B Communications : Investors presentation – August 2019

BEZEQ

Q2 2019 INVESTOR PRESENTATION

August 29, 2019

Forward-Looking Information and Statement

This presentation contains general data and information as well as forward looking statements about Bezeq The Israel Telecommunications Corp., Ltd ("Bezeq"). Such statements, along with explanations and clarifications presented by Bezeq's representatives, include expressions of management's expectations about new and existing programs, opportunities, technology and market conditions. Although Bezeq believes its expectations are based on reasonable assumptions, these statements are subject to numerous risks and uncertainties. These statements should not be regarded as a representation that anticipated events will occur or that expected objectives will be achieved. In addition, the realization and/or otherwise of the forward looking information will be affected by factors that cannot be assessed in advance, and which are not within the control of Bezeq, including the risk factors that are characteristic of its operations, developments in the general environment, external factors, and the regulation that affects Bezeq's operations.

This presentation includes revenue and other figures that are based on external sources and various surveys and studies. Bezeq is not responsible for the content thereof. The information included in this presentation is based on information included in Bezeq's public filings. However, some of the information may be presented in a different manner and/or breakdown and/or is differently edited. In any event of inconsistency between Bezeq's public filings and the information contained in this presentation - the information included in the public filings shall prevail.

The information contained in this presentation or which will be provided orally during the presentation thereof, does not constitute or form part of any invitation or offer to sell, or any solicitation of any invitation or offer to purchase or subscribe for, any securities of Bezeq or any other entity, nor shall the information or any part of it or the fact of its distribution form the basis of, or be relied on in connection with or relating to any action, contract, commitment or to the securities of Bezeq. The presentation does not constitute a recommendation or opinion or substitute for the discretion of any investor.

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Bezeq - Largest Telecom Group in Israel (Q2 2019)

Q2 19 Revenues of	Ratings: Aa2.il, AA-.il
NIS 2.2 billion

Q2 19 Adjusted EBITDA of			565,000 Pay-TV
		customers
NIS 921 million

1.8 million fixed	2.2 million	1.6 million	3
cellular
access lines	broadband lines
subscribers

Bezeq Group Strategy

The Bezeq Group is continuing to implement its comprehensive strategic plan that includes significant steps towards streamlining and improving business performance. The program addresses the challenges faced by the Group and the future needs that are emerging in the telecommunications market environment, taking into consideration the complex regulatory limitations imposed on the Company

Business oriented examination - lines, focus, and models of the Group companies

Focus on streamlining, improving performance and profitability

Significant decisions on all core issues of the Group for coming years - migration from satellite to IP- based broadcasting platform; deployment of 5G; investment in ultra-fast Internet infrastructure

Maintaining Bezeq as a strong and financially sound company

Working on all of the above while taking a "360 degree view" of all stakeholders and ensuring transparency and corporate governance

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Bezeq Fixed-Line

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