Alcatel's cash-flow crisis: Are costs still too high?

12/10/2012 | Bloomberg Businessweek

Analysts say that Alcatel-Lucent's discussions to seek more than $1 billion in loans while putting up lucrative assets as collateral show that the telecom gear-maker's cost structure remains out of line despite massive layoffs. The analysts note that Alcatel's $65,000 of revenue per employee remains 14% lower than those of Nokia Siemens Networks and Ericsson, its top rivals.

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