Cable & Wireless Jamaica, CODETEL Deploy Multiservice Switches from Nortel Networks; First Passport 20000s in CALA to Enable Investment Protection, New Services.

Business Editors/High-Tech Writers

SUNRISE, Fla.--(BUSINESS WIRE)--May 1, 2003

Cable & Wireless Jamaica Ltd., the primary provider of domestic and international telephone services in Jamaica, and CODETEL, a Verizon Company and the Dominican Republic's main telecommunications services provider, have each deployed Passport 20000 Multiservice Switches from Nortel Networks (NYSE:NT)(TSX:NT) in their respective markets.

Implemented for the first time in the Caribbean and Latin America (CALA), Passport 20000 is designed to protect the service providers' previous investments, drive new revenues today, and position their networks for a smooth transition to future data-centric architectures.

Passport 20000 Multiservice Switch equips Cable & Wireless Jamaica with a high-capacity, next generation core network that can handle immediate multiservice traffic demands and provide for an efficient migration to next generation applications such as voice convergence and Voice over IP (Internet Protocol), without a forklift upgrade.

"We selected Nortel Networks Passport 20000 because it provides our multiservice network with the capacity to meet today's bandwidth demands, while enabling a seamless transition for future expansion," said Hugh Cross, senior vice president, Network Services, Cable & Wireless Jamaica. "Passport 20000 allows us to continue profiting from our existing network and evolve, as market demands, to support next generation capabilities for multimedia applications. No other single core switch offers the diversity and versatility of services supported on Passport 20000."

CODETEL also plans to rely on Passport 20000 as its core switching platform for voice and data traffic. Passport 20000 positions CODETEL to increase capacity for ATM, frame relay, private line and other existing services, while offering new, revenue-generating services like IP-based VPNs (Virtual Private Networks) and Layer 2 VPNs.

"The advanced multiservice capabilities of Passport 20000 will enhance our network infrastructure and will facilitate the consolidation of our voice and data network and in the near future the wireless network," said Isaac Madera, technology director, CODETEL. "It will also contribute to assure the provisioning of more advanced data services in our network in a cost-effective and reliable way."

Engineered to scale to 160G, Passport 20000 is designed to help service providers address the challenge of cost-effectively scaling and converging disparate networks. It complements other Passport multiservice switches, including Passport 7000 and Passport 15000, to address service provider network requirements from the edge to the core. The multiservice flexibility of Passport 20000 makes it an ideal platform to enable service providers to migrate their ATM networks toward IP/MPLS at their own pace.

"Nortel Networks has been a leading provider of advanced telecommunications networks in the Caribbean for over 30 years," said Manuel Terrero, director, Wireline Networks for Nortel Networks in the CALA region.

"We continue to work very closely with our regional customers such as Cable & Wireless and CODETEL to identify their specific requirements and implement those solutions that will increase the efficiency of their networks and position them to offer leading-edge services to their customers," Terrero said.

Passport 20000 can also provide service providers such as Cable & Wireless and CODETEL with the foundation to seamlessly and efficiently transfer their voice traffic to a packet network in the future, in combination with Nortel Networks Succession portfolio. Full featured migration to a Succession-based packet infrastructure enables a host of new efficiencies within service provider networks, including greater bandwidth utilization, expanded reach, and lower cost of ownership and operation.

"Nortel Networks is committed to developing products designed to provide a clean and cost-effective evolution path to new technologies, while fully leveraging existing infrastructure," said Sue Spradley, president, Wireline Networks, Nortel Networks.

"Passport 20000 is the leading choice for service providers who want to increase the capacity of their networks while enabling reduced operational expenditures and increasing revenues from new services," Spradley said. "And Passport 20000's integration with the Succession voice over IP portfolio allows service providers to easily evolve their voice networks to more cost-effective packet networks and further protect their infrastructure investments."

Passport 20000 is a key component of Nortel Networks multiservice switch portfolio, which includes Passport 15000 and Passport 7000. Nortel Networks was #1 in both the CALA and global multiservice switching markets as of year-end 2002, according to Synergy Research Group.

Cable & Wireless is a major global telecommunications business with revenue of over GBP5.9 billion (US$8.6 billion) in the year to 31 March 2002 and customers in 80 countries. It consists of two core and complementary divisions: Cable & Wireless Regional and Cable & Wireless Global. Cable & Wireless Regional offers a full range of telecommunications services in 33 countries around the world, with major businesses in the Caribbean, Panama, the Middle East and Macau. Cable & Wireless Global provides IP (Internet protocol), voice and data services and managed solutions for business customers. It has developed advanced IP networks and value-added services in the U.S., Europe and the Asia-Pacific region in support of this strategy. Building on its strong national businesses in the UK and Japan, Cable & Wireless Global will focus on serving primarily multinational companies (both enterprises and service providers) in the U.S., UK, continental Europe and Japan/Asia. For more information about Cable & Wireless, go to www.cw.com.

CODETEL is the leading telecommunications service provider in the Dominican Republic. A Verizon Company (NYSE:VZ), CODETEL provides local, long-distance, and wireless voice services, together with advanced data services, to approximately a million customers. Verizon is one of the world's leading providers of communications services, with operations in 40 countries in the Americas, Europe, Asia, and the Pacific. For more information, please visit www.verizon.com or www.codetel.com.do

Nortel Networks is an industry leader and innovator focused on transforming how the world communicates and exchanges information. The Company is supplying its service provider and enterprise customers with communications technology and infrastructure to enable value-added IP data, voice and multimedia services spanning Wireless Networks, Wireline Networks, Enterprise Networks, and Optical Networks. As a global company, Nortel Networks does business in more than 150 countries. More information about Nortel Networks can be found on the Web at www.nortelnetworks.com.

Certain information included in this press release is forward-looking and is subject to important risks and uncertainties. The results or events predicted in these statements may differ materially from actual results or events. Factors which could cause results or events to differ from current expectations include, among other things: the severity and duration of the industry adjustment; the sufficiency of our restructuring activities, including the potential for higher actual costs to be incurred in connection with restructuring actions compared to the estimated costs of such actions; fluctuations in operating results and general industry, economic and market conditions and growth rates; the ability to recruit and retain qualified employees; fluctuations in cash flow, the level of outstanding debt and debt ratings; the ability to meet financial covenants contained in our credit agreements; the ability to make acquisitions and/or integrate the operations and technologies of acquired businesses in an effective manner; the impact of rapid technological and market change; the impact of price and product competition; international growth and global economic conditions, particularly in emerging markets and including interest rate and currency exchange rate fluctuations; the impact of rationalization in the telecommunications industry; the dependence on new product development; the uncertainties of the Internet; the impact of the credit risks of our customers and the impact of customer financing and commitments; stock market volatility; the entrance into an increased number of supply and outsourcing contracts which contain delivery and installation provisions, which, if not met, could result in the payment of substantial penalties or liquidated damages; the ability to obtain timely, adequate and reasonably priced component parts from suppliers and internal manufacturing capacity; the future success of our strategic alliances; and the adverse resolution of litigation. For additional information with respect to certain of these and other factors, see the reports filed by Nortel Networks with the United States Securities and Exchange Commission. Unless otherwise required by applicable securities laws, Nortel Networks disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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