Ouch, poor Nortel! Even with their earnings decline, you have to admire the fact that they are still pumping a lot of money into their R & D. Well, I think this is a good thing anyway.

Nortel Networks’ (Profile, Products, Articles) net income and revenue for the fourth quarter of 2004 both declined compared to a year earlier, but increased compared to the third quarter, the company said Monday.

In 2005, however, the company expects revenue to grow and costs to fall as a result of the company’s restructuring efforts.

Nortel is slowly catching up with its financial reporting, after having to restate results for the whole of 2001 through 2003. It reported results for the first half of 2004 on Feb. 2, and for the third quarter on March 22. It restated the earlier years’ figures in January in response to an investigation of its books by U.S. and Canadian regulators. [Read the rest]