An investigation on behalf of certain investors in Nortel Networks Corporation (USA) (OTC: NRTLQ) over possible violations of Federal Securities Laws by Nortel Networks Corporation announced.

According to the investigation by a law firm the investigation focuses on the circumstances surrounding investment losses shareholders of Nortel Networks Corporation may have suffered and, among other things, whether Nortel Networks Corporation violated the Securities Exchange Act of 1934. Nortel Networks Corporation supplies end-to-end networking products and solutions that help organizations enhance and simplify communications. Nortel Networks Corporation is located in Toronto, Canada and had $10.948billion in total revenue in 2007 and $10.421billion in total revenue in 2008. Nortel Networks Corporation filed for bankruptcy in January 2009 after losing $5.8 billion last year as phone companies curbed spending to cope with the slowing economy. Nortel Networks Corporation has struggled with slumping sales as phone carriers. Other customers switched from Nortel Networks older technology, seeking faster products from rivals such as Cisco Systems Inc. Chief Executive Officer Mike Zafirovski said in an interview that Nortel Networks Corp. is weighing whether to sell some units with speed but not haste. It is also expected that Nortel Networks Corporation at least will fire 5,000 workers (15 percent of the staff). Nortel Networks Corporations stock has dropped 97 percent in the past year. Shares of Nortel Networks Corporation (USA) (OTC: NRTLQ) closed on Friday, May 17, 2009, at $0.192 per share from as low as $0.07 per share recently.