6 Days Left To File Lead Plaintiff Papers In Class Action Against Nortel Networks Corp., Pittsburgh Law Office of Alfred G. Yates Jr PC Reminds Investors - NT

Business Wire, May 11, 2004

Business Editors/Legal Writers

PITTSBURGH--(BUSINESS WIRE)--May 11, 2004

A class action lawsuit has been filed by the Law Office of Alfred G. Yates Jr PC in the United States District Court for the Southern District of New York on behalf of purchasers of Nortel Networks Corp. ("Nortel") (NYSE:NT) publicly traded securities during the period between December 23, 2003 and April 27, 2004 (the "Class Period"). Law Office of Alfred G. Yates Jr, P.C. reminds investors that there are now only 6 days left within which to file lead plaintiff papers in this matter, if you are interested in doing so. The lead plaintiff deadline is May 17, 2004.

If you have any questions about how you may be able to recover for your losses, or if you would like to consider serving as one of the lead plaintiffs, you are encouraged to call the firm at either 1-800-391-5164 or 412-391-5164 or contact us by e-mail at yateslaw@aol.com. Any member of the purported class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.

The complaint alleges that during the Class Period, defendants caused Nortel's shares to trade at artificially inflated levels through the issuance of false and misleading financial statements. By posting false Q4 2003 financial results, defendants and the Company's top executives were rewarded with $30 million in bonuses. On March 15, 2004, Nortel delayed filing its annual report and admitted it may have to restate results for a second time in six months while the timing of certain accruals and provisions in 2003 and earlier periods were re-examined. In response to this delay in filing, the price of the Company's shares fell. Defendants knew that as a result of their actions, Nortel's lenders could demand early repayment of $3.6 billion of notes and convertibles bonds. As this leaked out into the market the Company's shares continued to decline. Then on April 28, 2004, the Company fired its CEO, CFO and Controller and disclosed that its previously announced restatement would be worse than earlier planned. In addition, the Company disclosed that its financial results for Q1 2004 would be indefinitely delayed. On this news, Nortel shares plunged to below $4.00 per share. The complaint also demands the executives return their ill-gotten bonuses for 2003.

If you bought the securities of Nortel Networks Corp. between December 23, 2003 and April 27, 2004 and sustained damages, you may, no later than May 17, 2004, request that the Court appoint you as lead plaintiff. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain counsel of your choice to serve as your counsel in this action.