Zhone Takes Top Turkey Award
Zhone Technologies Inc. has captured the top slot in Light Reading's Turkey Awards, a list of the telecom industry's biggest howlers in the past year, given on Thanksgiving Day in the United States.
Zhone was named No. 1 Turkey for its reverse merger with Tellium Inc. (Nasdaq: TELM). As Light Reading's award nomination notes, both Zhone and Tellium have been remarkably adept at losing money, and their reverse merger has raised questions about missing cash (lots of it).
By coincidence, Zhone issued a press release late yesterday that gives some clues to where some of Tellium's cash has gone -- towards paying off loans, tax bills, and other expenses of Tellium's former execs, totaling more than $37 million (see Zhone Forgives Exec Loans, Exec Payoffs Dog Zhone/Tellium Merger and 2002 Top Ten: Fat Cats).
Other Top Ten Turkeys in Light Reading's list include:
— The Editors, Light Reading