The Tel Aviv Stock Exchange Ltd.                                                The Israel Securities Authority www.tase.co.il                                                                             www.isa.gov.il Immediate Report on an event or matter outside the normal course of business

Re: Immediate Report - Legal Claim The Securities Authority, Jerusalem The Tel Aviv Stock Exchange, Tel Aviv The Registrar of Companies, Jerusalem Dear Sirs, Immediate notice is hereby given that a claim and application for approval as a class action were received at the Company's offices, filed in

"business access" services are changing work patterns in israel and worldwide Bezeq hosted a conference for 700 of israel's largest business customers to launch its "business access" service   Bezeq Business launched its "Business Access" service at the David Intercontinental hotel in Tel Aviv,

Last month: record sales of ADSL subscriptions In December Bezeq added almost 30,000 new ADSL subscribers. At this rate, subscribers will number half a million within 3 months   Bezeq is rapidly approaching half a million subscribers to ADSL, its high-speed Internet.

All the large banks choose Bezeq's IPVPN service More than 1500 lines will be connected to the five banks Increase of up to 25(!) times the bandwidth compared to today IPVPN service is gathering momentum in the business segment, with more than 600 customers and 30,000 lines Bezeq has now completed

In A Strategic Move, Bezeq Aims To Lead The Laptop Revolution In Israel Bezeq is becoming the customer's communications service provider along the entire value chain, from high-speed internet infrastructure through the wireless network and added value services to the laptop Avi Gabbay, Bezeq CEO:

15th October, 2002   Bezeq, in its statement of defense filed today in the real estate dispute with the State: "IT WAS THE STATE WHICH DEPRIVED BEZEQ AND PREJUDICED ITS RIGHTS IN THE REAL ESTATE AFFAIR" Bezeq: " The State's claim is refuted on its merits and is replete with flaws.

Labor Court – Bezeq Employees Undertake to Enter into Accelerated Negotiations   Bezeq Management: We expect the Employee Union to uphold its undertaking regarding negotiations in good faith   On publication of the ruling of the Labor Court, Bezeq Management stated that it would not be possible to

Labor Court issues Injunction against Bezeq Employees   The Court ordered employees to stop “planting” messages in service centers that were harmful to Bezeq's CEO.   Company Management:   “We will do what is necessary to prevent the bureaucracy and anarchy that the employee union is trying to

Just Call 5100100 – That's All ! The Youth Version of Five Plus Six Zeros is Launched In Only Three Months – One Million Calls to the Bezeq-Sponsored Content Line - Five Plus Six Zeros   The content line - Five Plus Six Zeros - recently celebrated one million calls since being launched some three