Client Work Detail

Nortel Networks Limited, the principal direct operating subsidiary of Nortel Networks Corporation ("NNC"), completed an offering of US$675 million aggregate principal amount of 10.750% senior unsecured notes due 2016 (the "Notes"), fully and unconditionally guaranteed by NNC and initially guaranteed by another NNC subsidiary, Nortel Networks Inc.. The offering was made in the United States to qualified institutional buyers pursuant to Rule 144A under the U.S. Securities Act of 1933, as amended, to persons outside of the United States under Regulation S under the Securities Act, and to accredited investors in Canada pursuant to applicable private placement exemptions.

Nortel will use the net proceeds of the Offering, together with available cash, to redeem at par the US$675 million outstanding principal amount of NNC's convertible senior notes due September 1, 2008. In Canada, Nortel was represented by Ogilvy Renault LLP with a team comprised of Michael Lang, Paul Fitzgerald and Heidi Reinhart (Securities), Andrew Welsh and Nicole Sigouin (Banking) and Barry Segal (Tax) in Toronto and Christine Dubé (Securities) in Montréal.