Nortel Confirms Outlook

TORONTO -- Today, Nortel* [NYSE/TSX: NT] will hold a day-long meeting in Toronto with the investment community. President and CEO Mike Zafirovski, and members of the senior leadership team, will provide an update on the company's transformation.

Executives will review the achievements of the past two years to build the operational and execution capabilities required to compete and win in a rapidly changing market. Of note, they will discuss how this fundamental phase of the transformation was accomplished while delivering consistent margin improvements that go against industry trends. The Nortel team will also explain how this strengthened foundation, along with the company's growing market relevance, will be leveraged to capture profitable new revenue opportunities in growth segments of the market.

In connection with the Investor meeting, Nortel also reconfirmed its full year 2008 outlook and continues to expect:

• Revenue to grow in the low single digits compared to 2007
• Gross Margin to be about the business model target of 43 percent of revenue
• Operating Margin as a percentage of revenue to increase by about 300 basis points compared to 2007

The Company's financial outlook contains forward looking information and as such, is based on certain assumptions, and is subject to important risk factors and uncertainties (which are summarized in italics at the end of this press release) that could cause actual results or events to differ materially from this outlook.

In a separate release:

TORONTO -- Nortel* [NYSE/TSX: NT] and Alvarion**® Ltd. [NASDAQ:ALVR] entered into a joint strategic WiMAX agreement to create an end-to-end WiMAX solution to meet the needs of the evolving wireless broadband market. The Nortel and Alvarion mobile WiMAX solution is expected to combine industry-leading technologies from both companies to allow operators around the globe - including well-established service providers and new entrants to the wireless market - to simply and efficiently deliver high-speed wireless broadband for a variety of applications, mobile or nomadic, including VoIP, streaming music, and HD video.

The joint solution features the integration of Alvarion's advanced radio access network technology, which has been proven in over 200 commercial WiMAX deployments, with Nortel's core network solutions, backhaul solutions, applications such as Nortel's number one carrier VoIP solution, and Nortel Global Services for WiMAX.. The Nortel and Alvarion WiMAX solution will allow operators to offer high speed wireless Internet access across large areas, including those currently underserved by broadband capabilities. The joint WiMAX solution will also provide the speed and capacity to help operators meet the exploding demand for true mobile broadband.

"Wireless broadband is one of the fastest growing opportunities in the telecommunications market," said Richard Lowe, president, Carrier Networks, Nortel. "Early movers in this market are looking for a high quality, turnkey WiMAX solution that delivers vast coverage in a cost-effective way and meets growing demand for true mobile broadband that can support new services like streaming music and mobile TV. The collaboration between Nortel and Alvarion will allow both companies to deliver on these needs quickly and efficiently with a world class WiMAX solution that is based on the best technology from each. The solution will also include Nortel services, ranging from network consulting, design and deployment to full network management, to help customers maximize network investments by providing the flexibility to handle changing coverage, capacity and other unique requirements."

In a separate release:

TORONTO -- Nortel* [NYSE/TSX: NT] is aligning its 4G wireless broadband strategy to address early market opportunities that are emerging for WiMAX and LTE. As part of this strategy, Nortel is focusing its main wireless R&D resources on 4G LTE and wireless applications, with WiMAX development re-aligning around the strategic agreement announced today with Alvarion.

This enables Nortel to achieve faster time-to-market with WiMAX, at a lower cost, while accelerating LTE development to meet a demand that is emerging faster than the industry originally predicted.

"The increasing demand for mobile data with the advent of USB dongles, embedded laptops, and smartphones built on the iPhone model is driving traffic far faster than operators had anticipated," said Dr. Phil Marshall, vice president, Yankee Group. "Operators have realized that they need to get to 4G faster than originally anticipated. Major players such as China Mobile, NTT DoCoMo and Verizon have announced aggressive plans to roll out LTE, which we believe is the tip of the iceberg. The WiMAX market also continues to be very dynamic, with the underserved broadband markets and disruptive wireless operators in mature markets rapidly emerging as key market segments for that technology."

In a separate release:

TORONTO -- Nortel(1) (TSX: NT)(NYSE: NT) has been selected by Verizon Telecom to provide a new generation of switching equipment to help Verizon expand its metro Ethernet backbone.

The technology Verizon has chosen is the Metro Ethernet Routing Switch (MERS 8600). This platform provides Provider Backbone Bridge (PBB) technology, MPLS related technology, and the Metro Ethernet Manager (MEM) system. Verizon will be testing all the MERS technologies in its laboratories for use with its Ethernet-based networks, including the Switched Ethernet Services (SES) network.

"We look forward to working with Verizon in expanding their metro Ethernet network with a next generation packet-based network infrastructure," said Philippe Morin, president, Metro Ethernet Networks, Nortel. "Our carrier Ethernet solution offers the flexibility and scalability to support the new applications and requirements Verizon needs."

Nortel Networks Ltd.