RealTime IT News

A Pair of Nortel Execs Resign

Nortel announced today that two senior executives have resigned after disagreements with the network equipment maker's CEO.

The departures of President and COO Gary Daichendt and CTO Gary Kunis are effective immediately. Both men, who previously held posts at a number of large IT firms, including Cisco , were just hired by Nortel in March.

Gary Daichendt
Gary Daichendt
Source: Nortel

"Gary has made a major contribution to Nortel during his time here and has added value to our strategic initiatives and business plan," CEO Bill Owens said of Daichendt in a statement. "It has become apparent to Gary and me, however, that we have divergent management styles and our business views differ."

Owens, a former U.S. Navy admiral hired by the Canadian company to right the ship after an accounting scandal, will assume the president and COO responsibilities for now.

"No decisions have been made yet as to whether the position of COO will be replaced," Bill Durling, a Nortel spokesman, told

Owens said Nortel will continue to focus on "operational excellence as a broad-based carrier and enterprise networking." In a statement, Daichendt called the decision to leave difficult, but expressed confidence in Nortel's future.

No details were provided about the nature of the disagreements or management style conflicts between Owens and Daichendt.

Nortel is facing fierce competition in the network equipment space from traditional rivals in North America and a new crop of competitors from Asia.