SINGAPORE, Jan. 14 /PRNewswire-FirstCall/ -- Flextronics (Nasdaq: FLEX)
today provided a business update as a result of Nortel Networks Corporation's
(NYSE/TSX: NT) announced bankruptcy protection filing. Flextronics will
provide more specific financial details associated with today's news on its
previously scheduled third quarter earnings call on Wednesday, January 28,
2009 at 2:00 p.m. PST.
Flextronics has been proactively engaged in executing a risk mitigation
plan with respect to its relationship with Nortel for a period of several
months. In December 2008, Flextronics engaged The Blackstone Group as its
financial advisor to assist with evaluating the Nortel relationship and
planning for any Nortel restructuring strategy. As part of its risk mitigation
plan, Flextronics entered into an amendment to its relationship agreement with
Nortel to address Flextronics's status as a strategic supplier.
"Flextronics has been working to reduce its exposure to Nortel for some
time now. During our November 2008 Analyst and Investor Meeting, I discussed
in detail that Flextronics has organizationally aligned its operating and
capital resources in such a way to mitigate the impact of business changes of
any one customer," said Mike McNamara, Flextronics CEO. "We believe that
Flextronics's strategy of customer and market diversification will continue to
allow us to be in a position to weather economic volatility. We will be
addressing the specific financials related to the Nortel business on our
upcoming earnings call, and I want to emphasize that one of our strengths has
been and continues to be our ability to adjust to market and customer changes
such as those we've realized today."
As a reminder, Flextronics's third quarter conference call will be
available via the internet and may be accessed by logging on to the Company's
Web site at http://www.flextronics.com. A replay of the broadcast will also
be available on the Company's Web site after the call.
About Flextronics
Headquartered in Singapore (Singapore Reg. No. 199002645H), Flextronics is
a leading Electronics Manufacturing Services (EMS) provider focused on
delivering complete design, engineering and manufacturing services to
automotive, computing, consumer digital, industrial, infrastructure, medical
and mobile OEMs. With the acquisition of Solectron, pro forma fiscal year 2008
revenues from continuing operations are more than US$33.6 billion.
Flextronics helps customers design, build, ship, and service electronics
products through a network of facilities in 30 countries on four continents.
This global presence provides design and engineering solutions that are
combined with core electronics manufacturing and logistics services, and
vertically integrated with components technologies, to optimize customer
operations by lowering costs and reducing time to market. For more
information, please visit http://www.flextronics.com.
SOURCE Flextronics