Nortel Networks has been granted bankruptcy protection by a Canadian court. The order protects the company from its creditors while it implements a restructuring plan.

Ernst & Young will serve as the court-appointed monitor and will assist the company in formulating its restructuring plan.
The company also obtained an order for Chapter 11 protection in the US.
The company's EMEA subsidiaries have also obtained adminstration orders from the English High Court of Justice.
"I firmly believe these are the right steps toward a solution for our company. This process will enable Nortel to become the highly focused and financially sound communications leader it should be," Mike Zafirovski, CEO and president of Nortel, wrote in a statement.
"Most importantly, Nortel is still very much in business and our commitment to customers remains unwavering. We will continue to invest in leading edge R&D.
"I can assure you we explored every possible alternative, sought a variety of solutions and engaged in extensive consultation with our Board of Directors and many other experts."