Nortel to discuss bankruptcy protection
CTV Ottawa has learned Nortel's board of directors is scheduled to meet Tuesday night to discuss the struggling company's finances, including the option of seeking bankruptcy protection.
The board meeting is a response to a $100-million interest payment due this week.
Some analysts have said instead of making the payment, Nortel would seek bankruptcy.
For the past five years, Tamas Koplyay -- who teaches high tech management at the University of Quebec -- has predicted Nortel's demise. He says the company's management is indifferent and mediocre.
Now, he says they don't have any real options and he doesn't think the government should bail them out.
Instead, Koplyay says government should be helping the next generation of technology companies, which will scoop up financially-battered Nortel.
However, he predicts the U.S. government will have a say because Nortel's technology is entrenched in a lot of its government operations.
In Ottawa, a huge lab complex was closed in the fall and is now up for rent. Another division is also up for sale.
In Calgary, the 'for sale' sign is posted on a centre that used to employ 400 people.
Koplyay says he thinks the next phase for Nortel will begin in a couple of weeks.
With a report from CTV Ottawa's Paul Brent