ISLAMABAD, Pakistan -- Warid Telecom has awarded Nortel Networks (NYSE:NT) (TSX:NT) a four-year frame contract to provide a voice over Internet Protocol (VoIP) next generation network (NGN) in Pakistan. This highly efficient network will allow Warid to deliver high quality National and International Long Distance under license from the Pakistan Telecommunications Authority (PTA).

Under the frame contract, Warid Telecom will deploy Nortel Networks VoIP Long Distance Solution, which includes Nortel Networks Succession Communication Server (CS) 2000-Compact and Nortel Networks Passport Packet Voice Gateway (PVG), to deliver full-featured, carrier-grade telephony and data services. In addition to fixed-line long distance traffic, the Nortel Networks backbone will also be capable of carrying wireless traffic and local loop traffic for Warid Telecom's future GSM subscribers.

"Pakistan is the first venture in Warid Telecom's plan to provide telecommunications services to markets in the Middle East and Africa, and this contract with Nortel Networks is the first we have awarded,"said Hamid Farooq, chief operating officer, Warid Telecom. "We selected Nortel Networks because of its global leadership in IP telephony and NGN technologies and because of its strong local presence in Pakistan."

"By leveraging a Nortel Networks NGN solution that is widely recognized by global carriers for reducing capital and operating costs while speeding time-to-market for differentiating services, Warid Telecom is poised for success in Pakistan's newly deregulated LDI market," said Kamal Ahmed, managing director, Pakistan, Nortel Networks. "There is great potential in Pakistan's telecommunications market, and we look forward to working closely with Warid now and into the future."

Nortel Networks Ltd.