Nortel adjusts restatements

Nortel said it will file first-quarter results in June after determining that revenue restatements for 2005, 2004 and 2003 had to be adjusted. The company said it currently expects an increase in aggregate revenue restatement adjustments of approximately $350 million over the $866 million previously announced. As a result, Nortel said it will delay the filing of its 10-Q report for the first quarter ended March 31, 2006, until June 5. The company said it still expects to file the 2005 Form 10-Ks – the annual report — and the corresponding filings under Canadian securities laws by April 30.

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Avici Systems doubled first-quarter revenue from a year ago and recorded its first profit, before special charges. The beleaguered router maker, which is cutting almost half its workforce and evaluating “strategic alternatives” to increase value, posted gross revenue of $21.4 million for the period ended March 31, 2006. This compares with $10.7 million for the comparable three-month period a year ago, and 6.1 million in the preceding quarter ended Dec. 31, 2005. Excluding special charges, net income and net income per share was $2 million, or 15 cents per share, compared to a net loss of $5.2 million, or 41 cents per share, in the prior year quarter.

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Sprint Nextel has ended litigation with another affiliate by buying them. The carrier announced that it is buying UbiquiTel for $1.3 billion. Colleague Denise Pappalardo reports that Sprint is picking 603,000 new customers in nine states with the acquisition. UbiquiTel is the fifth affiliate Sprint Nextel has acquired since merging with Nextel. The company was part of a group of affiliates in a legal dispute with Sprint over how it would be treated post merger.