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Nortel

September 26, 2007 09:01 ET

Pine Cellular and Choctaw Electric Cooperative will use Nortel 4G WiMAX to Bring Broadband to Areas of Southeastern Oklahoma for the First Time

4G WiMAX Helps New Broadband Providers to Bridge the Digital Divide

TORONTO, ONTARIO--(Marketwire - Sept. 26, 2007) - Pine Cellular, Pine Telephone, and Choctaw Electric Cooperative will deploy Nortel(1) (TSX:NT)(NYSE:NT) 4G WiMAX technology to bring broadband connectivity to rural communities in southeastern Oklahoma. For some customers this will be the first time broadband has been available to them. The new WiMAX network helps Pine and Choctaw Electric Cooperative provide homes and businesses with reliable, wireless high-speed Internet.

Pine and Choctaw Electric Cooperative currently share the same customer base area, which allows them to share parts of their infrastructure for the WiMAX deployment. They selected Nortel's 4G WiMAX solution because it provides vast coverage and high throughput, and can deliver services wirelessly to rural areas where it is less economically feasible to build a wired network.

In addition to the benefits provided to home and business users, Pine and Choctaw Electric Cooperative's 4G WiMAX network will help improve community and emergency services in the coverage area. The wireless broadband service will be provided free of charge to the local city police and fire departments as well as to public schools. Choctaw Electric Cooperative will also build three community centers, outfit them with computers, and make free Internet access available to them. A Community Connect Grant received by Choctaw Electric Cooperative from the United States Department of Agriculture (USDA) has helped make this WiMAX network and the associated community services possible. Community Connect Grants provide residential Internet service and connect police and fire stations, health care facilities, libraries and schools in communities that currently have no broadband services.

"Choctaw Electric Cooperative exists, first and foremost, to serve the needs of our member-owners," said Terry Matlock, CEO, Choctaw Electric Cooperative. "Because it offers high capacity in a network that is simple to deploy and very economical to operate, WiMAX allows us to bring our communities new and highly beneficial broadband services that have not existed here before because it has not been profitable for larger operators to provide them."

"Pine and Choctaw Electric Cooperative's network deployment is a prime example of why WiMAX is such an important technology," said Peter MacKinnon, general manager, WiMAX, Nortel. "WiMAX opens up the wireless broadband market to smaller, giving them an unprecedented opportunity to cost-effectively build their own wireless broadband networks to meet the specific needs of their customers and communities."

Pine Cellular currently provides cellular services in southeastern Oklahoma. Pine Telephone provides telephone service utilizing Nortel DMS10 switches, as well as DSL, but requires Nortel's WiMAX solution to serve customers out of the range of DSL. Pine and Choctaw will leverage Pine's knowledge of the telecommunications industry and Choctaw's infrastructure, including towers on which WiMAX antennas can be mounted, to bring wireless broadband services to the region. The WiMAX network will expand Pine Cellular's current coverage area and add mobile broadband capabilities. Choctaw Electric Cooperative's workforce, which includes pole crews and truck teams that travel all over the service area, will leverage the mobile broadband to assist in automating workflow and improving communications between the office and field crews.

This deployment of 4G WiMAX technology will complement Pine Cellular's existing Nortel GSM voice network. With the two, Pine Cellular will offer its customers bundled voice and broadband services. The initial deployment of 802.16e mobile WiMAX equipment into Pine Cellular and Choctaw's network will operate on 2.5GHz spectrum licensed to Pine.

About Nortel

Nortel is a recognized leader in delivering communications capabilities that make the promise of Business Made Simple a reality for our customers. Our next-generation technologies, for both service provider and enterprise networks, support multimedia and business-critical applications. Nortel's technologies are designed to help eliminate today's barriers to efficiency, speed and performance by simplifying networks and connecting people to the information they need, when they need it. Nortel does business in more than 150 countries around the world. For more information, visit Nortel on the Web at www.nortel.com. For the latest Nortel news, visit www.nortel.com/news.

Certain statements in this press release may contain words such as "could", "expects", "may", "anticipates", "believes", "intends", "estimates", "targets", "envisions", "seeks" and other similar language and are considered forward-looking statements or information under applicable securities legislation. These statements are based on Nortel's current expectations, estimates, forecasts and projections about the operating environment, economies and markets in which Nortel operates. These statements are subject to important assumptions, risks and uncertainties, which are difficult to predict and the actual outcome may be materially different from those contemplated in forward-looking statements. For additional information with respect to certain of these and other factors, see Nortel's Annual Report on Form10-K, Quarterly Reports on Form 10-Q and other securities filings with the SEC. Unless otherwise required by applicable securities laws, Nortel disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

(1)Nortel, the Nortel logo and the Globemark are trademarks of Nortel Networks.

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