Orange outsources network extension & maintenance to Alcatel-Lucent

Orange outsources network extension & maintenance to Alcatel-Lucent

With effect from January 1, 2008, Orange Switzerland will be transferring the extension of its mobile network, as well as the technical operation and maintenance of the entire network to Alcatel-Lucent. For this reason, 146 Orange employees will be reassigned to Alcatel- Lucent. Equivalent working conditions will be guaranteed for a period of 12 months.

In a market characterised by sinking prices and strong competition, Orange Switzerland will be concentrating upon core tasks such as the marketing of products and services and running customer services. Taking into account increased efficiency, other corporate tasks are being reassigned to specialist partners of the highest repute in terms of service.

Orange has therefore decided, as already announced internally and externally, to reassign part of its network extension and maintenance to external partners. Alcatel-Lucent was selected for this role as a result of its substantial know-how and broad international experience with a total of 55 outsourcing projects and more than 80 million customers around the world. As an attractive employer, Alcatel- Lucent also offers very good development opportunities for its employees. The development of managed services by major suppliers is a strong trend in Europe. The France Telecom group is leveraging this trend by offering economic opportunities to both employees and the company, while securing operational objectives.

Orange will be transferring operative tasks exclusively, such as network extension and the technical support and operation of the network. The key strategic aspects of network development and planning, as well as customer support in connection with the network, will continue to be managed by Orange. The partners agreed not to disclose any contract details.

Equivalent working conditions

Alcatel-Lucent will be hiring 146 Orange employees with effect from January 1, 2008. The employees affected will be guaranteed equivalent working conditions for a period of twelve months. Orange and Alcatel-Lucent have discussed the transfer arrangements together with the internal employee representative body and the trade union for the communications industry and have recorded this as a memorandum of understanding.

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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