re: Nortel Fires CEO Does capitalism just not work? Just like communism turned out to be riddled with corruption has capitalism fallen the same way.
Or is there something uglier afoot? Organized crime. The mob. La cosa nostra or whatever it calls itself these days. It seems like a racket they would love to be in on. Ebbers, Dunn, Lay where did all these greedy bastards come from and why at the same time? Not just the bubble.
The BOD is ultimately responsible for allowing this to happen, even if they were not part of the conspiracy. If I were Owens, I would ask every single director to submit his or her resignation. I would announce the entire board is going to be replaced over some period of time, say three to six months. Or I would not take the job.
Good luck to the good people working there, at the mercy of wholesale management rot from the board all the way down.
CA needs a RICO statute and a real attorney general instead of a hoser.
re: Nortel Fires CEOIf you look at ther earnings Frank and his crew have financially made out like "bandits". I hope someone is working on getting the bonuses back, I suspect that a Huge law suit is going to come that will impact NORTEL for a logn time.
Sad for honest Nortel employees that their leaders bring shame on one of the world class telecom leaders.
re: Nortel Fires CEO"Verizon, Qwest, Sprint...)" are the last corporations on earth to call NT on ethical issues.
The only thing they care about is getting their hardware on time, working and at the price they agreed to. What NT management does is not any of their business, and should not be.
What and how corporate management conducts business is a matter for the citizens of CA, and they should be the ones to set ethical standards of conduct, accounting rules and requirements, etc. And transgressions of those laws should have consequences at least as severe and swift as smoking a joint. But that is presently not the case, and we all know it.
re: Nortel Fires CEOWill this affect current contracts/deals with large NT customers worldwide?
Given the corporate corruption at Enron, Halburton, Worldcomm ewtc..etc..I would guess that SP's purchasing $Billion networks would have new modern contract clauses that state something like:
"If you (NT, LU, ALA, CSCO...) mess with ethics and the law, then we (Verizon, Qwest, Sprint...) can cancel our contracts at any point..."
Why do you think there will be layoffs? The cash and credit situation seems to be the same. These developments have not affected product development or customer sales. I do not see any need for any rash actions either by Nortel or by potentail customers.
It looks to me as if the situation is confined to the upper management ranks. The Nortel board has changed the situation there. I would guess that law suits from both sides will occur but that will not affect the general situation at Nortel.
re: Nortel Fires CEOThere will be layoffs, but for the wrong reasons.
Despite the positive cash reserves, employee belt tightening measures and increased sales, Nortel will be most certainly announcing layoffs soon !
What happens they you announce layoffs ? --> Stock price goes up, on the false premise that the house is being cleaned and finances are being straightened out (less salaries to pay out). Who gains the most when stock prices go up ? --> All the upper levels of management at Nortel who hold most of the stock and stock options.
re: Nortel Fires CEOMy simplistic mind says that the fired financial executives including FD have conjured up a recovery when there was none. The difference to reality was deemed enough for the harsh wording of the firing. The same difference will be deemed harsh enough for another wave of layoffs. FYI, I was laid off in a previous wave ... T
re: Nortel Fires CEO"The Nortel board has changed the situation there. "
I believe that some members of the BOD should get the boot, in particular the Chairman who put Dunn in the CEO seat in the first place and the committee which approved those special bonuses based on "unaudited" results.
re: Nortel Fires CEOSo isn't having promoting the CFO who presided over the first round of scandals to run the company as CEO just the same thing as having the fox guard the henhouse? Why'd they make Dunn CEO back then? Didn't they know any better?
You know who should get shot: Nortel's Board. They are as much to blame as anyone. When are they gonna stop passing the buck up there?
Does capitalism just not work? Just like
communism turned out to be riddled with
corruption has capitalism fallen the same way.
Or is there something uglier afoot? Organized
crime. The mob. La cosa nostra or whatever it
calls itself these days. It seems like a racket
they would love to be in on. Ebbers, Dunn, Lay
where did all these greedy bastards come from and
why at the same time? Not just the bubble.