Board Meeting Resolutions

Announcement

Following the BoD Meeting held on Monday, 21 December 2015

Cairo, December 22 2015 : Telecom Egypt (te) (Ticker: ETEL.CA; TEEG.LN) Today announced that during the Board of Directors meeting held on Monday, 21 December 2015, the Board of Directors of the company approved te's Budget for 2016 with guidance as follows:

- Operating Revenue to growth by mid-single digit.

- Maintaining EBITDA Margin to late twenty to early thirty.

- CAPEX to Revenue to be in the range of 25% to 30%.

- End -

For more information, contact:

E-mail: investor.relations@te.eg

About Telecom Egypt:

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Telecom Egypt (te), Egypt's incumbent telecommunications operator, started its operations in 1854 with the first telegraph line in Egypt. Then it was corporatized in 1998 to replace the former Arab Republic of Egypt National Telecommunication Organization (ARENTO). The Company is the largest provider of fixed-line services in the Middle East and Africa with 6.6 million subscribers as at 30 September 2015.

te provides retail telecommunication services including access, local, long distance and international voice, Internet and data, and other services. The company also provides wholesale services including bandwidth capacity leasing to ISPs, and national and international interconnection services. te's services also include the provision of narrowband and broadband internet access through its subsidiary TE Data. TE Data has active operations in Egypt and Jordan.

te currently participates in the mobile segment in Egypt by providing mobile interconnectivity through its current, increased 44.95% holding in Vodafone Egypt, one of the three existing Egyptian mobile operators.

te's shares and GDRs (Ticker: ETEL.CA; TEEG.LN) are traded on The Egyptian Exchange and the London Stock Exchange.