Nortel Wields Ax Again

A Nortel representative didn't return a call seeking comment.

Though Nortel offered little by way of outlook for the business, it was clear from the estimated limited preliminary numbers for previous quarters that its conventional wireline gear business and sales of communications equipment to companies continue to be weak. Meanwhile, the wireless infrastructure operation is looking more solid.

The company says it will complete its audit for the prior three years and file restated financials by the end of September.

Levy says the company is not out of the woods and is likely to be the subject of many more negative headlines related to shareholder lawsuits and legal battles. He adds that the preliminary report Thursday "helps us understand the underlying profitability better, but not completely."

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