PARTNER COMMUNICATIONS ANNOUNCES THE ENTRY INTO A NEW COLLECTIVE EMPLOYMENT AGREEMENT FOR AN ADDITIONAL THREE YEARS

Rhea-AI Summary

Partner Communications Company Ltd. (NASDAQ: PTNR) has renewed its collective employment agreement with employee representatives and the Histadrut New General Labor Organization for an additional three years, ending December 31, 2024. The agreement includes a 3% salary increase budget for 2022, with discussions on further salary increases planned for 2023-2024. The financial impact of this agreement is deemed immaterial for the Company. Forward-looking statements indicate potential risks associated with the new contract and its financial implications.

Positive

• Renewal of the collective employment agreement for three more years, potentially stabilizing labor relations.
• Immaterial financial impact of the new agreement may preserve cash flow.

Negative

• Potential risks and uncertainties related to financial impact on the Company from the new collective employment agreement.

ROSH HA'AYIN, Israel, Dec. 14, 2021 /PRNewswire/ -- Partner Communications Company Ltd. ("Partner" or the "Company") (NASDAQ: PTNR) (TASE: PTNR), a leading Israeli communications operator, announced today that the Company, the employees' representatives and the Histadrut New General Labor Organization (the "Parties") have signed a renewal of the collective employment agreement initially executed in 2019 and ending on December 31, 2021, for an additional period of three years, with certain changes, at a cost that is immaterial for the Company (the "Collective Employment Agreement").

Under the Collective Employment Agreement it was agreed, among others things, on a salary increase budget for 2022, in the amount of 3%, to be differentially allocated. In addition, the Parties agreed to negotiate at a later time a salary increase and participation in the Company's profits mechanism for the years 2023- 2024.

For further information please see the Company's Annual Report on Form 20-F for the year ended December 31, 2020 – "Item 3. Key Information - 3D.2j - The unionization of our employees has negatively affected and may continue to affect our financial results" and "Item 6 DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES - 6D. Employees".

Forward-Looking Statements

This press release includes forward-looking statements, as this term is defined in Section 27A of the US Securities Act of 1933, as amended, Section 21E of the US Securities Exchange Act of 1934, as amended, and the safe-harbor provisions of the US Private Securities Litigation Reform Act of 1995. Words such as "will", "believe", "anticipate", "expect", "intend", "strive", "seek", "plan", "could", "may", "foresee", "target", "objective", "goal", declensions thereof and similar expressions typically convey forward-looking statements, but these words are not the only words that convey these statements. We have based these forward-looking statements on our current knowledge and our present beliefs and expectations regarding possible future events. These forward-looking statements are subject to risks, uncertainties and assumptions, including potential difficulties which may arise from the signing of the collective employment agreement and its financial impact on the Company.

About Partner Communications

Partner Communications Company Ltd. ("Partner") is a leading Israeli provider of telecommunications services (cellular, fixed-line telephony, internet and television services). Partner's ADSs are quoted on the NASDAQ Global Select Market™ and its shares are traded on the Tel Aviv Stock Exchange (NASDAQ and TASE: PTNR).

For more information about Partner see: http://www.partner.co.il/en/Investors-Relations/lobby/

Contacts:

Mr. Tamir Amar Deputy CEO & Chief Financial Officer Tel: +972-54-781-4951

Mr. Amir Adar Head of Investor Relations & Corporate Projects Tel: +972-54-781-5051 Email: investors@partner.co.il

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SOURCE Partner Communications Company Ltd.

FAQ

What is the significance of Partner Communications' new collective employment agreement?

The renewal ensures labor stability for three more years, which may positively influence operations.

How much is the salary increase budget for 2022 in the new employment agreement?

The new agreement includes a salary increase budget of 3% for 2022.

When does the new collective employment agreement for Partner Communications end?

The new collective employment agreement will end on December 31, 2024.

What impact does the new collective employment agreement have on Partner Communications' finances?

The financial impact is considered immaterial for the Company, but there are potential risks.