PETACH-TIKVA, Israel -- ECI Telecom (NASDAQ: ECIL - News), a global provider of advanced telecommunication solutions to leading carriers and service providers announced today the opening of a new subsidiary office in Moscow, Russia. The opening of the new office will further broaden and establish ECI's direct presence in Russia in addition to a local support company. The need for ECI's additional presence is in response to increasing customer demand for ECI's solutions in the Russian market. The telecommunication industry in Russia has grown extensively over the past few years and ECI's business there has increased significantly. ECI has been active in Russia for 12 years with key customers including both cellular and wire line operators.

The newly established Moscow facility, which is expected to become operative in early June, will be headed by Mr. Amos Lahat. Russian born, Mr. Lahat has spent many years in Russia and is very familiar with the Russian market.

In recognition of the importance of the Russian market, ECI recently held its quarterly Board of Directors meeting in Moscow. At a reception held for key customers and officials of the telecom industry, ECI executives announced these expansion plans.

ECI Telecom Ltd.