NORTHERN TELECOM <NT> U.S. UNIT SETS NEW GROUP
Northern Telecom Ltd's U.S. unit will
announce a reorganization today to form a new division focusing
on sales and servicing of data communications equipment,
spokesman Richard Lowe said.
    The new division, called data communications and networks,
will be formed effective May 1 and will market, sell and
service data communications equipment, Lowe said from Northern
Telecom Inc's Nashville, Tenn. headquarters.
    The group will include the company's sales to the U.S.
federal government and U.S. military, he said.
    The U.S. unit's new division will also concentrate on sales
to large end user customers who have a variety of equipment
combined in one network, as well as data packet switching
business for either public or private networks, Northern
Telecom spokesman Lowe said.
    Lowe said the company anticipates revenues from the new
operating group will be about 350 mln dlrs in 1987, increasing
to about one billion dlrs in five years.
    "Raising this to a group level within the company
demonstrates the importance we see in this marketplace and the
rapid growth that could occur there," Lowe said.
    Lowe said the business of the new group was previously part
of Northern Telecom Inc's Dallas-based private branch exchange
division.
    Northern Telecom Inc accounted for about 65 pct of parent
company Northern Telecom Ltd's 1986 revenues of 4.38 billion
dlrs.
    Northern Telecom, North America's second largest
telecommunications equipment designer and manufacturer, is 52
pct owned by Bell Canada Enterprises Inc <BCE>.
 Reuter
