VimpelCom Deploys over 1,000 of ECI Telecom's Optical Platforms for Its GSM Cellular Network; Russian Cellular Market Growing by 2M New Subscribers Per Month

Over the past several years, ECI has supplied VimpelCom opticalequipment worth tens of million of dollars. The XDM(R) platformenables VimpelCom to offer data-oriented services over its networkusing an end-to-end optical transport solution with optimizedmanagement capabilities. ECI's solutions enable VimpelCom to achievesignificant savings in operating expenses while also reducing capitalexpenditure.

"We consider ECI to be the reliable partner providing leading edgeoptical technologies that help VimpelCom maintain a competitive edgein a rapidly expanding cellular market, with a network that respondsquickly to customer requests and marketplace conditions," said SergeyAvdeev, Executive Vice President and CTO of VimpelCom. "We lookforward to continuing this fruitful relationship with ECI."

To mark the continuing success of ECI and VimpelCom's businessrelationship, the two partners celebrated their 10-year anniversarywith a gala event in Moscow.

"For ECI, this represents yet another milestone of its continuedsuccess in the fast growing cellular backhaul market, in which we playa major role," said Rafi Maor, President and CEO of ECI Telecom."VimpelCom is a market leader, offering the most advanced value-addedservices to its Beeline GSM customers and we look forward to extendingour relationship and building on our mutual success for many years tocome."

About VimpelCom

VimpelCom is a leading international provider of mobiletelecommunications services in Russia and Kazakhstan, with newlyacquired operations in Ukraine and Tajikistan. The VimpelCom Group'slicense portfolio covers approximately 200 million people.Geographically it covers 78 regions in Russia (with 136.5 millionpeople, representing 94% of Russia's population) as well as the entireterritory of Kazakhstan, Ukraine and Tajikistan. VimpelCom was thefirst Russian company to list its shares on the New York StockExchange ("NYSE"). VimpelCom's ADSs are listed on the NYSE under thesymbol "VIP."

About ECI Telecom

ECI provides advanced telecommunications solutions to leadingcarriers and service providers worldwide. By translating a deepunderstanding of their needs into innovative, technologically advancedsolutions, ECI enables its customers to increase the value of theinfrastructure of their networks and reduce operating expenses. ECI'splatforms provide carriers and service providers with carrier-gradesolutions for easily introducing new revenue-generating services.

ECI provides innovative IP service delivery solutions to theconverged telecom networks encompassing Broadband access gateways,Service Edge Routers, Optical transport, Core IP/MPLS routers, NGNVoIP and multimedia applications and services. ECI maintains a globalsales, marketing and customer support network, as well as a host ofstrategic channel relationships worldwide.

Certain statements contained in this release may containforward-looking information with respect to plans, projections orfuture performance of the Company. By their nature, forward-lookingstatements involve certain risks and uncertainties including, but notlimited to, product and market acceptance risks, the impact ofcompetitive pricing, product development, commercialization andtechnological difficulties and other risks detailed in the Company'sfilings with the Securities and Exchange Commission.