Nortel fully embraces the positive effects that diversity suppliers bring. Corporately, we strive to provide maximum practical opportunity to any diversity supplier that can provide goods and services that will enhance the quality of our products, keep total costs to a minimum, and increase shareholder value.

Nortel is recharging its program for diversity suppliers. At our Supplier Diversity Summit, held in Dallas on February 22, 2005, we introduced our new diversity strategy to 60 small businesses owned by minorities, women, disabled veterans, and others who have been granted "diversity supplier" status by governmental and other agencies. We took advantage of this unique opportunity to send a strong message that we value diversity as a company, not only with individuals but also in the way we do business with suppliers.

Nortel's Supply Diversity Strategy:
Nortel's Diversity Strategy promotes a flexible supply chain supporting regional customer priorities through our Supplier Business Engagement Model.

Program Objective:
To provide maximum practical opportunity to small, minority, women, veteran and service disabled veteran owned businesses in our contracting and purchasing activities.

Program Responsibilities:

• Identify and interface with potential suppliers interested in doing business with Nortel.
• Assist potential suppliers in identifying Nortel what portfolio teams are responsible for their respective products and services.
• Ensure that small, minority- and women-owned businesses that meet Nortel's needs are given every opportunity to compete as subcontractors and suppliers

To be eligible to participate in Nortel's Supplier Diversity Program a company must be certified by an approved third party as having met the definition of being a small disadvantaged business, a HUBZone (Historically Underutilized Business Zone) business or a business that is at least 51% owned, operated, managed and controlled by one or more diverse groups:

African American
Hispanic American
Asian Pacific American
Asian Indian American
Native American
Women
Veteran/Service Disabled Veteran

Approved third party certification agencies include:

NMSDC: National Minority Supplier Development Council
WBENC: Women's Business Enterprise National Council
NWBOC: National Women's Business Owners Corporation
SBA: United States Small Business Administration
ASDV: Association for Service Disabled Veterans
Gov't Agencies: Federal, State, City or County Certification Agencies

If you are interested in becoming a supplier to Nortel, we encourage you to register your company in our diversity supplier database located at: https://cvmas13.cvmsolutions.com/nortel/New_Vendor_Registration.asp.

After reviewing your registration, someone from Nortel will contact you should there be a match between your capabilities and Nortel's supply needs.

Existing suppliers can login to our diversity database located at: http://nortel.cvmsolutions.com.

If you need additional assistance, please contact supdiv@nortel.com.