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Re: Troubled Sunday Morning Thoughts About Nortel
by
Anonymous
Regarding the statement that SG&A and R&D bothed climbed from Q2, 2004, that's incorrect. SG&A was $37M higher than one year ago, while R&D was $14M LOWER ($479M this year, vs. $493 last). The combined total for both was higher, but if that's what you meant to say, it's not clear.
As to your scrutiny of the $58M in other income, I don't think that this is something only found in the 10-Q, as the Nortel earnings press release clearly states the following:
"Other income -- net was $58 million income for the second quarter of 2005, which primarily related to the gain on the sale of an investment of $21 million, the gain on a contract settlement of $17 million and interest income of $15 million."
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