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April 3, 2001
AT&T Latin America Signs Commitment to Purchase Nortel Networks Optical Equipment
Will Use High-Performance Internet Solutions, Services in Broadband Network Deployment
MIAMI - AT&T Latin America [NASDAQ: ATTL] has signed a three-year commitment to purchase a range of high-performance Optical Internet infrastructure solutions and services from Nortel Networks* [NYSE/TSE: NT] for use in the expansion of its high-speed, Pan-Latin American broadband network.
AT&T Latin America plans to use Nortel Networks OPTera* Metro and OPTera Long Haul optical solutions - featuring open dense wavelength division multiplexing (DWDM) technology - to build fiber optic networks for delivery of advanced data, voice, Internet and managed services to corporate customers in the countries in which it operates. "We're aiming to bridge the technology and service gap in the region by delivering high-capacity, highly-reliable telecommunications services," said Rodrigo Garcia, vice president, network services, AT&T Latin America, "and we're looking to Nortel Networks optical solutions to help us accomplish this." "We are committed to delivering high-performance Internet solutions throughout Latin America," said Ellis Sinyor, managing director, Nortel Networks Latin America. "Our industry-leading optical portfolio and end-to end solutions, combined with our experience in building high-capacity networks, will enable AT&T Latin America to offer a suite of advanced services to its customers throughout the region." Nortel Networks solution for AT&T Latin America will also include Nortel Networks Preside* network management and Nortel Networks Global Professional Services. AT&T Latin America is a U.S.-based, autonomous facilities- based provider of integrated high-bandwidth business communications services and solutions with operations in Argentina, Brazil, Chile, Colombia and Peru. At the end of 2000, the company reported approximately 1,900 employees, providing advanced last-mile voice and data connectivity in key business markets in five countries. As of year-end 2000, AT&T Latin America's high-speed fiber network reached over 5,200 total route kilometers or approximately 131,000 fiber kilometers, covering 12 major metropolitan areas. The company offers broadband communications services including data, Internet, voice, videoconferencing and electronic commerce services. AT&T Latin America is the first Latin America-focused communications services provider to offer a national, pan-regional and international, IP/ATM single-architecture broadband network. For more information, visit AT&T Latin America's web site at www.attla.com. Nortel Networks is a global Internet and communications leader with capabilities spanning Optical, Wireless, Local, Personal Internet and eBusiness. The Company had 2000 U.S. GAAP revenues of US$30.3 billion and serves carrier, service provider and enterprise customers globally. Today, Nortel Networks is creating a high-performance Internet that is more reliable and faster than ever before. It is redefining the economics and quality of networking and the Internet, promising a new era of collaboration, communications and commerce. Visit us 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 impact of price and product competition; the dependence on new product development; the impact of rapid technological and market change; the ability of Nortel Networks to make acquisitions and/or integrate the operations and technologies of acquired businesses in an effective manner; general industry and market conditions and growth rates; international growth and global economic conditions, particularly in emerging markets and including interest rate and currency exchange rate fluctuations; the impact of consolidations in the telecommunications industry, the uncertainties of the Internet; stock market volatility; the ability of Nortel Networks to recruit and retain qualified employees; the ability to obtain timely, adequate and reasonably priced component parts from suppliers and internal manufacturing capacity; the impact of the credit risks of our customers; the entrance by Nortel Networks into an increased number of supply, turnkey, and outsourcing contracts which contain delivery, installation, and performance provisions, which, if not met, could result in Nortel Networks having to pay substantial penalties or liquidated damages; and the impact of increased provision of customer financing and commitments by Nortel Networks. For additional information with respect to certain of these and other factors, see the reports filed by Nortel Networks with the United States Securities and Exchange Commission. 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, OPTera and Preside are trademarks of Nortel NetworkContact for Press and Analysts:
Ernesto Ortiz
Nortel Networks
954-851-8886
urtiga@nortel.com
Ben Roome
Nortel Networks
44 207 529 3036
benroome@nortel.com
