Nortel Files Chapter 11, Retains Morris Nichols

January 2009

Wilmington, DE – January 14, 2009 – Nortel Networks announced today that voluntary petitions under Chapter 11 were filed with the United States Bankruptcy Court for the District of Delaware as it commences comprehensive business and financial restructuring.

In addition to Morris Nichols in Wilmington, Nortel is represented by counsel from Cleary Gottlieb Steen & Hamilton LLP in New York.

Morris, Nichols’ Business Reorganization and Restructuring practice serves regularly as lead or co-counsel for publicly-traded and privately-held debtors in possession, official creditors' committees, bondholders’ committees, secured and unsecured creditors, pre- and post-petition lenders, equity holders, purchasers of assets and a variety of other parties-in-interest.