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(NT.TO) ENMAX Envision Offers Optical Broadband Services to Calgary with Nortel Networks Optical Ethernet Solutions

Posted on: Wednesday, 5 November 2003, 06:00 CST

OTTAWA, Ontario--(BUSINESS WIRE)--Nov. 5, 2003--Nortel Networks (NYSE:NT)(TSX:NT) and ENMAX Corporation, through ENMAX Envision, a member of the ENMAX group of companies, today announced completion of one of the first metro area networks in Canada based entirely on Optical Ethernet.

The network leverages ENMAX Envision's extensive fiber infrastructure, simplifying operations and facilitating delivery of optical broadband services to local businesses. Using the Optical Ethernet network, ENMAX Envision offers high-bandwidth data services targeted to customers' specific needs, such as private line in, transparent LAN extension, dedicated Internet access and business continuity/disaster recovery solutions.

ENMAX Envision recently added Nortel Networks OPTera Metro 1400 Ethernet Service Module to the network, expanding the service offering to include Ethernet Virtual Private Network (VPN) capabilities. These capabilities provide greatly increased scalability while ensuring security and quality of service.

"We needed a networking solution that gave us the flexibility to tailor our services as needed to meet the unique requirements of our customers," said Richard Turski, general manager, ENMAX Envision. "Nortel Networks proven optical solutions have enabled us to surpass our networking requirements, offering high-bandwidth services in flexible increments and expanded service offerings."

The Optical Ethernet network involved the creation of three DWDM rings, connecting substations throughout the city using Nortel Networks OPTera Metro 5200 Multiservice Platform. Nortel Networks Passport 8600 Routing Switches provide Gigabit Ethernet connections into the metro DWDM network, with Nortel Networks BayStack BPS 2000 providing high-density Ethernet access at the customer premises.

ENMAX Envision is currently expanding the network to include recently announced enhancements to Nortel Networks Optical Ethernet portfolio, designed to drive Ethernet services growth. OPTera Metro 1400 allows ENMAX Envision to use a cost-effective, shared infrastructure to extend services reach to multi-tenant buildings, and to provide managed VPN service with the same ease of operations, security and reliability of a dedicated solution. With the network expansion, ENMAX Envision implements a scalable solution capable of supporting thousands of end customers per metro area.

"As the operating environment changes, utility and energy services companies increasingly need to differentiate themselves through new service offerings," said Marco Pagani, president, Optical Ethernet and Storage Solutions, Nortel Networks. "Nortel Networks Optical Ethernet solutions allow customers such as ENMAX Envision to offer high-bandwidth connectivity, which in turn enable more advanced services like VPNs, firewalls and voice over IP that are very attractive to enterprises today."

As part of Nortel Networks enterprise technology vision, "One Network. A World of Choice," Nortel Networks optical solutions for the enterprise offer an unmatched scalable, simple and resilient infrastructure to increase the competitiveness of enterprises as they seek a profitable and responsive business model for serving their clients and customers.

Nortel Networks provides a complete set of simple, scalable and secure Optical Enterprise solutions to assist the utility sector in maximizing their networking investment by increasing bandwidth, improving network resiliency and providing new service opportunities. By implementing these solutions, utilities can achieve reduced network complexity and improved total cost of ownership by converging multiple disparate networks over a common infrastructure. Additionally, they can leverage their assets to generate new revenue opportunities through the delivery of next generation Optical Broadband Services including Optical Ethernet and storage connectivity.

Nortel Networks comprehensive Optical Ethernet portfolio enables delivery of Ethernet services across service provider and enterprise networks. Nortel Networks is the only vendor that provides a complete set of solutions including Ethernet over fiber, Ethernet over SONET/SDH and Ethernet over WDM. Nortel Networks was the worldwide leader in the Ethernet DWDM and SONET MSPP segments of the Optical Ethernet market for 2002, according to IDC.

ENMAX Corporation, a wholly owned subsidiary of The City of Calgary, provides electricity, natural gas and value-added services to more than 400,000 residential, commercial and industrial customers in Alberta through its subsidiary companies, ENMAX Power Corporation and ENMAX Energy Corporation.

ENMAX Envision Inc, a wholly owned subsidiary of ENMAX Energy, delivers of high-speed data connections and Internet services to downtown Calgary office buildings. ENMAX Envision owns and operates more than 250 route kilometres of fibre optic network in Calgary. For more information, please visit our website at enmax.com.

Nortel Networks is an industry leader and innovator focused on transforming how the world communicates and exchanges information. The Company is supplying its service provider and enterprise customers with communications technology and infrastructure to enable value-added IP data, voice and multimedia services spanning Wireless Networks, Wireline Networks, Enterprise Networks, and Optical Networks. As a global company, Nortel Networks does business in more than 150 countries. More information about Nortel Networks can be found on the Web at www.nortelnetworks.com.

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 completion of the comprehensive review and the release of financial results and issuance of restated financial statements for 2000, 2001 and 2002 and the first and second quarters of 2003; the severity and duration of the industry adjustment and the continued reductions in spending by our customers; the sufficiency of our restructuring activities, including the potential for higher actual costs to be incurred in connection with restructuring actions compared to the estimated costs of such actions; fluctuations in operating results and general industry, economic and market conditions and growth rates; negative impacts on our gross margins; the ability to recruit and retain qualified employees; fluctuations in cash flow, the level of outstanding debt and our current debt ratings; the ability to meet the financial covenant in our credit facilities; the use of cash collateral to support our normal course business activities; the dependence on our subsidiaries for funding; the impact of our defined benefit plans and our deferred tax assets on our results of operations, cash flows and compliance with our financial covenant; the 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 in the telecommunications industry; the dependence on new product development and our ability to predict market demand for particular products; the uncertainties of the Internet; the impact of the credit risks of our customers and the impact of customer financing and commitments; stock market volatility generally and as a result of acceleration of the settlement date or early settlement of our purchase contracts; the impact of the New York Stock Exchange minimum listing requirements and the proposed consolidation of our common shares; the impact of 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; the ability to obtain timely, adequate and reasonably priced component parts from suppliers and internal manufacturing capacity; the future success of our strategic alliances; and the adverse resolution of litigation and intellectual property disputes. For additional information with respect to certain of these and other factors, see the most recent Form 10-Q and Form 10-K filed by Nortel Networks with the United States Securities and Exchange Commission. Unless otherwise required by applicable securities laws, Nortel Networks 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 Networks, the Nortel Networks logo, the Globemark, Passport, BayStack and OPTera are trademarks of Nortel Networks.

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