Alcatel-Lucent and China Mobile sign a USD 1 billion framework agreement covering cooperation on mobile network upgrades and expansions in 2008

Washington DC, June 2008 - Alcatel-Lucent (Euronext Paris and NYSE: ALU) today announced it has signed a USD 1 billion framework agreement for 2008 with China Mobile to provide mobile communication equipment and services. This agreement was secured through Alcatel-Lucent’s flagship company in China, Alcatel Shanghai Bell.

Under the frame agreement, Alcatel-Lucent will provide China Mobile with mobile core network solutions, wireless network solutions, TD-SCDMA equipment, applications, transmission and IP router equipment and the related services. Alcatel-Lucent’s cutting-edge products and solutions will further enhance China Mobile’s network capacity and performance to help China Mobile provide high-quality services for its end-users.

“We are delighted to be selected to continue providing solutions and services to China Mobile. China Mobile is one of our company’s main strategic cooperation partners.” said Olivia Qiu, President of Alcatel Shanghai Bell, “The strategic frame agreement with China Mobile reinforces Alcatel-Lucent’s position as a trusted partner, as China Mobile relies upon our network solutions and services to meet their growing demand for mobile and now fixed services and in advancing China’s telecommunication industry.”

The frame agreement signing ceremony, witnessed by Chinese Vice Premier Wang Qishan who was on an official visiting trip to USA, was held today in Washington, DC.