Bookham Comments on Nortel Bankruptcy Protection Announcement
(Nasdaq: BKHM), a leading provider of optical components, modules and
subsystems, today commented on Nortel Networks Corporation’s (NYSE/TSX: NT)
(“Nortel”) recently announced bankruptcy protection filing.
On
bankruptcy reorganization laws of their respective countries. Nortel further
announced that the filings will not disrupt its on-going business operations.
Nortel also announced that it has entered into an amendment to arrangements
with its key supplier, Flextronics, and that these amendments give Nortel
confidence that Flextronics will continue to maintain the supply chain
following commencement of these proceedings.
Nortel, directly and through Flextronics, is a key customer of Bookham and
important to its success and growth. On
Bookham that business would continue on ordinary terms during the course of
the bankruptcy proceeding. Bookham expects to sell product to Nortel and to
be paid for future shipments on an on-going basis throughout the course of the
bankruptcy and to maintain its relationship as a key supplier to Nortel.
Bookham is pleased that Nortel has addressed its contract with Flextronics
at the very first stage of its bankruptcy to ensure the viability of this
important component of the Nortel supply chain and the relationship with
Bookham. Bookham has approximately
Nortel as of
these amounts consistent with the applicable bankruptcy laws.
About Bookham
Bookham, Inc. is a leading provider of high performance optical products,
spanning from components to advanced subsystems. The company designs and
manufactures a broad range of solutions tailored for the telecommunications
optical infrastructure and other selected markets, including industrial, life
sciences, semiconductor, and scientific. The Company utilizes proprietary
core technologies and a vertically integrated manufacturing organization to
provide its customers with cost-effective and innovative devices, as well as
flexible, scalable product delivery. Bookham is a global company,
headquartered in
facilities in the U.K. and
Bookham and all other Bookham, Inc. product names and slogans are
trademarks or registered trademarks of Bookham, Inc. in the
countries.
Safe Harbor Statement
Any statements in this announcement about the future expectations, plans
or prospects of Bookham, including statements containing the words “believe,”
“plan,” “anticipate,” “expect,” “estimate,” “will,” “should,” “ongoing,” and
similar expressions and references including future revenue and expectations
regarding future business with Nortel or its key suppliers constitute forward-
looking statements within the meaning of The Private Securities Litigation
Reform Act of 1995. There are a number of important factors that could cause
actual results or events to differ materially from those indicated by such
forward-looking statements, including the impact of continued uncertainty in
world financial markets and the resulting reduction in demand for our
products, continued business and sales to Nortel, receipt of payments from
Nortel under existing agreements and during the pendency of the bankruptcy,
decisions by the bankruptcy court, the lack of availability of credit as well
as the factors described in Bookham’s most recent annual report on Form 10-K
and most recent quarterly reports on Form 10-Q. These include continued
demand for optical components, changes in inventory and product mix, no
further degradation in the exchange rate of
to U.K.,
Company to maintain requisite financial resources. The forward-looking
statements included in this announcement represent Bookham’s view as of the
date of this release. Bookham anticipates that subsequent events and
developments may cause Bookham’s views to change. However, Bookham disclaims
any intention or obligation to update any forward-looking statements as a
result of developments occurring after the date of this release. Those
forward-looking statements should not be relied upon as representing Bookham’s
views as of any date subsequent to the date of this announcement.
SOURCE Bookham, Inc.