Notice of Declaration of Dividend - 11 July 2019

Nortel Networks UK Limited (In Administration) (“the Company”)
Company number: 3937799
Registered address: Unit 120, 400 Thames Valley Park Drive, Thames Valley Park, Reading, Berkshire, RG6 1PT, UK

Pursuant to rule 14.34 of the Rules, NOTICE IS HEREBY GIVEN that a dividend to non-preferential creditors of 2.6p in the pound has been declared in the administration of the Company.

In accordance with the provisions of Rule 14.35 of the Rules, I report that:-

• The amount received from the realisation of assets, for the period from the date of administration to 14 June 2019, totalled £1,940,778,986, made up as per the attached receipts and payments accounts for the Company and its Saudi Arabian branch;
• Payments in the administration, for the period from the date of administration to 14 June 2019, totalled £1,870,271,721, made up as per the attached receipts and payments accounts;
• A provision of £20,150,000 has been made for potential administration expense claims, a provision of £16,000,000 has been made for meeting the potential costs to closure, a provision of £15,149,882 has been made in respect of unsecured creditors and a reserve of £98,251 reflecting funds held on trust by the Company in respect of unclaimed dividends owed to creditors of certain EMEA Nortel group subsidiaries;
• The total amount to be paid to non-preferential creditors in this distribution is £59,023,826.93, reflecting a fourth interim dividend of 2.6p in the pound on admitted claims and catch-up dividends with a cumulative total of 42.4p in the pound (in respect of the first, second and third interim dividends) for claims admitted since the date of the third dividend;
• I anticipate that a fifth and final dividend will be made to unsecured creditors during the course of 2020. It is not possible at this juncture to provide an indication of the anticipated p in the £ of this fifth and final distribution; and
• The prescribed part (in accordance with s.176A of the Insolvency Act 1986) does not apply in this case.

For further information please email us at nortelemea@uk.ey.com or call +44 (0)118 328 2523. Each creditor who will be receiving a dividend will also be receiving a formal letter in the post with further details.

Please click here for the Receipts and Payments accounts »

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