Nortel Networks (fka NRTLQ)

[hawkmd]

postyle, that is not true! The total claims is lower that $13 Billions( and could be much lower at court) and the actual debt with creditors is lower than $ 6.3 Billions. So far Nortel have 3.2 Billions( from previous assets sold) and almost $1 Billion in Cash. Creditors( bondholders, etc) is right now around $6B( $5.5B to be more specific)......

Liabilities subject to compromise $5.6 Billion....
Definition:
Liabilities Subject to Compromise refers to the Debtors' liabilities, in the U.S.A., incurred prior to the commencement of the Chapter 11 Cases. This amount represents the debtors' estimate of known or potential pre-petition claims to be resolved in connection with the Chapter 11 cases. Such claims remain subject to future adjustments. Virtually all of the Corporation's pre-petition debt is in default due to the filing and is included in liabilities subject to compromise. Payment terms for liabilities subject to compromise will be established as part of a plan of reorganization under the Chapter 11 cases.
Latest MOR from COURT:( monthly operating report)
http://www.kccllc.net/documents/0910138/0910138110610000000000002.pdf

2009 BK announcement:

As of Sept. 30, Nortel’s debt amounted to $6.3 billion, including adjustments for operating leases, pension deficits and other items. The company has $1 billion in bonds that come due in 2011. Total liabilities amounted to almost $12 billion, while cash stood at $2.3 billion.

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=a6ghKQiL1apk

EVERYBODY CAN SAY "" AHHH NORTEL OWE ME BLABLABLA) BUT YOU HAVE TO PROVE IT IN COURT!!! but the only thing clear!!!! is that with $5.6 B you pay the creditors....

With that being said: IMO with bid over $5 Billion commons could be in the money big time!! but right now is all speculation....