Beeio Honey Ltd. — Capital/Financing Update 2004

Jan 20, 2004

ORCKIT COMMUNICATIONS ANNOUNCED REDEMPTION OF OUTSTANDING 5.75% CONVERTIBLE SUBORDINATED NOTES

Tel Aviv, Israel, January 15, 2004 - Orckit Communications Ltd. (NASDAQ: ORCT), a leading provider of advanced telecom equipment, announced today that its Board of Directors has approved the redemption of all of its outstanding 5.75% convertible subordinated notes, due April 1st, 2005 (the "Notes"). As of September 30, 2003, there were $16.2 million principal amount of Notes outstanding. The redemption price is equal to the principal amount of the Notes plus accrued and unpaid interest to the redemption date. The Notes will be redeemed in full on April 1st, 2004.

As of September 30, 2003, Orckit's total cash, cash equivalents, and short and long term investments amounted to approximately $86.5 million. After this redemption is effected, Orckit will have no long term indebtedness.

A Notice of Redemption is expected to be mailed to all registered holders of the Notes on or about February, 10 2004. Copies of the Notice of Redemption may be obtained after this date from the trustee for the holders of the Notes, U.S. Bank National Association, at telephone 1-800-934-6802.

About Orckit Communications

Orckit Communications Ltd. is a leading provider of advanced telecom equipment targeting high capacity broadband services. Orckit is a majority shareholder of Corrigent Systems, which is developing metro transport telecom products designed to provide SONET and Ethernet services utilizing advanced packet technologies.

Certain matters discussed in this news release are forward-looking statements that involve a number of risks and uncertainties including, but not limited to, risks in product development plans and schedules, rapid technological change, changes and delays in product approval and introduction, customer acceptance of new products, the impact of competitive products and pricing, market acceptance, the lengthy sales cycle, proprietary rights of the Company and its competitors, risk of operations in Israel, government regulation, dependence on third parties to manufacture products, general economic conditions and other risk factors detailed in the Company's United States Securities and Exchange Commission filings. Orckit assumes no obligation to update the information in this release.