As part of the strategic partnership signed on 8 November 2006 with Vodafone, Telecom Egypt (Ticker: ETEL.CA; TEEG.LN) announced that it has tendered 10.35 million shares, equivalent to 4.31% of Vodafone Egypt, at LE 100 per share to Vodafone.

At completion of the tender offer, Telecom Egypt's shareholding in Vodafone Egypt will represent 44.66%, and Vodafone's interest (including the shares tendered by other shareholders) will rise to 54.9%. There remains a free float of 0.44%.

Vodafone launched its tender offer through its Netherlands-based subsidiary Vodafone Europe B.V.

For further information:

Vodafone Group

Investor Relations
Tel: +44 (0) 1635 664447

Media Relations
Tel: +44 (0) 1635 664444

Telecom Egypt

Tarek Tantawy, CFA
Director of Investment, Treasury & Investor Relations
Telephone:  +202 5788111
Fax:  +202 5789314

Eman Anis
Investor Relations Manager
Telephone:  +202 5788787
Fax:  +202 5789314
E-mail:  investor.relations@telecomegypt.com.eg

Notes to Editors:

About Vodafone
Vodafone is the world's leading international mobile telecommunications group with equity interests in 26 countries across 5 continents with over 191 million proportionate customers worldwide as at 30 September 2006 as well as 34 partner networks. For further information, please visit www.vodafone.com.

About Telecom Egypt
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 10.7 million subscribers as at the end of September 2006 representing a teledensity of 14.9 percent.

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. Telecom Egypt’s services also include the provision of narrowband and broadband internet access through its subsidiary TE Data. TE Data has current operations in Egypt and Jordan.

TE currently participates in the mobile segment in Egypt by providing mobile interconnectivity and though it’s holding in Vodafone Egypt, one of the two Egyptian mobile operators.

TE’s shares and GDRs (Ticker: ETEL.CA; TEEG.LN) are traded on the Cairo and Alexandria Stock Exchanges and the London Stock Exchange.

About Vodafone Egypt
Vodafone Egypt is one of two current Egyptian mobile operators. The company announced its results for the quarter to 30 September 2006, on 8 November 2006.  For more information see the Vodafone Egypt Investor Relations section at www.vodafone.com.eg.