Judges approve Nortel settlement

US judges have approved a proposed US$2.45bn settlement between Nortel Networks and shareholders

  • E-Mail
By  Administrator Published  December 29, 2006

US judges have approved a proposed US$2.45bn settlement between Nortel Networks and shareholders. The settlement, which still has to be approval by various Canadian courts, relates to class action lawsuits stemming from the telecommunications equipment maker’s long-running accounting scandal. Under the terms of the settlement, Nortel will pay US$575million in cash and issue shares worth approximately US$1.64 billion, based on current stock value. In addition, Nortel's insurers will pay US$228.5million, while the settlement also includes half of any money that the company recovers from its own lawsuits against former CEO Frank Dunn and other senior officers.

Add a Comment

Your display name This field is mandatory

Your e-mail address This field is mandatory (Your e-mail address won't be published)

Security code