Nortel Supplier Forum Honors Top Performers

Market Wire, May, 2008

Nortel(1) (TSX: NT)(NYSE: NT) honored its top performing suppliers and top supplier representatives for 2007 at the 12th annual Nortel Supplier Forum in Richardson, Texas.

"Nortel is focused on our customers and we are increasing quality, speed and productivity in our supply chain to create a competitive advantage," said Joe Flanagan, senior vice president, Global Operations, Nortel. "Nortel's suppliers partner with us to bring value in each of these areas. The annual awards given at our forum recognize the contributions of suppliers who are dedicated to relentless improvement and making business simpler for our customers."

Award winners acknowledged at the Supplier Forum were:

- Diversity Supplier of the Year - Telamon-Corp, Inc.

- Innovation for Services Supplier - Ledefyl

- Innovation for Technology Supplier - JDSU

- Quality & Service - Services Supplier - Manning Global

- Quality & Service - Technology - Spansion

- Supplier of the Year - Renesas

- Supplier Representative of the Year - Joanne Maio, BellMicro

"Our suppliers are helping Nortel better serve our customers through improved competitiveness in service, quality, cost and inventory," said Don McKenna, Nortel's chief procurement officer. "The suppliers and representatives honored for 2007 represent the most outstanding performers and contributors to our global supply chain."

More than 230 people representing 111 of Nortel's Strategic Suppliers attended the two-day forum, which included a 'State of the Business' keynote from Mike Zafirovski, Nortel's president and CEO.

Nortel presented suppliers with its vision for building a competitive advantage in the marketplace. Attendees received updates on Nortel's Global Supply Chain and Quality, Nortel's ongoing Business Transformation and Lean Six Sigma initiatives. Additional presentations focused on Nortel's technology and products including Global Services, Carrier Networks, Metro Ethernet Networks, Enterprise Solutions and Global Procurement.

About Nortel

Nortel is a recognized leader in delivering 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. Nortel does business in more than 150 countries around the world. 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 current expectations, estimates, forecasts and projections about the operating environment, economies and markets in which Nortel operates. These statements are subject to important assumptions, risks and uncertainties, which are difficult to predict and the actual outcome may be materially different from those contemplated in forward-looking statements. For additional information with respect to certain of these and other factors, see Nortel's Annual Report on Form10-K, Quarterly Reports on Form 10-Q and other securities filings 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.

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

Contacts: Nortel Sami Asiri (613) 763-2442 Email: sami@nortel.com Website: www.nortel.com