Riverstone Networks Completes Asset Sale to Lucent Technologies
28 April 2006 - 12:52AM
PR Newswire (US)
Company Also Announces Name Change and Continuing Management Team
SANTA CLARA, Calif., April 27 /PRNewswire/ -- Riverstone Networks
announced today that it has completed the sale of its business to
Lucent Technologies pursuant to the Asset Purchase Agreement signed
by the parties on February 7, 2006 and approved by the U.S.
Bankruptcy Court on March 23, 2006. The company reported that it
received $196.6 million from Lucent, and an additional $10 million
is being held in escrow for 120 days pending calculation of the
final net assets transferred to Lucent. Substantially all of
Riverstone's employees, including Riverstone CEO Oscar Rodriguez
and other senior executives, will be employed by Lucent immediately
after the transaction closes. The Riverstone Networks corporate
entity will continue to exist as the company prepares its plan of
liquidation. Under the terms of the Lucent Asset Purchase
Agreement, Riverstone gave up the rights to use the Riverstone
Networks name and all other marks. Going forward the company will
operate as RNI Wind Down Corporation. The company's website will be
http://www.rniwd.com/. RNI Wind Down will be led by Noah D. Mesel
and Michael Overby, who will oversee a small staff that will remain
to wind up the company's U.S. and international corporate affairs.
Contact: Michael Overby Interim CFO 408-878-6500 Noah Mesel Senior
Vice President & General Counsel 408-878-6500 Howard Kalt Kalt
Rosen & Co. 415-397-2686 DATASOURCE: Riverstone Networks
CONTACT: Michael Overby, Interim CFO, +1-408-878-6500, or Noah
Mesel, Senior Vice President & General Counsel,
+1-408-878-6500, both of Riverstone Networks; or Howard Kalt of
Kalt Rosen & Co., +1-415-397-2686, for Riverstone Networks Web
site: http://www.riverstonenet.com/ http://www.rniwd.com/
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