News Release

Immediate Supplementary Report

Recommendations of the Inter-Ministerial Committee Concerning the HOT Group

Tel Aviv, Israel – June 15, 2020 – Bezeq The Israel Telecommunication Corp., Ltd. (TASE: BEZQ), announces that further to the Company's Immediate Report dated November 6, 2019 concerning publication for the public’s comments of the recommendations of the Inter-Ministerial team assessing the deployment of ultra-broadband fixed infrastructure in Israel (“the Inter-Ministerial Team”), in which the Inter-Ministerial Team recommended, inter alia, to continue the examination of the deployment of HOT (“HOT” and “HOT Telecom”) as part of a separate expert opinion, and further to the updates on this subject in section 2.7.2 of the Chapter, Description of the Company's Business in the Company's 2019 Periodic Report, a Supplementary Immediate Report is hereby provided that on June 14, 2020 the Ministry of Communications published for comments of the public the recommendations of the Inter-Ministerial Team in respect of the HOT Group.

In accordance with the main points of the recommendations of the Inter-Ministerial Team:

1. There will be no obligation for deployment placed on HOT for advanced infrastructures that do not make use of the existing access network.
2. There will not be any change in the obligation of the existing universal deployment of HOT Telecom for services provided based on its network of coaxial cables. If HOT chooses to supply advanced services over its coaxial cable network, it will be possible to consider changes in the deployment obligation.
3. HOT will be able to compete in competitive processes for the deployment of advanced infrastructures that are not based on the existing access network in the incentive areas.
4. HOT will be able to make use of BSA services on the ultra-broadband networks of other operators in areas where those operators have an obligation to provide BSA service.

The Company is studying the recommendations of the Inter-Ministerial Team and intends to provide its comments by the date set (June 28, 2020).

Below is a link to the publication in Hebrew of the recommendations of the Inter-Ministerial Team on the website of the Ministry of Communications:

https://www.gov.il/BlobFolder/publicsharing/14062020/he/recomendation_hot_14062020.pdf

The above information constitutes a translation of the Immediate Report published by the Company. The Hebrew version was submitted by the Company to the relevant authorities pursuant to Israeli law, and represents the binding version and the only one having legal effect. This translation was prepared for convenience purposes only.