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New CEO and Chairman to Expand and Support Surf’s Business

TERADYON, ISRAEL – May 5, 2003 B.O.S. – Better On-Line Solutions’ affiliate SURF Communication Solutions® recently announced the election of Eyal Zagagi as President and CEO of the company. Surf also announced that Hezi Lapid has been appointed as the chairman of Surf’s Board of Directors. Surf’s co-founder and exiting CEO, Dr. Amnon Gavish, remains in the company as Senior Vice-President of Business Development.

“I am pleased to have such an experienced management team take the leading role within Surf. These new appointments will enable me to focus on bringing Surf’s products to the North-American market that holds Surf’s largest potential customer base,” said Amnon Gavish. “The Surf Multi-access Pool™ (SMP) product has earned a formidable array of customers from telecom’s tier-one OEMs who are integrating our product world-wide. With Eyal and Hezi taking managerial responsibility, Surf is well-positioned to increase its share of the Packet Telephony market.”

Eyal Zagagi’s previous positions include President and CEO of Virtue3D and Managing Director of Microdent Ventures. Earlier, he spent 10 years in various marketing and operations managerial positions with the Elbit group, including the role of Chief Operating Officer of HyNEX. Eyal Zagagi holds an MBA from the University of Dallas and an undergraduate degree in Computer Science from the Technion-Israel Institute of Technology.

Hezi Lapid held several senior management positions in the telecommunications industry throughout his career. Among these roles he headed InnoWave – ECI Wireless Systems as President and CEO and held the positions of General Manager of the Network Systems Division and Corporate Vice President at ECI. Prior to managing InnoWave, Hezi Lapid was CEO of C. Mer Industries. Hezi Lapid holds a bachelor’s degree in Electrical Engineering from the Ben Gurion University and is a master’s degree in Management and Information Sciences from Tel Aviv University.

About B.O.S.
Through its wholly owned subsidiary, BOScom, the Company develops, produces and markets technologically complex, multi-functional, cross-enterprise communication and networking products. Marketed under the BOS?NOVA brand, these products are renowned for their simplicity of use, quality, and reliability. The IP Telephony line offers innovative convergence migration solutions that leverage a corporation’s existing equipment infrastructure. The legacy line provides solutions for IBM midrange-to-PC and LAN connectivity and GUI emulation, and printing solutions that are operating system-independent. B.O.S. was established in 1990 and became a public company traded on the Nasdaq National Market in 1996 (Nasdaq:BOSC), and on the Tel Aviv Stock Market in 2002 (TASE:BOSC).

About Surf
Founded in 1996, SURF Communication Solutions is a leading developer and supplier of software and hardware, developed for embedded network convergence systems, which enables flexibility, scalability, and high density to products processing dial-up Modem, Fax, and Voice services over Packet Telephony networks. Surf’s products are integrated into embedded data communication equipment, developed by original equipment manufacturers in the telecommunications, telephony, data communications and wireless industries. Surf is a privately held company (headquartered in Yokne’am, Israel) with offices in the United States and Europe. To learn more about Surf, visit

The forward-looking statements contained herein reflect management’s current views with respect to future events and financial performance. These forward-looking statements are subject to certain risks and uncertainties that could cause the actual results to differ materially from those in the forward-looking statements, all of which are difficult to predict and many of which are beyond the control of BOS, including, but not limited to, those risks and uncertainties detailed in BOS’ periodic reports and registration statements filed with the U.S. Securities Exchange Commission.

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