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Technology Stocks : Nortel Networks (NT) -- Ignore unavailable to you. Want to Upgrade?

To: Paul Fine who wrote (901)	9/29/1998 9:33:00 AM
From: Neil H	Read Replies (1) \| Respond to of 14638

Tuesday September 29, 8:03 am Eastern Time Company Press Release SOURCE: Northern Telecom Limited Nortel Networks CEO Says Merger with Bay ''Is Working'' NEW YORK, Sept. 29 /PRNewswire/ - Just 29 days after completion of the merger, the integration of Bay Networks is on track and producing positive results, Nortel Networks chief executive officer John Roth will tell Wall Street investors and analysts here this morning at the company's annual conference with financial analysts. ''The merger is working,'' Roth said. ''The customers are buying.'' After the August 31 merger, Bay Networks, Nortel Networks' line of business focusing on enterprise data networking, moved quickly to exploit the synergistic opportunities by making joint bids to customers. These joint bids involved unifying customer networks with integrated data and telephony solutions. ''In the wake of the merger, Bay Networks has its strongest-ever product line, encompassing the broadest range of integrated data and telephony products. Customers appreciate that because they are seeking to unify their networks by working with fewer suppliers -- choosing the end-to-end supplier who can offer high-performance, mission-critical solutions,'' said Roth. The merger of Bay Networks brought Nortel Networks expanded capabilities in enterprise data networking including routing, switching, and remote access, as well as hundreds of new customers including large and small enterprises. It also brought Nortel Networks the technology of a world leader in IP (Internet protocol) routing, an essential ingredient for building carrier-class packet-based digital networks. Nortel Networks president Dave House said that the integration of Bay's IP technology into every one of Nortel's lines of business is now underway. ''In every segment of telecommunications, the data or packet-based portion is the fastest-growing, and our IP technology positions us at that fast-growing part of the market.'' The world telecommunications industry continues to grow at solid double-digit rates, Roth said. The total telecommunications industry is on track to grow at 14 percent a year over the next three years. Nortel Networks expects to grow faster than that, because its advanced technologies and breadth of product portfolio are enabling the company to win market share in segments ranging from digital wireless telephony in Latin America to IP technology in data networking for businesses and carriers. Nortel Networks' sales are also benefiting from its focus on the fast-growing new operators in the industry, including competitive local-exchange carriers in the U.S., wireless service providers worldwide, and the alternatives to established national telephone companies springing up with the advent of deregulation in Europe, Latin America, and Asia. Sales of Nortel Networks' fibre optic transmission systems continue to grow strongly. More than 75 percent of all Internet traffic in North America is carried on Nortel Networks' fibre optic backbone networks. ''We are taking share from our competitors because we are in the fast-growing market segments with the fastest-growing customers. We are also expanding our business with existing customers based on performance, reliability, and new network solutions that help them move into a new era of networking,'' Roth said. Unified Networks is a unique capability that enables Nortel Networks to combine data and telephony, enterprise and carrier, packet and circuit-switching, and wireline and wireless. Unified Networks are integrated solutions to help customers move to the world of anywhere-anytime communications. Regards Neil