Rosh Ha'ayin, Israel - June 18, 2001 - Partner Communications Company Ltd. (NASDAQ: PTNR) today announced launch of its GPRS based services. For the first time in Israel, a cellular network uses the GPRS advanced technology moving towards the next generation of cellular services and networks.

Utilizing packet switching rather than circuit switching, GPRS (General) Packet Radio Service) allows users to remain permanently connected to the network. This "always on" feature ensures that the user's ability to send or receive data to and from the Internet or an organizational Intranet, is not delayed by connection time.

Using GPRS technology, Partner will be able to offer advanced services and applications, including video streaming on color screen cellular handsets. The system launched today creates a new experience for end-users with applications such as Web-browsing, E-mail, file transfer, chat application and animation download.

"As wireless services develop", commented Amikam Cohen, Partner's CEO, "data users expect more than just higher speeds. They are looking for networks that are optimized to handle IP traffic, entertainment services and corporate data applications. The growth of corporate Intranets, combined with increasingly mobile workforce, presents Partner with an excellent opportunity to provide first-rate connectivity over mobile phones, and permits the orangeT network subscribers to make more effective use of their precious time, and to free more time to spend with their loved ones.

Mr. Cohen added, "Partner continues to pioneer technologies and services in Israel, which are changing the world of communications as we know it. Optimized for all types of data transmission from low-speed short messages, to the high speed browsing of complex web pages, the introduction of GPRS in Israel marks the launch of a new generation of cellular technology in Israel."

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 a million subscribers in Israel. Partner subscribers can use roaming services in 80 countries using 208 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)

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