Czech Railways Selects Kapsch CarrierCom, Nortel for GSM-R Solution

VIENNA, AUSTRIA, Jul 13 (MARKET WIRE) --
Czech Railways has selected Nortel(1) (OTCBB: NRTLQ) GSM-R technology to
provide wireless communications to the 207 km Czech section of the
International Railway Corridor IV between Austria and Poland. Nortel
partner Kapsch CarrierCom will supply and deploy the network. The project
began in June 2009 and is scheduled for completion by end of 2009.

The new GSM-R network extension will be installed on the corridor line
connecting Austria to Poland from Breclav to Prerov in the Czech Republic
to Petrovice u Karvine on the Polish border.

This latest GSM-R contract follows announcements from 2007 awarding
Kapsch CarrierCom and Nortel the Czech Railways GSM-R technology
contracts for railway lines from the Czech Republic through Slovakia and
Hungary to destinations in Greece, Turkey and Romania.

"Kapsch was traditionally an expert in the analog sector and today,
thanks to the quality of our work and our ongoing relationship with
Nortel, we have a leading position in GSM-R, the next generation digital
wireless train communication system," explains Thomas Schoepf, Kapsch
CarrierCom Board of Directors. "We are pleased with the success of our
joint GSM-R projects in the Czech Republic, Slovakia and Austria and we
also believe that we have good opportunities to secure upcoming projects
in other South-Eastern European countries."

"Railway technology is developing at a fast pace. Higher train speeds and
more demanding security regulations make it necessary to implement
reliable and trusted new communication systems across railway networks,"
adds Cyrill Busslinger, country manager Austria, Nortel. "GSM-R is an
important component of these new communication systems and Nortel leads
technology development in the GSM-R sector. Nortel's proven GSM-R
technology and Kapsch CarrierCom's longstanding expertise in implementing
GSM-R networks, provide a strong foundation for the modernization of the
Czech Railway network. The win of this project also shows the continued
commitment of our clients to Nortel and its GSM-R solutions."

Nortel's GSM-R solution enables Czech Railways to improve safety, reduce
operational costs and increase average train speeds, which in turn will
cut travel times. Nortel's technology will also help increase network
interoperability and support new voice applications running over the
GSM-R network such as railway emergency and group conference calls. These
features are of key importance for track to train communications along
the railway corridor.

The solution for the Czech Railways corridor IV includes Nortel Base
Transceiver Station (BTS) 9000 and 6000 products, Nortel's Base Station
Controller (BSC) 3000 and Nortel Trans Coding Unit (TCU) 3000. The new
contract includes an extension to the Czech Railway's switching subsystem
and an upgrade to Nortel's intelligent network and GPRS packet core
solution. Three additional repeater stations will be created to ensure
network coverage in locations that would otherwise be difficult to reach.
The Kapsch CarrierCom Railway Provisioning Manager is used for subscriber
and configuration management of the network and provides user and
administration tools with a web-based graphical user interface. This
agreement will enable Czech Railways to extend the benefits of GSM-R
communications to this strategic international corridor.

GSM-R helps increase the efficiency and safety of the railway by
supporting reliable and secure communications among railway operational
staff, including drivers, dispatchers, train engineers and station
controllers. GSM-R is part of the new European Rail Traffic Management
System (ERTMS) standard and carries the signaling information directly to
the train driver, enables faster train speeds and increases traffic
density while maintaining a high level of safety. GSM-R is specified for
train speeds up to 500 km/h, so it is ideally suited for the planned
speed increases in conventional rail networks as well as for new
high-speed routes.

Nortel has more than 15 years experience with GSM-R mobile communications
technology and is currently providing GSM-R on three continents. With a
market share close to 60 percent of the 117,500 Km of rail tracks
installed using the GSM-R system, Nortel is the number one GSM-R provider
globally. Nortel has been awarded national GSM-R contracts in Czech
Republic, Austria, Bulgaria, France, Germany, Lithuania, and the UK as
well as large GSM-R deployments in Algeria, China, Italy, India,
Slovakia, Spain and in Turkey.

About Kapsch CarrierCom

Kapsch CarrierCom is one of European leaders in telecommunication
solutions for fixed and mobile network operators. Kapsch CarrierCom
covers all fields: from analysis, consulting, design, product
development, integration, installation and training to maintenance and
operation of complete networks.

For more information please visit www.kapsch.net(2)

About Nortel

Nortel delivers communications capabilities that make the promise of
Business Made Simple a reality for our customers. Our next-generation
technologies, for both service provider and enterprise networks, support
multimedia and business-critical applications. Nortel's technologies are
designed to help eliminate today's barriers to efficiency, speed and
performance by simplifying networks and connecting people to the
information they need, when they need it. 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
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These statements are subject to important assumptions, risks and
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be materially different from those contemplated in forward-looking
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and other factors, see Nortel's Annual Report on Form10-K, Quarterly
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(1)Nortel, the Nortel logo and the Globemark are trademarks of Nortel
Networks.

(2)This is a 3rd party link as described in our Web linking practices.

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

Contacts:
Nortel
Sabine Werb
+49 (0)89-38 01 79-12
sabine.werb@nortel.com

Nortel
Greta Brown
+44 1628432968
gretab@nortel.com
www.nortel.com

Kapsch CarrierCom
Hans-Georg Mayer
+43 (0)50 811 3664
hans-georg.mayer@kapsch.net

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