First Commercial SIP-Based Multimedia Services in Switzerland
 ZURICH, Sept. 25 /CNW/ - TDC Switzerland AG, operating under the brand
name sunrise, is supplying anytime, anywhere Internet access using a Nortel(*)
(NYSE/TSX: NT) carrier IP solution for network enhancement. New services,
aimed at sunrise's residential and business customers, include the web-based
sunrise webphone and multimedia services with wireless and wireline Internet
access. These services are believed to be Switzerland's first commercial
SIP-based multimedia services.
 "As Switzerland's leading independent telecommunications provider we keep
our competitive edge by delivering innovative communication services that are
understandable, easy to use, and help bring people together," said Thomas
Stemmler, network director, TDC Switzerland AG. "As the wave of demand rolls
for our services, our Nortel solution can also be used to deliver affordable
mobile video."
 "Nortel's solution gives sunrise the freedom to deliver affordable
multimedia communications services now and the opportunity to evolve its
network to deliver a true quad play of affordable services - such as voice,
Internet/data, entertainment and video - as demand grows," said Thomas
Marfurt, managing director, Nortel Switzerland.
 The sunrise enhanced network infrastructure solution delivers
Switzerland's first commercial SIP-based IP telephony service and is based on
the Nortel Communication Server 2000 Compact (CS2K) and the Multimedia
Communication Server 5200 (MCS5200). In addition, the Nortel Ethernet Routing
Switch 8600 and the Nortel Switched Firewall provide carrier-class reliable,
secure and intelligent network access and routing solution for the converged
applications. As well as technology, the Nortel solution included planning,
design and integration services from the Nortel Global Services portfolio.
 Nortel ranked number one in the global markets for service provider
softswitches and gateways for the first half of 2006, according to Synergy
Research Group.
 Nortel's Global Services portfolio offers a full range of integrated
professional services to provide end-to-end, multi-vendor network solutions
that deliver significant business value. Nortel provides the necessary
services to design, deploy, manage and maintain today's multi-vendor networks
and to facilitate transition to next generation technologies.
 About sunrise
 sunrise is the leading independent telecommunications provider in
Switzerland. 2.15 million customers enjoy the benefits of sunrise mobile,
fixed network, and Internet services. The hybrid network based on GPRS, EDGE
and UMTS technology provides cutting-edge mobile services to over 99% of the
population and permits transmission rates of up to 384 Kbps. A wide range of
high-quality voice and data services are provided via a high-performance fiber
optic network with a total length of more than 7,500 kilometres. As a founding
member of the Starmap Mobile Alliance, an association of leading European
mobile communications providers, sunrise offers its customers access to
first-class services even while they are abroad. sunrise is a brand of TDC
Switzerland AG, whose capital stock is owned 100% by the TDC Group. The yallo
brand is also owned by TDC Switzerland AG.
 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. 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",
"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. 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 U.S. 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 finalization and approval of its proposed
class action settlement, or if such proposed class action settlement is not
finalized, 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; the sufficiency of recently announced
restructuring actions, including the potential for higher actual costs to be
incurred in connection with these restructuring actions compared to the
estimated costs of such actions and the ability to achieve the targeted cost
savings and reductions of Nortel's unfunded pension liability deficit; 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 capitalizing 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 fulfill 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 capitalization 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.
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 (*) Nortel, the Nortel logo and the Globemark are trademarks of Nortel
 Networks.
 >>
For further information: Axel Menning-Pusta, +41-44-9437272,
axel.menning@nortel.com; Greta Brown, +44-1628-432968, gretab@nortel.com;
Jamie Moody, (972) 684-7167, moodyjam@nortel.com