Matav-Cable Systems Media Ltd. Corrects figures in Condensed Consolidated Statement of Income

Business Wire, August 18, 1999

--(BUSINESS WIRE)--

In BW1057 (MATAV)(MATVY) Matav-Cable Systems Media Ltd. Announces Second Quarter and First Six Months 1999 Results, in Condensed Consolidated Statement of Income, under Convenience Translation into US$, Three Months Ended 6/30/99, Net income (loss) per share, basic should read ($0.08) sted $0.08, and Net income (loss) per ADS, basic should read ($0.16) sted $0.16.

Corrected table follows.

-0-

                     MATAV-CABLE SYSTEMS MEDIA LTD.
                       (An Israeli Corporation)
              CONDENSED CONSOLIDATED STATEMENT OF INCOME
                (in thousands, except per share data)
                             (unaudited)

                                                    Convenience
                   June 1998 Adjusted NIS           Translation
                                                    into US$
            Three Months Ended  Six Months Ended    Three Months Ended
            6/30/99    6/30/98  6/30/99   6/30/98   6/30/99

Revenues    111,906    100,782  223,173   202,113   $27,455

Operating
 expenses    61,265     52,751  118,975   105,218   $15,031
Gross profit 50,641     48,031  104,198    96,895   $12,424

Selling, marketing,
 general
 and administrative
 expenses:
 Selling and
  marketing   5,203      2,719    9,341     5,710    $1,276
General and
 administra-
 tive         8,934      7,139   18,677    14,227    $2,192
             14,137      9,858   28,018    19,937    $3,468

Operating
 income      36,504     38,173   76,180    76,958    $8,956
Financial income
 (expenses),
  net         (684)     (2,351)     887   (4,011)    $(168)
Other income
 (expenses),
 net        (4,498)         34    (4,449)     13   $(1,104)

Income before
 taxes on
 income     31,322      35,856     72,618  72,960   $7,684
Taxes on
 income     11,464      12,786     26,449  26,200   $2,813
Income from
 operations
 of the
 Company and its
 subsidia-
 ries       19,858      23,070     46,169  46,760   $4,871
Shares in profits
 (losses) of
 associated
 companies,
 net      (31,904)         544    (83,642)    498  $(7,826)

Net income
 (loss)   (12,046)      23,614   (37,473)  47,258  $(2,955)

Net income (loss)
 per share,
   basic    (0.35)        0.87     (1.27)    1.74   ($0.08)

Net income (loss)
 per ADS,
 basic      (0.70)        1.74     (2.54)    3.48   ($0.16)
Weighted average
 number of shares
 outstanding in
 thousands,
 basic     29,954       27,180    29,954    27,153  29,954
Weighted average
 number of ADS's
 outstanding in
 thousands,
 basic    14,977        13,590    14,977    13,577  14,977

Net income per
 share,
 diluted       -          0.77         -      1.50     $ -
Net income per
 ADS, diluted  -          1.54         -      3.00     $ -
Weighted average
 number of shares
 outstanding in
 thousands,
 diluted       -        29,593         -    29,566       -
Weighted average
 number of ADS's
 outstanding in
 thousands,
 diluted       -        14,797         -    14,783       -
Memo: EBITDA
 (excluding other
 expense) 57,108        58,835   117,100    117,700 $14,011