Nortel Loses Two Key ExecsNortel Loses Two Key Execs

LONDON — Just as it was starting to recover from a year of financial turmoil, Nortel Networks has lost its second in command. Gary Daichendt, president and chief operating officer of the communications equipment maker is leaving with immediate effect.

The company said Friday (June 10) Bill Owens, vice chairman and chief executive officer, will assume these responsibilities.

"Gary has made a major contribution to Nortel during his time here and has added value to our strategic initiatives and business plan," said Owens. "It has become apparent to Gary and me, however, that we have divergent management styles and our business views differ. I respect him for his decision and I wish him every success in his future endeavours."

Nortel also announced that Gary Kunis, chief technology officer, who joined Nortel following the appointment of Daichendt, would also be leaving the Company. Kunis previously worked alongside Daichendt at Cisco Systems.