Revenues for the third quarter of 2009 were $54.6 million, compared to $65.3 million for the same period in 2008. Net income for the third quarter of 2009 was $2.5 million, or $0.06 per diluted share, compared to a net loss $0.5 million, or $0.01 per diluted share, for the third quarter of 2008.

Revenues for the nine month period ended September 30, 2009 were $171.5 million, compared to $201.4 million for the comparable period of 2008. Net income for the nine month period ended September 30, 2009 was $1.5 million or $0.04 per diluted share, compared to $5.3 million or $0.13 per diluted share, for the same period of 2008.

Gilat's Chief Executive Officer and Chairman of the Board, Amiram Levinberg, said, "This quarter, our financial results continued to show stability and we continued to increase our cash position by maintaining our cost control measures. We are pleased to announce today that Ms. Susan Miller has joined Spacenet as CEO of Spacenet Integrated Government Solutions (SIGS). SIGS will focus on expanding our reach to new customers including the Department of Defense, Homeland Security, the Intelligence community and government related agencies. Ms. Miller brings to us over 20 years of industry experience and previously served as President and Chairman of the Board for Intelsat General Corporation where she grew its business from $80 million to just under $300 million in annual revenue during her tenure. I am confident that Ms. Miller's vast experience will contribute significantly to Spacenet's expansion to this growing market."

Link to Financial Tables

Recent Announcements

- A government defense agency in Asia has awarded Gilat a multi-million dollar contract to deliver a turnkey broadband communications solution. Gilat's turnkey solution will integrate a variety of technology platforms and will include its SkyEdge II high performance platform, enabling the delivery of high-speed data, video and voice applications to serve the different units within the organization.

- Kazakhtelecom JSC, (KT), Kazakhstan's largest telecommunications operator, has added Gilat's cellular backhaul solution to its satellite communications network. Gilat integrated its SkyAbis cellular backhaul solution with Huawei's native IP 3G base stations to enable KT's expansion of communications services to regions where it was not economically feasible before.

- Cable & Wireless Panama, Panama's largest telecommunications operator, chose Gilat to provide a SkyEdge II high-performance network that will be used to deliver broadband Internet to hundreds of schools in remote areas nationwide.

- Gilat announced the successful deployment of a broadband satellite Internet service for passengers of Kazakhstan Temir Zholy, the national railway company of Kazakhstan. Transtelecom, a government-owned telco established to meet the railway's communications needs, selected Gilat as the satellite equipment provider for this pioneering deployment.

- China Unicom is deploying Gilat's SkyAbis cellular backhaul solution to enhance GSM mobile connectivity in China's Xinjiang region. Remote areas of the Xinjiang region are now able to receive high-quality mobile voice and data services similar to those offered in other developed regions in China.

- Telespazio Brasil, one of Brazil's largest satellite service providers, chose Gilat to provide a 1,200-site SkyEdge II broadband satellite communications network. The network will be used by Sicredi Bank for both primary enterprise networking connectivity as well as back-up.

Conference Call & Webcast

Gilat will host a conference call today at 9:30 AM Eastern Time. In order to ensure audio access, participants from the U.S. should dial in at (866) 860-9642 and international participants should dial in at (972) 3-918-0644. The live presentation may also be accessed via Webcast through the Company's website at www.gilat.com prior to the call. A replay of the call will be available beginning at approximately 12:00 PM Eastern Time, November 16, 2009 until November 18, 2009 at 12:00 PM.

To listen to the replay, U.S. participants should call (888) 269-0005 and international participants should call (972) 3-925-5927. The call will also be available for replay as a Webcast on the Company's website at www.gilat.com and will be archived for 30 days.

About Gilat Satellite Networks Ltd.

Gilat Satellite Networks Ltd. is a leading provider of products and services for satellite-based communications networks. The Company operates under three business units: (i) Gilat Network Systems, a provider of network systems and associated professional services to service providers and operators worldwide; (ii) Spacenet Inc., a provider of managed services in North America to the business and government segments; and (iii) Spacenet Rural Communications, a provider of rural telephony and Internet access solutions to remote areas primarily in Latin America.

Gilat was founded in 1987 and has shipped over 750,000 Very Small Aperture Terminals (VSATs) to more than 85 countries across six continents. Gilat's headquarters is located in Petah Tikva, Israel. The Company has 16 sales and service offices worldwide. Gilat markets a full line of high-performance VSATs under the SkyEdge^TM and SkyEdge II Product Family.

Certain statements made herein that are not historical are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. The words "estimate", "project", "intend", "expect", "believe" and similar expressions are intended to identify forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties. Many factors could cause the actual results, performance or achievements of Gilat to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements, including, among others, changes in general economic and business conditions, inability to maintain market acceptance to Gilat's products, inability to timely develop and introduce new technologies, products and applications, rapid changes in the market for Gilat's products, loss of market share and pressure on prices resulting from competition, introduction of competing products by other companies, inability to manage growth and expansion, loss of key OEM partners, inability to attract and retain qualified personnel, inability to protect the Company's proprietary technology and risks associated with Gilat's international operations and its location in Israel. For additional information regarding these and other risks and uncertainties associated with Gilat's business, reference is made to Gilat's reports filed from time to time with the Securities and Exchange Commission.

Notes:

(1) The attached summary financial statements were prepared in accordance with U.S. Generally Accepted Accounting Principles (GAAP). The attached summary financial statements for the three and nine months ending September 30, 2009 are unaudited. To supplement the consolidated financial statements presented in accordance with GAAP, the Company presents Gilat's net income, EBITDA and earnings per diluted share, before the impact of a non-cash share-based payment charge, which is the non-cash stock option expense as per SFAS 123 (R). Non-GAAP presentations of net income, EBITDA and earnings per share are provided to enhance the understanding of the Company's historical financial performance and comparability between periods.

(2) Operating income before depreciation, amortization and non cash stock option expenses as per SFAS 123(R) ('EBITDA') is presented because it is a measure commonly used and is presented solely in order to improve the understanding of the Company's operating results and to provide further perspective on these results. EBITDA, however, should not be considered as an alternative to operating income or net income for the period as an indicator of the operating performance of the Company.

Similarly, EBITDA should not be considered as an alternative to cash flows from operating activities as a measure of liquidity. EBITDA is not a measure of financial performance under generally accepted accounting principles and may not be comparable to other similarly titled measures for other companies. EBITDA may not be indicative of the historic operating results of the Company; nor is it meant to be predictive of potential future results. Reconciliation between the Company's Operating income and EBIDTA is presented in the attached summary financial statements.