Nortel commences CCAA and similar proceedings in Canada, US and UK

On January 14, 2009, Nortel Networks Corporation [NYSE/TSX: NT] announced that it, Nortel Networks Limited and certain of its other Canadian subsidiaries would seek creditor protection under the Companies' Creditors Arrangement Act ("CCAA") in Canada. As well, certain of the Company's U.S. subsidiaries, including Nortel Networks Inc. and Nortel Networks Capital Corporation, filed voluntary petitions in the United States under Chapter 11 of the U.S. Bankruptcy Code, and certain of the Company's subsidiaries made consequential filings in the UK. Export Development Canada ("EDC'), one of the parties to the proceedings, is being advised by a team from Fasken Martineau led by Donald Milner and Aubrey Kauffman. EDC is an agent of the Canadian Government and provides financial support in the form of funding assurance of Nortel's contract performace given to customers around the world, a key component of Nortel's business.