Only 119? I thought the 7 address bits allowed for 128. Are there some global addresses committed or something?
Zero is reserved for broadcasting.
120 to 127 are reserved. However I can't find the supporting documentation at present. I guess they are reserving them so one day 120 could be used for extended addressing (eg. 120 + 1) could be used as 121, (120 + 2) could be used for 122 and so on. That would give you another 120 or so addresses.
Reading on, in this document: http://www.nxp.com/documents/user_manual/UM10204.pdf
There may be even more addresses reserved. Page 17 of that document lists them.
It looks like 0 to 7 are also reserved for the purposes documented there (0 being the broadcast address).
Plus 120 to 127 are reserved.