Commtouch Sets Date for Annual Meeting of Shareholders

  
    
  
  
    
      Commtouch® (NASDAQ:CTCH), the leading OEM 
      provider of real time anti-spam, Zero-Hour™ 
      virus protection and IP Reputation technology, today announced that it 
      will hold its annual meeting of shareholders on Friday, December 15, 
      2006. Among other matters, the company will seek shareholder approval of 
      Gideon Mantel as Chairman (in addition to his duties as CEO), replacing 
      Ian Bonner who held the Executive Chairman position for the past two 
      years.
    
    
      “During Ian's chairmanship, the Board 
      successfully guided management's plan for and move to operational 
      profitability,” stated Lloyd E. Shefsky, 
      Director and Chairman of the Nominating Committee. “Given 
      Ian's other commitments, at this time, the Board feels that reducing its 
      size affords the benefit of continuity. Having the same directors guide 
      the further implementation of that profitability plan is extremely 
      valuable. Furthermore, having Gideon Mantel serve as Chair at this time 
      will further enhance the Board's coordination with management.”
    
    
      Gideon Mantel, CEO of the company added: “We 
      are extremely grateful to have had Ian’s 
      presence on the board for the past two years, and certainly understand 
      his need to devote his full energies to Inxight Software, Inc., where he 
      serves as President and CEO. We wish him continued success going forward.”
    
    
      Ian Bonner remarked: “It has been a 
      fulfilling two years for me at Commtouch. The company continues to 
      successfully perform its business plan, and current management is well 
      equipped to continue meeting the challenges to come. I look forward to 
      assisting the company on an ad hoc basis as the need arises.”
    
    
      About Commtouch
    
    
      Commtouch Software Ltd. (NASDAQ:CTCH) is dedicated to protecting and 
      preserving the integrity of the world's most important communications 
      tool -- e-mail. Commtouch has over 15 years of experience developing 
      messaging software and is a global developer and provider of proprietary 
      anti-spam, Zero-Hour virus protection and IP Reputation solutions. Using 
      core technologies including RPD (Recurrent Pattern Detection™), 
      the Commtouch Detection Center analyzes billions of email messages per 
      month to identify new spam and malware outbreaks within minutes of their 
      introduction into the Internet. Integrated by more than 50 OEM partners, 
      Commtouch technology protects thousands of organizations, with over 50 
      million users in over 100 countries. Commtouch is headquartered in 
      Netanya, Israel, and has a subsidiary in Mountain View, Calif. For more 
      information, see: www.commtouch.com. 
      The site includes the Commtouch online lab detailing spam statistics and 
      charts.
    
    
      This press release contains forward-looking statements, including 
      projections about our business, within the meaning of Section 27A of the 
      Securities Act of 1933 and Section 21E of the Securities Exchange Act of 
      1934. For example, statements in the future tense, and statements 
      including words such as "expect," "plan," "estimate," "anticipate," or 
      "believe" are forward-looking statements. These statements are based on 
      information available to us at the time of the release; we assume no 
      obligation to update any of them. The statements in this release are not 
      guarantees of future performance and actual results could differ 
      materially from our current expectations as a result of numerous 
      factors, including business conditions and growth or deterioration in 
      the Internet market, commerce and the general economy, both domestic as 
      well as international; fewer than expected new-partner relationships; 
      competitive factors, including pricing pressures; technological 
      developments, and products offered by competitors; the ability of our 
      OEM partners to successfully penetrate markets with products integrated 
      with Commtouch technology; a slower than expected acceptance rate for 
      real time AV solutions in general and the Commtouch Zero-Hour™ 
      Virus Protection product in particular; availability of qualified staff 
      for expansion; technological difficulties and resource constraints 
      encountered in developing new products; and the failure of Commtouch to 
      meet The Nasdaq Capital Market's listing standards in the future, as 
      well as those risks described in the text of this press release and the 
      company's Annual Reports on Form 20-F and reports on Form 6-K, which are 
      available through www.sec.gov.
    
    
      Recurrent Pattern Detection, RPD and Zero-Hour are trademarks, and 
      Commtouch is a registered trademark, of Commtouch Software Ltd. U.S. 
      Patent No. 6,330,590 is owned by Commtouch.
    
  
Commtouch(R) (NASDAQ:CTCH), the leading OEM provider of real time
anti-spam, Zero-Hour(TM) virus protection and IP Reputation
technology, today announced that it will hold its annual meeting of
shareholders on Friday, December 15, 2006. Among other matters, the
company will seek shareholder approval of Gideon Mantel as Chairman
(in addition to his duties as CEO), replacing Ian Bonner who held the
Executive Chairman position for the past two years.

   "During Ian's chairmanship, the Board successfully guided
management's plan for and move to operational profitability," stated
Lloyd E. Shefsky, Director and Chairman of the Nominating Committee.
"Given Ian's other commitments, at this time, the Board feels that
reducing its size affords the benefit of continuity. Having the same
directors guide the further implementation of that profitability plan
is extremely valuable. Furthermore, having Gideon Mantel serve as
Chair at this time will further enhance the Board's coordination with
management."

   Gideon Mantel, CEO of the company added: "We are extremely
grateful to have had Ian's presence on the board for the past two
years, and certainly understand his need to devote his full energies
to Inxight Software, Inc., where he serves as President and CEO. We
wish him continued success going forward."

   Ian Bonner remarked: "It has been a fulfilling two years for me at
Commtouch. The company continues to successfully perform its business
plan, and current management is well equipped to continue meeting the
challenges to come. I look forward to assisting the company on an ad
hoc basis as the need arises."

   About Commtouch

   Commtouch Software Ltd. (NASDAQ:CTCH) is dedicated to protecting
and preserving the integrity of the world's most important
communications tool -- e-mail. Commtouch has over 15 years of
experience developing messaging software and is a global developer and
provider of proprietary anti-spam, Zero-Hour virus protection and IP
Reputation solutions. Using core technologies including RPD (Recurrent
Pattern Detection(TM)), the Commtouch Detection Center analyzes
billions of email messages per month to identify new spam and malware
outbreaks within minutes of their introduction into the Internet.
Integrated by more than 50 OEM partners, Commtouch technology protects
thousands of organizations, with over 50 million users in over 100
countries. Commtouch is headquartered in Netanya, Israel, and has a
subsidiary in Mountain View, Calif. For more information, see:
www.commtouch.com. The site includes the Commtouch online lab
detailing spam statistics and charts.

   This press release contains forward-looking statements, including
projections about our business, within the meaning of Section 27A of
the Securities Act of 1933 and Section 21E of the Securities Exchange
Act of 1934. For example, statements in the future tense, and
statements including words such as "expect," "plan," "estimate,"
"anticipate," or "believe" are forward-looking statements. These
statements are based on information available to us at the time of the
release; we assume no obligation to update any of them. The statements
in this release are not guarantees of future performance and actual
results could differ materially from our current expectations as a
result of numerous factors, including business conditions and growth
or deterioration in the Internet market, commerce and the general
economy, both domestic as well as international; fewer than expected
new-partner relationships; competitive factors, including pricing
pressures; technological developments, and products offered by
competitors; the ability of our OEM partners to successfully penetrate
markets with products integrated with Commtouch technology; a slower
than expected acceptance rate for real time AV solutions in general
and the Commtouch Zero-Hour(TM) Virus Protection product in
particular; availability of qualified staff for expansion;
technological difficulties and resource constraints encountered in
developing new products; and the failure of Commtouch to meet The
Nasdaq Capital Market's listing standards in the future, as well as
those risks described in the text of this press release and the
company's Annual Reports on Form 20-F and reports on Form 6-K, which
are available through www.sec.gov.

   Recurrent Pattern Detection, RPD and Zero-Hour are trademarks, and
Commtouch is a registered trademark, of Commtouch Software Ltd. U.S.
Patent No. 6,330,590 is owned by Commtouch.