Rosh Ha'ayin, Israel - November 01, 2000 - Partner Communications Company Ltd. (NASDAQ: PTNR) today announced it has signed a letter of intent with Ericsson for the provisioning of GPRS network equipment, software and related services. The new packet based services are expected to be offered to orange^TM customers in Israel next year.

The GPRS system will enable Partner to offer wireless Internet and other IP-based services at speeds up to 115 kbps - more than ten times the speed over typical present 2G networks. GPRS technology constitutes an important step towards third generation mobile systems and mobile Internet.

"Ericsson's GPRS system is a major step to ensure that Partner's customers are among the first to benefit from higher data speed and from the new advanced mobile Internet applications enabled by the GPRS technology. The system will allow Partner to keep up with the world market trends towards data infrastructure and services implementation", said Edvard Gavefalk, Vice President of LM Ericsson Israel.

"With the advent of next generation technologies we will see the arrival of a unique array of high-speed, packet data services, allowing subscribers to be "always on" and always connected to all sources of available information" said Amikam Cohen, CEO of Partner. "With GPRS, our customers will remain on the cutting edge of technology, benefiting from state of the art services and applications suitable for the mobile life style", he added.

Partner Communications Company Ltd. is the only Global System for Mobile Communications, or GSM, mobile telephone network operator in Israel. The Company commenced full commercial operations in January 1999 under the international Orange Brand name and, through its network, provides quality of service and a range of features to over 630,000 subscribers in Israel.

Partner subscribers can use roaming services in 75 countries using 184 GSM networks. The Company shares are quoted on NASDAQ under the symbol PTNR and on the London Stock Exchange under the symbol PCCD. (For further information: http://investors.partner.co.il)

Contacts:

Partner Communications Company Ltd.
Dr. Dan Eldar
V.P. Carrier, International and Investor Relations
Tel: +972-3-9054151
Fax: +972-3-9054161
E-mail: dan.eldar@orange.co.il