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Russian Post, One of the World's Largest Companies, Expands Its Gilat Broadband Satellite Network.

Gilat's SkyEdge VSATs Will Serve 1,000 Additional Russian Post Sites to Provide Telephony and Broadband Internet Services to Rural Citizens

PETAH TIKVA, Israel -- Gilat Satellite Networks Ltd. (Nasdaq:GILT) today announced it has been selected by Synterra, one of Russia's largest telecommunications operators, to provide a 1,000-site SkyEdge broadband satellite network for use by Russian Post.

Gilat was chosen for the second phase of Russian Post's VSAT network following the successful deployment of an initial SkyEdge network which covers approximately 750 Russian Post sites. The additional sites will provide telephony services to citizens in Siberia and Russia's Far East region, as part of Russian Post's Universal Service Obligation. The VSAT network will also be used for Cyberpost, a successful Russian federal service that offers broadband Internet access to citizens in remote areas not served by terrestrial communication networks.

Arie Rozichner, Gilat's Regional Vice President for EurAsia, said, "Our ability to successfully meet Russian Post's complex communication requirements further demonstrates our expertise as one of the world's preeminent providers of rural satellite networks. We look forward to continuing our relationship with Synterra to help them meet the ambitious goals established by the Ministry of Telecommunications, Svyazinvest and other federal projects."

Gilat's SkyEdge systems are widely deployed in Russia and have been chosen for a number of very significant federal government projects throughout the country, including the Ministry of Education, Russian Post and Universal Service Obligation (USO) projects. Gilat's advanced VSAT technology meets the complex requirements of major operators in Russia, bringing telephony and Internet services to citizens in the country's most remote regions.

Gilat's SkyEdge portfolio enables the delivery of high-quality voice, broadband data and video services. SkyEdge represents Gilat's extensive knowledge base and field-proven product offering, acquired through two decades of experience. SkyEdge's flexible architecture and efficient space segment utilization make it an ideal platform for operators and service providers. With Gilat's comprehensive SkyEdge portfolio, service providers can choose the most suitable product for their application needs.

About Russian Post

With more than 415,000 employees, Federal State Unitary Enterprise Russian Post is one of Russia's largest companies. The Company operates more than 42,000 post offices and provides consumers with financial and telecommunications services. Please visit Russian Post at www.russianpost.ru.

About Synterra

Synterra is one of Russia's leading telecommunications operators, providing a wide range of satellite, terrestrial and wireless solutions for government, enterprise and consumer markets. Please visit Synterra at www.synterra.ru.

About Gilat Satellite Networks Ltd.

Gilat Satellite Networks Ltd. (Nasdaq:GILT) is a leading provider of products and services for satellite-based communications networks. The Company operates under three business units: (i) Gilat Network Systems ("GNS"), which is a provider of network systems and associated professional services to service providers and operators worldwide; (ii) Spacenet Inc., which provides managed services in North America for businesses and governments through its Connexstar service brand and for consumers through its StarBand service brand; (iii) Spacenet Rural Communications, which offers rural telephony and Internet access solutions to remote areas primarily in Latin America.

Gilat was founded in 1987 and has shipped over 670,000 Very Small Aperture Terminals (VSATs) to more than 85 countries across six continents. Gilat's headquarters is located in Petah Tikva, Israel. The Company has 16 sales and service offices worldwide. Gilat markets the SkyEdge [TM] and SkyEdge II Product Family which includes the SkyEdge Pro, SkyEdge IP, SkyEdge Call, SkyEdge DVB-RCS and SkyEdge Gateway. In addition, the Company markets numerous other legacy products.

Certain statements made herein that are not historical are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. The words "estimate", "project", "intend", "expect", "believe" and similar expressions are intended to identify forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties. Many factors could cause the actual results, performance or achievements of Gilat to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements, including, among others, changes in general economic and business conditions, inability to maintain market acceptance to Gilat's products, inability to timely develop and introduce new technologies, products and applications, rapid changes in the market for Gilat's products, loss of market share and pressure on prices resulting from competition, introduction of competing products by other companies, inability to manage growth and expansion, loss of key OEM partners, inability to attract and retain qualified personnel, inability to protect the Company's proprietary technology and risks associated with Gilat's international operations and its location in Israel. For additional information regarding these and other risks and uncertainties associated with Gilat's business, reference is made to Gilat's reports filed from time to time with the Securities and Exchange Commission.
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Publication:Business Wire
Date:Apr 30, 2008
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