Tadiran Communications, Inc.
Ticker: TTELF 18 Hasivim Street
Exchange: NASDAQ-National Market Petach-Tikva, Foreign 49104
Industry: Manufacturing 7239262262

Type of Shares:Ordinary Shares Filing Date:3/1/96
U.S. Shares:3,250,000 Offer Date:3/28/96
Non-U.S. Shares:1,750,000 Filing Range:$15.00 - $17.00
Primary Shares:5,000,000 Offer Price:$15.00
Secondary Shares:0 Gross Spread:$0.82
Offering Amount: $80,000,000 Selling:$0.50
Expenses:$2,000,000 Reallowance:$0.10
Shares Out After:25,000,000
Spin out parent firm: Tadiran Limited

ManagerTierPhone
Lehman Brothers IncorporatedLead Manager (212) 640-6129
Furman Selz IncorporatedCo-manager (212) 309-8200
PaineWebber IncorporatedCo-manager (212) 713-2626
Smith Barney Inc.Co-manager (718) 921-8473

Auditor: Deloitte & Touche
Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/95 12/31/95
Revenue:$387.53Assets:$240.73
Net Income:$25.21Liabilities:$141.62
EPS:$1.26Equity:$99.11

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
The company manufactures and distributes telecommunications equipment and systems worldwide. In Israel, the Company is a leading provider of telecommunications equipment and systems and offers a comprehensive line of products for public networks and for business and residential customers. Internationally, the Company focuses primarily on developing and providing digital cross connect, wireless local loop, telephony over cable and computer telephony integration systems, all of which the Company believes represents growth areas in the telecommunications market. In Israel, the Company is a leading supplier of switching and central office equipment, transport systems, access systems and data communications equipment to Bezeq The Israel Telecommunications Corporation Ltd., Israel's telephone operating company.

Use of Proceeds
The company intends to use approximately $25.0 million of the net proceeds from the offerings to repay approximately $16.0 million of long-term indebtedness and approximately $9.0 million of short-term indebtedness and other liabilities, of which approximately $3.0 million will be repaid to Tadiran. The remainder of the proceeds is intended to be used as the Board of Directors may decide for general corporate purposes, including research and development activities, financing credit arrangements with customers, expanding worldwide marketing activities and working capital.

Last updated: 10/28/96

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