Nortel

Nortel

February 24, 2005 04:00 ET

Orange Slovensko Provides Advanced Wireless Data Services Powered by Nortel; Wireless Broadband Services Overhaul Fixed Services in Slovakia


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: NORTEL

NYSE, TSX SYMBOL: NT

FEBRUARY 24, 2005 - 04:00 ET

Orange Slovensko Provides Advanced Wireless Data
Services Powered by Nortel; Wireless Broadband
Services Overhaul Fixed Services in Slovakia

PARIS--(CCNMatthews - Feb 24, 2005) -

Orange Slovensko has launched a high data rate business and consumer
service in Slovakia based on EDGE (Enhanced Data Rate for GSM Evolution)
technology from Nortel (NYSE:NT)(TSX:NT). The service is positioned by
Orange Slovensko as an alternative to fixed broadband Internet access
solutions.

Compared to GPRS (General Packet Radio Service), EDGE offers on average
up to three times the data throughput, a rate comparable to fixed DSL
(digital subscriber line) connection speeds.

The first of the EDGE services from Orange Slovensko was launched in
December 2004 for its corporate customers, aimed at enhancing the
company's existing corporate VPN (virtual private network) offer based
on the concept of the mobile office. Following this successful service
launch, Orange Slovensko announced a mass market consumer EDGE service
in January 2005.

"Working with Nortel, we are taking a big step in enhancing the lives of
our Slovakian customers to get fast access to the Internet and broadband
data applications," said Dana Prekopova, chief technology officer,
Orange Slovensko. "Nortel's technology is extremely reliable. It
provides an excellent evolution to our network and it is an extremely
competitive offering."

"Once we had made a decision to work with Nortel, they backed up our
choice with excellent service, taking only two weeks to implement EDGE
on our network, rapidly enabling us to offer services to our customers,"
Prekopova said.

Nortel's EDGE solution is designed to deliver the capacity and
performance necessary to offer reliable high-speed Internet access with
excellent service quality. The EDGE solution shares radio spectrum with
Orange Slovensko's existing Nortel GSM (Global System for Mobile
Communications) and GPRS services, allowing for a highly flexible
implementation that minimises network impact and costs.

Orange Slovensko's GSM and GPRS network is based on Nortel technology
and covers 99.1 percent of the population and 86.4 percent of the
geography of Slovakia. The overall rollout of Nortel EDGE technology has
so far covered about one-third of this existing network. Further EDGE
rollout is expected to take place in stages based on market demand for
EDGE services.

Nortel demonstrated high speed broadband wireless data technology with
Orange at 3GSM World Congress 2005, February 14-17 in Cannes.

Nortel has designed, installed and launched more than 300 wireless
networks in over 70 countries. Nortel was the industry's first supplier
with wireless networks operating in all advanced radio technologies
(GSM/GPRS/EDGE, CDMA2000 1X and 1xEV-DO, UMTS and WLAN), and is the only
end-to-end provider of all next generation wireless solutions.

About Nortel

Nortel is a recognized leader in delivering communications capabilities
that enhance the human experience, ignite and power global commerce, and
secure and protect the world's most critical information. Serving both
service provider and enterprise customers, Nortel delivers innovative
technology solutions encompassing end-to-end broadband, Voice over IP,
multimedia services and applications, and wireless broadband designed to
help people solve the world's greatest challenges. Nortel does business
in more than 150 countries. For more information, visit Nortel on the
Web at www.nortel.com. For the latest Nortel news, visit
www.nortel.com/news.

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 outcome of regulatory and
criminal investigations and civil litigation actions related to Nortel's
restatements and the impact any resulting legal judgments, settlements,
penalties and expenses could have on Nortel's results of operations,
financial condition and liquidity; the findings of Nortel's independent
review and implementation of recommended remedial measures; the outcome
of the independent review with respect to revenues for specific
identified transactions, which review will have a particular emphasis on
the underlying conduct that led to the initial recognition of these
revenues; the restatement or revisions of Nortel's previously announced
or filed financial results and resulting negative publicity; the
existence of material weaknesses in Nortel's internal controls over
financial reporting; the impact of Nortel's and NNL's failure to timely
file their financial statements and related periodic reports, including
breach of its support facility and public debt obligations and Nortel's
inability to access its shelf registration statement filed with the
United States Securities and Exchange Commission ("SEC"); ongoing SEC
reviews, which may result in changes to our public filings; the
potential delisting or suspension of Nortel's and NNL's publicly traded
securities; the impact of management changes, including the termination
for cause of Nortel's former CEO, CFO and Controller in April 2004; the
sufficiency of Nortel's restructuring activities, including the work
plan announced on August 19, 2004 as updated on September 30, 2004,
including the potential for higher actual costs to be incurred in
connection with restructuring actions compared to the estimated costs of
such actions;

cautious or reduced spending by Nortel's customers; fluctuations in
Nortel's operating results and general industry, economic and market
conditions and growth rates; fluctuations in Nortel's cash flow, level
of outstanding debt and current debt ratings; Nortel's ability to
recruit and retain qualified employees; the use of cash collateral to
support Nortel's normal course business activities; the dependence on
Nortel's subsidiaries for funding; the impact of Nortel's defined
benefit plans and deferred tax assets on results of operations and
Nortel's cash flow; the adverse resolution of class actions, litigation
in the ordinary course of business, intellectual property disputes and
similar matters; Nortel's dependence on new product development and its
ability to predict market demand for particular products; Nortel's
ability to 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; barriers to
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; changes in regulation of the Internet; the impact of the
credit risks of Nortel's customers and the impact of customer financing
and commitments; stock market volatility generally and as a result of
acceleration of the settlement date or early settlement, which is
currently not available, of Nortel's forward purchase contracts; the
impact of Nortel's supply and outsourcing contracts that contain
delivery and installation provisions, which, if not met, could result in
the payment of substantial penalties or liquidated damages; and the
future success of Nortel's strategic alliances.

For additional information with respect to certain of these and other
factors, see the most recent Annual Report on Form 10-K and Quarterly
Report on Form 10-Q filed by Nortel 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.

Nortel, the Nortel logo and the Globemark are trademarks of Nortel
Networks.

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