1/19/2009 11:05:00 AM
Nortel UK goes into administration
arm of telecoms equipment manufacturer Nortel is the latest company to go into administration.
The news comes after its parent firm filed for US
bankruptcy protection on 14 January, as economic conditions continued to batter
the already struggling business.
Nortel Networks UK, which is based in Maidenhead, has
appointed Ernst & Young as its administrators. The company employs 2,000
people in the UK
but the administration order will also apply to the company’s operations in 16
other EU companies.
All the company’s businesses – which employ around
30,000 people worldwide – will operate normally while a restructuring plan is completed.
Under US Chapter 11 bankruptcy protection law, a
company can keep trading while it aims to sort out its finances.