ATEL Atelis

    ATELIS PLC                                   

                          ("ATELIS" OR THE "COMPANY")                          

                              DIRECTORATE CHANGE                               

The Board of Atelis plc, a provider of IP-PBX telephony solutions, is pleased
to announce the appointment of Mr. Andy Mitchell as an Executive Director of
the Company.

Mr. Andy Mitchell, whose responsibilities will include the co-ordination of the
Company's European Sales operation, has many years senior level experience
within the ISP and telecommunications industries. He has previously held
several positions at Siemens UK, including pre sales consultant and project
management for initiatives with major UK and European ISP's and Telco's. Prior
to this he was the Vice President of UK Operations at Artera Group Inc, USA, a
worldwide organisation in data communications, data networks and associated
software developments.

The Company also announces today that Mr. Nir Simyonovitch, CTO, is stepping
down from the Board of the Company, with immediate effect. The Board would like
to thank Nir for his role in the development of the Company's family of PBX
solutions and wish him every success in the future.

Rony Cohen, CEO of Atelis, commented, "I am delighted to welcome Andy Mitchell
on to the Board of Atelis. He brings with him invaluable expertise and I am
confident he will prove to be a major asset to the Company as we seek to
generate increased sales momentum and shareholder value."

ENQUIRIES:

Atelis plc                             +972 7 3255 6124                      
                                                                             
Rony Cohen, CEO                                                              
                                                                             
City Financial Associates              +44 (0)20 7492 4777                   
                                                                             
James Caithie                                                                
                                                                             
ICIS                                   +44 (0)20 7651 8688                   
                                                                             
Caroline Evans-Jones                                                         

Further information as required by the AIM Rules:

Current and past directorships and partnerships held within the last five years
of Andrew Paul Mitchell, aged 42, are set out below:

Current                                Past                                  
                                                                             
APM Building Services Limited          Thinstore Managed Services Limited    
                                                                             
Greenoak Convergent Internet                                                 
Technologies Limited                                                         
                                                                             
Atom Partners Limited                                                        



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