NORTEL
News Release NETWORKS
www.nortelnetworks.com
FOR IMMEDIATE RELEASE August 29, 2000
For more information:
Business Media: Investment Analysts:
David Chamberlin Nortel Networks
Nortel Networks 905-863-7286
972-685-4648 905-863-6049
[email protected] [email protected]
Nortel Networks, Alteon WebSystems Announce Early Termination
Of Hart-Scott-Rodino Waiting Period in Connection With Acquisition
BOSTON - Nortel Networks* [NYSE/TSE: NT] and Alteon WebSystems [NASDAQ: ATON]
today announced the early termination - on August 28, 2000 - of the waiting
period imposed by the Hart-Scott-Rodino Antitrust Improvements Act of 1976 in
connection with the acquisition of Alteon WebSystems by Nortel Networks.
On July 28, 2000, Nortel Networks and Alteon WebSystems announced the entering
into of a definitive merger agreement whereby Nortel Networks will acquire
Alteon WebSystems, subject to certain customary conditions including approval by
the stockholders of Alteon WebSystems and certain other regulatory filings and
approvals. As previously disclosed, Nortel Networks and Alteon WebSystems expect
that the transaction will close in the last quarter of 2000.
Alteon WebSystems pioneered the concept of Web switching and is a leading
provider of next generation Internet infrastructure solutions designed to enable
eBusinesses to meet the demands resulting from the rapid growth of the Internet.
The company's Web data center products - including Web switches, service
delivery platforms, server adapters and traffic management software - are
optimized to meet the specific challenges of managing Web traffic, and to
provide the high performance and availability of leading networking
infrastructure solutions. Founded in May of 1996, Alteon WebSystems employs a
staff of over 500 around the world and is publicly traded on the Nasdaq Stock
Market under the symbol "ATON."
Nortel Networks is a global Internet and communications leader with capabilities
spanning Optical, Wireless, Local Internet and eBusiness. Nortel Networks had
1999 U.S. GAAP revenues of US$21.3 billion and serves carrier, service provider
and enterprise customers globally. Today, Nortel Networks is creating a
high-performance Internet that is more reliable and faster than ever before. It
is redefining the economics and quality of networking and the Internet,
promising a new era of collaboration, communications and commerce. Visit us at
www.nortelnetworks.com.
Certain information included in this press release is forward-looking and is
subject to important risks and uncertainties. The results or events predicted in
these statements may differ materially from actual results or events. Factors
which could cause results or events to differ from current expectations include,
among other things: the impact of price and product competition; the dependence
on new product development; the impact of rapid technological and market change;
the ability of Nortel Networks to make acquisitions and/or integrate the
operations and technologies of acquired businesses in an effective manner;
general industry and market conditions and growth rates; international growth
and global economic conditions, particularly in emerging markets and including
interest rate and currency exchange rate fluctuations; the impact of
consolidations in the telecommunications industry, the uncertainties of the
Internet; stock market volatility; the ability of Nortel Networks to recruit and
retain qualified employees; and the impact of increased provision of customer
financing by Nortel Networks. For additional information with respect to certain
of these and other factors, see the reports filed by Nortel Networks with the
United States Securities and Exchange Commission. Nortel Networks disclaims any
intention or obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise.
Investors and security holders are advised to read the proxy
statement/prospectus regarding the transaction filed with the Securities and
Exchange Commission by Nortel Networks and Alteon WebSystems, as it contains
important information. Security holders may obtain a free copy of the proxy
statement/prospectus and other related documents filed by Nortel Networks and
Alteon WebSystems at the Commission's website at www.sec.gov or at the
Commission's public reference rooms including the Public Reference Room, 450
Fifth Street, N.W., Room 1024, Washington, D.C. 20549. The proxy
statement/prospectus and the other documents may also be obtained from Nortel
Networks Corporation, Attention: Investor Relations 8200 Dixie Road, Suite 100
Brampton, Ontario L6T 5P6 Canada
Alteon WebSystems, its directors, executive officers and certain other members
of Alteon WebSystems' management and employees will be soliciting proxies from
Alteon WebSystems' stockholders in favor of the merger. Information concerning
the participants is set forth in the proxy statement/prospectus filed with the
Securities and Exchange Commission.
-end-
*Nortel Networks, the Nortel Networks logo and the Globemark are trademarks of
Nortel Networks.
