Commtouch and MSN Israel Launch Web Based Email in Hebrew

      Commtouch Launches First Implementation of Email Service Agreement With                                   Microsoft   TEL AVIV, Israel and SANTA CLARA, Calif., Feb. 3 /PRNewswire/ -- Commtouch (Nasdaq: CTCH), the worldwide leader in integrated email outsourcing services and Microsoft (Nasdaq: MSFT) today released the first Hebrew version of web based email for MSN Israel customers.  The email launch for MSN Israel is the first implementation of the distribution and service agreement announced October 27, 1999 between Commtouch and Microsoft.  The agreement enables Microsoft to utilize the Commtouch Custom Mail(TM) service to provide private label web based email solutions to select MSN affiliates and customers globally.  "Microsoft is pleased to be working with Commtouch to deliver localized email for MSN Israel," said Moshe Lichtman, Vice President of MSN International, Consumer Group. "Commtouch's localized email solution will be a key part of enabling the everyday Web for users in Israel."  MSN users in Israel will now have the opportunity to migrate to a Hebrew email interface. The rapid development and implementation of this service highlights Commtouch and Microsoft's commitment to serve the International marketplace and its individual language needs.  Internet Gold (Nasdaq: IGLD), the leading Internet service provider in Israel and Microsoft Corporation have established a joint portal company responsible for launching MSN Israel.  "This collaboration with MSN Israel and Internet Gold is a milestone for Commtouch -- one of which we are particularly proud," said Gideon Mantel, Commtouch CEO.  "Adding new languages is part of our long tradition of innovation as a global email service provider.  Commtouch looks forward to integrating all our leading edge technologies and services to enhance MSN users' experience around the world."  About Commtouch  Serving 9.4 million active email boxes and more than 250 key clients around the world, Commtouch is the worldwide leader in integrated email outsourcing services. Commtouch email is designed for superior performance and rapid scalability, offering end user interfaces in eighteen of the world's major languages.  With more than nine years of delivering intuitive, award-winning email software, Commtouch provides its customers a truly comprehensive turn-key email service, together with options for premium communications services and direct marketing opportunities.  Founded in 1991, Commtouch has offices in Silicon Valley, New York City, London and Tel Aviv.  Additional information may be obtained by visiting: www.commtouch.com.  NOTE:  Commtouch is a registered trademark of Commtouch Software Ltd. Terms and product names in this document may be trademarks of others.    SOURCE  Commtouch Software Ltd /CONTACT:  Debbie Kay of Commtouch International, 972-9-8636806, or debbie@commtouch.com; or Chris McCarthy of Commtouch USA, 408-845-9903, or cmc@commtouch.com/  /Web site:  http://www.commtouch.com/  (CTCH MSFT IGLD)  CO:  Commtouch Software Ltd.; Microsoft Corp.; Internet Gold ST:  California, Israel IN:  CPR MLM SU:  JVN