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Nortel Makes Network Security Fundamental With New Global Services

Toronto (ots/PRNewswire)

- Experience Offers Edge in Combating Threats to Network,
Information Integrity
Nortel(x) (NYSE/TSX: NT) has expanded its Global Services
portfolio with new offerings designed to help enterprises and service
providers make security fundamental to transforming their networks
with the latest converged IP, multimedia and wireless technologies.
Security is one of Nortel's five key focus areas for services.
Nortel's extensive networking expertise can provide an edge in
effectively combating threats to network and information integrity.
The newest Nortel Global Services for Security include Security
Compliance Services and Managed Security Services. Along with
Nortel's Security Consulting Services, these new offerings can make
business simpler for network managers by helping to minimise risk,
reduce costs and comply with regulations.
Montefiore Medical Center, located in the Bronx, New York, has
already relied on Nortel's Security Consulting Services as part of an
ongoing network expansion to include mobility and new applications.
"Working with a trusted partner like Nortel is paramount not only
to our patients' peace of mind but also to continuing our tradition
of excellence," said Brian Hoch, director of computing services for
Emerging Health Information Technology, a Montefiore subsidiary.
"Nortel's security audit has enabled us to move forward with
confidence in rolling out our wireless network and to secure
next-generation services for staff and patients."
Nortel has also continued its efforts to provide a breadth of
security services and expertise. This includes acquiring an equity
stake in SecureInfo, a recognised leader in information security
including managed security services, security compliance and policy
solutions, and professional security services. In addition, Nortel
continues to certify other select, trusted professionals with
regional and specialised security experience. This complements the
security and information assurance services that Nortel Government
Solutions, a US company wholly owned by Nortel, provides to the US
Federal Government market.
Compliance services help customers identify gaps in their
regulatory posture and implement and maintain security best
practices. Nortel's Security Compliance Services help businesses
adhere to key security-related regulations like Sarbanes-Oxley,
Gramm-Leach Bliley Act (GLBA), and the Health Insurance Portability
and Accountability Act (HIPAA) for companies doing business in the
United States; and the Personal Information Protection and Electronic
Documents Act (PIPEDA) in Canada. They also address global standards
like ISO 17799, and the PCI (Payment Card Industry) Data Security
Standard mandated by all major credit card issuers to protect
cardholder information and transactions.
"Compliance is critical for our customers, particularly in markets
like healthcare and finance," said Rod Wallace, director, Security
Services, Nortel. "We're helping to streamline compliance across
multiple regulations, standards and guidelines, and to measure the
effectiveness of security policies."
Nortel's Managed Security Services are designed to help reduce the
cost of managing security across multi-vendor networks. Nortel can
manage security for as few or as many elements as required, including
single point-of-contact responsibility for entire networks. This
allows customers to focus more efficiently on business objectives.
According to IDC, a premier global provider of IT and
telecommunications market intelligence, the worldwide market for
information security services is expected to approach US$17 billion
in 2006. IDC expects this figure to increase to approximately
US$32.59 billion by 2010, representing a compound annual growth rate
(CAGR) of 17.7 per cent.
Nortel's Global Services include a full range of integrated
services for design, deployment, management and maintenance of
end-to-end multi-vendor network solutions, including seamless
migration to next generation technologies.
About Nortel
Nortel is a recognised 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. Our next-generation technologies, for both service
providers and enterprises, span access and core networks, support
multimedia and business-critical applications, and help eliminate
today's barriers to efficiency, speed and performance by simplifying
networks and connecting people with information. 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 statements in this press release may contain words such as
"could", "expects", "may", "anticipates", "believes", "intends",
"estimates", "plans", "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. Further, actual
results or events could differ materially from those contemplated in
forward-looking statements as a result of the following (i) risks and
uncertainties relating to Nortel's restatements and related matters
including: Nortel's most recent restatement and two previous
restatements of its financial statements and related events; the
negative impact on Nortel and NNL of their most recent restatement
and delay in filing their financial statements and related periodic
reports; legal judgments, fines, penalties or settlements, or any
substantial regulatory fines or other penalties or sanctions, related
to the ongoing regulatory and criminal investigations of Nortel in
the US and Canada; any significant pending civil litigation actions
not encompassed by Nortel's proposed class action settlement; any
substantial cash payment and/or significant dilution of Nortel's
existing equity positions resulting from the finalisation and
approval of its proposed class action settlement, or if such proposed
class action settlement is not finalised, any larger settlements or
awards of damages in respect of such class actions; any unsuccessful
remediation of Nortel's material weaknesses in internal control over
financial reporting resulting in an inability to report Nortel's
results of operations and financial condition accurately and in a
timely manner; the time required to implement Nortel's remedial
measures; Nortel's inability to access, in its current form, its
shelf registration filed with the United States Securities and
Exchange Commission (SEC), and Nortel's below investment grade credit
rating and any further adverse effect on its credit rating due to
Nortel's restatements of its financial statements; any adverse affect
on Nortel's business and market price of its publicly traded
securities arising from continuing negative publicity related to
Nortel's restatements; Nortel's potential inability to attract or
retain the personnel necessary to achieve its business objectives;
any breach by Nortel of the continued listing requirements of the
NYSE or TSX causing the NYSE and/or the TSX to commence suspension or
delisting procedures; (ii) risks and uncertainties relating to
Nortel's business including: yearly and quarterly fluctuations of
Nortel's operating results; reduced demand and pricing pressures for
its products due to global economic conditions, significant
competition, competitive pricing practice, cautious capital spending
by customers, increased industry consolidation, rapidly changing
technologies, evolving industry standards, frequent new product
introductions and short product life cycles, and other trends and
industry characteristics affecting the telecommunications industry;
any material and adverse affects on Nortel's performance if its
expectations regarding market demand for particular products prove to
be wrong or because of certain barriers in its efforts to expand
internationally; any reduction in Nortel's operating results and any
related volatility in the market price of its publicly traded
securities arising from any decline in its gross margin, or
fluctuations in foreign currency exchange rates; any negative
developments associated with Nortel's supply contract and contract
manufacturing agreements including as a result of using a sole
supplier for key optical networking solutions components, and any
defects or errors in Nortel's current or planned products; any
negative impact to Nortel of its failure to achieve its business
transformation objectives; additional valuation allowances for all or
a portion of its deferred tax assets; Nortel's failure to protect its
intellectual property rights, or any adverse judgments or settlements
arising out of disputes regarding intellectual property; changes in
regulation of the Internet and/or other aspects of the industry;
Nortel's failure to successfully operate or integrate its strategic
acquisitions, or failure to consummate or succeed with its strategic
alliances; any negative effect of Nortel's failure to evolve
adequately its financial and managerial control and reporting systems
and processes, manage and grow its business, or create an effective
risk management strategy; and (iii) risks and uncertainties relating
to Nortel's liquidity, financing arrangements and capital including:
the impact of Nortel's most recent restatement and two previous
restatements of its financial statements; any inability of Nortel to
manage cash flow fluctuations to fund working capital requirements or
achieve its business objectives in a timely manner or obtain
additional sources of funding; high levels of debt, limitations on
Nortel capitalising on business opportunities because of credit
facility covenants, or on obtaining additional secured debt pursuant
to the provisions of indentures governing certain of Nortel's public
debt issues and the provisions of its credit facilities; any increase
of restricted cash requirements for Nortel if it is unable to secure
alternative support for obligations arising from certain normal
course business activities, or any inability of Nortel's subsidiaries
to provide it with sufficient funding; any negative effect to Nortel
of the need to make larger defined benefit plans contributions in the
future or exposure to customer credit risks or inability of customers
to fulfil payment obligations under customer financing arrangements;
any negative impact on Nortel's ability to make future acquisitions,
raise capital, issue debt and retain employees arising from stock
price volatility and further declines in the market price of Nortel's
publicly traded securities, or any future share consolidation
resulting in a lower total market capitalisation or adverse effect on
the liquidity of Nortel's common shares. For additional information
with respect to certain of these and other factors, see Nortel's
Annual Report on Form 10-K/A, Quarterly Report 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.
(x) Nortel, the Nortel logo and the Globemark are trademarks of
Nortel Networks. Use of the terms "partner" and "partnership" does
not imply a legal partnership between Nortel and any other party.

Contact:

Mark Buford, +1-972-684-8412, mark.Buford@nortel.com; Ben Roome,
+44-1628-43-3113, benroome@nortel.com

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