June 21, 2004

Frisch’s Restaurants deploys Connexstar broadband satellite service by Gilat’s Spacenet subsidiary to restaurants throughout Midwestern United States

Petah Tikva, Israel, June 21, 2004 – Gilat Satellite Networks Ltd. (Nasdaq: GILTF) today announced that its U.S. subsidiary, Spacenet Inc., has been selected by Frisch’s Restaurants, Inc. to provide a Connexstar broadband satellite network to 120 Frisch’s Big Boy and Golden Corral restaurants in Ohio, Indiana and Kentucky.

Connexstar CX-500 provides broadband IP connectivity and Internet access with high reliability, performance and lifecycle economics. This service will be used by Frisch’s to run a broad range of IP-based applications including high-speed credit and gift-card authorization, point-of-sale polling and corporate intranet applications. In the future, Frisch’s expects to expand its use of the Connexstar platform to include broadband video surveillance and interactive distance learning.

William Kuntz, Frisch’s director of information services, said, “The deployment of our VSAT network went very smoothly and it now provides us with a full-time, persistent network connection that is highly reliable. When comparing VSAT to high-speed terrestrial alternatives, we discovered many of the terrestrial services were either too expensive or were simply not available to all our stores. The ubiquity of VSAT technology and Connexstar’s superior support for IP applications made the Spacenet solution the best choice for our needs.”

Spacenet President and CEO Bill Gerety said, “Our agreement with Frisch’s is the most recent example of the strong adoption of our Connexstar service by progressive restaurant enterprises. These chains continue to select Connexstar over competing offerings because of its performance, reliability and economics. We are gratified to have been selected by Frisch’s and we embrace the opportunity to help them optimize their business operations.”

Background on Spacenet’s Connexstar service
Connexstar provides commercial-grade, always-on broadband connectivity to multi-site enterprises of any size. The service supports a wide range of business applications, including high-speed credit authorization, in-store licensed music, distance learning, content multicasting and secure private networking services – all through a single, compact, remote access device incorporating advanced networking and routing functionality.

About Frisch’s
Frisch’s Restaurants, Inc., based in Cincinnati, is a regional company that operates and licenses others to operate full-service, family-style restaurants under the name of Frisch’s Big Boy, and operates grill buffet-style restaurants under the name Golden Corral under certain licensing agreements. These restaurants are located in various regions of Ohio, Kentucky and Indiana. Frisch’s Restaurants, Inc. has reported a profit every year since going public in 1960, and paid cash dividends to shareholders every quarter over the same period. Visit Frisch’s at www.frischs.com.

About Spacenet
Spacenet Inc. provides two-way satellite-based broadband networking solutions throughout North America under the Connexstar brand, and has more than 15 years’ experience in providing connectivity, provisioning, operations and maintenance to enterprise and government customers, including some of the largest satellite-based networks in the world. Spacenet is based in McLean, Virginia, and is a wholly owned subsidiary of Gilat Satellite Networks, Ltd. Visit Spacenet at www.spacenet.com.