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EXHIBIT4(a)(12)

[Translation
               from Hebrew]

AGREEMENT

Drawn up and signed in Tel-Aviv on September 29, 2008

between:

|   |                                                                               
|-- | ------------------------------------------------------------------------------
|1. | SUNY ELECTRONICS LTD.,
  public company no. 51-203676-5 (Suny
  Electronics)
|   |                                                                               
|2. | DYN DYNAMIC LTD.,
  private company no. 51-199917-9 (Dyn
  Dynamic)         
|   |                                                                               
|3. | SUNY TELECOM LTD.,
  private company no. 52-004075-9 (Suny
  Telecom)       

all three jointly and
severally, of 48 Ben-Tsiyon Galis Street, Petach-Tikva, Israel, telephone: +
972-3-9057777, fax.: + 972-3-9314422 (jointly: Suny Group)

of
the first part;

and:

SCAILEX CORPORATION
LTD., public company no. 52-003180-8 (Scailex)

of 48 Ben-Tsiyon Galis
Street, Petach-Tikva, Israel, telephone: + 972-3-9057730, fax.: + 972-3-9054433

of
the second part;

|            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|----------- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|Whereas     | Suny Electronics, through Dyn Dynamic and Suny
  Telecom, engages in the import, marketing and sale of cellular telephones to
  end consumers and to Cellular Operators in Israel (the Cellular Sector);                                                                                                                                                                                                                                                          
|            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|and whereas | Dyn Dynamic, through a chain of stores it operates,
  engages in the marketing and sale of, and the provision of service for,
  cellular telephones to end customers in the Cellcom network (Dynamica Cellular);                                                                                                                                                                                                                                                  
|            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|and whereas | Suny Telecom imports, sells and provides maintenance
  services and replacement parts for Samsung cellular telephones to Cellular
  Operators, to Dynamica Cellular and to independent marketers in Israel;                                                                                                                                                                                                                                                         
|            |                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|and whereas | the parties desire to engage in a transaction
  whereby Scailex shall purchase the Operations, including all assets and
  liabilities, of Dyn Dynamic and of Suny Telecom, but excluding those assets
  and liabilities expressly excluded, in order to enable Scailex to continue
  the Operations of Suny Group in the Cellular Sector without disruption, all
  under the conditions stipulated hereunder in this Agreement and subject to
  that stated therein;

Wherefore, the parties hereby declare, stipulate and agree as
follows:

1

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Table of Contents

|                                                                  |                                                                       |    |   
|----------------------------------------------------------------- | --------------------------------------------------------------------- | -- | --
|SECTION A  GENERAL                                               |                                                                       | 3 
|1.                                                                | General Conditions                                                    |    | 3 
|                                                                  |                                                                       |    |   
|SECTION B  THE REPRESENTATIONS OF
  THE PARTIES                  |                                                                       | 7 
|2.                                                                | Declarations and Covenants of Suny Group                              |    | 7 
|3.                                                                | Declarations and Covenants of Scailex                                 |    | 11
|                                                                  |                                                                       |    |   
|SECTION C  THE TRANSACTION AND THE
  CONSIDERATION               |                                                                       | 12
|4.                                                                | The Transaction                                                       |    | 12
|5.                                                                | The Consideration and the Effect of the Equity on
  the Consideration |    | 12
|                                                                  |                                                                       |    |   
|SECTION D  THE INTERIM PERIOD AND
  EXECUTION OF THE TRANSACTION |                                                                       | 16
|6.                                                                | Suspending Conditions                                                 |    | 16
|7.                                                                | The Interim Period                                                    |    | 17
|8.                                                                | Employees                                                             |    | 19
|9.                                                                | The Execution Date                                                    |    | 21
|10.                                                               | The Transition Period and Fiduciary Relations                         |    | 22
|11.                                                               | Supplementary Arrangements Subsequent to the
  Execution Date         |    | 24
|12.                                                               | Liability, Indemnification and Remedies                               |    | 26
|13.                                                               | Confidentiality and Noncompetition                                    |    | 28
|                                                                  |                                                                       |    |   
|SECTION F  MISCELLANEOUS
  PROVISIONS                            |                                                                       | 31
|14.                                                               | Applicable Law, Jurisdiction and Arbitration                          |    | 31
|15.                                                               | Taxes and Expenses                                                    |    | 32
|16.                                                               | Sundry Provisions                                                     |    | 32

2

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Section
A  General

|   |                      |                                                                                                                                                            |                                                                                                                                                                                                                                                                                                                                                                                                                  
|-- | -------------------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|1. | GENERAL
  CONDITIONS
|   |                      |                                                                                                                                                            |                                                                                                                                                                                                                                                                                                                                                                                                                  
|   | 1.1                  | The recitals to this
  Agreement and the appendices thereto constitute an integral part thereof.                                                          
|   |                      |                                                                                                                                                            |                                                                                                                                                                                                                                                                                                                                                                                                                  
|   | 1.2                  | The clause headings in this
  Agreement are solely for the sake of convenience and shall not be binding for
  purposes of interpretation of the Agreement.
|   |                      |                                                                                                                                                            |                                                                                                                                                                                                                                                                                                                                                                                                                  
|   | 1.3                  | Definitions                                                                                                                                               
|   |                      |                                                                                                                                                            |                                                                                                                                                                                                                                                                                                                                                                                                                  
|   |                      | Unless otherwise stipulated,
  each of the following terms shall have the meaning in this Agreement defined
  alongside it:                               
|   |                      |                                                                                                                                                            |                                                                                                                                                                                                                                                                                                                                                                                                                  
|   |                      | 1.3.1                                                                                                                                                      | the Agreement or this
  Agreement  this Agreement, inclusive of all appendices thereto.                                                                                                                                                                                                                                                                                                                     
|   |                      |                                                                                                                                                            |                                                                                                                                                                                                                                                                                                                                                                                                                  
|   |                      | 1.3.2                                                                                                                                                      | The Agreements Being Transferred  all agreements in the
  Cellular Sector to which the Subsidiaries are a party and that shall be in
  effect on the Execution Date, including agreements with customers, suppliers
  and service-providers, third-party rental agreements and other agreements,
  but excluding the agreements specified in Appendix 1.3.2 to this Agreement.                                
|   |                      |                                                                                                                                                            |                                                                                                                                                                                                                                                                                                                                                                                                                  
|   |                      | 1.3.3                                                                                                                                                      | The Subsidiaries  Suny Telecom and Dyn Dynamic.                                                                                                                                                                                                                                                                                                                                                               
|   |                      |                                                                                                                                                            |                                                                                                                                                                                                                                                                                                                                                                                                                  
|   |                      | 1.3.4                                                                                                                                                      | The Cellular Sector  further to that stated in the
  recitals to this Agreement, it is hereby clarified that the Cellular Sector
  includes all of the activities of Suny Telecom and of Dyn Dynamic, but does
  not include the activities of Suny Electronics itself and/or through its
  subsidiary, Suny Com Ltd., in the internet sector, in the cellular content
  sector and in the real-estate sector.
|   |                      |                                                                                                                                                            |                                                                                                                                                                                                                                                                                                                                                                                                                  
|   |                      | 1.3.5                                                                                                                                                      | The Determinant Date  September 30, 2008.                                                                                                                                                                                                                                                                                                                                                                     

3

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| |  |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
| |  | ----- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | 1.3.6 | The Assets Being Transferred  all assets and rights, of
  every class and category, both tangible and intangible, in the Cellular
  Sector that are owned by the Subsidiaries, as specified in the
  nonconsolidated financial statements of each of the Subsidiaries as on June
  30, 2008, including the fixed assets, movable assets, know-how, goodwill, the
  Agreements Being Transferred, the inventory (including the inventory of raw
  materials, packagings, inventory in progress and finished goods inventory),
  the backlog of orders (both to suppliers and from customers),
  in Israel and abroad, the balance of trade receivables and other receivables,
  all as specified in Appendix 1.3.5
  to this Agreement. To dispel any doubt, it is hereby clarified that the
  following assets, which are specified in the nonconsolidated financial
  statements of each of the Subsidiaries as on June 30, 2008, are not included
  within the scope of the Assets Being Transferred:

| |  |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                                                      
| |  | ----- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  |       | (i)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | all shares of Suny Electronics owned by Suny
  Telecom;                                                                                                                                                                                                                                              
| |  |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                                                      
| |  |       | (ii)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | cash, cash equivalents, and other financial assets 
  cash, monetary deposits, and securities;                                                                                                                                                                                                      
| |  |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                                                      
| |  |       | (iii)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | intercompany balances of Suny Group;                                                                                                                                                                                                                                                                 
| |  |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                                                      
| |  |       | (iv)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | tax balances  deferred taxes, balances of tax and
  V.A.T. receivables and surplus advances.                                                                                                                                                                                                        
| |  |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                                                      
| |  | 1.3.7 | The Liabilities
  Being Transferred  all of the liabilities of the Subsidiaries in
  the Cellular Sector that are specified in the nonconsolidated financial
  statements of each of the Subsidiaries as on June 30, 2008, including
  liabilities deriving from or involving the Agreements Being Transferred, all
  as specified in Appendix 1.3.6
  to this Agreement. To dispel any doubt, it is hereby clarified that the
  following liabilities, which
  are specified in the nonconsolidated financial statements of each of the
  Subsidiaries as on June 30, 2008, are not included within the scope of the
  Liabilities Being Transferred:
| |  |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                                                      
| |  |       | (i)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | debts of the Subsidiaries to Bank Leumi Le-Israel
  Ltd. in respect of credit provided to them in accordance with agreements
  dated June 29, 2008;                                                                                                                                                  
| |  |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                                                      
| |  |       | (ii)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | short-term credit, on-call (short-term) loans and
  long-term loans;                                                                                                                                                                                                                                 
| |  |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                                                      
| |  |       | (iii)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | intercompany balances of Suny Group;                                                                                                                                                                                                                                                                 
| |  |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                                                      
| |  |       | (iv)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | deferred taxes, V.A.T. balances payable, provisions
  to institutions, including income tax and national insurance for employees
  for the period up until the Execution Date, and, if the Execution Date occurs
  during the fourth quarter of 2008, for the period up until the Determinant
  Date;

4

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| |  |        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| |  | ------ | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  |        | Items Being
  Transferred  Assets Being Transferred and/or Liabilities Being
  Transferred.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
| |  |        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| |  | 1.3.8  | Business Day
   Sundays through Thursdays, when the banks in Israel are open for business.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
| |  |        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| |  | 1.3.9  | The Index
as on a particular date the Consumer Price Index (including fruits and
vegetables) published by the Central Bureau of Statistics that is known on
any particular date, and including that same index even if published by any
other official body or institution and/or any official index that shall
replace it.                                                                                                                                                                                                                                                                                                                                                                                                           
| |  |        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| |  | 1.3.10 | The Operations
   the entire spectrum of activities of Suny Group in the Cellular Sector
  through the Subsidiaries on the Execution Date, and, if the Execution Date
  occurs during the fourth quarter of 2008, on the Determinant Date, including
  all of the Agreements Being Transferred and all rights to the trade names and
  trademarks, including the right to use the names Suny Telecom, Dynamica
  Cellular and Dyn Dynamic (to the extent that Suny Group has rights to the
  names), whether or not they are registered; to dispel any doubt, it is hereby
  clarified that the activities of Suny Group in the internet sector and in the
  cellular content sector do not constitute a part of the Operations.
| |  |        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| |  | 1.3.11 | The Signing Date
  and Concurrent with the Signing
   on the signing date and concurrent with the signing of this Agreement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
| |  |        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| |  | 1.3.12 | The Interim
  Period  the period as of the Signing Date of this Agreement up
  until the Execution Date.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
| |  |        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| |  | 1.3.13 | The Execution
  Date  date to be determined by the parties by consent and
  occurring no later than five Business Days after the date on which the last
  of the Suspending Conditions has been fulfilled, provided that it shall not
  occur after the Deadline as specified below in clause 6.4.                                                                                                                                                                                                                                                                                                                                                                                                                                    
| |  |        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| |  | 1.3.14 | Third Party
   any party that is not one of the parties to this Agreement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
| |  |        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| |  | 1.3.15 | Interested Party,
  Control and Holding  as these terms are defined in
  section 1 of the Companies Act, 5759
  1999 (the Companies Act).                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
| |  |        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| |  | 1.3.16 | Cellcom
  Cellcom Israel Ltd.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         

5

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| |  |        |                                                                                                                                                                                                                                                            
| |  | ------ | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | 1.3.17 | The Cellular
  Operators  Cellcom, Partner Communications Ltd. (Partner) and
  Pelephone Communications Ltd. (Pelephone).                                                                                                                           
| |  |        |                                                                                                                                                                                                                                                            
| |  | 1.3.18 | Samsung
   Samsung Electronics Co. Ltd., an international company registered in South
  Korea, and every related corporation thereto.                                                                                                                   
| |  |        |                                                                                                                                                                                                                                                            
| |  | 1.3.19 | The Arbitrator
   whoever shall be appointed as an arbitrator pursuant to clause 14.2.1
  below.                                                                                                                                                        
| |  |        |                                                                                                                                                                                                                                                            
| |  | 1.3.20 | Principal
Agreements  the agreements between Suny Group and Samsung, and
the agreements, both written and oral, including arrangements in practice
between Suny Group and the Cellular Operators, all as specified in Appendix
1.3.20 to this Agreement.
| |  |        |                                                                                                                                                                                                                                                            
| |  | 1.3.21 | The Expert
   the Arbitrator himself, or an expert to be appointed by the Arbitrator, who
  is to decide defined issues and whose decision shall be final and binding.                                                                                  

| |     |                                         
| | --- | ----------------------------------------
| | 1.4 | List of the appendices to this Agreement

| |                 |                                                                                                  
| | --------------- | -------------------------------------------------------------------------------------------------
| | Appendix 1.3.2  | List of the agreements not being transferred.                                                    
| |                 |                                                                                                  
| | Appendix 1.3.5  | List of the Assets Being Transferred.                                                            
| |                 |                                                                                                  
| | Appendix 1.3.6  | List of the Liabilities Being Transferred.                                                       
| |                 |                                                                                                  
| | Appendix 1.3.20 | List of Principal Agreements.                                                                    
| |                 |                                                                                                  
| | Appendix 2.5    | List of legal proceedings.                                                                       
| |                 |                                                                                                  
| | Appendix 2.8.5  | List of fringe benefits being given to employees
  because of drivers.                           
| |                 |                                                                                                  
| | Appendix 2.9.1  | List of rights to trade marks and other intellectual
  property rights.                          
| |                 |                                                                                                  
| | Appendix 5.3.2  | Breakdown of the composition of the equity as on
  June 30, 2008 of each of the Subsidiaries.    
| |                 |                                                                                                  
| | Appendix 9.2    | Wording of the affirmation that no material adverse
  change has occurred in the representations.
| |                 |                                                                                                  
| | Appendix 9.9    | Version of service and rental agreements between
  Scailex and Suny Electronics.                 
| |                 |                                                                                                  
| | Appendix 11.4   | Details of the mechanism for transfer of the
  payments collected by Dyn Dynamic.                

6

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Section
B  The Representations of the Parties

|   |                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|-- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|2. | DECLARATIONS
  AND COVENANTS OF SUNY GROUP                                                                                                                                                                                                           
|   |                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|   | Suny Group, and each of its
  units, jointly and severally, do hereby declare and covenant vis-à-vis
  Scailex that all that stated hereunder is correct on the Signing Date of this
  Agreement, and shall also be correct until the Execution Date:
|   |                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|   | 2.1                                                                                                                                                                                                                                                   | Incorporation and competency                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|   |                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|   |                                                                                                                                                                                                                                                       | Suny Telecom and Dyn Dynamic
  are companies duly incorporated in Israel; their registration is fully valid
  and the Registrar of Companies is not conducting any proceedings to strike
  them off; to the best of their knowledge, since the date of their
  incorporation, no winding-up or receivership proceedings have been
  instituted, no application for such winding-up or receivership has been
  filed, no notice or warning of an intention to open such proceedings has been
  received, and they are unaware of any circumstance the might cause such
  proceedings to be instituted.
|   |                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|   | 2.2                                                                                                                                                                                                                                                   | Ownership and control of
  Suny Group                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   |                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|   |                                                                                                                                                                                                                                                       | Dyn Dynamic and Suny Telecom
  are private companies wholly held by Suny Electronics. Suny Electronics is a
  public company whose shares are traded on the Tel-Aviv Stock Exchange Ltd.,
  and whose controlling shareholder is Mr. Ilan Ben Dov (directly or through
  companies held by him).                                                                                                                                                                                                                                                                                                     
|   |                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|   | 2.3                                                                                                                                                                                                                                                   | Engagement in this Agreement
  and execution thereof                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|   |                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|   |                                                                                                                                                                                                                                                       | Subject to the fulfillment
  of the Suspending Conditions specified below in clause 6 of this Agreement,
  there is no prevention or factual, legal or other restriction, originating
  from or pertaining to Suny Group or its shareholders, applicable to its
  engagement in this Agreement and to the fulfillment of its covenants pursuant
  thereto.                                                                                                                                                                                                                                           
|   |                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|   | 2.4                                                                                                                                                                                                                                                   | Disclosure documents                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|   |                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
|   |                                                                                                                                                                                                                                                       | The periodic report of Suny
Electronics for the year ended December 31, 2007, which was published on
March 25, 2008 (the Disclosure Documents) includes all material information
necessary for a reasonable investor that is purchasing the Items Being
Transferred, and does not include any information misleading such an
investor.                                                                                                                                                                                                                                                             

7

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| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 2.5 | Legal proceedings                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
| |     | Apart from legal proceedings
  described in Appendix 2.5
  to this Agreement, there is no legal proceeding or arbitration proceeding
  being conducted against the Subsidiaries and/or any thereof, or written
  threat concerning such a proceeding, which might result in the Subsidiaries
  and/or any thereof becoming liable to pay a sum that could have a material
  adverse impact on the financial position of any of the Subsidiaries and/or
  the state of its businesses, and no judgment has been issued against any of
  the Subsidiaries that has not been fulfilled in its entirety.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
| | 2.6 | Principal Agreements                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
| | .   | To the best of Suny Groups
  knowledge, all of the Principal Agreements are in effect; they have not been
  materially breached by Suny Group or by the other party thereto in a manner
  conferring to the other party a right to compensation at a material sum or a
  right to terminate them, with the passage of time and/or by notice, and
  whereby the termination thereof or a payment of compensation due to such
  breach is liable to have a material adverse impact on the Operations of the
  Subsidiaries.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
| | 2.7 | Financial statements                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
| |     | The audited financial
  statements of Dyn Dynamic and Suny Telecom as on December 31, 2007 and the
  reviewed financial statements of Dyn Dynamic and Suny Telecom as on June 30,
  2008 (the Financial Statements),
  which were furnished to Scailex, have been prepared in accordance with
  Section D. of the Securities Regulations (Preparation of Periodic and
  Immediate Reports), 5730
  1970, and in conformance with the International Accounting Standard IAS 34,
  and they present fairly, in all material respects, the financial positions
  and the results of operations of the companies and the cash flows of each of
  the companies that are subjects of the Financial Statements, in accordance
  with generally accepted accounting principles, which were applied
  consistently (except subject to the transition to the principles of the
  IFRS), for the period in respect whereof they were prepared and up until the
  date they were prepared. Save as specified in the Financial Statements, the
  Subsidiaries do not have additional material liabilities, save those created
  since, and during their ordinary course of business. Since the publication
  date of the Financial Statements, no event transpired that materially and
  adversely changes the financial position, the state of the assets,
  liabilities and/or the results of operations of any of the Subsidiaries, save
  as specified in the Disclosure Documents.

8

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| |     |           |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
| | --- | --------- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 2.8 | Employees
| |     |          
| |     | 2.8.1     | Suny Group shall forward a
  complete list of all employees of the Subsidiaries in the Cellular Sector (the Employees of the Sector) to Scailex
  by the Execution Date, as well as an itemization of all sums paid to them or
  allocated in their favor, including in respect of severance pay, vacation
  pay, national insurance, provision for pension, as well as an itemization of
  any additional sum to which the Employees of the Sector are entitled pursuant
  to the written employment agreements (if any) between them and the
  Subsidiaries and/or to the best of Suny Groups knowledge, to which they are
  entitled by law, and, inter alia,
  due to the termination of the working relations between them and the
  Subsidiaries, if the relations were to end on the Execution Date, and, if the
  Execution Date occurs during the fourth quarter of 2008, if the relations
  were to end on the Determinant Date, save in respect of the redemption of
  advance notice.
| |     |           |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
| |     | 2.8.2     | All sums that must be
  reserved in conformance with the generally accepted accounting principles
  (IFRS) have been set aside in a central compensation fund and/or in the
  pension funds/directors insurance policies, which are managed under the
  names of the Employees of the Sector (the
  Pension and Compensation Funds), and/or allocations were made in
  the books of the Subsidiaries and Suny Electronics, according to an actuarys
  report, which was prepared for Suny Group by an external actuary, all in
  respect of sums that the Subsidiaries are obligated to reserve up until June
  30, 2008 in respect of the termination of employer-employee relations (i.e.,
  severance pay).                                                                                                                                                                                                                                                                                  
| |     |           |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
| |     | 2.8.3     | All compulsory taxes that
  the Subsidiaries are obligated to pay in respect of the employment of the
  Employees of the Sector, including income tax and national insurance, have
  been paid in full.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
| |     |           |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
| |     | 2.8.4     | There is no representative
  labor committee in the Subsidiaries; however, certain collective agreements
  apply to the employees by virtue of general expansion orders.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
| |     |           |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
| |     | 2.8.5     | Appendix
  2.8.5 to this
  Agreement contains a list of material fringe benefits that are given to the
  Employees of the Sector beyond their rights by law, including because of
  drivers. Suny Group declares that the aforesaid fringe benefits have no material
  monetary impact on Suny Group.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               

9

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| |      |                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
| | ---- | ------------------------------- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |      | 2.8.6                           | There are no labor disputes,
  strikes, threats to strike, slow-downs or work disruptions and/or threats in
  relation thereto between the Subsidiaries and the Employees of the Sector.                                                                                                                                                                                                                                                                                                          
| |      |                                
| | 2.9  | Intellectual property          
| |      |                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
| |      | 2.9.1                           | The Subsidiaries have rights
  in the trade marks and other intellectual property rights, as specified in Appendix 2.9.1 to this Agreement (Intellectual Property
Rights). All of
  the Intellectual Property Rights are free and clear of any debt, attachment,
  lien and/or any other third-party right, except solely the liens as specified
  in Appendix 2.9.1, and the Subsidiaries and/or Suny Electronics have not
  undertaken to create any lien on the Intellectual Property Rights.
| |      |                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
| |      |                                 | Except for the Intellectual Property Rights
  described in Appendix 2.9.1, the Subsidiaries do not have any additional or
  other Intellectual Property Rights.                                                                                                                                                                                                                                                                                                                                   
| |      |                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
| |      | 2.9.2                           | Suny Group did not grant a right of use of the
  Intellectual Property Rights to any person and/or other body, and it is not
  liable for any payment, including license fees or royalties, to third parties
  in respect of use of the Intellectual Property Rights, and there is no
  contractual or other restriction of such use that is material to Suny Group.                                                                                                                              
| |      |                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
| |      |                                 | To the best of Suny Groups knowledge, the
  Subsidiaries and/or any thereof are not in a breach of any third-party
  intellectual property rights, including patents.                                                                                                                                                                                                                                                                                                                            
| |      |                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
| |      |                                 | Without derogating from that stated, to the best of
  Suny Groups knowledge, the use of the names Suny Telecom and/or Dyn
  Dynamic and/or Dynamica Cellular does not constitute a breach of any
  third-party right.                                                                                                                                                                                                                                                                      
| |      |                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
| | 2.10 | Accuracy of the representations
| |      |                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
| |      | 2.10.1                          | The representations included in this Agreement, as
  well as all of the information given therein by Suny Group are correct and
  complete.                                                                                                                                                                                                                                                                                                                                                       
| |      |                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
| |      | 2.10.2                          | Suny Group is aware that Scailex is engaging with it
  in this Agreement while fully relying on the representations included in this
  Agreement.                                                                                                                                                                                                                                                                                                                                                 

10

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|   |                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|-- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|3. | DECLARATIONS
  AND COVENANTS OF SCAILEX                                                                                                                                                              
|   |                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|   | Scailex hereby declares and
  covenants vis-à-vis Suny Group that all that stated hereunder is correct on
  the Signing Date of this Agreement, and shall also be correct until the
  Execution Date:
|   |                                                                                                                                                                                                      
|   | 3.1                                                                                                                                                                                                   | Scailex is capable of
  providing all of the funds necessary in order to perform its obligations
  pursuant to this Agreement and on time.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|   |                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|   | 3.2                                                                                                                                                                                                   | Scailexs engagement in this
  Agreement and the execution thereof do not contravene the law or any
  agreement to which it is a party and/or do not contravene its incorporation
  documents, and, apart from approval of the execution of the transaction by
  its competent organs as specified below in clause 6.1.2, there is no
  restriction, ban, preclusion or demand for approval or authorization, whether
  in an agreement or in any other manner, imposed on the engagement pursuant to
  this Agreement; this Agreement and the execution thereof were duly signed by
  those authorized to obligate Scailex by their signatures.                                                                                                                                                                                                        
|   |                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|   | 3.3                                                                                                                                                                                                   | Scailex has conducted, including
  through professional consultants, due diligence and other examinations; its
  representatives have met with senior employees of Suny Group, and Scailex has
  received all information and documents that it required and were furnished by
  Suny Group.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|   |                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|   | 3.4                                                                                                                                                                                                   | Without derogating from all
  that stated above, subject to the accuracy of the representations specified
  above in clause 2, and without derogating from Scailexs rights, which were
  expressly granted to it pursuant to this Agreement, Scailex hereby waives any
  allegation of incompatibility concerning the transaction that is the subject
  of this Agreement, including in relation to the economic and/or other merits
  of the transaction that is the subject of this Agreement and/or concerning
  the condition of the tangible assets included within the scope of the Assets
  Being Transferred and/or the Liabilities Being Transferred, and Scailex is
  accepting their physical condition as is, including the quality, character
  and age of the inventory items being transferred and the fixed assets being
  transferred.
|   |                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|   | 3.5                                                                                                                                                                                                   | Scailex is aware that Suny
  Group is engaging with it in this Agreement while fully relying on its
  representations and covenants included in this Agreement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         

11

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Section
C  The Transaction and the Consideration

|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                
|-- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|4. | THE
  TRANSACTION                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                
|   | Subject to the provisions of
  this Agreement, on the Execution Date, the Subsidiaries and Suny Electronics
  shall sell to Scailex and Scailex shall purchase from the Subsidiaries and
  from Suny Electronics the Operations and all of the Items Being Transferred,
  being free and clear of any lien, attachment and/or other third-party right,
  with the exception of those obligations, which, by the very nature of those
  Items Being Transferred, such as the liability to supply goods in accordance
  with a customer order, or to pay sums to suppliers, authorities, lessors,
  employees, service-providers and others during the ordinary course of
  business that shall mature subsequent to the Execution Date (and if the
  Execution Date occurs during the fourth quarter of 2008, that shall mature
  subsequent to the Determinant Date).
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                
|5. | THE CONSIDERATION AND THE EFFECT OF THE EQUITY ON THE CONSIDERATION                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                
|   | 5.1                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | The Consideration                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | In consideration for the
  Operations and for the Items Being Transferred, Scailex shall pay ILS 255,809,000 (the Consideration) to Suny Group on the
  Execution Date. The sum of the Consideration reflects the agreement between
  the parties in relation to the price to be paid for the Operations and for
  the Items Being Transferred correct to June 30, 2008. Out of the aforesaid
  total Consideration, the sum of ILS 90,144,000 (constituting the Equity as on
  June 30, 2008, as defined below) is for the Items Being Transferred, and this
  sum is subject to adjustments, as specified below in clause 5.3.5.
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                
|   | 5.2                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | Distribution of the
  Consideration among the units of Suny Group                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | The Consideration is being
  paid to the units of Suny Group as follows:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | 5.2.1                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | to Suny Telecom  a total of
  ILS 186,468,000;                                                                                                                                                                                                                                                                                                                                                                                
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | 5.2.2                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | to Dyn Dynamic  a total of ILS 69,341,000.                                                                                                                                                                                                                                                                                                                                                                                    
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                                                                                
|   | 5.3                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | Calculation of the Equity
  for the purpose of making adjustments                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | 5.3.1                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | The Equity in this Agreement means  total Assets Being
  Transferred less total Liabilities Being Transferred, as derived from the
  balance sheet of each of the Subsidiaries on a particular date, which is to
  be prepared by the Subsidiaries in conformance with the accounting principles
  under which the Financial Statements were prepared, and which shall be
  confirmed by the accountant of the Subsidiaries.

12

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| |  |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                      
| |  | ----- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | 5.3.2 | The Equity as on June 30, 2008 means  the total Equity on
June 30, 2008, which is a total of ILS 90,144,000. A breakdown of the
composition of the Equity as on June 30, 2008 of each of the Subsidiaries is
attached as Appendix 5.3.2 and constitutes an example for the
calculation of the Equity Being Transferred.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
| |  |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                      
| |  | 5.3.3 | The Equity Being
  Transferred means  the total Equity being transferred on the
  Execution Date, as shall be calculated in accordance with the provision
  specified above in clause 5.3.1 and in Appendix 5.3.2. Notwithstanding that
  stated above, if the Execution Date occurs during the fourth quarter of 2008,
  the total Equity Being Transferred shall be calculated according to its value
  on the Determinant Date. To dispel any doubt, the calculation of the Equity
  Being Transferred, as it relates to liabilities in respect of termination of
  employer-employee relations (i.e., severance pay), shall refer to an
  actuarial report as on the Execution Date, and, should it occur during the
  fourth quarter of 2008, shall refer to an actuarial report as on the
  Determinant Date, which shall update the actuarial report as on June 30,
  2008, as specified above in clause 2.8.2.
| |  |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                      
| |  |       | Stocktaking
   the data on the stocktaking, the balances of trade and other receivables
  and all other current assets and fixed asset items that are included in the
  Items Being Transferred, as well as the balances of the outstanding debts to
  suppliers and various creditors, and all other liabilities included in the
  Items Being Transferred, all being correct to the Execution Date, and, if the
  Execution Date occurs during the fourth quarter of 2008, correct to the
  Determinant Date.                                                                                                                                                                                                                                                                                                                                                                                                       
| |  |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                      
| |  | 5.3.4 | Verification of the Stocktaking and the Equity Being
  Transferred                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
| |  |       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                      
| |  |       | 5.3.4.1                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | Within 45 days of the Execution Date, Suny Group
  covenants to issue the Stocktaking data and all documents and information to
  Scailex that Scailex shall require for the purpose of verifying the
  Stocktaking and for calculating the Equity Being Transferred.

13

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| |  |       |                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| |  | ----- | ------------------------------------------------------------------ | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  |       | 5.3.4.2                                                            | Within a period of 30 days of the date of receipt of
  the documents and information as stated, provided that Scailex has received
  all of the required information and documents, Scailex shall notify Suny
  Group in writing of its objections pertaining to the Stocktaking and the
  calculation of the Equity Being Transferred, including the assessments used
  as a basis for them, or that it is accepting the Stocktaking and the
  calculation of the Equity Being Transferred as received from Suny Group.
| |  |       |                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| |  |       | 5.3.4.3                                                            | Suny Group must notify Scailex in writing within 15
  days of the date of receipt of the aforesaid objections, whether the
  objections or a portion thereof are unacceptable to it or that it is
  accepting the objections.                                                                                                                                                                                                                                                                                           
| |  |       |                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| |  |       | 5.3.4.4                                                            | If Suny Group notifies that it is not accepting the
  objections or a portion thereof, the disagreement shall be referred for
  resolution by the Arbitrator indicated below in clause 14.2.1.                                                                                                                                                                                                                                                                                                                          
| |  |       |                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| |  |       | 5.3.4.5                                                            | The data on the Stocktaking and the Equity Being
  Transferred that shall be determined by consent between the parties as stated
  above, or according to the decision of the Arbitrator (the Agreed Data) shall be used for the
  purpose of adjusting the Consideration subsequent to the Execution Date, as
  specified below in clause 5.3.10.                                                                                                                                                                    
| |  |       |                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| |  | 5.3.5 | Adjustment of the Consideration subsequent to the
  Execution Date
| |  |       |                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| |  |       | Should it become clear according to the Agreed Data
  that       
| |  |       |                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| |  |       | 5.3.5.1                                                            | the total Equity Being Transferred is less than the
  total Equity as on June 30, 2008 by more than ILS 100,000  the Consideration
  shall be reduced (from the first shekel) by the difference between: (1) the
  total Equity Being Transferred; and (2) the total Equity on June 30, 2008.
  Suny Group shall pay the said difference to Scailex within 14 days of the
  formulation of the Agreed Data.                                                                                                            

14

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| |  |  |         |                                                                                                                                                                                                                                                                                                                                                                                                                     
| |  |  | ------- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  |  | 5.3.5.2 | the total Equity Being Transferred is greater than
  the total Equity as on June 30, 2008 by more than ILS 100,000  the
  Consideration shall be increased (from the first shekel) by the difference
  between: (1) the total Equity as on June 30, 2008; and (2) the total Equity
  Being Transferred. Scailex shall pay the said difference to Suny Group within
  14 days of the formulation of the Agreed Data.

15

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Section
D  The Interim Period and Execution of the Transaction

|   |                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|-- | ----------------------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|6. | SUSPENDING
  CONDITIONS
|   |                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|   | 6.1                     | The execution of the
  transaction that is the subject of this Agreement is contingent upon the
  fulfillment of all of the following suspending conditions (the Suspending Conditions) by the
  Execution Date:                                                                                                                                                                                                                                                                                                                                                                
|   |                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|   |                         | 6.1.1                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | no adverse change has
  occurred in relation to the representations given by Suny Group as stated
  above in clause 2;                                                                                                                                                                                                                                                                                                                                                                     
|   |                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|   |                         | 6.1.2                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | Scailexs General Assembly
  has approved the companys engagement in the Agreement, by the majority
  required by law for approval of transactions with a controlling shareholder;                                                                                                                                                                                                                                                                                                        
|   |                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|   |                         | 6.1.3                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | the Boards of Directors and
  General Assemblies of Suny Electronics, Dyn Dynamic and Suny Telecom have
  approved their engagement in the Agreement;                                                                                                                                                                                                                                                                                                                                      
|   |                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|   |                         | 6.1.4                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | the written consents of the
  other parties to the Principal Agreements specified in Appendix 1.3.19 to the
  assignment of the agreements between them and Suny Group to Scailex have been
  received;                                                                                                                                                                                                                                                                                    
|   |                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|   |                         | 6.1.5                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | the written consents of Bank
  Leumi Le-Israel Ltd. and of Mizrahi Tefahot Bank Ltd. to the execution of the
  transaction that is the subject of this Agreement have been received, and all
  liens imposed on the Items Being Transferred have been removed, inclusive of
  a fixed lien of Bank Leumi Le-Israel Ltd. on the goodwill of Dyn Dynamic and
  of Suny Telecom, and inclusive of a floating lien on the enterprise and on
  all other assets of Dyn Dynamic and Suny Telecom;
|   |                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|   |                         | 6.1.6                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | the transaction that is the
  subject of this Agreement has been approved by the Antitrust Commissioner (the Commissioner), if and to the extent
  required.                                                                                                                                                                                                                                                                                                                             
|   |                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|   | 6.2                     | The parties covenant that,
  immediately after signing this Agreement, they shall cooperate and exert
  their best efforts to fulfill the Suspending Conditions as soon as possible
  and to report one to another about the progress in handling the Suspending
  Conditions under their care, about any material difficulty that might arise
  in relation thereto and about the fulfillment thereof; however, it is agreed
  that the nonfulfillment of any Suspending Condition shall not be deemed a
  breach of a covenant of any of the parties pursuant to this Agreement.

16

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|   |                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|-- | --------------------------------------------------------------------------------------------------------------------- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   | 6.3                                                                                                                   | If any approval or consent
  contained in the Suspending Conditions shall be made contingent upon new
  material conditions compared to the existing situation on the Signing Date of
  this Agreement, inclusive of the existing third-party consents, permits,
  licenses and approvals of Suny Group (the
  Stipulations), the party that views itself as materially
  prejudiced by the existence of the Stipulation may object to it, while the
  other party has the right to request the decision of the Arbitrator regarding
  the question of whether the new conditions suffice to constitute material
  prejudice to the party viewing itself as prejudiced as stated. To the extent
  that any party shall object to a Stipulation, after the attempts to eliminate
  it have failed, and if no other decision shall be given by the Arbitrator at
  the other partys request, this shall be considered as if no approval was
  given at all, and, in any case, the Suspending Condition was not fulfilled.
|   |                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|   | 6.4                                                                                                                   | If, within ninety (90) days
  of the Signing Date or other date to be agreed upon in writing between the
  parties (the Deadline), all of
  the Suspending Conditions specified above in clause 6.1 have not been
  fulfilled, this Agreement shall automatically be rescinded, and none of the
  parties to this Agreement shall have any allegation and/or claim and/or
  demand against the other party to this Agreement due to such rescission.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|   |                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|7. | THE
  INTERIM PERIOD                                                                                                 
|   |                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|   | During the Interim Period,
  between the Signing Date and the Execution Date, the following provisions
  shall apply:
|   |                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|   | 7.1                                                                                                                   | Notice of a material event /
  material fault in a representation                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|   |                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|   |                                                                                                                       | Suny Group shall issue
  written notice to Scailex as soon as possible after the occurrence of any
  event or action other than during the ordinary course of business that is
  likely to cause any of the representations specified above in clause 2 to be
  incorrect in any material adverse aspect.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|   |                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|   | 7.2                                                                                                                   | Receipt of approvals and
  consents                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|   |                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|   |                                                                                                                       | The parties shall exert
  their best efforts in order to obtain the approvals and consents (to the
  extent required) to the execution of this Agreement, and shall continue to do
  so even after the Execution Date, to the extent necessary.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           

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| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                                                                                                                                                                                                                                                                                                                                                 
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 7.3 | Stocktaking                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                                                                                                                                                                                                                                                                                                                                                 
| | .   | The representatives of the
  parties, with the participation of their accountants, shall perform a
  Stocktaking of the Assets Being Transferred, including the inventory, and
  verification of the fixed assets using Form 11 and the other corporate
  documents, with the aim of completing the inventory count by the Execution
  Date.                                                                                                                                                                                                                 
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                                                                                                                                                                                                                                                                                                                                                 
| | 7.4 | Management during the
  ordinary course of business                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                                                                                                                                                                                                                                                                                                                                                 
| |     | The Subsidiaries shall
  continue to operate under their ordinary courses of business prior to the
  signing of this Agreement and shall not carry out any action that is liable
  to thwart or materially impede the execution of this Agreement or have a
  material adverse impact on the Items Being Transferred, and, without
  derogating from the general purport of that stated, the Subsidiaries shall
  not make any of the decisions and shall not execute any of the actions
  specified below without coordinating them in advance with Scailex:
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                                                                                                                                                                                                                                                                                                                                                 
| |     | 7.4.1                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | any engagement or material
  action other than during the ordinary course of business;                                                                                                                                                                                                                                                                                                                                          
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                                                                                                                                                                                                                                                                                                                                                 
| |     | 7.4.2                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | any pledge or granting of
  license or right of use of any material asset out of the Assets Being
  Transferred, and, without derogating from that stated, material assets and
  rights referred to above in clause 2, with the exception of the sale of
  current assets and/or transactions during the ordinary course of business
  and/or the pledge of an asset in favor of the party that financed the
  purchase thereof;
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                                                                                                                                                                                                                                                                                                                                                 
| |     | 7.4.3                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | material amendment to the
  Principal Agreements;                                                                                                                                                                                                                                                                                                                                                                               
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                                                                                                                                                                                                                                                                                                                                                 
| |     | 7.4.4                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | the Equity Being Transferred
  shall not diminish below ILS 60,000,000, without Scailexs consent.                                                                                                                                                                                                                                                                                                                              
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                                                                                                                                                                                                                                                                                                                                                 
| | 7.5 | Observer                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |                                                                                                                                                                                                                                                                                                                                                                                                                                 
| |     | Scailex shall be allowed to
  appoint an observer on its behalf, who shall be present during all management
  meetings of the Subsidiaries during which the Items Being Transferred shall
  be deliberated and decided, as well as the matter of documents of Suny Group,
  including its internal reports, concerning the Items Being Transferred.                                                                                                                                                                                                          

18

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| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                       
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 7.6 | Insurance policies                                                                                                                                                                                                                                                                                                                                                                                                                                    
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                       
| |     | Suny Group covenants to
  continue to maintain all of the existing insurance policies relating to the
  Assets Being Transferred and to pay all of the premiums in respect of these
  policies, on time and in accordance with their conditions up until the
  Execution Date.                                                                                                                                                                        
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                       
| |     | To the extent that Suny
  Group has paid premiums in respect of the aforesaid policies for a period
  after the Execution Date or after the Determinant Date (if the Execution Date
  occurs during the fourth quarter of 2008), Scailex shall refund to Suny
  Group, on the Execution Date, the sums of the premiums that Suny Group paid
  in respect of the period subsequent to the Execution Date or the Determinant
  Date, as the case may be.

|   |           |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
|-- | --------- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|8. | EMPLOYEES
|   |           |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
|   | 8.1       | Transfer with continuity of
  rights                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
|   |           |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
|   |           | Transferring Employees means  Employees of the Sector,
  whose identities shall be agreed upon by the parties in an accompanying
  letter, and who shall agree in writing, in accordance with the letter of
  transfer to be agreed upon between the parties, to transfer to Scailex,
  whether with full continuity of rights or under another written arrangement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|   |           |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
|   |           | The objective of the parties
  is that the continuity of employment and rights of all of the Transferring
  Employees shall be maintained, and that, as of the Execution Date or as of
  the Determinant Date (if the Execution Date occurs during the fourth quarter
  of 2008), the employer-employee relations between the Transferring Employees
  and Suny Group shall terminate and the employer-employee relations between
  the Transferring Employees and Scailex shall commence. It is hereby clarified
  that, as of the Execution Date or as of the Determinant Date (if the Execution
  Date occurs during the fourth quarter of 2008), Scailex shall be solely
  obligated and responsible vis-à-vis the Transferring Employees for all of the
  Transferring Employees rights since the first day of the Transferring
  Employees employment in Suny Group.
|   |           |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
|   | 8.2       | Immediately  after the Signing Date,  Suny Group shall make  preparations  to present to the Employees of the Sector the main points of
the  transaction  that are relevant to them, and shall take action in order to arrive,  to the extent  possible and  reasonable,  at an
arrangement  with each of them,  both in relation to the period up until the Execution  Date or up until the  Determinant  Date (if the
Execution Date occurs during the fourth quarter of 2008), and thereafter, in accordance with the principles specified below.                                                                                                                                                                                                                                                                                                                        

19

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| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 8.3 | Suny Group shall assume and
  shall pay to all of the Transferring Employees, or in respect of the
  Transferring Employees to the pension and compensation funds and to the
  authorities, the wages and all other associated current payments that it is
  obligated to pay by law in respect of the period up until the Execution Date
  or up until the Determinant Date (if the Execution Date occurs during the
  fourth quarter of 2008) (the Current
  Payments), and as of the Execution Date or as of the Determinant
  Date (if the Execution Date occurs during the fourth quarter of 2008), and
  thereafter, the said Current Payments shall apply to Scailex.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
| | 8.4 | Suny Group shall transfer to
  Scailex all of its rights as on the Execution Date or as on the Determinant
  Date (if the Execution Date occurs during the fourth quarter of 2008) in the
  pension funds, directors insurance policies, compensation funds,
  supplementary studies funds and every similar fund in respect of the
  Transferring Employees (the Sums in the
  Funds).                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
| | 8.5 | Suny Group shall perform a
  calculation as on the Execution Date or as on the Determinant Date (if the
  Execution Date occurs during the fourth quarter of 2008), (the Calculation) of all of the sums that
  would have been due to each Transferring Employee, as if he/she would have
  been dismissed on the Execution Date or on the Determinant Date (if the
  Execution Date occurs during the fourth quarter of 2008). This Calculation
  shall include the sums in respect of redemption of vacation time and
  convalescence pay, as well as payment in respect of severance pay (which
  shall be determined in accordance with an actuarial report to be prepared in
  accordance with the provisions of clause 5.3.2 above), and shall deduct all
  of the Current Payments and the Sums in the Funds that shall exist. The
  Calculation shall not include payments in respect of redemption of
  advance notice. It is hereby agreed that the Calculation shall be checked and
  approved by the accountants of the parties and it shall be used for the
  purpose of adjusting the Consideration, in respect of the Transferring
  Employees, in accordance with the provisions of the above clause 5.3.5.
| |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
| | 8.6 | It is hereby agreed that if
  and to the extent that, after the Execution Date, it shall be mutually agreed
  between Suny Group and Scailex to pay bonuses to Transferring Employees in
  respect of 2008, then Suny Group shall assume the payment of its
  proportionate share of the bonus, according to the ratio between the duration
  of the period between 1.1.2008 and the Execution Date (or the Determinant
  Date, if the Execution Date occurs during the fourth quarter of 2008) and the
  entire year of 2008. In any instance of such a payment, it shall be paid to
  the Transferring Employee by Scailex, and Suny Group shall reimburse Scailex
  for Suny Groups share of the bonus, which shall be calculated according to
  that stated above.                                                                                                                                                                                                                                                                                                                                                                                                                                                       

20

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|   |                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|-- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   |                                                                                                                                                                                                                                                                                                                                                                                                    | Without derogating from that
  stated above, Suny Group shall be entitled, at its discretion, to pay a bonus
  in respect of 2008 to the Transferring Employees, at its own expense. Should
  Suny Group decide to pay a bonus as stated, it shall so notify Scailex,
  attaching a payment at the sum equivalent to the total sum of the bonus, and
  Scailex shall pay to the Transferring Employees included in Suny Groups
  aforesaid notice the sums of the bonus specified by Suny Group in its notice.
|   |                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|9. | THE
  EXECUTION DATE                                                                                                                                                                                                                                                                                                                                                                              
|   |                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   | On the Execution Date, the
  parties shall perform the actions specified hereunder as a concerted action,
  and shall sign the delivery and execution protocol (the Performance Protocol). All of the
  actions specified hereunder in this clause shall be performed simultaneously
  as a single action, and they shall have no validity unless all of them are
  performed in their entirety.
|   |                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   | 9.1                                                                                                                                                                                                                                                                                                                                                                                                | the documents verifying the
  fulfillment of the Suspending Conditions shall be delivered;                                                                                                                                                                                                                                                                                                                                                                                                                     
|   |                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   | 9.2                                                                                                                                                                                                                                                                                                                                                                                                | Suny Group shall deliver to
  Scailex a confirmation that no material adverse change has occurred in
  relation to the representations given in clause 2 above, according to the
  wording attached to this Agreement as Appendix
  9.2;                                                                                                                                                                                                                                                                       
|   |                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   | 9.3                                                                                                                                                                                                                                                                                                                                                                                                | Scailex shall pay the sum of
  the Consideration to Suny Group in bank checks or by way of cash transfers to
  bank accounts as Suny Group shall instruct Scailex prior to the Execution
  Date;                                                                                                                                                                                                                                                                                                               
|   |                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   | 9.4                                                                                                                                                                                                                                                                                                                                                                                                | Scailex shall pay the total
  of the premiums to Suny Group that Suny Group had paid, if any, in respect of
  the period subsequent to the Execution Date or subsequent to the Determinant
  Date (if the Execution Date occurs during the fourth quarter of 2008), as
  specified above in clause 7.6;                                                                                                                                                                                                        
|   |                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   | 9.5                                                                                                                                                                                                                                                                                                                                                                                                | the Stocktaking, as stated
  above in clause 7.3, shall be completed jointly.                                                                                                                                                                                                                                                                                                                                                                                                                                  
|   |                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   | 9.6                                                                                                                                                                                                                                                                                                                                                                                                | Suny Group shall deliver the
  possession of the tangible Assets Being Transferred and or [sic? Should be
  and] the right to possess the intangible Assets Being Transferred, to
  Scailex;                                                                                                                                                                                                                                                                                                                 
|   |                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   | 9.7                                                                                                                                                                                                                                                                                                                                                                                                | Scailex shall assume all of
  the Liabilities Being Transferred;                                                                                                                                                                                                                                                                                                                                                                                                                                               

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| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
| | ---- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 9.8  | the deeds of assignment for
  all of the Principal Agreements shall be accepted;                                                                                                                                                                                                                                                                                                                                                                                                                                                      
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
| | 9.9  | on the Execution Date,
  service and rental agreements shall be signed and become effective between
  Suny Electronics and Scailex, in the versions attached to this Agreement as Appendix 9.9 thereto. If the
  Execution Date occurs during the fourth quarter of 2008, the above-mentioned
  agreements shall become effective retroactively as of October 1, 2008. It is
  hereby clarified that the existing management and services agreements between
  Suny Electronics and the Subsidiaries shall not be assigned to Scailex;
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
| | 9.10 | Suny Group shall issue its
  written consent to the Registrar of Companies to change Scailexs name or to
  found its subsidiaries under a name that includes the word Suny and/or
  Dynamica;                                                                                                                                                                                                                                                                                                                                    
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
| | 9.11 | Suny Group shall complete
  all of the appendices to this Agreement (if not attached on the Signing
  Date);                                                                                                                                                                                                                                                                                                                                                                                                                          
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
| | 9.12 | Suny Group shall deliver the
  letters of transfer signed by every Transferring Employee.                                                                                                                                                                                                                                                                                                                                                                                                                                             

|    |                                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                            
|--- | ----------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|10. | THE
  TRANSITION PERIOD AND FIDUCIARY RELATIONS
|    |                                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                            
|    | 10.1                                            | The Transition Period
means  the period commencing on the Execution Date and ending with the
formal or registered transfer of an Item Being Transferred. The Transition
Period refers to every Item Being Transferred (which also includes, to dispel
any doubt, Agreements Being Transferred), whose formal or registered transfer
(the Formal Transfer) to Scailex by third parties, including authorities,
was not completed by and on the Execution Date.                  
|    |                                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                            
|    |                                                 | It is hereby emphasized that
  the parties shall try to perform the majority of the actions required in
  order to complete the Formal Transfer of all of the Items Being Transferred
  by the Execution Date, in order to minimize, to the extent possible, the
  activity and the fiduciary relations during the Transition Period, unless the
  parties shall agree that, due to commercial or other considerations, it would
  be preferable not to perform the Formal Transfer.
|    |                                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                            
|    | 10.2                                            | During the Transition Period                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|    |                                                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                                                                                                                                                                                                                                                                                                            
|    |                                                 | 10.2.1                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | the parties shall submit
  applications to assign all of the trade marks specified in Appendix 2.9.1
  to this Agreement from Suny Group to Scailex, and, for this purpose, Scailex
  shall be permitted, both during the Transition Period and thereafter, to make
  use of the power-of-attorney issued to it for this purpose by Suny Group, all
  at Scailexs expense;

22

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| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
| | ---- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |      | 10.2.2                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | the necessary actions shall
  be performed in order to complete the Formal Transfer of all of the Items
  Being Transferred, whose Formal Transfer was not completed by the Execution
  Date.                                                                                                                                                                                                                                                                                
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
| | 10.3 | During the Transition
  Period, up until the Formal Transfer of all of the Items Being Transferred,
  if there is a need for confirmations and registrations under Scailexs name,
  Suny Group shall act in a fiduciary capacity for Scailex in respect of the
  Items Being Transferred, at Scailexs expense and under Scailexs
  responsibility and pursuant to its instructions from time to time, so that,
  in respect of this activity during the Transition Period, all income shall be
  credited to Scailex and every expense shall be charged to Scailex; and,
  without derogating from the general purport of that stated above 
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
| |      | 10.3.1                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | All documents or copies
  thereof pertaining to performance of the fiduciary duties by Suny Group shall
  be issued to Scailex as soon as possible.                                                                                                                                                                                                                                                                                                                          
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
| |      | 10.3.2                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | Procedures shall be
  instituted pertaining to actions or types of actions in respect whereof Suny
  Group must receive prior authorization from a representative of Scailex in
  order to perform them; however, it is clarified that, since the managerial
  staff of Suny Group in the Cellular Sector shall continue to manage the
  Operations, then, with the exception of material actions to be specified in
  the procedures, such approvals shall not be necessary.
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
| |      | 10.3.3                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | Suny Group shall issue a
  monthly report in writing to Scailex of the actions it performed in its
  fiduciary capacity as stated, attaching a payment at the value of all of the
  payments collected by Suny Group for Scailex during the month that is the
  subject of the report.                                                                                                                                                                                       
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
| |      | 10.3.4                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | Scailex shall make available
  to Suny Group all of the financing, guarantees and sureties, including to
  banks and suppliers, that shall be necessary for the purpose of financing the
  activity during the Transition Period.                                                                                                                                                                                                                                            
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
| |      | 10.3.5                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | If a demand or claim shall
  be lodged against Suny Group in respect of such activities subsequent to the
  Execution Date, Suny Group shall immediately report this to Scailex and shall
  receive Scailexs instructions regarding the continued handling of the
  matter, all under the responsibility and at the expense of Scailex.                                                                                                                                     

23

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| |  |        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
| |  | ------ | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | 10.3.6 | Suny Group shall collect
  debts for Scailex, and, for this purpose, shall even institute legal
  proceedings according to the instructions, under the responsibility and at
  the expense of Scailex and subject to the provisions specified below in
  clause 11.4. Without derogating from the general purport of that stated, Suny
  Group shall continue to collect for Scailex all payments payable by the
  customers of the Operations to Dyn Dynamic via credit cards in accordance
  with the service and maintenance contracts signed with them.

|    |                                                               |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|--- | ------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|11. | SUPPLEMENTARY
  ARRANGEMENTS SUBSEQUENT TO THE EXECUTION DATE
|    |                                                               |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|    | 11.1                                                          | To dispel any doubt, it is
  hereby clarified that, as of the Execution Date, Suny Group shall cease its
  activity in the sector of the Operations, and that all of the activity in
  this sector, including all product orders and the supply thereof, shall be
  carried out solely by Scailex or for Scailex in a fiduciary capacity as
  stated, and under the responsibility and at the expense of Scailex.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|    |                                                               |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|    | 11.2                                                          | As of the Execution Date,
  Suny Group shall be prevented from making any commercial use whatsoever of
  the names Suny Telecom and Dyn Dynamic, except for the purpose of
  collecting debts and payments from debtors, and for the purpose of actions
  involving the various authorities or during legal proceedings, and any other
  action required from Suny Group for the purpose of maintaining the continuity
  of the business activity during the Transition Period and the fiduciary relations.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|    |                                                               |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|    | 11.3                                                          | Suny shall begin issuing
  notices to those third parties, whose identities and the subjects to be
  specified in the notices shall be determined by mutual consent of the
  parties. To the extent necessary, the notices to those third parties shall
  include an invitation to sign agreements regarding the transfer of the Items
  Being Transferred, including the Agreements Being Transferred. In addition,
  applications to authorities and other parties shall be completed regarding
  transfers as stated, including in relation to the transfer of Suny Groups
  rights as an employer in the pension and compensation funds (central
  compensation fund, as well as pension and compensation funds and directors
  insurance policies pertaining to the Transferring Employees), and in such
  manner that, as of the Execution Date and thereafter, and if the Execution
  Date occurs during the fourth quarter of 2008, as of the Determinant Date and
  thereafter, Scailex shall subrogate Suny Group for all intents and purposes
  in relation to the Agreements Being Transferred.

24

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| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| | ---- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 11.4 | Assistance in legal
  proceedings                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| |      | Suny Group covenants to take
  reasonable measures in order to assist Scailex in relation to all matters
  pertaining to legal proceedings whose cause arose subsequent to the Execution
  Date or subsequent to the Determinant Date (if the Execution Date occurs
  during the fourth quarter of 2008), and Scailex covenants to take reasonable
  measures in order to assist Suny Group in relation to all matters pertaining
  to legal proceedings whose cause arose prior to the Execution Date or prior
  to the Determinant Date (if the Execution Date occurs during the fourth
  quarter of 2008). In this context, assistance means the provision of
  required information and documents as well as testimony during legal
  proceedings.
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| | 11.5 | During a period of sixty
  months after the Execution Date (subject to a termination notice of 180
  days), the Suny Group shall continue to collect for Scailex all of the
  payments payable to Dyn Dynamic by customers of the sector of the Operations
  in accordance with service and maintenance contracts signed and/or to be
  signed with them up until the Execution Date, including payments payable via
  credit cards.                                                                                                                                                                                                                                                                                                                    
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| |      | In consideration for the
  aforesaid collection management services, Scailex shall pay a sum to Suny
  Group equal to 4% of all sums to be collected as stated by Suny Group (Management Fee to Dynamic). The
  Management Fee to Dynamic shall be paid by deducting the sum equivalent to
  the Management Fee to Dynamic from all of the sums to be collected by Suny
  Group, in accordance with the provisions specified above in this clause, and
  transferred by it to Scailex.                                                                                                                                                                                                                                                                
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| |      | It is further agreed that
  during a period of twelve months after the Execution Date (subject to a termination
  notice of seven days), Suny Group shall continue to perform for Scailex the
  importing of the cellular telephones and all other products required by the
  Operations.                                                                                                                                                                                                                                                                                                                                                                                                                                                               
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| |      | In consideration for the
  importing services as stated, Scailex shall pay a handling and management fee
  to Suny Group at the sum equal to the cost of the services to Suny Group plus
  1%.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
| |      | It is hereby agreed that the
  provisions of the above clause 10.3 prescribing procedures for the
  performance of certain actions during the Transition Period shall also apply,
  mutatis mutandis, to the
  actions that shall be performed in accordance with this clause 11.5 above.                                                                                                                                                                                                                                                                                                                                                                                                                                                               

25

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|    |                                           |                                                                                                                                                                                                                     |                                                                                                                                                                                                                                                                                                                                                                                     | 
|--- | ----------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | 
|12. | LIABILITY,
  INDEMNIFICATION AND REMEDIES
|    |                                           |                                                                                                                                                                                                                     |                                                                                                                                                                                                                                                                                                                                                                                     | 
|    | 12.1                                      | Suny Group covenants to
  indemnify Scailex at the extent of any damage and reasonable expense
  (including lawyers fees), that might be caused to Scailex (the Damage) due to one of the following
  instances:
|    |                                           |                                                                                                                                                                                                                     |                                                                                                                                                                                                                                                                                                                                                                                     | 
|    |                                           | 12.1.1                                                                                                                                                                                                              | if any one of Suny Groups
  representations specified above in clause 2 (inclusive of appendices thereto)
  is inaccurate or misleading;                                                                                                                                                                                                                                          
|    |                                           |                                                                                                                                                                                                                     |                                                                                                                                                                                                                                                                                                                                                                                     | 
|    |                                           | 12.1.2                                                                                                                                                                                                              | if a peremptory ruling is
  issued against Scailex in a third-party lawsuit, whose cause is an act or
  omission by Suny Group prior to the Execution Date or prior to the
  Determinant Date (if the Execution Date occurs during the fourth quarter of
  2008);                                                                                                                  
|    |                                           |                                                                                                                                                                                                                     |                                                                                                                                                                                                                                                                                                                                                                                     | 
|    |                                           | 12.1.3                                                                                                                                                                                                              | if Suny Group breaches the
  duty of confidentiality and/or the duty of noncompetition, pursuant to that
  stated below in clause 13.                                                                                                                                                                                                                                              
|    |                                           |                                                                                                                                                                                                                     |                                                                                                                                                                                                                                                                                                                                                                                     | 
|    | 12.2                                      | Suny Groups liability for
  indemnification shall apply solely in relation to Damages cumulatively
  meeting the following criteria:                                                                              
|    |                                           |                                                                                                                                                                                                                     |                                                                                                                                                                                                                                                                                                                                                                                     | 
|    |                                           | 12.2.1                                                                                                                                                                                                              | (i) total Damages exceeds an
  aggregate total of ILS 500,000, plus indexation differentials from the
  Signing Date up until the damage-calculation date, and, if the aggregate
  total exceeds the said sum, the liability to indemnify shall apply from the
  first shekel; and (ii) total Damages is less than ILS 75 million, plus
  indexation differentials as stated above;
|    |                                           |                                                                                                                                                                                                                     |                                                                                                                                                                                                                                                                                                                                                                                     | 
|    |                                           | 12.2.2                                                                                                                                                                                                              | damages in respect whereof
  Scailex is not indemnified and/or compensated by insurers, including pursuant
  to a product liability policy, and/or by any other third party, and for this
  purpose, Scailex shall exert maximum efforts to receive compensation and
  indemnification as stated above.                                                                            
|    |                                           |                                                                                                                                                                                                                     |                                                                                                                                                                                                                                                                                                                                                                                     | 
|    |                                           | 12.2.3                                                                                                                                                                                                              | damages in respect whereof
Scailex issued written notice to Suny Group up to 36 months after the
Execution Date (Indemnification Notice and Notice Period respectively)
demanding indemnification, specifying the facts and allegations constituting
the grounds for the demand for indemnification, the Damage and the total
indemnification demanded.                        
|    |                                           |                                                                                                                                                                                                                     |                                                                                                                                                                                                                                                                                                                                                                                     | 
|    |                                           |                                                                                                                                                                                                                     | Notwithstanding that stated
  above                                                                                                                                                                                                                                                                                                                                               

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| |  |  |          |                                                                                                                                                                                                                                              
| |  |  | -------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  |  | 12.2.3.1 | the Notice Period in relation to causes pertaining
  to ownership or other proprietary rights specified in the representations in
  clause 2 (inclusive of appendices thereto) about the Assets Being Transferred
  shall have no time limit;
| |  |  |          |                                                                                                                                                                                                                                              
| |  |  | 12.2.3.2 | in relation to the legal proceedings as specified
  above in clause 12.1.2, Scailex shall be entitled to deliver an
  Indemnification Notice during the Notice Period even if the proceedings
  against it have not yet ended.               

| |      |                                                                                                                                                                                                                                                                                                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | 
| | ---- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | 
| |      | 12.2.4                                                                                                                                                                                                                                                                                                                                                                                         | Without derogating from the
  time limit for delivering demands for indemnification as stated above in
  clause 12.2.3, in any instance whereby Scailex shall learn of circumstances
  or facts that are likely to cause Damages and confer it a right to
  indemnification, it shall be incumbent upon Scailex to deliver written notice
  thereof to Suny Group as soon as possible and no later than seven days after
  it learned of such circumstances or facts.                                                                                                                                                                                                                                                                                         
| |      |                                                                                                                                                                                                                                                                                                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | 
| |      | 12.2.5                                                                                                                                                                                                                                                                                                                                                                                         | Shortly after the date on
  which Scailex receives a demand and/or claim as stated from any third party,
  Scailex shall so notify Suny Group, and enable it to assume the full defense
  and handling of such demand and/or claim on behalf of Scailex, either Suny
  Group itself and/or through any party on its behalf and at Suny Groups own
  expense, provided that Suny Group also affirms its complete liability in this
  regard. If, within 14 days of the date of receipt of Scailexs notification
  as stated, Suny Group does not notify that it is assuming the defense as
  stated, Scailex shall be allowed to defend itself and/or to arrive at a
  compromise settlement in relation to any such demand and/or claim at its
  discretion.
| |      |                                                                                                                                                                                                                                                                                                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | 
| | 12.3 | Scailex declares that the
  obligation to indemnify as stated in this clause 12 is the sole right and
  remedy conferred upon it in respect of breach of Suny Groups representations
  and/or declarations in this Agreement, save for instances of fraud or mala fides.                                                                                                                     
| |      |                                                                                                                                                                                                                                                                                                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | 
| | 12.4 | Scailex covenants to
  indemnify Suny Group at the extent of any Damage (as this term is defined
  above) to Suny Group, due to a peremptory ruling in any third-party lawsuit against
  Suny Group, whose cause is an act or omission by Scailex subsequent to the
  Execution Date or subsequent to the Determinant Date (if the Execution Date
  occurs during the fourth quarter of 2008).

27

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| |  |                                                                                                                                                                       |  | 
| |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------- |  | 
| |  | The provisions of clause 12
  above, including the sums stipulated therein, shall also apply conversely to
  this clause 12.4, mutatis mutandis
  as the case may be.

|    |                                      |                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|--- | ------------------------------------ | --------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|13. | CONFIDENTIALITY
  AND NONCOMPETITION
|    |                                      |                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|    | 13.1                                 | Confidentiality
|    |                                      |                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|    |                                      | 13.1.1          | Suny Group covenants not to
  disclose, show or transmit to any person or body, any of Suny Groups trade
  and/or other secrets that were transferred to Scailex within the scope of the
  acquisition of the Operations that are the subject of this Agreement, or any
  information pertaining directly or indirectly to Suny Groups property,
  businesses, affairs, customers, suppliers in the sector of the Operations,
  including, but without derogating from the general purport of that stated
  above, research and development topics, manufacturing methodologies, processes,
  prices, calculations, engagement terms with customers and suppliers,
  blueprints, documents and secrets (the
  Confidential Information).
|    |                                      |                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|    |                                      |                 | However, to dispel any
  doubt, it is hereby clarified that that stated above does not apply to items
  not being transferred and/or to matters that Suny Group must arrange in
  respect of its activities up until the Execution Date.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|    |                                      |                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|    |                                      | 13.1.2          | The covenants stated above
  in clause 13.1.1 have no time limit; however, they shall not apply or shall
  cease to apply in relation to confidential information:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
|    |                                      |                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|    |                                      |                 | 13.1.2.1                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | that is part of the public domain, or became part of
  the public domain other than as a result of an act or omission of the party
  seeking to protect it under the provisions of this subclause;                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|    |                                      |                 |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|    |                                      |                 | 13.1.2.2                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     | that a party shall be obligated to disclose by law
  and pursuant to a demand from a competent authority; however, in such
  instance, the party obligated to disclose Confidential Information as stated
  must notify the other party of this intention and enable the other party, to
  the extent that this will be viable under the circumstances, to take measures
  to prevent disclosure of such Confidential Information. A party intending to
  disclose Confidential Information as stated to any authority must cooperate
  with the other party in the measures it shall institute, if any, in order to
  prevent disclosure of information as stated.

28

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| |  |  |          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
| |  |  | -------- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  |  | 13.1.2.3 | that a party shall disclose to its shareholders, to
  its members or to corporations controlling it within the scope of a report
  about that partys activity to its related corporations or in order to reach
  a decision in the context of the other party, concerning its activity or its
  businesses; and, in such instance, the party intending to disclose information
  as stated shall take reasonable measures, under the circumstances, so that no
  use shall be made of the information to be disclosed and so that the
  recipients of the information shall safeguard the confidentiality of the
  information;
| |  |  |          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
| |  |  | 13.1.2.4 | that banks with whom that party works or shall work
  shall ask to receive;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
| |  |  |          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
| |  |  | 13.1.2.5 | that a party shall deem fit to disclose to its
  consultants within the scope of the counseling that it receives or shall
  receive from that consultant or consultants, provided that the consultant
  shall sign a covenant of confidentiality and non-use in a customary version
  to be decided by the other party, and shall deliver the signed copy of the
  aforesaid covenant to the other party, save if the consultant is obligated to
  maintain confidentiality by law;                                                                                                                                             
| |  |  |          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
| |  |  | 13.1.2.6 | that, by law or pursuant to generally accepted
  accounting principles, is customarily included in the financial statements of
  that party or of one of its related corporations;                                                                                                                                                                                                                                                                                                                                                                                                                                              
| |  |  |          |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
| |  |  | 13.1.2.7 | that is customary and accepted to disclose to an
  investor considering to purchase shares from that party, provided that such
  an investor is not a competitor, supplier or customer of one of the parties,
  and under the further condition that such an investor shall sign a covenant
  of confidentiality and non-use in a version to be decided by the other party,
  and shall deliver it to the other party.                                                                                                                                                                                                          

| |      |                                                                                                                                                                                                                                                                                                                                                                           
| | ---- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 13.2 | Noncompetition                                                                                                                                                                                                                                                                                                                                                            
| |      |                                                                                                                                                                                                                                                                                                                                                                           
| |      | Suny Electronics, Suny Telecom and Dyn Dynamic
  hereby covenant not to compete against Scailex, directly or indirectly,
  including through their employees and/or officeholders and/or controlling
  shareholders therein, in the sector of the Operations. The covenants of the
  parties shall be in effect for four years after the Execution Date of this Agreement.

29

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| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
| | ---- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 13.3 | Each of the units of Suny Group hereby declares and
  affirms that its covenants of confidentiality and noncompetition pursuant to
  this Agreement are fair, proportional and reasonable, in light of the
  Consideration it received within the scope of this Agreement, and that they
  are intended primarily to protect the secrets of Suny Group and its
  Confidential Information, which were purchased by Scailex, and which
  constitute a material portion of the commercial and business advantages in which
  capital as stated has been invested.

30

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Section
F  Miscellaneous Provisions

|    |                                                |                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|--- | ---------------------------------------------- | ---------------------------------------------------------------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|14. | APPLICABLE
  LAW, JURISDICTION AND ARBITRATION
|    |                                                |                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|    | 14.1                                           | Law and jurisdiction                                                                                                              
|    |                                                |                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|    |                                                | Israeli law shall solely
  apply to this Agreement and to any dispute that might arise in relation to
  this Agreement.           
|    |                                                |                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|    |                                                | The sole jurisdiction in
  relation to any matter pertaining to this Agreement is vested solely to the
  Tel-Aviv District Courts.
|    |                                                |                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|    | 14.2                                           | Arbitration                                                                                                                       
|    |                                                |                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|    |                                                | 14.2.1                                                                                                                             | The parties shall exert
  their best efforts to resolve disagreements or disputes that might arise
  between them in relation to this Agreement or in relation to the execution
  thereof or the interpretation thereof or a breach thereof by mutual consent
  and amicably, as well as every matter and affair pertaining thereto or
  deriving therefrom. Disagreements and disputes that the parties do not
  succeed in resolving in such manner shall be referred for arbitration by
  Advocate Robby Bachar; if he shall be unable or shall not wish to serve in
  this capacity, Advocate Giora Ardinest shall serve in this capacity; if he
  shall be unable or shall not wish to serve in this capacity, the identity of
  the Arbitrator shall be decided by the District Court (the Arbitrator). The provisions of this
  clause are tantamount to an arbitration agreement between the parties, and
  the provisions of the Arbitration Act, 5728 1968, shall apply to the Arbitrator and to the arbitration.
|    |                                                |                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|    |                                                | 14.2.2                                                                                                                             | The Arbitrator shall not be
  subject to the provisions of Israeli substantive law, and shall not be
  subject to the rules of procedure and evidence. The Arbitrator shall be
  obligated to explain the reasoning behind his arbitraments and decisions. The
  Arbitrator shall be permitted to issue temporary remedies.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|    |                                                |                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|    |                                                | 14.2.3                                                                                                                             | The Arbitrator shall be
  allowed to appoint an expert, who shall decide defined issues, and his
  decision shall be final and binding and shall not be subject to arbitration
  proceedings.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
|    |                                                |                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
|    |                                                | 14.2.4                                                                                                                             | The Arbitrators fee shall
  be paid by the parties in equal shares between them, unless the Arbitrator
  shall expressly rule otherwise.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     

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|    |                      |                                                                                                   |                                                                                                                                                                                                                                                                                                                                                                                                                         
|--- | -------------------- | ------------------------------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|15. | TAXES AND
  EXPENSES
|    |                      |                                                                                                   |                                                                                                                                                                                                                                                                                                                                                                                                                         
|    | 15.1                 | Each party shall assume any
  tax, fee or levy imposed on it by law in respect of this Agreement.
|    |                      |                                                                                                   |                                                                                                                                                                                                                                                                                                                                                                                                                         
|    | 15.2                 | V.A.T.                                                                                           
|    |                      |                                                                                                   |                                                                                                                                                                                                                                                                                                                                                                                                                         
|    |                      | Notwithstanding that stated
  above in clause 15.1:                                              
|    |                      |                                                                                                   |                                                                                                                                                                                                                                                                                                                                                                                                                         
|    |                      | 15.2.1                                                                                            | Scailex shall assume the V.A.T. applicable to the
  payment of the Consideration in respect of this Agreement and every portion
  thereof.                                                                                                                                                                                                                                                                              
|    |                      |                                                                                                   |                                                                                                                                                                                                                                                                                                                                                                                                                         
|    |                      | 15.2.2                                                                                            | Every payment on account of the Consideration shall
  be paid against a lawful tax invoice.                                                                                                                                                                                                                                                                                                                             
|    |                      |                                                                                                   |                                                                                                                                                                                                                                                                                                                                                                                                                         
|    |                      | 15.2.3                                                                                            | Scailex shall pay the V.A.T. in respect of every
  payment on account of the Consideration directly to the V.A.T. authorities
  upon the submission of the monthly reports of Suny Group and Scailex on the
  15th day of the calendar month following the actual payment date;
  alternatively, Scailex shall arrive at a basic arrangement with the V.A.T.
  authorities regarding offsetting of the additional V.A.T.

|    |                     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | 
|--- | ------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------ | 
|16. | SUNDRY
  PROVISIONS
|    |                     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | 
|    | 16.1                | Public releases                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
|    |                     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | 
|    |                     | The parties shall jointly
  agree on every publication or announcement or disclosure to the public
  regarding the provisions of this Agreement or the transaction that is the
  subject of this Agreement, unless the disclosure is required by law, and, in
  such instance, the party issuing the publication shall notify the other
  parties and shall deliver the wording of the publication or the announcement
  to them and shall enable them reasonably to respond with their remarks
  concerning such disclosure.                                                                               
|    |                     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | 
|    | 16.2                | Additional actions                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
|    |                     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | 
|    |                     | In the event that any
  additional actions shall be required in order to execute this Agreement, the
  parties covenant to perform every such action, inclusive of the signing of
  any document, appearing before any body and performing any action that might
  be required in order to carry out the transaction that is the subject of this
  Agreement (the Additional Actions).
  To dispel any doubt, the Additional Actions are and shall not be within the
  scope of suspending conditions to this Agreement, save with the express
  written consent thereto of all parties to this Agreement.

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| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | 
| | ---- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | 
| | 16.3 | Assignment of rights                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | 
| |      | Subject to that expressly
  stated in this Agreement, the rights and obligations of the parties pursuant
  to this Agreement are not transferable, save with the prior written consent
  of the other party to this Agreement.                                                                                                                                                                                                                                                                                                                                                                                                         
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | 
| |      | Scailex shall be entitled to
  assign its rights and/or its obligations pursuant to this Agreement, in whole
  or in part, to a corporation under its control, provided that Scailex shall
  remain a guarantor of the fulfillment of all of its obligations pursuant to
  this Agreement.                                                                                                                                                                                                                                                                                                                                             
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | 
| |      | All or a portion of
  Scailexs rights or obligations pursuant to this Agreement may be assigned
  and transferred to any other wholly owned company/companies, provided that
  Scailex shall remain responsible jointly and severally with the transferees
  for its obligations pursuant to this Agreement.                                                                                                                                                                                                                                                                                                                          
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | 
| | 16.4 | Finality of the Agreement                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | 
| |      | This Agreement, inclusive of
  appendices thereto, encompasses all that agreed upon between the parties in
  relation to the matters prescribed therein. There shall be no validity, not
  even for interpretation purposes, to any representation, consent or draft or
  previous undertaking, whether direct or in favor of a third party, between
  the parties pertaining to the matters prescribed in this Agreement, nor to
  any negotiations, summation, understanding or agreement between the parties
  that preceded the signing of this Agreement pertaining to the matters
  prescribed therein.                          
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | 
| | 16.5 | Agreement that is not in
  favor of a third party                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | 
| |      | The parties agree that this
  Agreement shall not be interpreted as if it purports to confer a right or
  benefit to any third party.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | 
| | 16.6 | Waiver                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | 
| |      | No delay in or refraining
  from exercising or enforcing any of the rights pursuant to this Agreement by
  any of the parties shall be deemed as a waiver on its part of its rights in
  the future or as preventing it from exercising its rights in the future, and
  such party shall be allowed to exercise its rights, in whole or in part, at
  any time that it shall deem fit. There shall be no validity to any waiver,
  [assumption/]discount, extension, situation, amendment, addendum or
  elimination from this Agreement or pursuant thereto, unless drawn up in
  writing and signed by all parties to this Agreement.

33

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| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | 
| | ---- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | 
| | 16.7 | Ban on offsetting or lien                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | 
| |      | No party is allowed to
  offset or delay in any manner whatsoever, for any reason or cause whatsoever,
  any sum due from it to the other party from any sum that is or is likely to
  become due to it from the other party, whether such sums are fixed or subject
  to assessment.                                                                                                                                                                                                                                                                   
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | 
| | 16.8 | Signing of this Agreement                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | 
| |      | The parties hereby agree
  that the addition of their signatures on separate copies of the Agreement
  transmitted by fax shall be deemed as if the original Agreement in its
  entirety has been signed. The Agreement shall become valid once each of the
  parties has received a copy of the Agreement, attaching the signatures of all
  of the parties to the Agreement.                                                                                                                                                                          
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | 
| | 16.9 | Addresses of the parties                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
| |      |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | 
| |      | The addresses of the parties
  are as specified in the recitals to this Agreement. Any notice to be sent by
  one party to the other pursuant to or in relation to this Agreement must be
  sent by registered mail or personally delivered. A notice personally
  delivered shall be deemed to have arrived at the addressee on the actual date
  of delivery, provided that it is a Business Day. A notice sent by registered
  mail shall be deemed to have arrived at the addressee within three Business
  Days after the date of dispatch thereof.

In witness whereof,
the parties have hereunto signed:

|                                      |  |                                       
|------------------------------------- |  | --------------------------------------
|/s/
  Ilan Ben Dov                    |  |                                       
|                                      |  |                                       
|                                      |  |                                       
|/s/
  Shachar Landau                  |  | /s/
  Yahel Shachar /s/ Shachar Rachim
|                                      |  |                                       
|Suny Electronics Ltd.                 |  | Scailex Corporation Ltd.              
|                                      |  |                                       
|/s/
  Ilan Ben Dov /s/ Shachar Landau |  |                                       
|                                      |  |                                       
|Suny Telecom (1994) Ltd.              |  |                                       
|                                      |  |                                       
|/s/ Ilan Ben Dov /s/ Shachar
  Landau |  |                                       
|                                      |  |                                       
|Dyn Dynamic Ltd.                      |  |                                       

34

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