Lucent: Bankruptcy rumors 'irresponsible'
A harassed Lucent Technologies Inc. yesterday stated it was not filing for bankruptcy, regardless of rumors it called "baseless and irresponsible."
The company also announced it was restructuring a $425 million loan agreement with TeleCorp PCS Inc. that extends Lucent's time commitment.
"Let me be very clear — our $6.5 billion lines of credit provide the financial resources and the financial flexibility to execute our turnaround plan," said Lucent CFO Deborah Hopkins in a prepared statement. "The rumors that Lucent is filing for bankruptcy are baseless and irresponsible." Hopkins said the broadband software and systems supplier will make a detailed report at its second-quarter end later this month.
Meantime,TeleCorp., AT&T Wireless Group's largest affiliate, reported Wednesday in an SEC filing that Lucent restructured the loan agreement and still will buy the $425 million in junk bonds, but stretch the time over 13 months, instead of at once, Reuters reports.