Lucent secures future

Debt-burdened telecoms equipment maker Lucent is set to turn its ailing business around, after scraping together $6.5bn of loans at the last minute.

The telecoms giant has been trying to secure the loans in order to finance a massive restructuring programme.

We are now totally focused on executing the turnaround of our business

Deborah Hopkins, Lucent

On Thursday night, the company was racing the clock to complete the final stages of documentation to renew a $2bn credit facility ahead of its expiry at 0500 GMT.

"A critical element of our seven-point restructuring plan is now in place with these new arrangements," said Lucent's chief financial officer Deborah Hopkins.

"We are now moving ahead totally focused on executing the turnaround of our business," she added.

Suffering shares

A series of profit warnings and slashed production has seen the company's share price fall dramatically.

And in January, the company was forced to slash 10% of its workforce - 10,000 jobs - and take up to $1.6bn in restructuring charges in its bid to return to profitability.

Lucent stock has fallen nearly 77% over the course of the past year, but was back up 8% to $12.53 on the close of the US stock market on Thursday night.