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Lucent Technologies Signs $US300 Million Agreement With Brazil's Telemar

Lucent Technologies today announced it reached an agreement with Telemar, the leading fixed wireline telephone service provider for the northeastern region of Brazil, to provide US$300 million of Lucent products and services through 2002.

This agreement, which includes financing, further extends Lucent's relationship with Telemar as a major technology provider for the company.

Lucent will supply Telemar with a wide range of next generation switching and access solutions as well as in wireless local loop (WLL) systems. In addition, Lucent will provide services and products in communications software solutions, billing systems, and professional services.

Earlier this year, Lucent signed a contract with Telemar to supply an integrated WLL system based on Digital Enhanced Cordless Telephony (DECT) technology. The Lucent WLL system will allow Telemar to provide service to more than 100 small towns that previously had no telephone service.

In addition, last year Telemar signed an extensive agreement with Lucent to provide 1,200,000 new ports and a variety of switching and access systems throughout Telemar's serving area. The agreement includes Lucent's 7R/E(TM) NOW solution, providing Telemar with Internet, DSL and other capabilities today, as well as a smooth transition from circuit to packet networks in the future.

``We are very happy to continue to be an important part of Telemar's networking solutions and to provide its customers with advanced technologies'', said Renato Furtado, president of Lucent Technologies do Brasil. ``Telemar is moving very fast to achieve its goal of providing universal service with state of the art technologies.''

Telemar provides fixed telephony services in the northeast region of Brazil, comprised of 16 states and a population of 86 million people. The area includes parts of the Amazon region as well as the states of Rio de Janeiro, Bahia, and Minas Gerais.

In Brazil, Lucent Technologies has more than 1,600 employees, offices in eleven major cities and its corporate headquarters in the industrial city of Campinas. It has three manufacturing plants in Belo Horizonte, Minas Gerais, and Campinas where the company manufactures switching and access systems as well as wireless cell sites and components.

Lucent Technologies, headquartered in Murray Hill, N.J., USA, designs and delivers the systems, software, silicon and services for next-generation communications networks for service providers and enterprises. Backed by the research and development of Bell Labs, Lucent focuses on high-growth areas such as broadband and mobile Internet infrastructure; communications software; communications semiconductors and optoelectronics; web-based enterprise solutions that link private and public networks; and professional network design and consulting services. For more information on Lucent Technologies, visit its web site at http://www.lucent.com.

For more information:

     Lucent Technologies - Latin America
     Fernando Figueredo
     305-569-3747 (office)
     ffigueredo@lucent.com
        or
     Lucent Technologies - Brazil
     Thais Campos
     55-19-7-7-7667 (office)
     tcampos@lucent.com
        or
     Lucent Technologies - US
     Barbara Burgess
     908-582-2612 (office)
     barbarab@lucent.com
        or
     Lucent Technologies
     Marco Malfavon
     (525) 278-7070 (office)
     mmalfavon@lucent.com