Nortel In Settlement Talks Over Class-Action Suits

Law360, New York (October 7, 2005, 12:00 AM EDT) -- Canadian telecommunications gear maker Nortel Networks Corp. is in talks to settle two securities fraud class-action lawsuits, the company said Friday.

The company, hit with more than 25 lawsuits following an accounting scandal, said the U.S. District Court for the Southern District of New York had appointed a judge to mediate the talks.

The negotiations will be confidential, nonbinding and without prejudice to Nortel’s and shareholders’ positions in the litigation. Any agreement would be subject to court approval, Nortel said.

Nortel revised its fiscal-year guidance in...
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