ECI Telecom Secures New Optical Network Project; ECI Telecom To Supply Optical and Transport Networking Turn-Key Solution To Globe Telecom, Philippines

Business Wire, June 7, 2000

Business & Telecommunications Editors

PETAH TIKVA, Israel--(BUSINESS WIRE)--June 7, 2000

ECI Telecom Ltd. (NASDAQ/NM symbol:ECIL) announced today a new US $12 million contract from Globe Telecom, one of the Philippines' largest cellular operators. ECI Telecom was chosen to provide a full turn-key solution including DWDM optical networking equipment, T::DAX Digital Cross Connects, SDH equipment and SDH radio systems for Globe Telecom's cellular network. The new Globe Telecom transmission network supports the ever-increasing demand for capacity requirements.

The new contract reflects ECI Telecom's strategy to become a leading supplier of optical networking solutions in the Asia Pacific region and throughout the world.

Commenting on the new contract, Amos Talmor-Hubschmann, ECI Telecom's Corporate Vice President and General Manager for the Asia Pacific region, noted: "ECI Telecom is dedicated to the Philippines market. It is our strategy to partner with service providers in this country to accommodate their growth requirements, by offering sophisticated equipment and meeting fast delivery schedules. This is the third contract that we are supplying to Globe Telecom, and we are very pleased to be contributing to the success of the cellular network expansion".

"Globe Telecom's growth rate in subscriber connectivity is unparalleled, and ECI Telecom is able to offer a full turn-key solution that can support this rapid expansion", says Meir Bass, ECI Telecom's Corporate Vice President and General Manager of Integrated Network Solutions. "The combination of these solutions will increase the capability and capacity of the Globe Network dramatically. Additionally, this contract further proves the suitability of our solutions for cellular applications", Bass adds.

ECI Telecom's DWDM optical networking solutions feature fully managed and total optical transparent capabilities combined with full integration of SDH Add/Drop multiplexers, depending on the requirements of the network.

ECI Telecom's T::DAX Digital Cross Connect solution provides broadband, wideband and narrowband multi-service bandwidth management on a single platform. Service providers are faced with increasingly complex network design and the management of multiple traffic types as their networks grow. With T::DAX, service providers now have the ability to make their networks more competitive, offering cost-effective expanded capacity, enhanced performance and sources of new revenue.

Deployed world wide, ECI Telecom is emerging as a leading supplier of optical networking and Digital Cross Connect solutions.

About Globe Telecom:

Globe Telecom is a full service provider offering cellular, data communications, fixed line and Internet services. It is the second mobile service provider in the Philippines, and operates the county's largest GSM (Global System for Mobile) communications network. Globe Telecom is owned by Singapore Telecom International and the Ayala Corporation.

About ECI Telecom:

ECI Telecom Ltd. is a provider of integrated network solutions for digital communications and data transmission systems. The Company designs, develops, manufactures, markets and supports end-to-end digital telecommunications solutions for today's new services and converging networks. The Company's products create bandwidth, expand capacity, improve performance and enable new revenue-producing services. In doing so, they enhance the capabilities of existing networks to support voice, data, video and multimedia services. ECI Telecom's equipment supports traffic in more than 300 service networks in over 145 countries.

This press release and additional information about the Company, are available on ECI TELECOM's site on the World Wide Web: http://www.ecitele.com.

If you would like to receive future news releases electronically, please forward your email address to corporate.marketing@inc.ecitele.com.

Certain statements contained in this release may contain forward-looking information with respect to plans, projections or future performance of the Company. By their nature, forward-looking statements involve certain risks and uncertainties including, but not limited to, product and market acceptance risks, the impact of competitive pricing, product development, commercialization and technological difficulties and other risks detailed in the Company's filings with the Securities and Exchange Commission.