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Today is an important day for Nortel Enterprise Solutions. Following the announcement on June 19^th that Nortel is advancing in its discussions to sell its businesses, Nortel announced it has entered into a “stalking horse” asset and share sale agreement with Avaya Inc. for its North American, Caribbean, Latin American and Asia Enterprise Solutions business, and an asset sale agreement with Avaya for the Europe, Middle East and Africa portion of its Enterprise Solutions business, for US$475 million.  These agreements include the planned sale of substantially all of the assets of the Enterprise Solutions business globally as well as the shares of Nortel Government Solutions Inc. and DiamondWare, Ltd.

This is the best path forward for Nortel Enterprise Solutions. If successfully concluded, these agreements would enable customers to continue to benefit from Nortel-created technology and innovation. And most importantly, it would provide clarity on the path forward for its Enterprise customers, partners and employees. Nortel hopes to be in a position to close the sale by the end of the calendar year, however they are unable to provide a definitive timeframe as the process involves a number of steps, including the bidding process, obtaining government, administrator and court approvals and satisfying other conditions. We will update you on the status of the process as further information is available.

Nortel has received tremendous support from its Enterprise customers and partners around the globe over the past several months. They have told Nortel categorically that you value the innovation in its technology, the simplicity of its solutions, and the value they bring to your business. If successfully completed, this transaction could enable Enterprise Solutions to help its customers compete in new ways with expanded scale and resources.

Nortel’s Enterprise Solutions portfolio has been the benchmark in the industry in a number of significant areas. Its unified communications solutions are delivering cost savings, efficiency gains and enhanced performance for customers around the world. Innovations in its application and service portfolio are redefining the way in which companies can operate in a multi-vendor environment. Its data portfolio delivers exceptional performance combined with energy efficiency savings which make both sound economic and environmental sense. And Nortel is leading the industry forward into uncharted territory, with virtual world collaboration, the communication-enablement of corporate business processes, and in contact center self service technology.

While Nortel may not have answers to some of your questions on portfolio or transition specifics today, VOX and Nortel remain focused on our customers and continuing to maintain the high service levels our customers are accustomed to without interruption through this process. I will provide you with updates and more clarity as soon as progress is made or further information is available.

I  will be contacting you in the coming days to discuss this announcement at greater length. In the interim, if you have any questions please don’t hesitate to contact me via email at  nprice@voxns.com, or via phone at 650-989-1015.   You may also visit www.nortel.com/restructuring for the latest news and information on all of Nortel’s restructuring announcements.

Thank you for your business and continued support.