Actelis adds Former Vice Chairman of Bellsouth, Jere Drummond, to Board of
Directors

Appointment Shows Actelis’ Increasing Commitment to Success with Tier 1 Carriers

Fremont, CA, May 22, 2006 - Actelis Networks® Inc., the leader in Carrier Ethernet over Copper™ solutions, announced today they have added the former Vice Chair of BellSouth Corporation (AT&T) to their Board of Directors. Jere Drummond, a distinguished leader and widely recognized expert within the telecommunications industry, will provide expert guidance and direction to assist Actelis in accelerating the adoption of Carrier Ethernet over Copper. Mr. Drummond's influential access to BellSouth (AT&T) and other Tier 1 Telecommunications service providers including SBC and Verizon will help Actelis establish its credibility as a top tier supplier of innovative Carrier Ethernet equipment and solutions.

"Mr. Drummond's distinguished career at BellSouth will provide invaluable business and technical expertise to our Board of Directors," said Tuvia Barlev, President and CEO of Actelis Networks. "Mr. Drummond's decision to join our efforts to accelerate the adoption of Carrier Ethernet over Copper is testament not only to the importance of this emerging market, but also to Actelis' leadership within it. His professional and social relationships with the Tier 1 Carriers in the Americas will ensure that Actelis continues to lead this rapidly growing market."

Jere Drummond retired as Vice Chairman of BellSouth Corporation in Atlanta, Georgia on December 31, 2001. He was responsible for public relations, advertising, brand management, and regulatory and external affairs, including the Washington, D.C. office. He also led BellSouth's continued effort to enter the long-distance market. A native of Rome, Georgia, he received an undergraduate degree from Georgia Tech University, an MBA from Georgia State University and MSM from the Massachusetts Institute of Technology, where he was a Sloan Fellow.

Mr. Drummond began his communications career in 1962, and served in numerous capacities within BellSouth. Mr. Drummond was named President and Chief Executive Officer of the BellSouth Communications Group on January 1, 1998. On January 1, 2000, he was promoted to Vice Chairman of BellSouth Corporation.