Comments on: Nortel earnings tank with worsening economy

Telecom equipment maker Nortel Networks announces its biggest quarterly loss in seven years as the company struggles to survive the economic downturn.

[Cheese McBeese]

The economy is a factor for just about all businesses right now but let's not allow that excuse to mask real failure. Nortel was in serious trouble long before the economy started tanking. The real issue with Nortel is a portfolio in decline, no clear or credible growth strategy, and weak leadership at the top. There is nobody left there who really understands the market that Nortel plays in.

Another example is Circuit City. This company was also in trouble long before the economy tanked, also primarily due to weak leadership at the top.

Let's not allow such visible failure to be softened by including these companies in the collection of victims of the current economic crisis. Nortel and Circuit City did it to themselves.

[i8ak9]

Nortel's problem can be traced back to 2001 when they laid off their experienced staff. They went with "young blood" and got rid of the "dead wood". They have been suffering that decision since.

[robd11]

For a company bleeding like they are they still have waaaaaaaaaaaay too many employees with jobs that make you go "what exactly does this person do?" Yeah, they generate lots of spreadsheets but how do they contribute to revenue and/or profit? Fire, the RIGHT people, not the folks designing and selling.

[skorteus]

couldn't have said it better, socialism works when the commodity your workers produce is in high demand, but becomes a ball and chain when trying to survive.