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<TITLE>Form 8-K</TITLE>
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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<P align="center"><FONT size="2"><B>SECURITIES AND EXCHANGE COMMISSION</B>
</FONT>

<P>
<HR size="1" noshade width="50%">

<P align="center"><FONT size="2"><B>Washington, D.C. 20549</B>
</FONT>

<P align="center"><FONT size="2"><B><U>FORM 8-K</U></B>
</FONT>

<P align="center"><FONT size="2"><B><U>CURRENT REPORT</U></B>
</FONT>

<P align="center"><FONT size="2"><B>Pursuant to Section&nbsp;13 or 15(d) of the<BR>
Securities Exchange Act of 1934</B>
</FONT>

<P align="center"><FONT size="2">Date of Report<BR>
(date of earliest event reported)<BR>
April&nbsp;18, 2002
</FONT>
<P>&nbsp;
<P align="center"><FONT size="3">NORTEL NETWORKS CORPORATION
</FONT>

<P align="center"><HR size="1" noshade width="50%">
<DIV align="center"><FONT size="2">(Exact name of registrant as specified in its charter)</FONT>
</DIV>
<P>&nbsp;
<P>&nbsp;

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        <TD width="30%">&nbsp;</TD>
        <TD width="5%">&nbsp;</TD>
        <TD width="30%">&nbsp;</TD>
        <TD width="5%">&nbsp;</TD>
        <TD width="30%">&nbsp;</TD>
</TR>
<TR valign="bottom">
        <TD align="center"><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2">CANADA</FONT></DIV></TD>
        <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD nowrap align="center"><FONT size="2">001-07260</FONT></TD>
        <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD align="center"><FONT size="2">not applicable</FONT></TD>
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        <TD align="center"><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2"><HR size="1" noshade></FONT></DIV></TD>
        <TD><FONT size="2">&nbsp;</FONT></TD>
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<TR valign="bottom">
        <TD align="center"><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2">(State or other jurisdiction</FONT></DIV></TD>
        <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD align="center"><FONT size="2">(Commission</FONT></TD>
        <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD align="center"><FONT size="2">(IRS Employer</FONT></TD>
</TR>

<TR valign="bottom">
        <TD align="center"><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2">of incorporation)</FONT></DIV></TD>
        <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD align="center"><FONT size="2">File Number)</FONT></TD>
        <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD align="center"><FONT size="2">Identification No.)</FONT></TD>
</TR>
<TR valign="bottom">
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="bottom">
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="bottom">
        <TD colspan="4"><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2">8200 Dixie Road, Suite&nbsp;100, Brampton, Ontario, Canada</FONT></DIV></TD>
        <TD align="center"><FONT size="2">L6T 5P6</FONT></TD>
</TR>

<TR valign="bottom">
        <TD colspan="3"><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2"><HR size="1" noshade></FONT></DIV></TD>
        <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD align="center"><FONT size="2"><HR size="1" noshade></FONT></TD>
</TR>
<TR valign="bottom">
        <TD colspan="4"><DIV style="margin-left:10px; text-indent:-10px"><FONT size="2">(address of principal executive offices)</FONT></DIV></TD>
        <TD align="center"><FONT size="2">(Zip code)</FONT></TD>
</TR>
</TABLE>
</CENTER>
<P><FONT size="2">Registrant&#146;s telephone number, including area code (905)&nbsp;863-0000.
</FONT>
<P align="center"><FONT size="2">&nbsp;</FONT>
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<P align="left"><FONT size="2"><B>Item&nbsp;5.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other Events</B>
</FONT>

<P><FONT size="2">On April&nbsp;18, 2002, the Registrant issued its financial results for the first
quarter of 2002.
</FONT>
<P><FONT size="2">The Registrant stated that revenues from continuing operations were US$2.91
billion for the first quarter of 2002 compared to US$5.75&nbsp;billion in the same
period in 2001. The Registrant incurred an incremental charge of approximately
US$200&nbsp;million (pre-tax) for excess and obsolete inventory, primarily related
to recently completed negotiations with all of the Registrant&#146;s major
suppliers. The Registrant reported a net loss in the first quarter of 2002 of
US$841&nbsp;million, or US$0.26 per common share.
</FONT>
<P><FONT size="2">The Registrant recorded a strong cash balance at the end of the first quarter
of approximately US$3.1&nbsp;billion, which decreased from approximately US$3.5
billion at the end of the fourth quarter of 2001. The decrease primarily
reflected the loss from operations, the cash costs in the quarter associated
with restructuring, and capital spending, which was partially offset by
approximately US$500&nbsp;million from tax recoveries. The cash reserves, combined
with existing committed credit facilities, which are undrawn, provide the
Registrant with approximately US$6.6&nbsp;billion in sources of liquidity.
</FONT>
<P><FONT size="2">The Registrant expects its customers to continue to limit capital expenditures
and, therefore, it is difficult for the Registrant to predict how spending
patterns will unfold in 2002. The Registrant does not expect a significant
downturn or a significant upturn in its revenues for the second quarter
compared to the first quarter of 2002. The Registrant continues to expect
ongoing improvements in its bottom line results as it moves through 2002. The
Registrant stated that, as it does this, it will be working towards a cost
structure, which it expects to be in place by the fourth quarter of 2002, that
would drive break even at quarterly revenues of approximately US$3.5&nbsp;billion
(not including costs related to acquisitions and any special charges or gains).
</FONT>
<P><FONT size="2">At the end of the first quarter of 2002, the Registrant&#146;s workforce numbered
approximately 47,000. Following the completion of remaining reductions,
primarily related to previously announced European work council and joint
venture activities, and anticipated non-core business divestitures, the
Registrant expects to have a workforce of approximately 44,000.
</FONT>
<P><FONT size="2">Certain information is forward-looking and is subject to important risks and
uncertainties. The results or events predicted in these statements may differ
materially from actual results or events. Factors which could cause results or
events to differ from current expectations include, among other things: the
severity and duration of the industry adjustment; the sufficiency of our
restructuring activities, including the potential for higher actual costs to be
incurred in connection with restructuring actions compared to the estimated
costs of such actions; fluctuations in operating results and general industry,
economic and market conditions and growth rates; the ability to recruit and
retain qualified employees; fluctuations in cash flow; the level of outstanding
debt and debt ratings; the ability to meet financial covenants contained in our
credit agreements; the ability to make acquisitions and/or integrate the
operations and technologies of acquired businesses in an effective manner; the
impact of rapid technological and market change; the impact of price and
product competition; international growth and global economic conditions,
particularly in emerging markets and including interest rate and currency
exchange rate fluctuations; the impact of rationalization in the
telecommunications industry; the dependence on new product development; the
uncertainties of the Internet; the impact of the credit risks of our customers
and the impact of increased provision of customer financing and commitments;
stock market volatility; the entrance into an increased number of supply,
turnkey, and outsourcing contracts which contain delivery, installation, and
performance provisions, which, if not met, could result in the payment of
substantial penalties or liquidated damages; the ability to obtain timely,
adequate and reasonably priced component parts from suppliers and internal
manufacturing capacity; the future success of our strategic alliances; and the
adverse resolution of litigation. For additional information with respect to
certain of these and other factors, see the reports filed by the Registrant and
Nortel Networks Limited with the United States Securities and Exchange
Commission. Unless otherwise required by applicable securities laws, the
Registrant and Nortel Networks Limited disclaim any intention or obligation to
update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise.
</FONT>

<P align="center"><FONT size="2">2
</FONT>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<P align="left"><FONT size="2"><B>Item&nbsp;7.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Financial
Statements, <I>Pro Forma</I> Financial Information and Exhibits</B>
</FONT>

<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">(c)</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="96%"><FONT size="2">Exhibits.</FONT></TD>
</TR>
<TR valign="top">
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="top">
        <TD width="1%" align="left" nowrap><FONT size="2">&nbsp;</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="93%"><FONT size="2">None</FONT></TD>
</TR>
</TABLE>
<P align="center"><FONT size="2"><B><U>SIGNATURES</U></B>
</FONT>

<P><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
</FONT>
<CENTER>
<TABLE cellspacing="0" border="0" cellpadding="0" width="65%">
<TR valign="bottom">
        <TD width="50%">&nbsp;</TD>
        <TD width="5%">&nbsp;</TD>
        <TD width="45%">&nbsp;</TD>
</TR>
<TR valign="bottom">
      <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD colspan="2" valign="top"><FONT size="2">NORTEL NETWORKS CORPORATION</FONT></TD>
</TR>
<TR>
<TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR>
<TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="bottom">
      <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD valign="top"><FONT size="2">By:</FONT></TD>
        <TD valign="top"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;/s/ Deborah J. Noble</FONT></TD>
</TR>
<TR valign="bottom">
      <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
        <TD valign="top"><FONT size="2"><HR size="1" noshade></FONT></TD>
</TR>
<TR valign="bottom">
      <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
        <TD valign="top"><FONT size="2">Deborah J. Noble</FONT></TD>
</TR>
<TR valign="bottom">
      <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
        <TD valign="top"><FONT size="2">Corporate Secretary</FONT></TD>
</TR>
<TR>
<TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR>
<TD><FONT size="2">&nbsp;</FONT></TD>
</TR>
<TR valign="bottom">
      <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD valign="top"><FONT size="2">By:</FONT></TD>
        <TD valign="top"><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;/s/ Blair F. Morrison</FONT></TD>
</TR>
<TR valign="bottom">
      <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
        <TD valign="top"><FONT size="2"><HR size="1" noshade></FONT></TD>
</TR>
<TR valign="bottom">
      <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
        <TD valign="top"><FONT size="2">Blair F. Morrison</FONT></TD>
</TR>
<TR valign="bottom">
      <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD valign="top"><FONT size="2">&nbsp;</FONT></TD>
        <TD valign="top"><FONT size="2">Assistant Secretary</FONT></TD>
</TR>
</TABLE>
</CENTER>
<P><FONT size="2">Dated:&nbsp;&nbsp;&nbsp;April&nbsp;22, 2002
</FONT>
<P align="center"><FONT size="2">3
</FONT>
</BODY>
</HTML>
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{"company-data": {"conformed-name": "NORTEL NETWORKS CORP", "cik": "0000072911", "assigned-sic": "3661", "irs-number": "621262580", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "001-07260", "film-number": "02617137"}, "business-address": {"street1": "8200 DIXIE ROAD SUITE 100", "street2": "BRAMPTON", "city": "ONTARIO CANADA", "state": "A6", "zip": "L6T 5P6", "phone": "9058631103"}, "mail-address": {"street1": "8200 DIXIE ROAD", "street2": "SUITE 100 BRAMPTON", "city": "ONTARIO CANADA", "state": "A6", "zip": "L6T 5P6"}, "former-company": [{"former-conformed-name": "NORTHERN TELECOM LTD", "date-changed": "19940831"}, {"former-conformed-name": "NORTHERN ELECTRIC CO LTD", "date-changed": "19760324"}]}
Form 8-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report
(date of earliest event reported)
April 18, 2002
NORTEL NETWORKS CORPORATION
(Exact name of registrant as specified in its charter)
CANADA
001-07260
not applicable
(State or other jurisdiction
(Commission
(IRS Employer
of incorporation)
File Number)
Identification No.)
8200 Dixie Road, Suite 100, Brampton, Ontario, Canada
L6T 5P6
(address of principal executive offices)
(Zip code)
Registrant's telephone number, including area code (905) 863-0000.
Item 5.     Other Events
On April 18, 2002, the Registrant issued its financial results for the first
quarter of 2002.
The Registrant stated that revenues from continuing operations were US$2.91
billion for the first quarter of 2002 compared to US$5.75 billion in the same
period in 2001. The Registrant incurred an incremental charge of approximately
US$200 million (pre-tax) for excess and obsolete inventory, primarily related
to recently completed negotiations with all of the Registrant's major
suppliers. The Registrant reported a net loss in the first quarter of 2002 of
US$841 million, or US$0.26 per common share.
The Registrant recorded a strong cash balance at the end of the first quarter
of approximately US$3.1 billion, which decreased from approximately US$3.5
billion at the end of the fourth quarter of 2001. The decrease primarily
reflected the loss from operations, the cash costs in the quarter associated
with restructuring, and capital spending, which was partially offset by
approximately US$500 million from tax recoveries. The cash reserves, combined
with existing committed credit facilities, which are undrawn, provide the
Registrant with approximately US$6.6 billion in sources of liquidity.
The Registrant expects its customers to continue to limit capital expenditures
and, therefore, it is difficult for the Registrant to predict how spending
patterns will unfold in 2002. The Registrant does not expect a significant
downturn or a significant upturn in its revenues for the second quarter
compared to the first quarter of 2002. The Registrant continues to expect
ongoing improvements in its bottom line results as it moves through 2002. The
Registrant stated that, as it does this, it will be working towards a cost
structure, which it expects to be in place by the fourth quarter of 2002, that
would drive break even at quarterly revenues of approximately US$3.5 billion
(not including costs related to acquisitions and any special charges or gains).
At the end of the first quarter of 2002, the Registrant's workforce numbered
approximately 47,000. Following the completion of remaining reductions,
primarily related to previously announced European work council and joint
venture activities, and anticipated non-core business divestitures, the
Registrant expects to have a workforce of approximately 44,000.
Certain information is forward-looking and is subject to important risks and
uncertainties. The results or events predicted in these statements may differ
materially from actual results or events. Factors which could cause results or
events to differ from current expectations include, among other things: the
severity and duration of the industry adjustment; the sufficiency of our
restructuring activities, including the potential for higher actual costs to be
incurred in connection with restructuring actions compared to the estimated
costs of such actions; fluctuations in operating results and general industry,
economic and market conditions and growth rates; the ability to recruit and
retain qualified employees; fluctuations in cash flow; the level of outstanding
debt and debt ratings; the ability to meet financial covenants contained in our
credit agreements; the ability to make acquisitions and/or integrate the
operations and technologies of acquired businesses in an effective manner; the
impact of rapid technological and market change; the impact of price and
product competition; international growth and global economic conditions,
particularly in emerging markets and including interest rate and currency
exchange rate fluctuations; the impact of rationalization in the
telecommunications industry; the dependence on new product development; the
uncertainties of the Internet; the impact of the credit risks of our customers
and the impact of increased provision of customer financing and commitments;
stock market volatility; the entrance into an increased number of supply,
turnkey, and outsourcing contracts which contain delivery, installation, and
performance provisions, which, if not met, could result in the payment of
substantial penalties or liquidated damages; the ability to obtain timely,
adequate and reasonably priced component parts from suppliers and internal
manufacturing capacity; the future success of our strategic alliances; and the
adverse resolution of litigation. For additional information with respect to
certain of these and other factors, see the reports filed by the Registrant and
Nortel Networks Limited with the United States Securities and Exchange
Commission. Unless otherwise required by applicable securities laws, the
Registrant and Nortel Networks Limited disclaim any intention or obligation to
update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise.
2
Item 7.     Financial
Statements,
Pro Forma
Financial Information and Exhibits
(c)
Exhibits.
None
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
NORTEL NETWORKS CORPORATION
By:
/s/ Deborah J. Noble
Deborah J. Noble
Corporate Secretary
By:
/s/ Blair F. Morrison
Blair F. Morrison
Assistant Secretary
Dated:   April 22, 2002
3