Fiber Optic Submarine Cable Communications Between Italy and Israel

Paris, January 17, 2012 - Bezeq International and Alcatel-Lucent (Euronext Paris and NYSE: ALU) have commercially launched a new and superfast submarine cable link between Israel and Italy. This high-speed optical fiber system, named 'JONAH', covers 2,300 kilometers across the Mediterranean, and is intended to address the growing demands of the highly dynamic Israeli telecom market, which shows one of the highest household broadband and mobile penetration rates in the world.

The new link, which leverages Alcatel-Lucent's most advanced submarine communications networking technology, is the first high-speed submarine cable system fully owned by an Israeli operator. It can operate at 100 gigabits-per-second data transmissions to enable data capacity of 7.6 Terabits-per-second(Tbps) between Tel Aviv and Bari, Italy. This ultimate capacity could allow the simultaneous download of 100,000 MP3 files in one minute and the streaming of 15,000HDTV channels.

Isaac Benbenisti, Chief Executive Officer of Bezeq International, said: "This new advanced high-speed Submarine Cable System 'JONAH', demonstrates our ongoing commitment to the development of our communication infrastructure and sets new standards of performance and service for our Israeli as well as global customers. Alcatel-Lucent's advanced technology offers us access to huge bandwidth at more affordable rates, while enhancing our ability to deliver a vast array of new applications and services".

Philippe Dumont, President of Alcatel-Lucent Submarine Networks SAS, said: "The new 'JONAH' system will bring faster connectivity to the Mediterranean, offering the speed and capacity needed to unlock the potential to deliver innovative, IP-based services to meet the demanding requirements of subscribers in the region".

The system integrates Alcatel-Lucent OALC-5 cable, optimized with coherent submarine fiber (CSF), repeaters and the 1620 Light Manager (LM) submarine line terminal which is designed to accommodate 10G/40G/100G wavelengths in the same platform, enabling seamless capacity upgrade on flexible grid for channel spacing without traffic interruption.

This solution, which features advanced optical coherent technology, offers a guaranteed pathway to multi-terabit capacity using 100G channels, far exceeding the maximum capacity achievable with 40G. This protects investment in new wet plant from the risk of obsolescence or capacity limitations due to changes of transmission technology in the transition from 40G to 100G.

About Bezeq International Ltd.

Bezeq International Ltd., Israel's leading Internet and International Telecommunications provider, was founded in 1996 as a wholly-owned subsidiary of Bezeq, the Israeli Telecom Corp. and is part of the country's largest and leading telecom group. Bezeq International provides comprehensive communication solutions in Internet, Telephony (International Domestic and Organizational), IT and Cloud Computing Services, Hosting, Data Communication and Information Security Solutions.