NEW: When the bug is found by the test and logged, its status will be NEW.
ASSIGN: Once the tester logs the bug, the lead validates the bug and assigns it to the development team. Then the status of the bug is set to ASSIGN
OPEN: When the bug is assigned to the development, while he is analyze the bug that time he will put the status to OPEN.
TEST/READY to RETEST: Once the developer fixes the bug, he changes the status to READY TO RETEST. This means developer has fix the issue and is ready for the test team to retest the defect.
VERIFIED: Once the tester retest the bug and is found to be fixed, he changes the bug status to VERIFIED.
REOPENED: While retesting if he find the bug still exists, then he changes the bug status to REOPENED.
CLOSED: Once the bug is fixed and the status is VERIFIED. Then lead changes the status to CLOSED.
REJECTED: When the bug is in OPEN status, and if developer feels the bug is not genuine or found to be DUPLICATE, he can reject the bug and the status of the bug is REJECTED.
DEFERRED: Sometimes the developers will accept the bug, but may be due to the priority, severity or due to time he may push the fix to other releases rather than the current release. Then the bug status will be DEFERRED.