PARIS, December 11 /PRNewswire/ --     Alcatel-Lucent (Euronext Paris and NYSE: ALU) today announced the 
signature of a turnkey contract for a 4,900 km submarine cable network with 
The East Africa Marine System Ltd (TEAMS Ltd.) consortium - including the 
Government of Kenya and Etisalat (Emirates Telecom Corporation) of the United 
Arab Emirates (UAE). The TEAMS network will connect the port city of Mombasa 
in Kenya with the port of Fujairah in the UAE offering the required optical 
connectivity to bring broadband to all users and positioning Kenya as a new 
communication hub. Network installation is scheduled by the end of the first 
quarter 2009.

Designed with an ultimate capacity of 640 Gbit/s, the TEAMS
submarine cable network will dramatically increase the regional communication
capabilities and support new high-quality broadband services, such as free
Internet for schools, and Ethernet-based services to further bolster social
and economic development.

"With Alcatel-Lucent's cable solution, we will bring down the
cost of Internet connectivity and international calls," said Dr. Ndemo,
Information Ministry Permanent Secretary of Kenya. "As an important economic
player in East Africa, such high speed communications links will support the
business community's investment in outsourcing services, which are becoming
increasingly popular in Kenya".

On this occasion, the Chairman of Etisalat Mr. Mohd Hassan
Omran said: "Technology brings significant and proven benefits to the
communities and economies in which it serves. By deploying the first direct
connection from East Africa to the world, we are helping to close the digital
divide between nations. We believe that this project will have far reaching
impact on the continent that will be felt for decades to come."

"This project is a new milestone in the development of the
Eastern African communication infrastructures," stated Jean Godeluck,
President of Alcatel-Lucent's submarine network activities. "Our submarine
solutions offer the flexibly and reliability our customers demand to support
the cost-effective delivery of innovative services. This contract is another
significant demonstration of our strong leadership in submarine network
solutions."

The Alcatel-Lucent managed solution will be based on its 1620
Light Manager next-generation DWDM submarine platform, and will also include
cable and submarine repeaters. As part of the turnkey contract,
Alcatel-Lucent will also deploy its deploy its 1678 Metro Core Connect (MCC)
in the landing stations located in Mombasa and Fujairah. The Alcatel-Lucent
1350 management system will supervise all the equipment supplied. A
comprehensive suite of professional services, including project management,
engineering, marine operation, and installation testing and commissioning,
will be also part of this turnkey project.

About Alcatel-Lucent

Alcatel-Lucent (Euronext Paris and NYSE: ALU) provides
solutions that enable service providers, enterprises and governments
worldwide, to deliver voice, data and video communication services to
end-users. As a leader in fixed, mobile and converged broadband networking,
IP technologies, applications, and services, Alcatel-Lucent offers the
end-to-end solutions that enable compelling communications services for
people at home, at work and on the move. With operations in more than 130
countries, Alcatel-Lucent is a local partner with global reach. The company
has the most experienced global services team in the industry, and one of the
largest research, technology and innovation organizations in the
telecommunications industry. Alcatel-Lucent achieved adjusted proforma
revenues of Euro 18.3 billion in 2006 and is incorporated in France, with
executive offices located in Paris. (All figures exclude impact of activities
transferred to Thales). For more information, visit Alcatel-Lucent on the
Internet: http://www.alcatel-lucent.com

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