Telecom firm’s stock plunges on rumors of bankruptcy

Wednesday, April 4, 2001 | 10:55 a.m.

TRENTON, N.J. -- Shares of Lucent Technologies Inc. plunged as much as 30 percent today before the struggling maker of telecommunications equipment strongly denied rumors that it plans to file for Chapter 11 bankruptcy reorganization.

"Chapter 11 rumors are absolutely false," said Bill Price, director of corporate media relations at the Murray Hill-based company. "They are ridiculous and (are) pushing people into a panic that does not exist."

The latest downturn for the stock, among the most widely held in the country and long a favorite of analysts, follows a string of strategic missteps and profit disappointments that has led to the ouster of Lucent's chief executive and a major restructuring.

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