TSTT Deploys Wireless Broadband Network with Nortel Solutions; Network to Deliver Enhanced High-Speed Wireless Services in Trinidad and Tobago.

PORT-OF-SPAIN, Trinidad and Tobago -- Telecommunications Services of Trinidad and Tobago, Limited (TSTT), the country's leading telecommunications provider, has announced plans to launch an advanced broadband wireless network in Trinidad and Tobago using solutions from Nortel (NYSE:NT) (TSX:NT).

TSTT plans to offer 3G mobile broadband services to both residential and commercial customers using Nortel CDMA2000 1X and 1xEV-DO wireless technology. Nortel is TSTT's sole supplier for wireless infrastructure equipment.

The new network is designed to expand TSTT's subscriber offerings to include 'anytime, anywhere' access to a variety of services at speeds up to 2.4 megabits per second, or approximately 10 times faster than currently available. This will help TSTT to provide its customers with mobile access to corporate data networks for a higher level of efficiency and productivity.

Other enhanced services expected to be available on TSTT's EV-DO network include TV transmission to EV-DO enabled PDAs, remote video surveillance services to address security concerns, and IPTV. TSTT and Nortel, in conjunction with SmartVideo Technologies (www.smartvideo.com), are scheduled to demonstrate IPTV over EV-DO to an audience including more than 150 local business leaders at the "Experience Evolution" event at the Hilton Trinidad & Conference Centre in Port-of-Spain. SmartVideo is a leading provider of live and on-demand IPTV services.

"Our objective is to become the wireless high-speed data leader in Trinidad and Tobago," said Karamchand Perai, vice president, technology, TSTT. "We chose Nortel as our sole infrastructure supplier because of its leadership in CDMA and advanced wireless broadband solutions. Nortel's CDMA2000 1X and 1xEV-DO technology will enable us to deliver leading wireless data services and applications customers need to use for business, and also applications associated with information and entertainment like IPTV and multimedia. This technology will also address important 'last mile' issues and make broadband wireless data services accessible to customers in areas where fixed line-based ADSL services cannot be provided."

"SmartVideo is working with leading network equipment manufacturers like Nortel so that we can provide wired and wireless operators with some of the most innovative video solutions available today," said Richard E. Bennett, Jr., president and chief executive officer, SmartVideo. "We are proud to be associated with TSTT's 'Experience Evolution' event."

"Wireless operators around the world are evolving their existing networks to offer advanced broadband video and data services like high-definition programming, video conferencing, remote surveillance and distance learning," said Martha Bejar, president, Caribbean and Latin America, Nortel. "Nortel's wireless broadband solutions help operators like TSTT to increase profit potential, improve network efficiencies and increase customer loyalty by delivering compelling voice and data services that help enhance the subscriber experience."

Nortel solutions deployed in the TSTT network include CDMA2000 1X and 1xEV-DO radio base stations, base station controllers, multiservice switches, and other related equipment. Nortel also supplies GSM/GPRS/EDGE infrastructure equipment to TSTT, including R4 voice core and packet core network solutions. Nortel supplies EV-DO equipment to 13 of the 23 operators across the globe currently offering commercial EV-DO service, including Verizon Wireless and Sprint in the United States, Embratel (formerly known as Vesper) in Brazil, Smartcom in Chile, Pelephone in Israel, and Telstra in Australia. Nortel also provided EV-DO equipment to Eurotel for the first commercial 450 MHz EV-DO service in Eastern Europe. With its CDMA equipment designed to support 1xEV-DO through modular upgrades to existing hardware, Nortel re-uses existing base station equipment to help operators reduce or eliminate the need for costly hardware replacements.

Nortel is an industry innovator and at the forefront of all broadband access technologies, including wide area cellular, wireline, wireless mesh, wireless LAN and WiMAX. Nortel has designed, installed and launched more than 300 wireless networks in over 70 countries. Nortel has worked with operators in the Caribbean and Latin America to build advanced communications networks for more than 35 years. Nortel is a leading provider of advanced wireless technologies in the region with recent 3G deployments in the Dominican Republic (Verizon Dominicana), Peru (Telefonica Moviles), Puerto Rico (Centennial), Belize (Speednet), Chile (Smartcom), and Guatemala (Telefonica Moviles).

About TSTT

Telecommunications Services of Trinidad and Tobago Limited is jointly owned by the Government of Trinidad and Tobago (51 percent) and Cable & Wireless (49 percent). The company provides a complete suite of communications services throughout the twin-island state including fixed line and mobile communications, broadband Internet access, lease lines and data services. TSTT is the only communications solutions provider in the country deploying both wireless and wired next generation networks with voice, data and multimedia capabilities making it the most advanced integrated-solutions providers in country. The company's customers include key industry leaders in the finance, energy, government and tourism sectors. For more information visit TSTT on the web at www.tstt.co.tt.

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, and any related potential dilution of Nortel's common shares; 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 control over financial reporting and the conclusion of Nortel's management and independent auditor that Nortel's internal control over financial reporting is ineffective, which could continue to impact Nortel's ability to report its results of operations and financial condition accurately and in a timely manner; the impact of Nortel's and NNL's failure to timely file their financial statements and related periodic reports, including 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 Nortel's and NNL's public filings; 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 and December 14, 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; increased consolidation among Nortel's customers and the loss of customers in certain markets; 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 monitoring of the capital markets for opportunities to improve its capital structure and financial flexibility; 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 and consolidation 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; general stock market volatility; negative developments associated with Nortel's supply contracts and contract manufacturing agreements, including as a result of using a sole supplier for a key component of certain optical networks solutions; 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; any undetected product defects, errors or failures; 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. CDMA2000 is a trademark of the Telecommunications Industry Association (TIA).