German Insurance Group Continentale Selects T-Systems, Nortel for Communications Network

Metro Ethernet Solution Assures Reliability and Scalability

FRANKFURT - The German insurance group Die Continentale is optimizing its communications network with support from T-Systems and Nortel* [OTC: NRTLQ]. T-Systems implements and operates the new infrastructure, and Nortel provides the Metro Ethernet Wide Area Networking (WAN) technology for the Dortmund-based insurance group.

The benefits of the new infrastructure for Die Continentale include higher availability and scalability of their network, a simplified administration of the network and lower operation costs compared to more complex MPLS-based solutions. The new converged WAN infrastructure ensures the end-to-end Quality of Service (QoS) for an optimized voice transmission without delays and IP telephony without quality losses.

With its modernized Wide Area Network (WAN) employees in Continentale’s branch offices and call centers are able to access the company’s main customer database in real time, allowing them to respond to client inquiries more efficiently. This helps optimize communications within Continentale and improve customer satisfaction.

“When we invited bids for the modernisation of our WAN infrastructure, Nortel and T-Systems again impressed us with the reliability, scalability and the pricing of their proposed solution,” said Wilfried Porr, head of IT, Communications and Networks, Continentale. “The combined solution enabled us to fully meet our goals for this modernization project. With our new WAN infrastructure, and the support for existing and planned real-time applications, we are now perfectly placed in technological terms to meet current and future challenges in our business.”

“Powerful, low-cost IT infrastructure plays an important role, especially in the insurance industry,” said Joerg Elsaesser, business leader, Enterprise Networks, Nortel Germany. “A simple and consistent voice and data communications infrastructure is essential for quick and efficient communications with customers and partners. Our Metro Ethernet optical solution fits perfectly with these requirements and positions Continentale to switch to highly available IP telephony in the future, which will allow them to achieve further cost-savings especially compared to more complex MPLS-based solutions.”

Die Continentale has used a Nortel IP telephony-ready infrastructure in its local area network (LAN) for a number of years. Upgrading Continentale’s legacy communications infrastructure to Metro Ethernet wide area technology streamlines the network to help alleviate complex and potentially vulnerable routing and protocol functions associated with competing network technologies like MPLS. The converged WAN infrastructure also delivers high-quality IP telephony services and real-time applications.

“With our solution we provide Continentale with an integrated IT infrastructure and enable the company to reduce costs as well as to optimize its customer service,” said Helga Wissing, account manager, T-Systems.

T-Systems implemented a broad portfolio of Nortel solutions to meet Continentale’s technical and business needs. Nortel’s Metro Ethernet solution recently set a new economic benchmark for network efficiency while increasing broadband service potential. This allows extremely high-speed data transfers over fibre-optic networks. The carrier grade nationwide solution leverages a T-Systems managed service on a Packet Optical wide area network built using the Nortel Optical Multiservice Edge 6500 with Ethernet access connectivity achieved via the Ethernet Routing Switch 5510 and Metro Ethernet Services Unit 1850.

About Die Continentale Krankenversicherung
Continentale is an amalgamation of seven different insurance companies. With some 4.6 million policyholders and revenues of 2.4 billion euros, it is one of the largest insurers in Germany. The association is headed by two mutual insurance companies - the Dortmund-based Continentale Krankenversicherung AG and Continentale Lebensversicherung AG, which is headquartered in Munich. Continentale offers one-stop insurance cover for private customers and small and medium-sized enterprises. The broad portfolio of private health insurance policies from Continentale Krankenversicherung AG is complemented by the products offered by Europa Krankenversicherung AG.
For more information, please visit www.continentale.de/krankenversicherung **

About T-Systems
With a global infrastructure of computer centers and networks, T-Systems operates information and communications technology (ICT) for multinational corporations and public institutions. On this basis, Deutsche Telekom’s corporate-customer unit offers integrated solutions for the connected future of business and society. Some 46,000 employees combine industry expertise and ICT innovations to add noticeable value to their customers’ core business all over the world. T-Systems generated revenue of around EUR 11 billion in the 2008 financial year.
For more information please visit www.t-systems.de ** or www.t-systems.com **

About Nortel (in Administration)
Nortel was placed into Administration on 14 January 2009 and it continues to trade on a business-as-usual basis while it reviews its options to recover or restructure. Nortel has announced it is confident that the products and services it supplies will continue to be supported without impacting customers for the foreseeable future. Ernst & Young are the joint administrators for 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 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.

*Nortel, the Nortel logo and the Globemark are trademarks of Nortel Networks.
**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.