses of dead inventory? They had long term issues with that in MEN over past years with suppliers like Flex sending back truckloads.... A sad & surprising outcome for MEN, a surprise for the division that so often quoted it's market leadership

MEN is an ice-burg: an attractive shiny tip with a huge potential to sink any buyer.

does not sound as exciting either when you see what is going on at the consumer side or enterprise.

"MEN has some serious traction all over the world"
------------
??????

MEN is #1 in the business of replacing its own 10Gbps links... wow !

Vz dumped the OME. BT has cancelled its contract. Even the little cousin Bell Canada wants another player in their network.

While I haven't seen the numbers, I suspect a good chunk of the current revenue stream comes from renewing support contract: MEN is making them quite attractive with a huge discount if a customer signs for 3 years... Short term bottom line is going to "look" good but it will also create a problem for the future owner who will be stuck with them for the next years with no significant revenues.

Agreed a couple of wins here and there but to hint MEN is booming with business is wishful thinking at best.

oh come on 40 customers for 40G and they had 30 customers for PBT with lots of business which they exited. did not want all that revenue or profit eh!

MEN was always very complicated to manage. To many products, that went through to many changes that created huge inventory and eventually ending being junked. ''Business made simple'' was like other Nortel's motto: just a wish !

any news on when CVAS will be auctoned?

The deal on CVAS is bad, if it was good then it would be consumated long time ago.

The only two parties interested are at best described as minor players in telecoms, much smaller than CVAS.

One telling fact about Nortel is that despite its LOBs being sold off , they each continue to operate in the same slow, complex over staffed way they did even before Ch11. This just goes to show the delusions of grandeur in which the leaders live compared to the people at the front line, this is especially true in CVAS. Someone needs to tell the emperor he has no clothes

not worth a deal. mostly old product so this with GSM are the ugliest horses in the stable. well thought GSM was the ugliest but even they are close to a deal.

Genband & Sonus? that much is no secret.

both do not have money.

I think you have no clue what you are talking about. Think before writing anything.

Well why dont you enlighten us?

Just wait and see and you will find out.

Oh come on... seriously. Wait and see what?? Do you still believe them when they spin that line?
Yeah I can still hear them, all the rumours about how this or that big corp is coming with money soon (e.g: Nokia was a fave rumour lately), and I'll bet you're hearing "yeah we're making a profit here in our unit/lob/country/product/org, it's just everyone else that drags us down".
With respect, IF there were any decent & genuine offers for either CVAS, or expecially MEN at the very point of it's auction being over, you would have heard of them by now.
Best of luck, sincerly, and I hope the "wait and see" rumours you're obviously hearing are true. But in every instance to date, they've proven... exaggerated at best.

so the empire will still be controlled from montreal. sigh! when will CEO Smith from Ciena wakeup. he does not have a good rating himself.

Ciena, Avaya and E\\\ will be bitch-slapping the competition in no time, eh, Cisco, and true insiders will know and acknowledge that its solely Nortel's leadership's doing

Well, it seems that Nortel is still following
>This is the Way
as it's just not
>business made simple anymore.

I could throw in a notepad from one of those expensive conferences they held.

Given Ciena just got regulatory approvals a couple of days ago for this pending transaction, would other interested parties need to do the same?

what other interested parties?

that's the point, there are no other interested parties.

It tells you how crappy the division is and it always was. Nortel’s saga started in the end of 90s with over-investing in the optical. The division never made a penny and dragged the rest of the company down to chapter 11.

Bingo!

I hear you man... I remember when they bought that company for 2B who did not even have a product yet... Xros or something?

I bid two "This is the way, this is Nortel" luggage tags, a "Business Made Simple" coffee cup, a "What do you wan the Internet to be?" toilet seat, and a "Vision 2000" T shirt. Oh, and 5 Canadian cents. But I don't want any of the Nortel execs.

I have toilet paper with a handmade nortel sign. free. the amazing experience of wiping the behind and flushing is guaranteed. already tossed out all the nortel junk. the shirts lost color, shrunk and the cheap mugs were too cheap to keep as the handles would break off.

One out of three "hyperconnectivities" is all you got there... 30%.

I'll raise that by one yellow, lightbulb-shaped Nortel stress ball (with the thread ripped off; no matter, it uses less electricity that way, eh, CISCO, wink, wink).

I'll add a "Wings of Light" binder, an "Own it" truss, and a "Lean Six Sigma" baloney slicer.

Shoot. I taje it back. I thought i was bidding on the Nortel guitars made for Wildflower! Festival

HOW can this still be called Chapter 11? HOW!?

HOW can this still be called Chapter 11? HOW!?
----
re
As I remember Nov 16 supposed to be the last day for ch11
Does it mean Nortel got an extension till Nov 20?
I don't get it...

Yes they did, I think for six months....need to get another bonus for the ELT. Prior to leaving I asked the PR lady in Richardson how long requests like this would be filed...she did not hesitate to say "indefinitely".

Duncan Stewart gave an example a while ago about how a company can operate for a very long time under bankruptcy protection.

I do not think Nortel has this luxury under the pressure of its creditors and courts as it liquidates depreciating units as quickly as they can to maximize value for their big business creditors.

Nor tell can't keep paying overhead and suppliers until they eventually run out of money totally. Protection allowed them to stop paying severances, interest on debt, and endless other debts while now paying legal fees, bonuses, insurance, etc., first and before all others. It is a amazing what they can get away with under protection.

The four day extension is Nortellese for maximizing value.

It also coincides with 4 lettered words, $4 billion printed in Nortel paper, 4 years. for cause... argh...

I saw a guy on the 75 Access Road in Dallas with a sign saying "Going out of Business Sale at Nortel MEN, Extended 4 days!" It looked like Phil Morin, but I could be wrong.

did the reverse of the sign say "I need a job. Will do anything"

What can we expect from Nortel(the most complicated company in the world) ? Yep, another delay. Delay and Nortel are synonym.

Yup only one bidder...Ciena

So now the creditors are trying to get another bidder in to raise more "value"

Strange that most MEN managers like the Ciena's deal, while most MEN employees don't and hope for a bigger fish to take it. Funny how things from the inside are quite different from the info that is out there.

well because Ciena committed to signing long term leases, keep the Ottawa and Montreal locations, keep all the people. Life just continues on especially for managers who will isolate the team as much to maintain their power.

Yeah, well the only hiccup is that Nortel's management should have nothing to say in the transaction. They screwed up : shareholders, debtors, retirees and a big chunk of fired employees with no allowance. So only what is good for the mentioned above should prevail now !

Hank, you surprised me again

I would think there is more to it than creditors simply "trying".
One would think there is at least one party beyond Ciena who will at least bid.
I guess we will find out Tuesday.
It is possible Ciena is the only interested party and it is possible they may not be.
Too early to say.
Why would MEN managers like the deal.
I would think they're done since management would be the overlap and for
such a low bid they'll get rid of large salaries first.
Maybe the MEN managers are just walking around saying that because they
were told to put on a happy face and say happy things.
You know like Happy Gilmour.

I think MatPat and/or Save Nortel Group should be interested in bidding.