Space Communication Ltd. — Investor Presentation 2022

Sep 5, 2022

Capital Market Presentation Q2 - 2022

Legal clarification

The presentation does not include all the information that may be relevant for the purpose of making any decision regarding investment in the company's securities and does not exhaust all the data regarding the company and its activities. Everything stated in the presentation is subject to what is stated in the relevant published reports of the company on the distribution sites of the Securities Authority and the Stock Exchange and is not intended to replace their review.

It is also clarified that a significant part of the information presented in this presentation is taken and/or derived from the company's reports, although it is presented centrally and/or graphically and/or concisely, and therefore, this presentation does not substitute the review of the company's reports.

In this presentation, the company included forward-looking information, as defined in the Securities Law, 1968-5778. Such information includes, among other things, forecasts, goals, assessments and estimates, including information presented in the form of illustrations and/or graphs and/or tables, which relate for future events and/or matters whose realization is uncertain and may be affected by factors that cannot be estimated in advance and are not under the control of the company. Forward-looking information is based on information known to the company's management at the time of this

presentation, including assessments of the company's areas of activity, market conditions, and its past experience and data and publications that were published or provided by various entities that were not independently examined by the management and the company is not responsible for their correctness. The realization of the forward-

looking information, in whole or in part, or in a different way than the company estimated, or its non-realization, will be affected, among other things, from the risk factors that characterize the company's activity, from the developments in the general environment and the external factors, which affect the company's activity, from changes in the requirements of the customers and/or the relevant markets, the company's ability to sign future contracts and their existence and dependence on third parties with whom

the company has contracted and/or will contract. The company does not undertake to update and/or change the information included in the presentation in order to reflect events and/or circumstances that will apply after the date of the presentation.

Spacecom Founded in 1992 Through its satellites, Spacecom supplies communication services, TV, data and internet over 4 continents Tel Aviv Stock Exchange IPO in 2005 Ownership • 47% Eurocom (in Receivership) • 49% Publicly held • 4% GSSC First Satellite Launched in1996 The AMOS fleet consists of 4 active communication satellites AMOS 3 AMOS 4 AMOS 7 AMOS 17 3

Q2 2022 Summary

• AMOS-17 Satellite Revenue Growth
  • 91% higher compared to Q2 2021
  • 10% higher compared to Q1 2022
• Growth of 70% in total Gross Revenue compared to Q2 2021
• Reduction of corporate debt by US\$52M
  • Repayment of US\$24M of Bond (series P)

קנייני וסודי חלל-תקשורת מצגת לשוק ההון - סיכום 2020 4

• Change in Accounting policy
• Going concern disclosure due to the current yields of certain company bonds
• Order Backlog of US\$263M
• US\$76M Cash balance

4

Signed Agreements exceeding US\$260M

Signed Agreements exceeding US\$260M
US\$) (millions of	Orbital Location	Backlog	Revenue1	Book Value	End of Life
AMOS-3		108		69	2026
AMOS-7	4W	32	53	38	2025
AMOS-4	65E	63	17	51	2028
AMOS-17	17E	47	27	205	2042
Other		13	3
Total		263	100

AMOS-17 Revenue from Services grew to a run-rate of US\$27M in 2022 Compared to Previous year run-rate of US\$14M

Main events in the last 12 months

US\$9M

Extension of Communication Services in Europe agreement on AMOS-3

July 2021 July 2021

US\$5M

Agreement with Global Provider of Maritime Communication Services on AMOS-17 for 2.2 Years

November 2021

US\$14M

Two Year Extension Deal with YES regarding AMOS-7

US\$4M

Extension of Communication Services Deal in Africa on AMOS-7

December 2021

Main events in the last 12 months (cont.)

Extension of AMOS-7

Lease Agreement

Lease Agreement Extension with AsiaSat for AMOS-7. Reduction of Annual Service Payment from US\$22M to US\$14M.

US\$6.9M

Agreement with GetSAT for Satellite Services on AMOS-17 for two years.

July 2021 April 2022

Shares Options transaction

The receiver of Eurocom Communications Ltd. entered into an agreement, which grants the company owned by Aaron Frenkel an option to purchase 26% of the company's shares, fully diluted, against payment of an exercise price of 4.584 NIS per share

August 2022

Public Share Offering

Board of Directors Authorizes Share Offering to Public

Investment in Company

Ministry of Communication Examining permit to allow purchase of 20% of company's shares to 4iG with an option to increase holdings to 51% with Ministry's approval

August 2022 August 2022

Summary of Financial Results (US\$M)

P&L Summary

11

P&L Summary
	H1-2022	2021	2020	2019	2018
4°W Revenue	\$27	\$59	\$59	\$60	\$59
65°E Revenue	8	17	18	21	19
17°E Revenue	13	16	10	2	1
Revenue from Equipment Sales	-	2	-	-	-
Total Revenue	\$48	\$94	\$88	\$82	\$80
Operating Expenses, excl. depreciation	(13)	(27)	(24)	(20)	(33)
EBITDA	\$35	\$67	\$64	\$62	\$48
margin EBITDA	73%	71%	73%	76%	59%

קנייני וסודי חלל-תקשורת מצגת לשוק ההון - סיכום 2020

Balance Sheet Summary June 30, 2022

76
37
69
51
205
3
58
499
20
216
52
51
19
338
50
22
430
69
499

Change in Accounting Policy

• Until, and including March 31, 2022, the company measured the value of its satellites on the basis of cost deducted by depreciation and amortization As of Q2 2022, the company measures the value of its satellites on a fair value basis in accordance with a revaluation model. In the company's estimation, the measurement based on fair value is a reliable and more relevant measurement basis in regard to the economic value of the company's assets and equity When performing a revaluation, the increase in the value of the satellites is recorded under Other Comprehensive Income, deducted by the Tax effect, and accumulated as a

		Change in Accounting Policy
When performing Other Revaluation	a revaluation, the Comprehensive Income, Fund	increase in the value of the deducted by the Tax effect,	satellites is recorded under and accumulated as
(US\$M)	Depreciated Value Prior to Implementation	Fair Value After Implementation as reported in the Financial Statements	Value addition (reduction) as of June 30, 2022
AMOS-17	227.6	205.3	(22.3 )
AMOS-4	55.2	51.3	(3.9 )
AMOS-3	44.4	68.7	24.3

Securities for Bond (series P), \$M

		Securities for Bond (series P), \$M
	End of Life	Book Value	Insurance Coverage	Order Backlog
AMOS- 3	2026	69	73	108
AMOS-17	2042	205	287	47
	Total	274	360	155

*Data as of 30.06.2022

קנייני וסודי חלל-תקשורת מצגת לשוק ההון - סיכום 2020

The Capitalized EBITDA of AMOS-17 and AMOS-3 is Higher than Future Refinancing Requirements

	The Capitalized EBITDA of AMOS-17 and AMOS-3
	is Higher than Future Refinancing Requirements
Net Present Value	1.1.2023	1.1.2024	1.1.2025
0%	752	717	674
		481	461
5%	493
10%	351	350	340

14 AMOS-17's expected remaining life as of June 30, 2022 is approximately 20 years The outstanding balance of Bond (series P) as of June 30, 2022 is US\$216M. The bond is expected to be repaid on June 30, 2023 (US\$48M) and on June 30, 2024 (US\$168M)

Securities for Bond (series R), \$M

Bonds (series R) \$51M

קנייני וסודי חלל-תקשורת מצגת לשוק ההון - סיכום 2020

* Data as of 30.06.2022

Summary

Continued revenue growth from AMOS-17 to an annual run-rate of US\$27M EBITDA of US\$17M in Q2 (US\$35M for H1) Order backlog of more than US\$26OM

Reduction of debt by US\$52M during Q2 US\$76M Cash Balance Eurocom agreement with Frenkel for an option to purchase 26% of the company's shares, fully diluted, at an exercise price of NIS 4.584 per share Approval in principle was received from the Ministry of Communications for an investment plan in Spacecom by the 4iG company The company's board of directors decided to carry out a public share offering

Capital Market Presentation Q2 2022 -

קנייני וסודי