The Five Dumbest Things on Wall Street This Week

4. Wall Street Takes Offense

The clock is ticking at Lucent (LU Quote).

The Murray Hill, N.J., telecom-gear company and Paris-based partner Alcatel (ALA Quote) said Thursday their shareholders "overwhelmingly" approved their $10.8 billion stock-swap merger. The deal, which was unveiled April 2, is expected to close by year-end.

Lucent and Alcatel have portrayed the agreement as creating a more competitive company through expanded product offerings and thousands of firings.

"As we have said from the start, the primary driver of this combination is to create long-term value for shareowners, customers, and employees," said Lucent CEO Patricia Russo, who will head the combined Alcatel Lucent. "We are another step closer to creating the first truly global communications solutions provider with the broadest wireless, wireline and services portfolio in the industry."

No one could possibly oppose that. Still, Lucent shares are down 26% and Alcatel down 22% since the deal was hatched. It's with that in mind that Alcatel chief Serge Tchuruk's words seem so well chosen.

"This significant transaction is about creating the world leader in our industry," Tchuruk said. "This offensive strategy ... aims to increase Alcatel's value for its shareholders and to provide its customers with the broadest portfolio and to give its employees great opportunities."

The strategy has certainly been offensive to shareholders so far.

Dumb-o-Meter score: 85. "I'm delighted that Alcatel's shareholders have approved our strategic merger with Lucent Technologies, and I thank them for their trust," Tchuruk proclaims.