Nortel CEO Zafirovski steps down

Nortel's chief executive, Mike Zafirovski, has stepped down following the company's bankruptcy.

Zafirovski (pictured) had been in charge at the Canadian networking company since November 2005. On Monday, Nortel said in a statement that Zafirovski and the board of directors had decided the company had "reached a natural transition point", and he and most of the board were leaving with immediate effect.

Nortel is currently in the process of selling itself off piecemeal, having filed for bankruptcy protection in January this year. Thus far, Ericsson has won an auction for Nortel's wireless assets, and Avaya is the frontrunner to pick up the company's Enterprise Solutions division. Cisco has replaced Nortel as the networking supplier for the London 2012 Olympics.

"Mike came to Nortel to transform this company," Nortel chairman Harry Pearce said in Monday's statement. "His ambitious vision helped shift the economic centre of the company from legacy to growth investments. It was unfortunate the transformation was derailed by a deteriorating economic climate and the company's legacy cost structure."

"The operating improvements and strategic investments made during his tenure significantly contributed to the fact that Nortel's businesses are so attractive to potential buyers today," Pearce added.