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Press Release

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1st May 2000, Petah Tikva, Israel

Casema Selects ECI Telecom for Broadband Access Telecommunications Deployment Project:
ECI Telecom to Supply Multigate Systems to be Deployed in Region Serving 1.3 Million CATV Subscribers

ECI Telecom Ltd. (NASDAQ/NM symbol: ECIL - news), a leading provider of broadband access solutions, announced today that it has been chosen by Casema Kabeltelevisie N.V. (Casema), one of Netherlands' largest CATV operators, as sole supplier of Multigate HFC cable telephony systems. The Multigate solutions, offered through a strategic marketing agreement with Terayon, were chosen by Casema to deliver broadband access services to a potential 1.3 million CATV subscribers.

Casema intends to begin immediate commercial deployments of the Multigate systems. ECI Telecom has already received orders totaling approximately US$ 7 million, to provide a full turn-key solution. ECI Telecom estimates that the overall framework agreement could reach tens of millions of dollars.

Following an extensive evaluation process, involving several cable phone systems, the Multigate systems demonstrated the capability to consistently deliver high-quality voice services in broadband access environments.

Fully owned by France Telecom, Casema is a leading cable operator in the Netherlands. With a 1.3 million subscriber base, Casema plans to aggressively expand its broadband access HFC services services during the next few years.

ECI Telecom offers an entire portfolio of broadband access solutions, including a wide range of DSL solutions, fiber-based access solutions, broadband wireless local loop solutions and broadband CATV HFC systems.

Henk de Goede, President and CEO of Casema said, ``The delivery of telephony and broadband access services is core to our aggressive growth strategy. We want to provide high-quality service packages which are important to attracting and retaining customers. Through ECI Telecom, we can provide multi-service solutions to support our marketing strategy.''

"ECI Telecom is very pleased to play a part in achieving Casema's goal to bring telephony and other added-value services into more homes in the Netherlands'', said Doron Inbar, President and CEO, ECI Telecom Ltd. "Our partner, Terayon, has played a key role in helping us to achieve a cable communication solution that meets Casema's requirements.''

About Casema Kabeltelevisie NV (Casema)

With nearly 30 years of experience in telecommunications and over 1.3 million subscribers, telephony is now core to Casema's growth strategy in the cable market. The company's network allows for voice transfer at the same quality as on the copper lines but to use the HFC bandwidth capability and to offer also other added-value services. Casema, one of the largest cable operators in The Netherlands, provides subscribers with a cable phone for POTS, ISDN and DECT services over the CATV networks.

About ECI Telecom Ltd.

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, maximize revenues for network operators, 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 500 service networks in over 145 countries.

Further Information

ECI Telecom Ltd., 
Petah Tikva 
Avi Ben-Assayag 
Tel  972-3-926-6777 
Daniella Finn 
Tel 972-3-926-8995

Please e-mail us your company's press releases for inclusion on DECTweb
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