Reliant FORM 10-K manual Equity compensation plan information, Plan category

(17)Includes 1,453,334 common shares subject to stock options and 397,127 common shares as to which Mr. DeRoma shares investment and voting power with his spouse.

(18)Includes 15,124,239 common shares subject to stock options. Also includes 420,920 common shares as to which investment and voting power is shared with one or more other persons. Excludes 52,854 common shares as to which beneficial ownership is disclaimed.

Equity compensation plan information

2004

The table below provides information as of December 31, 2004 with respect to common shares of the Company that may be issued under the following equity compensation plans:

•Nortel Networks Corporation 2000 Stock Option Plan (the “2000 Stock Option Plan”); and

•Nortel Networks Corporation 1986 Stock Option Plan as amended and restated (the “1986 Stock Option Plan” and, collectively with the 2000 Stock Option Plan, the “Stock Option Plans”).

The table does not provide information with respect to equity compensation plans that have expired or are no longer in effect. The Company and its subsidiaries maintain other equity compensation plans that permit awards to directors, officers and other employees to be paid in common shares of the Company that are not issued from treasury but are purchased on the open market for immediate delivery to plan participants. Such plans are not dilutive to shareholders and information with respect to such plans is not required to be included in the table.

Plan category

Equity compensation plans approved by shareholders (1)

Equity compensation plans not approved by shareholders (2) Total (3)

(1)Consists of the Stock Option Plans.

A

Number of common shares to be issued upon exercise of outstanding options, warrants and rights

278,710,155

–

278,710,155

B

Weighted average exercise price of outstanding options, warrants and rights

$10.87

–

$10.87

C

Number of common shares remaining available for future issuance under equity compensation plans (excluding common shares reflected in column A)

73,062,123

–

73,062,123

(2)None. Except for the plans noted in footnote (3) below, all equity compensation plans involving the issuance of common shares from treasury have received shareholder approval.

(3)This table does not include information on any options, warrants or rights outstanding under plans that have been assumed by the Company and its subsidiaries in connection with merger, consolidation or other acquisition transactions (the “Assumed Stock Option Plans”). As of December 31, 2004, 20,278,215 common shares of the Company were issuable upon the exercise of outstanding options under the Assumed Stock Option Plans. The weighted average exercise price of such outstanding options is $23.11 per common share. No additional options may be granted under the Assumed Stock Option Plans.

2003

The table below provides information as of December 31, 2003 with respect to common shares of the Company that may be issued under the following equity compensation plans:

•Nortel Networks Corporation 2000 Stock Option Plan (the “2000 Stock Option Plan”); and

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