Cellcom Israel Announces Purported Class Action Filed Against the Company

Dec 09, 2010, 01:58 ET from Cellcom Israel Ltd.

NETANYA, Israel, December 9, 2010 /PRNewswire-FirstCall/ -- Cellcom Israel Ltd. (NYSE: CEL) (TASE: CEL) (hereinafter: the "Company"), announced today that following its previous report dated December 2, 2010 regarding a major network malfunction and December 7, 2010 regarding a purported class action lawsuit filed against the Company in that regard, another purported class action lawsuit was filed against the Company in the District Court of Beer Sheva, by two plaintiffs alleging to be subscribers of the Company, claiming compensation for monetary damages and mental anguish, in connection with allegations that the Company misled its subscribers and unlawfully and in violation of its license and its agreement with its subscribers, failed to provide service to its subscribers during the network malfunction.

The total amount claimed if the lawsuit is certified as a class action was estimated by the plaintiffs to be NIS 1.3 billion.

At this preliminary stage, the Company is unable to assess the lawsuit's chances of success.

For additional details see our immediate report on form 6-K dated December 2, 2010 and December 7, 2010.

About Cellcom Israel

Cellcom Israel Ltd., established in 1994, is the leading Israeli cellular provider; Cellcom Israel provides its approximately 3.376 million subscribers (as at September 30, 2010) with a broad range of value added services including cellular and landline telephony, roaming services for tourists in Israel and for its subscribers abroad and additional services in the areas of music, video, mobile office etc., based on Cellcom Israel's technologically advanced infrastructure. The Company operates an HSPA 3.5 Generation network enabling advanced high speed broadband multimedia services, in addition to GSM/GPRS/EDGE and TDMA networks. Cellcom Israel offers Israel's broadest and largest customer service infrastructure including telephone customer service centers, retail stores, and service and sale centers, distributed nationwide. Through its broad customer service network Cellcom Israel offers its customers technical support, account information, direct to the door parcel services, internet and fax services, dedicated centers for the hearing impaired, etc. As of 2006, Cellcom Israel, through its wholly owned subsidiary Cellcom Fixed Line Communications L.P., provides landline telephone communication services in Israel, in addition to data communication services. Cellcom Israel's shares are traded both on the New York Stock Exchange (CEL) and the Tel Aviv Stock Exchange (CEL). For additional information please visit the Company's website http://www.cellcom.co.il

    Company Contact
    Yaacov Heen
    Chief Financial Officer
    investors@cellcom.co.il
    Tel: +972-52-998-9755

    Investor Relations Contact
    Porat Saar & Kristin Knies
    CCG Investor Relations Israel & US
    cellcom@ccgisrael.com
    Tel: +1-646-233-2161

SOURCE Cellcom Israel Ltd.