Nortel (News - Alert) Networks Corporation has declared financial results for the first quarter of 2011 prepared in accordance with United States generally accepted accounting principles (GAAP) in U.S. dollars.

The company release says that the newly consolidated results include the results of operations and financial position of Nortel Networks Corporation, its principal operating subsidiary Nortel Networks Limited, and their subsidiaries in the Asia, CALA, and EMEA regions that do not form part of the U.S. or EMEA deconsolidated estates.

The company has declared its revenue as $20 million for the first quarter of 2011 compared to $362 million for the first quarter of 2010, which has decreased to 94.5 percent as a result of the business divestitures and the deconsolidation of the U.S. Subsidiaries.

On the whole, company has reported a net loss in the first quarter of 2011 of $105 million compared to net earnings of $355 million in the first quarter of 2010, where the net loss included interest expense of $79 million, other expense - net of $12 million, partially offset by other operating income of $25 million comprised primarily of billings under transition services agreements and reorganization items of $6 million.

Apart from that, the overall earnings in the first quarter 2010 are said to be $355 million, which included reorganization items of $496 million primarily related to the gain on the divestitures of the Optical Networking and Carrier Ethernet businesses and GSM/GSM-R business, other operating income of $60 million primarily of billings under transition services agreements, and other income - net of $60 million, comprised in part of a currency exchange gain of $44 million and rental income of $13 million.

Nortel recently announced that Guangdong Nortel Telecommunication Equipment ("GDNT"), a Chinese joint venture between Nortel Networks Limited, Nortel China Limited and certain third parties, has completed the sale of substantially all of its assets to Ericsson (News - Alert) Mobile Data Applications Technology Research and Development Guangzhou Company Limited and Ericsson (Guangdong Shunde) Communications Company Limited an aggregate purchase price of approximately US$50 million in cash, subject to certain purchase price adjustments.