Bezeq Israeli Telecomunictn : Notice of special general meeting, August 15, 2017

Notice of Special General Meeting - September 18, 2017

Notice is hereby given of the convening of a Special General Meeting of the Company's shareholders that will take place on September 18, 2017 at 11am at the Company's offices at the Azrieli Center 2, Triangular Building, 27th Floor, Tel-Aviv.

1. Agenda:

   Approval of distribution of dividend.

   Text of resolution and brief description of the resolution's main points:

   Approval of distribution of dividend

   To approve the distribution to the Company's shareholders of a cash dividend in the overall amount of NIS 708 million, representing as of the date the resolution is passed NIS 0.25601289 per share and 25.601289% of the Company's issued and paid up capital ("The Dividend"). The Dividend amount that will actually paid per share will be set according to the number of shares in the Company's issued and paid up capital at the end of trading on September 28, 2017. The date of record and the ex- date will be October 1, 2017 and the payment date will be October 16, 2017. For additional information about the Dividend distribution, see the Immediate Report the Company published on August 24, 2017 concerning the recommendation of the Board of Directors for the said Dividend distribution.

2. Additional details about the General Meeting

3. Majority required to pass the resolution on the agenda

   The majority required for the resolution detailed in section 1 above is a majority of the votes of shareholders present at the General Meeting, who are entitled to vote and do vote, without taking abstentions into account.

4. The date of record, entitlement to participate in the Meeting and manner of voting

5. The date of record for entitlement to participate and vote in the Meeting will occur at the end of trading of the Company's

   securities on the stock exchange on August 29, 2017 ("the Date of Record").

6. A shareholder of the Company at the Date of Record will be entitled to participate in the Meeting and vote in person or through a proxy, after an appointment warrant has been delivered to the Company's registered office.

7. Addition of items to the agenda

   In accordance with section 66(B) of the Companies Law, 1999 ("the Companies Law") one or more shareholders holding at least one percent (1%) of the voting rights at the General Meeting is entitled to request the Board to include an item on the agenda of the General Meeting, on condition that the item is suited to be discussed at the General Meeting. In accordance with the Companies Regulations (Announcement and Notice of a General Meeting and of a Type Meeting in a Public Company and Addition of an Item to the Agenda), 2000, a request under section 66(B) of the Companies Law shall be provided to the Company up to three (3) days following convening of the Meeting, namely by August 27, 2017. If such a request shall be submitted, there is the possibility that items will be added to the Meeting's agenda and details of them will appear on the website of the Securities Authority.

8. Voting using the electronic voting system

   In addition to the foregoing, a shareholder who has a share registered with a member of the stock exchange and such share is among the shares registered on the Company's register of shareholders is entitled to vote for the resolution stated above using a voting slip that will be transmitted to the Company using the electronic voting system (as defined in the Written Voting Regulations) ("the Electronic Voting System"). Voting using the electronic voting slip will be possible from the time of receipt of confirmation from the Electronic Voting System of safe receipt of the list of those entitled to vote using the Electronic Voting System and up until six (6) hours prior to the time of convening the General Meeting ("Time of Closing the System"). Voting using the Electronic Voting System can be changed or canceled up to the time of

   closing the system. It should be noted that in accordance with section 83(D) of the Companies Law, in the event that a shareholder votes by more than one method, the last vote will be counted, which in this case a vote by the shareholder himself or by way of a proxy shall be deemed later than voting using the Electronic Voting System.

9. Examination of the documents

10. The Company's shareholders can, upon request, examine the full text of the proposed resolution at the Group Corporate Secretary's office, the Azrieli Center 2 Triangular Building, "Bezeq House", (27th Floor), Tel-Aviv Sundays - Thursdays between 10am and 3pm, by prior appointment by telephone: 03-6262200.

    Yours sincerely, Shelly Bainhoren, Adv. Acting Corporate Secretary "Bezeq" The Israel Telecommunication Corp Limited

    The above information constitutes a translation of the Immediate Report published by the Company. The Hebrew version was submitted by the Company to the relevant authorities pursuant to Israeli law, and represents the binding version and the only one having legal effect. This translation was prepared for convenience purposes only.