Nortel Says Carriers Scrimping, Cuts Forecast

Nortel Networks (NT Quote) Wednesday said it is experiencing "significant pressure" as carrier customers cut back capital expenditures further than previously expected and other customers defer new information technology and optical investments.

Nortel also said it intends to explore a divestiture of its metro Ethernet networks business.

The communications-equipment maker said it's seeing additional pressure on revenue from foreign exchange and certain product delivery delays into the fourth quarter from the third quarter. ...