Nortel in U.S. Loses $6M in One Month

Nortel Networks Inc., the U.S. subsidiary of Canada-based Nortel Networks Corp. (NT), lost $6 million between April 1 and May 2, according to a document filed late last week at the Securities and Exchange Commission.

Revenue totaled $250 million.

The losses are hefty for a single month and buoy speculation that Nortel will have a hard time emerging from bankruptcy in one piece. Of course, those losses follow a months-long trend, too, and don’t come as a surprise.

To wit, between March 1 and March 31, Nortel in the United States lost $3.99 million on $477 million in sales. From Jan. 14 to Feb. 28, the U.S. division reported $318 million in revenue, and $103 million in losses.

Federal bankruptcy courts have required Nortel to submit a monthly operating report since the company became insolvent on Jan. 14.

Nortel’s latest monthly operating numbers were published at the SEC on June 1, one day after news broke that several former Nortel executives want to bid on Nortel, keep the corporation in one piece, and fire CEO Mike Zafirovski.

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