Nortel posts biggest loss since 2001

...AND THEY ALL CAME TUMBLING DOWN

Nortel Networks Corp, North America's largest maker of phone equipment, posted its biggest net loss in seven years and announced plans to cut 1,300 jobs as customers scale back budgets.

The third-quarter loss was $3.4 billion, or $6.85 a share, Toronto-based Nortel said on Monday. That included a $3.2 billion expense to write down the value of deferred tax assets and its Ethernet and enterprise businesses. Nortel also is firing at least four top executives, including its technology chief.