Saturday, October 25th8.6°C
23888
23372

Ontario judge OKs up to $122.66 million for creditors of Nortel's EMEA unit

TORONTO - An Ontario judge overseeing the Canadian portion of the Nortel Networks bankruptcy has approved a settlement on one of the side issues that involves creditors of an international division of the defunct telecom equipment giant.

The agreement, which includes a number of conditional provisions, would see up to $122.66 million allocated for creditors of the former Nortel operations based in Europe, the Middle East and Africa, collectively known as the EMEA unit.

Nortel Networks UK, the main entity within the EMEA group, would be allowed a claim of at least $97.66 million against the assets of Nortel Network Ltd., the Canadian arm of the multinational company. The amount would increase by a further $25 million if complicating issues in France are resolved as outlined by the agreement.

Lawyers for the various parties said last week that they'd reached a settlement, but it required approval from the Ontario court.

The EMEA settlement also provides for various legal entities within the former Nortel organization to drop their claims against each other but leaves open the question of claims on behalf of Nortel's U.K. pension funds, another of the side issues that has complicated the final windup of what was once Canada's biggest technology company.

The settlement, reached after more than three years of negotiations and legal manoeuvres, does not resolve the larger challenge that will determine how to divide US$7.3 billion from the sale of certain parts of Nortel after it sought court protection in several countries in January 2009.

At its height from 1999 to 2000, Nortel was worth nearly $300 billion and employed more than 90,000 people globally.

The Canadian Press


Read more Business News

23630


Recent Trending




Today's Market
S&P TSX14543.82+56.99
S&P CDNX805.45-3.15
DJIA16805.41127.51
Nasdaq4483.715+30.923
S&P 5001964.58+13.76
CDN Dollar0.8901-0.0003
Gold1231.20+2.10
Oil81.02-0.73
Lumber336.40+6.80
Natural Gas3.631+0.009

 
Okanagan Companies
Pacific Safety0.105-0.005
Knighthawk0.01-0.005
QHR Technologies Inc1.15-0.02
Cantex0.07+0.015
Anavex Life Sciences0.194-0.004
Metalex Ventures0.045+0.005
Russel Metals33.39+0.23
Copper Mountain Mining2.03-0.05
Colorado Resources0.145+0.005
ReliaBrand Inc0.012-0.001
Sunrise Resources Ltd0.05-0.01
Mission Ready Services0.445+0.035

 



23825

FEATURED Property
1876300734 Kuipers Crescent, Kelowna, BC
5 bedrooms 6 baths
$1,650,000
more details
image2image2image2
Click here to feature your property
Please wait... loading


What I learned in China

Photo: ContributedI will never be an expert on China. It is just too big, too complex and too old with layers of history and meaning that would take several lifetimes to unravel. As I said to my hosts...


We can get on together

I was in LA this week. I witnessed such crazy and unusual circumstances as I strolled along Hollywood Blvd and Sunset Blvd. A far cry from sleepy Peachland in the Okanagan! The strange thing was, I f...


Weakening global growth worries

The Big Picture Growth worries persist Worries about weakening global growth and its potential impact on the US economic recovery roiled markets around the globe this week. Europe continues to be the ...

_








Member of BC Press Council


23691