Wales Tourism and Visit Planning

Cardiff Council Shows eGovernment Leadership with Nortel Networks, Unified Networks

Broadband Fixed, Wireless Network Connects Councillors, Libraries, Schools, Services

LONDON--(BUSINESS WIRE)--July 8, 2004--Cardiff Council has implemented a networking infrastructure for delivery of IT systems to its citizens, children, councillors and employees using Nortel Networks (NYSE:NT)(TSX:NT) equipment through a strategic partnership with Unified Networks.
The latest Nortel Networks equipment installed at the Council provides wireless network access, secure remote log-in for councillors, employees, branch offices and partner organisations, and an improved large enterprise class managed environment to allow for secure delivery of services to schools and libraries.

The deployment was part of a five-year framework agreement, signed in the third quarter of 2003 between Cardiff Council and Unified Networks, aimed at expanding the Council's existing infrastructure.

"In the past, IT networks have been seen purely in terms of facilitating internal business practices and communication," said Crispin O'Connell, chief ICT officer, Cardiff Council. "We are in an age where demand is for consumer-driven services and Cardiff Council sees ICT as a critical factor in encouraging new business into the region and empowering our citizens."

"Our ICT business plan aims to provide the best possible service in support of the Council's community and business objectives," O'Connell said. "The performance and reliability of our ICT service has a significant impact on the Council's ability to engage with its citizens, government, industry and the world at large. With Nortel Networks and Unified Networks, we have the right partners in place to make this a positive impact."

Consumer Direct Wales was a recent success for the region and was won as part of a competitive tender. This Department for Trade and Industry service will be hosted by Cardiff Council and will offer advice and information on trading standards and consumer matters throughout Wales. Key to the future success of this project is the confidence the ICT service has in its network and design using Nortel Networks solutions.

"Cardiff Council is an excellent example of how local government can take a lead in demonstrating the benefits of the latest networking capabilities," said Keith Reading, managing director, Unified Networks. "As an exclusive Nortel Networks supplier, we have been able to use equipment from across an extensive enterprise network portfolio to provide high-bandwidth fixed and wireless network access and leading security solutions that prevent unauthorised network access and offer virus protection."

Cardiff Council is providing Internet and intranet access, using leased line and virtual private network solutions, to councillors and employees from over 120 different Council locations across the city and from home offices. In addition, more than 150 schools and libraries use the Council's broadband network design for connection to the Lifelong Learning Network Wales and the UK's wider 'Super Janet' education network.

In addition, as the largest city in Wales, Cardiff provides economies of scale to offer services to other local councils and governmental departments. The necessity to host files and services for joint partnerships has driven the need to implement high bandwidth firewalls that create a security barrier for the work it does for other agencies.

Cardiff Council is the largest employer in Wales, employing more than 18,000 full-time and part-time workers. The Council serves the capital City of Wales and its 308,000 residents. As a unitary authority, the Council provides a comprehensive ICT service and solutions across the full portfolio of local services.

Unified Networks has implemented a range of Nortel Networks equipment to provide a high-bandwidth, next generation network solution for Cardiff Council. This includes:

-- Nortel Networks Passport 8600 Ethernet Routing Switch

-- Nortel Networks Passport 8300 Ethernet Switch delivering power over Ethernet capability

-- Nortel Networks Baystack 420, 425, 450, 460 and 470 Switches to provide high performance switching at various scales and to power Ethernet devices such as wireless LAN access points

-- Nortel Networks Wireless LAN Access Point 2220 supporting 802.11a/b Wi-Fi network access

-- Nortel Networks Wireless LAN Security Switch 2250 ensuring a highly secure and cost efficient WLAN network

-- Nortel Networks Contivity 1700 Secure IP Services Gateway that provides up to 1000 tunnels to securely connect remote workers and branch offices to large branch offices or headquarters sites

-- Nortel Networks Alteon Switched Firewall providing security and firewall protection

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 or www.nortelnetworks.com/media_center.

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 Nortel Networks independent review and planned restatement of its previously announced or filed financial results; the impact of the management changes announced on April 28, 2004; the impact of the inability to meet Nortel Networks filing obligations on support facilities and public debt obligations; the sufficiency of Nortel Networks 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; continued reductions in spending by Nortel Networks customers; fluctuations in Nortel Networks operating results and general industry, economic and market conditions and growth rates; the communication by Nortel Networks auditors of the existence of material weaknesses in internal control; Nortel Networks ability to recruit and retain qualified employees; fluctuations in Nortel Networks cash flow, level of outstanding debt and current debt ratings; the use of cash collateral to support Nortel Networks normal course business activities; the dependence on Nortel Networks subsidiaries for funding; the impact of Nortel Networks defined benefit plans and deferred tax assets on results of operations and Nortel Networks cash flows; Nortel Networks dependence on new product development and its ability to predict market demand for particular products; Nortel Networks 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; changes in regulation of the Internet; the impact of the credit risks of Nortel Networks 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 Nortel Networks purchase contracts; the impact of Nortel Networks 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 future success of Nortel Networks strategic alliances; and the adverse resolution of litigation, investigations, intellectual property disputes and similar matters. For additional information with respect to certain of these and other factors, see the most recent Form 10 Q/A and Form 10-K/A 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, Business Without Boundaries, Passport, Baystack, Contivity and Alteon are trademarks of Nortel Networks.

Use of the terms "partner" and "partnership" does not imply a legal partnership relationship between Nortel Networks and any other party.

Contacts


Nortel Networks
Ben Roome, +44 1628 43 3113
benroome@nortelnetworks.com
or
Angelika Kempf, +44 1628 43 7340
angelika.kempf@nortelnetworks.com

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