<SEC-DOCUMENT>0001178913-24-001863.txt : 20240528
<SEC-HEADER>0001178913-24-001863.hdr.sgml : 20240528
<ACCEPTANCE-DATETIME>20240528163801
ACCESSION NUMBER:		0001178913-24-001863
CONFORMED SUBMISSION TYPE:	6-K
PUBLIC DOCUMENT COUNT:		3
CONFORMED PERIOD OF REPORT:	20240528
FILED AS OF DATE:		20240528
DATE AS OF CHANGE:		20240528

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			ELTEK LTD
		CENTRAL INDEX KEY:			0001024672
		STANDARD INDUSTRIAL CLASSIFICATION:	PRINTED CIRCUIT BOARDS [3672]
		ORGANIZATION NAME:           	04 Manufacturing
		IRS NUMBER:				000000000
		STATE OF INCORPORATION:			L3
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		6-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-28884
		FILM NUMBER:		24992545

	BUSINESS ADDRESS:	
		STREET 1:		SGOOLA INDUSTRIAL ZONE
		STREET 2:		P O B 159
		CITY:			PETACH TIKVA
		STATE:			L3
		ZIP:			49101 I
		BUSINESS PHONE:		972-3-9395025

	MAIL ADDRESS:	
		STREET 1:		SGOOLA INDUSTRIAL ZONE
		STREET 2:		P O B 159
		CITY:			PETACH TIKVA
		STATE:			L3
		ZIP:			49101
</SEC-HEADER>
<DOCUMENT>
<TYPE>6-K
<SEQUENCE>1
<FILENAME>zk2431530.htm
<DESCRIPTION>6-K
<TEXT>
<html>
  <head>
    <title></title>
    <!-- Licensed to: ZKG
         Document created using Broadridge PROfile 24.3.1.5224
         Copyright 1995 - 2024 Broadridge -->
  </head>
<body bgcolor="#ffffff" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; text-align: left; color: #000000;">
  <hr align="center" style="border: none; border-bottom: 1px solid black; border-top: 4px solid black; height: 10px; color: #ffffff; background-color: #ffffff; text-align: center; margin-left: auto; margin-right: auto;">
  <div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; margin-right: 122.45pt; margin-left: 123pt; line-height: 1.25; font-family: 'Times New Roman',Times,serif; font-size: 14pt; font-weight: bold; background-color: rgb(255, 255, 255); color: rgb(0, 0, 0); font-style: normal; font-variant: normal; text-transform: none;">SECURITIES AND EXCHANGE COMMISSION</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; margin-right: 122.4pt; margin-left: 123pt; line-height: 1.25; font-weight: bold;">Washington, D.C. 20549</div>
    <br>
    <div style="text-align: center; margin-right: 122.45pt; margin-left: 122.4pt; line-height: 1.25; font-family: 'Times New Roman',Times,serif; font-size: 14pt; font-weight: bold; background-color: rgb(255, 255, 255); color: rgb(0, 0, 0); font-style: normal; font-variant: normal; text-transform: none;">F O R M 6-K</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; margin-right: 68.55pt; margin-left: 68.15pt; line-height: 1.25; font-weight: bold;">REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 </div>
    <div style="text-align: center; margin-right: 68.55pt; margin-left: 68.15pt; line-height: 1.25; font-weight: bold;">UNDER THE SECURITIES EXCHANGE ACT OF 1934</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; margin-right: 122.45pt; margin-left: 122.85pt; line-height: 1.25; font-weight: bold;">For the month of May 2024</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; margin-right: 122.45pt; margin-left: 122.15pt; line-height: 1.25;">Commission file number 000-28884</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; margin-right: 122.45pt; margin-left: 122.8pt; line-height: 1.25; font-family: 'Times New Roman',Times,serif; font-size: 16pt; font-weight: bold; background-color: rgb(255, 255, 255); color: rgb(0, 0, 0); font-style: normal; font-variant: normal; text-transform: none;"><u>Eltek Ltd.</u></div>
    <div style="text-align: center; margin-right: 122.45pt; margin-left: 122.75pt; line-height: 1.25;">(Name of Registrant)</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; margin-right: 169.7pt; margin-left: 170.1pt; line-height: 1.25;">Sgoola Industrial Zone, Petach Tikva, Israel (Address of Principal Executive Office)</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-indent: 30.3pt; margin-right: 9.15pt; margin-left: 5pt; line-height: 1.25; font-weight: bold;">Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; margin-right: 122.45pt; margin-left: 122.45pt; line-height: 1.25;"><font style="font-weight: bold;">Form 20-F </font>&#9746; &#160; &#160; &#160; &#160; &#160; <font style="font-weight: bold;">Form 40-F &#9744;</font></div>
    <div style="line-height: 1.25">&#160;</div>
  </div>
  <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
    <div style="page-break-after: always;" class="BRPFPageBreak">
      <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
  </div>
  <div><br>
    <div style="text-align: center; margin-right: 68.35pt; margin-left: 68.15pt; line-height: 1.25;">Eltek Ltd.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; margin-right: 122.45pt; margin-left: 122.1pt; line-height: 1.25;">EXPLANATORY NOTE</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="margin-left: 5pt; line-height: 1.25;">The following exhibits are attached:</div>
    <div style="line-height: 1.25">&#160;</div>
    <div>
      <table cellspacing="0" cellpadding="0" id="z61509719f1e84f11b6b9010a12249367" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 35.35pt; vertical-align: top; text-align: right;">
              <div style="text-align: left; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">99.1</div>
            </td>
            <td style="width: auto; vertical-align: top;">
              <div style="line-height: 1.25;">Notice and Proxy of Special General Meeting of Shareholders to be held on July 8, 2024.</div>
            </td>
          </tr>

      </table>
    </div>
    <div>
      <table cellspacing="0" cellpadding="0" id="z679e6dafd9674cfa88ee919fb46116ee" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 0.9pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 35.35pt; vertical-align: top; text-align: right;">
              <div style="line-height: 1.25">&#160;</div>
              <div style="text-align: left; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">99.2</div>
            </td>
            <td style="width: auto; vertical-align: top;">
              <div style="line-height: 1.25">&#160;</div>
              <div style="line-height: 1.25;">Form of Proxy Card</div>
            </td>
          </tr>

      </table>
    </div>
  </div>
  <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
    <div style="page-break-after: always;" class="BRPFPageBreak">
      <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
  </div>
  <div><br>
    <div style="text-align: center; margin-right: 122.45pt; margin-left: 122.65pt; line-height: 1.25;">SIGNATURE</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-indent: 30.3pt; margin-right: 9.15pt; margin-left: 5pt; line-height: 1.25;">Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned,
      thereunto duly authorized.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <table cellspacing="0" cellpadding="0" border="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; color: #000000; width: 100%;" id="z90dea9589bb2430db8e3052db9581c3b">

          <tr>
            <td style="width: 50.00%;">
              <div>&#160;</div>
            </td>
            <td style="width: 50.00%;">
              <div>ELTEK LTD.
                <div style="text-align: left; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">(Registrant)</div>
                <div style="line-height: 1.25;">&#160;</div>
                <div style="text-align: left; line-height: 1.25; font-family: 'Times New Roman',Times,serif;"><u>By: </u><font style="font-style: italic;"><u>Ron Freund</u></font></div>
                <div style="text-align: left; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">Ron Freund</div>
                <div style="text-align: left; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">Chief Financial Officer</div>
              </div>
            </td>
          </tr>

      </table>
    </div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="margin-left: 5pt; line-height: 1.25;">Date: May 28, 2024</div>
  </div>
  <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
    <div style="page-break-after: always;" class="BRPFPageBreak">
      <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
  </div>
  <div><br>
    <br>
    <div style="text-align: center; margin-right: 122.45pt; margin-left: 122.8pt; line-height: 1.25; font-weight: bold;">EXHIBIT INDEX</div>
    <div style="margin-left: 10.7pt; line-height: 1.25;"> <br>
    </div>
    <div>
      <table cellspacing="0" cellpadding="0" id="z73336bb1619c47669103bd0a824e74d8" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 70.05pt; vertical-align: top; text-align: right;">
              <div style="text-align: left; line-height: 1.25;"><u><font style="font-family: 'Times New Roman',Times,serif;">EXHIBIT NO.</font> </u><br>
              </div>
              <div style="text-align: left; margin-left: 4.95pt; line-height: 1.25;"><u> <br>
                </u></div>
              <div style="text-align: left; line-height: 1.25;"><a href="exhibit_99-1.htm"><font style="font-family: 'Times New Roman',Times,serif;"><u>99.1</u></font><br>
                </a></div>
            </td>
            <td style="width: auto; vertical-align: top;">
              <div style="line-height: 1.25;"><u>DESCRIPTION</u></div>
              <div style="line-height: 1.25;"><u> <br>
                </u></div>
              <div style="line-height: 1.25;"><a href="exhibit_99-1.htm"><u>Notice and Proxy of Special General Meeting of Shareholders to be held on July 8, 2024</u></a></div>
            </td>
          </tr>

      </table>
    </div>
    <div>
      <table cellspacing="0" cellpadding="0" id="z1d72dbdb65bd433781c3b58ded818883" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; margin-top: 4.85pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 70.05pt; vertical-align: top; text-align: right;">
              <div style="line-height: 1.25">&#160;</div>
              <div style="text-align: left; line-height: 1.25;"><a href="exhibit_99-2.htm"><font style="font-family: 'Times New Roman',Times,serif;"><u>99.2</u></font></a></div>
            </td>
            <td style="width: auto; vertical-align: top;">
              <div style="line-height: 1.25">&#160;</div>
              <div style="line-height: 1.25;"><a href="exhibit_99-2.htm"><u>Form of Proxy Card</u></a></div>
            </td>
          </tr>

      </table>
      <div> <br>
      </div>
    </div>
    <div>
      <hr align="center" style="border: none; border-bottom: 4px solid black; border-top: 1px solid black; height: 10px; color: #ffffff; background-color: #ffffff; text-align: center; margin-left: auto; margin-right: auto;"></div>
    <br>
  </div>
</body>
</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>exhibit_99-1.htm
<DESCRIPTION>EXHIBIT 99.1
<TEXT>
<html>
  <head>
    <title></title>
    <!-- Licensed to: ZKG
         Document created using Broadridge PROfile 24.3.1.5224
         Copyright 1995 - 2024 Broadridge -->
  </head>
<body bgcolor="#ffffff" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; text-align: left; color: #000000;">
  <div>
    <div class="BRPFPageHeader">
      <div style="line-height: 1.25;">
        <hr align="center" style="border: none; border-bottom: 1px solid black; border-top: 4px solid black; height: 10px; color: #ffffff; background-color: #ffffff; text-align: center; margin-left: auto; margin-right: auto;"></div>
    </div>
    <div style="text-align: right; line-height: 1.25; font-family: 'Times New Roman',Times,serif; font-weight: bold;"><u> Exhibit 99.1</u><br>
    </div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;"> <br>
    </div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">Eltek Ltd.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">20 Ben Zion Gelis Street, Petach Tikva, Israel</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">NOTICE OF ANNUAL GENERAL MEETING OF SHAREHOLDERS</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">To Be Held on July 8, 2024</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; margin-left: 36pt; line-height: 1.25;">To our shareholders:</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">You are invited to attend the annual general meeting of the shareholders of Eltek Ltd. (&#8220;<u>Eltek</u>&#8221; or the &#8220;<u>Company</u>&#8221;) to be held at the Company&#8217;s offices, at 20 Ben Zion
      Gelis Street, Petach Tikva, Israel,&#160;on July 8, 2024 at 10:00 A.M. local time, and thereafter as it may be adjourned from time to time (the &#8220;<u>Meeting</u>&#8221;) for the following purposes:</div>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="zb3bd30c749d140c2b6f7c7c159610ec5" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.5pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">1.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To re-elect Messrs. Yitzhak Nissan, Mordechai Marmorstein, David Rubner, Erez Meltzer and Ms. Revital Cohen-Tzemach, to the Company&#8217;s Board of Directors (the &#8220;<u>Board</u>&#8221;), to serve until the next annual general meeting of the
              shareholders and until their successors have been duly elected and qualified;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="zf5a162f73f884af7a63040f37dc6d842" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.5pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">2.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To re-elect Ms. Ilana Lurie for a third term as an external director, to hold office for three (3) years, as of September 6, 2024;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z3abd4824b3354c52b73e7245e26f49cd" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.5pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">3.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the Company&#8217;s Third Amended and Restated Compensation Policy, as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="zf6c9da4db1244f43ab5bd00d69093541" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.5pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">4.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the extension of the Company&#8217;s Amended Management Agreement with Nistec Ltd., our Controlling shareholder;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z3f41b58584af415ab64ca8904d8e1ab3" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.5pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">5.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the amendment and restatement of the Company&#8217;s Amended Management Agreement with Nistec Ltd., our Controlling shareholder;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="zc64c6af0b9af45edab61449f813dc78a" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.5pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">6.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the amendment and extension of the Amended PCB Purchase Procedure with Nistec Ltd., our Controlling shareholder;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z69408543295941c4b2d35c6db9ee61ed" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.5pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">7.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the amendment and extension of the Amended Soldering, Assembly and Design Services Procedure with Nistec Ltd., our Controlling shareholder;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="zdb651bbfe33549c6ac057e324c9af7d6" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.5pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">8.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the grant of an annual bonus for the year 2023 to Ms. Revital Cohen-Tzemach, director, former special project manager and daughter of Mr. Yitzhak Nissan, our Controlling shareholder and Chairman of the Board, as described in the
              Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z04baa02bd2c340fcb2b095d0b395f50a" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.5pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">9.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the amendment of the terms of options granted to the Company&#8217;s directors (including the external directors, but excluding our Controlling shareholder and Chairman of the Board, Mr. Yitzhak Nissan, and his daughter, Ms. Revital
              Cohen-Tzemach), as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="zb2bf7f7ad26541daba50dd55f9a45083" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.5pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">10.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve an amendment of the terms of employment of Mr. Eli Yaffe, the Company&#8217;s Chief Executive Officer (the &#8220;<u>CEO</u>&#8221;), relating to Mr. Yaffe&#8217;s salary, as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z1c44bf6a74e046b89ee039e859188066" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.5pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">11.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the amendment of the terms of employment of Mr. Eli Yaffe, the CEO, relating to the mode of Mr. Yaffe&#8217;s engagement by the Company, as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
      <div style="page-break-after: always;" class="BRPFPageBreak">
        <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
    </div>
    <div style="line-height: 1.25"> <br>
    </div>
    <table cellspacing="0" cellpadding="0" id="z845337849fad4666975cd2cbd62dcafc" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.5pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">12.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the amendment of the terms of options granted to Mr. Eli Yaffe, the Company&#8217;s CEO, as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z86c1597bb1c94f639eca3fcd25fd8429" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.5pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">13.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the grant of options to Mr. Eli Yaffe, the Company&#8217;s CEO, as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z9c3538aa0d1d4ad3b07c52cfad70d7c6" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.5pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">14.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the grant of a special bonus to Mr. Eli Yaffe, the Company&#8217;s CEO, and Mr. Ron Freund, the Company&#8217;s Chief Financial Officer, as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z4c349acc19784e2885f9c5f249c21362" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.5pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">15.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To appoint Kost Forer Gabbay &amp; Kasierer, a member of Ernst &amp; Young Global, as the Company&#8217;s independent auditors for the year ending December 31, 2024 and for such additional period until the next annual general meeting of
              shareholders, and to authorize the Board to approve their compensation; and</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="zc75d2389aeeb4ccd92ead563b07800c5" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">16.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To review the Auditor&#8217;s Report and the Company&#8217;s Consolidated Financial Statements for the fiscal year ended December 31, 2023.</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The Board has fixed the close of business on May 30, 2024, as the date for determining the holders of record of the Company&#8217;s ordinary shares, nominal value NIS 3.00 per share,
      (the &#8220;<u>Ordinary Shares</u>&#8221;) entitled to notice of and to vote at the Meeting and any adjournments thereof.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Holders of record at the close of business on May 30, 2024 are entitled to notice of and to vote at the Meeting and any adjournments thereof. You can vote either by mailing in your
      proxy or in person by attending the Meeting. Only proxies that are received at the Company&#8217;s offices at 20 Ben Zion Gelis Street, Petach Tikva, Israel,&#160;or by its transfer agent, by July 5, 2024 at 10:00 A.M. local time, will be deemed received in a
      timely fashion and the votes therein recorded. If you attend the Meeting, you can revoke your proxy and vote your shares in person. Detailed proxy voting instructions are provided both in the proxy statement and on the enclosed proxy card.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25; font-weight: bold;">Pursuant to the Company&#8217;s Amended and Restated Articles of Association (the &#8220;<u>Articles</u>&#8221;), the quorum required for the Meeting consists of at least two
      shareholders present, in person or by proxy, who hold or represent between them at least thirty-three percent (33%) of the total voting power attached to the Ordinary Shares then outstanding.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Items 1, 9 and 15 are ordinary resolutions, which require the affirmative vote of a majority of the Ordinary Shares present and voting on the proposed resolution, in person or by
        proxy. The votes of all shareholders voting on the matter will be counted.</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Item 2 is a special resolution, which is submitted for our&#160;shareholders&#8217; approval, following approval of each of (i) the Company&#8217;s Audit Committee, and (ii) the Board, and which
      requires the affirmative vote of a majority of the Ordinary Shares present and voting on the matter, in person or by proxy, <font style="font-style: italic;">provided</font> that either (i) at least a majority of the Ordinary Shares voted by
      shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the proposed resolution; or (ii) the total number of the Ordinary Shares voted against the proposed resolution by
      shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, does not exceed two percent (2%) of the outstanding voting power in the Company. For the purposes of the vote on Item 2, an interest not
      resulting from ties to the Controlling shareholders is not considered a Personal Interest.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Items 3 to 8 and 10 to 14 are special resolutions, which are submitted for our&#160;shareholders&#8217; approval, following approval of each of (i) the Company&#8217;s Audit Committee or
      Compensation Committee, as applicable, and (ii) the Board, and which require the affirmative vote of a majority of the Ordinary Shares present and voting on the matter, in person or by proxy, <font style="font-style: italic;">provided</font> that
      either (i) at least a majority of the Ordinary Shares voted by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the proposed resolution; or (ii) the total number of the
      Ordinary Shares voted against the proposed resolution by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, does not exceed two percent (2%) of the outstanding voting power in the Company.</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;"> <br>
    </div>
    <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">- ii - </div>
    <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
      <div style="page-break-after: always;" class="BRPFPageBreak">
        <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
    </div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Generally, an act or transaction with a Controlling shareholder or in which a Controlling shareholder has a Personal Interest requires our shareholders&#8217; approval every three (3)
      years.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Each shareholder voting at the Meeting or prior thereto by means of the enclosed proxy card is required to indicate if he, she or it has a Personal Interest in connection with
      certain proposals. If any shareholder casting a vote in connection with such a proposal does not explicitly indicate on the proxy card that he, she or it has, or does not have, a Personal Interest with respect to the proposal, then their vote on the
      applicable item will not be counted.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The review of our audited Consolidated Financial Statements for the fiscal year ended December 31, 2023 described in Item 16 does not involve a vote of our shareholders.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Further details of these matters to be considered at the Meeting are contained in the Company&#8217;s Proxy Statement furnished herewith. Copies of the resolutions to be adopted at the
      Meeting will be available to any shareholder entitled to vote at the meeting for review at the Company&#8217;s offices during regular business hours.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The Board believes that our shareholders should be represented as fully as possible at the Meeting and encourages your vote. Whether or not you plan to be present, kindly complete,
      date and sign the enclosed proxy card exactly as your name appears on the envelope containing this Notice<font style="font-weight: bold;">&#160;</font>and mail it promptly so that your votes can be recorded. No postage is required if mailed in the United
      States. Return of your proxy does not deprive you of your right to attend the Meeting, to revoke the proxy or to vote your shares in person. All proxy instruments and powers of attorney must be received by the Company or its transfer agent no later
      than 48 hours prior to the Meeting. The Company&#8217;s Proxy Statement is furnished herewith.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Joint holders of Ordinary Shares should take note that, pursuant to Article 25(e) of the Articles, the vote of the senior of joint holders of any share who tenders a vote, whether
      in person or by proxy, will be accepted to the exclusion of the vote(s) of the other joint holder(s) of the share, and for this purpose seniority will be determined by the order in which the names stand in the shareholders&#8217; register.</div>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" border="0" align="right" id="z5ef7290974464f3a864e864338641283" style="width: 50%; color: #000000; font-family: 'Times New Roman', Times, serif; font-size: 10pt; text-align: left;">

        <tr>
          <td style="width: 100%; vertical-align: top;">
            <div style="text-align: center; line-height: 1.25;">By Order of the Board of Directors,</div>
          </td>
        </tr>
        <tr>
          <td style="width: 100%; vertical-align: top;">&#160;</td>
        </tr>
        <tr>
          <td style="width: 100%; vertical-align: top;">
            <div style="text-align: center; line-height: 1.25;">Yitzhak Nissan</div>
          </td>
        </tr>
        <tr>
          <td style="width: 100%; vertical-align: top;">
            <div style="text-align: center; line-height: 1.25;">Chairman of the Board of Directors</div>
          </td>
        </tr>

    </table>
    <div style="text-align: justify; line-height: 1.25; font-family: 'Times New Roman',Times,serif; font-weight: bold; clear: both;"><br>
      YOUR VOTE IS IMPORTANT. WHETHER OR NOT YOU EXPECT TO ATTEND THE MEETING, PLEASE DATE AND SIGN THE PROXY CARD AND RETURN IT PROMPTLY IN THE ENCLOSED ENVELOPE FOR WHICH NO POSTAGE IS REQUIRED IF MAILED IN THE UNITED STATES. YOU CAN LATER REVOKE YOUR
      PROXY, ATTEND THE MEETING AND VOTE YOUR SHARES IN PERSON. ALL PROXY INSTRUMENTS AND POWERS OF ATTORNEY MUST BE DELIVERED TO THE COMPANY OR ITS TRANSFER AGENT NO LATER THAN 48 HOURS PRIOR TO THE MEETING.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25; text-align: center;">- iii -<br>
    </div>
    <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
      <div style="page-break-after: always;" class="BRPFPageBreak">
        <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
    </div>
    <div class="BRPFPageHeader">
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">Eltek Ltd.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; line-height: 1.25;">20 Ben Zion Gelis Street</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; line-height: 1.25;">&#160;Petach Tikva, Israel</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">ANNUAL GENERAL MEETING OF SHAREHOLDERS</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">To Be Held on July 8, 2024</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">PROXY STATEMENT</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">This Proxy Statement is furnished to the holders of Ordinary Shares, NIS 3.0 nominal value (the &#8220;<u>Ordinary Shares</u>&#8221;), of Eltek Ltd. (&#8220;<u>Eltek</u>&#8221; or the &#8220;<u>Company</u>&#8221;) in
      connection with the solicitation of proxies to be voted at the annual general meeting of the Company&#8217;s shareholders to be held at the Company&#8217;s offices at 20 Ben Zion Gelis Street, Petach Tikva, Israel, on July 8, 2024 at 10:00 A.M. local time, and
      thereafter as it may be adjourned from time to time (the &#8220;<u>Meeting</u>&#8221;). Our shareholders will be asked to vote upon the following matters:</div>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="zaf9c4d3cb5db44e388effe922e3e7d03" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">1.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To re-elect Messrs. Yitzhak Nissan, Mordechai Marmorstein, David Rubner, Erez Meltzer and Ms. Revital Cohen-Tzemach, to the Company&#8217;s Board of Directors (the &#8220;<u>Board</u>&#8221;), to serve until the next annual general meeting of shareholders
              and until their successors have been duly elected and qualified;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z12ceb094e3d84981a97f101613a11f9d" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">2.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To re-elect Ms. Ilan Lurie for a third term as an external director, to hold office for three (3) years, as of September 6, 2024;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z457b4b641cf9478f94efbc35ee8ba1d0" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">3.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the Company&#8217;s Third Amended and Restated Compensation Policy, as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z4b715190c449404cb4d2044869febd24" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">4.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the extension of the Company&#8217;s Amended Management Agreement with Nistec Ltd., our Controlling shareholder;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z876145a8a5f8419a90d6e3a6edb4ef01" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">5.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the amendment and restatement of the Company&#8217;s Amended Management Agreement with Nistec Ltd., our Controlling shareholder;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="zee53364eb5b44a88a8180ebb5b7e6365" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">6.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the amendment and extension of the Amended PCB Purchase Procedure with Nistec Ltd., our Controlling shareholder;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="zc94ff2fe04f84f6580f6eed5b66bc57f" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">7.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the amendment and extension of the Amended Soldering, Assembly and Design Services Procedure with Nistec Ltd., our Controlling shareholder;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="zcb35659642e94e6896b4961e8b69f365" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">8.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the grant of an annual bonus for the year 2023 to Ms. Revital Cohen-Tzemach, director, former special project manager and daughter of Mr. Yitzhak Nissan, our Controlling shareholder and Chairman of the Board, as described in the
              Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z0ef4ad74d57d453c9425ec1a13fb17ee" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">9.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the amendment of the terms of options granted to the Company&#8217;s directors (including the external directors, but excluding our Controlling shareholder and Chairman of the Board, Mr. Yitzhak Nissan, and his daughter, Ms. Revital
              Cohen-Tzemach), as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z211bb17f3af043269fdcc5582e452c9d" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">10.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the amendment of the terms of employment of Mr. Eli Yaffe, the Company&#8217;s Chief Executive Officer (the &#8220;<u>CEO</u>&#8221;), as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
      <div style="page-break-after: always;" class="BRPFPageBreak">
        <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
    </div>
    <!--PROfilePageNumberReset%Num%2%%%-->
    <div style="line-height: 1.25"> <br>
    </div>
    <table cellspacing="0" cellpadding="0" id="z4bb6bde17efc4349bc0177aea2a2336f" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">11.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the amendment of the terms of employment of Mr. Eli Yaffe, the C<u>EO</u>, relating to the manner of Mr. Yaffe&#8217;s engagement by the Company, as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z07d9846df2294fe8b4d0e6159e01d32e" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">12.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the amendment of the terms of options granted to Mr. Eli Yaffe, the Company&#8217;s CEO, as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z0548a8a12e954f14a208669ad37cb2ef" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">13.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the grant of options to Mr. Eli Yaffe, the Company&#8217;s CEO, as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="ze2e1720686bd4d26836e0597054242c5" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">14.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To approve the grant of a special bonus to Mr. Eli Yaffe, the Company&#8217;s CEO, and Mr. Ron Freund, the Company&#8217;s Chief Financial Officer, as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="zdc6b965e21cc4b7b8d3cd8e3976409ca" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">15.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To appoint Kost Forer Gabbay &amp; Kasierer, a member of Ernst &amp; Young Global, as the Company&#8217;s independent auditors for the year ending December 31, 2024 and for such additional period until the next annual general meeting of
              shareholders, and to authorize the Board to approve their compensation; and</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="zb28efea2fddf435b8c9a1befaa6726bb" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 22.4pt;"><br>
          </td>
          <td style="width: 36pt; vertical-align: top;">16.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>To review the Auditor&#8217;s Report and the Company&#8217;s Consolidated Financial Statements for the fiscal year ended December 31, 2023.</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">A proxy card for use at the Meeting and a return envelope for the proxy card are enclosed. By signing the proxy card, shareholders may vote their shares at the Meeting whether or
      not they attend. Upon the receipt of a properly signed and dated proxy card in the form enclosed, the shares represented thereby will be voted in accordance with the instructions of the shareholder indicated thereon. The Company knows of no other
      matters to be submitted at the Meeting other than as specified in the Notice enclosed with this Proxy Statement. Shares represented by executed and unrevoked proxies will be voted. On all matters considered at the Meeting, abstentions and broker
      non-votes will not be treated as either a vote &#8220;for&#8221; or &#8220;against&#8221; the matter, although they will be counted to determine if a quorum is present.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The proxy solicited hereby may be revoked at any time prior to its exercise, by the substitution with a new proxy bearing a later date or by a request for the return of the proxy
      at the Meeting. All proxy instruments and powers of attorney must be delivered to the Company or its transfer agent no later than 48 hours prior to the Meeting.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The Company expects to mail this Proxy Statement and the proxy card to shareholders on or about May 31, 2024. All expenses of this solicitation will be borne by the Company. In
      addition to the solicitation of proxies by mail, directors, officers and employees of the Company, without receiving additional compensation therefore, may solicit proxies by telephone, facsimile, in person or by other means. Brokerage firms,
      nominees, fiduciaries and other custodians have been requested to forward proxy solicitation materials to the beneficial owners of shares of the Company held of record by such persons, and the Company will reimburse such brokerage firms, nominees,
      fiduciaries and other custodians for reasonable out-of-pocket expenses incurred by them in connection therewith.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;"><font style="font-weight: bold;">Shareholders Entitled to Vote</font>.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Only holders of record of Ordinary Shares at the close of business on May 30, 2024 are entitled to notice of and to vote at the Meeting. The Company had 6,708,322 Ordinary Shares
      issued and outstanding on May 28, 2024, each of which is entitled to one vote on each matter to be voted on at the Meeting. The Company&#8217;s Amended and Restated Articles of Association (the &#8220;<u>Articles</u>&#8221;) do not provide for cumulative voting for
      the election of the directors or for any other purpose. The presence, in person or by proxy, of at least two shareholders of record holding at least thirty-three percent (33%)<font style="font-weight: bold;">&#160;</font>of the total voting power attached
      to the Ordinary Shares then outstanding, will constitute a quorum at the Meeting.</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;"> <br>
    </div>
    <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
      <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">2</font></div>
      <div style="page-break-after: always;" class="BRPFPageBreak">
        <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
    </div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Only holders of record of Ordinary Share as of the close of business on May 30, 2024 are entitled to notice of, and to vote at the Meeting, in person or by proxy:</div>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z749423521ad04714bcd71329f1b55f2c" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 18pt;"><br>
          </td>
          <td style="width: 18pt; vertical-align: top;">&#8226;</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div><font style="font-weight: bold;">Voting in Person</font>. If your shares are registered directly in your name with our transfer agent (i.e., you are a registered shareholder), you may attend and vote in person at the Meeting. If you are a
              beneficial owner of shares registered in the name of your broker, bank, trustee or nominee (i.e., your shares are held in &#8220;street name&#8221;), you are also invited to attend the Meeting; <font style="font-style: italic;">however</font>, in order
              to vote in person at the Meeting as a beneficial owner, you must first obtain a &#8220;legal proxy&#8221; from your broker, bank, trustee or nominee, as the case may be, authorizing you to do so.</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" id="z9835b9b3761c4d8bb4cb1b95b9c620d3" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 18pt;"><br>
          </td>
          <td style="width: 18pt; vertical-align: top;">&#8226;</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div><font style="font-weight: bold;">Voting by Proxy.</font> You may submit your proxy by mail by completing, signing and mailing the enclosed proxy card in the enclosed, postage-paid envelope, or, for shares held in street name, by following
              the voting instructions provided by your broker, bank, trustee or nominee. The proxy must be received by our transfer agent or at our registered office in Israel by no later than 10 A.M. Israel time, on July 5, 2024, to be validly included in
              the tally of Ordinary Shares voted at the Meeting. Upon the receipt of a properly signed and dated proxy in the form enclosed, the persons named as proxies therein will vote the Ordinary Shares represented thereby in accordance with the
              instructions of the shareholder indicated thereon, or, if no direction is indicated, in accordance with the recommendations of the Board.</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;"><font style="font-weight: bold;">Votes Required</font>.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Items 1, 9 and 15 are ordinary resolutions, which require the affirmative vote of a majority of the Ordinary Shares present and voting on the proposed resolution, in person or by
        proxy. The votes of all shareholders voting on the matter will be counted.</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Item 2 is a special resolution, which is submitted for our&#160;shareholders&#8217; approval, following approval of each of (i) the Company&#8217;s Audit Committee, and (ii) the Board, and which
      requires the affirmative vote of a majority of the Ordinary Shares present and voting on the matter, in person or by proxy, <font style="font-style: italic;">provided</font> that either (i) at least a majority of the Ordinary Shares voted by
      shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the proposed resolution; or (ii) the total number of the Ordinary Shares voted against the proposed resolution by
      shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, does not exceed two percent (2%) of the outstanding voting power in the Company. For the purposes of the vote on Item 2, an interest not
      resulting from ties to the Controlling shareholders is not considered a Personal Interest.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Items 3 to 8 and 10 to 14 are special resolutions, which are submitted for&#160;our shareholders&#8217; approval, following approval of each of (i) the Company&#8217;s Audit Committee or
      Compensation Committee, as applicable, and (ii) the Board, and which require the affirmative vote of a majority of the Ordinary Shares present and voting on the matter, in person or by proxy, <font style="font-style: italic;">provided</font> that
      either (i) at least a majority of the Ordinary Shares voted by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the proposed resolution; or (ii) the total number of
      Ordinary Shares voted against the proposed resolution by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, does not exceed two percent (2%) of the outstanding voting power in the Company.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Generally, an act or transaction with a Controlling shareholder or in which a Controlling shareholder has a Personal Interest (as defined below) requires our shareholders&#8217; approval
      every three (3) years.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">For the purposes of this Proxy Statement, <font style="font-weight: bold;">&#8220;<u>Controlling shareholder</u>&#8221;</font> means a person or entity that has the ability to direct the
      Company&#8217;s actions.&#160;For Items 3 and 10 to 14, any person holding fifty percent (50%) or more of the outstanding voting power in the Company or of the rights to appoint the Company&#8217;s directors or the CEO is considered a Controlling shareholder,&#160;and for
      Items 4 to 8, any person holding twenty-five percent (25%) or more of the voting power in the Company, <font style="font-style: italic;">provided</font> that no other person holds fifty percent (50%) or more of the outstanding voting power in the
      Company, or of the rights to appoint the Company&#8217;s directors or the CEO, is considered a Controlling shareholder.</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;"> <br>
    </div>
    <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
      <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">3</font></div>
      <div style="page-break-after: always;" class="BRPFPageBreak">
        <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
    </div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">For the purposes of this Proxy Statement, <font style="font-weight: bold;">&#8220;<u>Personal Interest</u>&#8221;</font> means a shareholder&#8217;s personal interest in the approval of an act or a
      transaction of the Company, including (i) the personal interest of such shareholder&#8217;s relative (which includes any members of his/her (or his/her spouse&#8217;s) immediate family or the spouses of any such members of his/her (or his/her spouse&#8217;s) immediate
      family); and (ii) a personal interest of a body corporate in which a shareholder or any of his/her aforementioned relatives serves as a director or the chief executive officer, owns at least five percent (5%) of its issued and outstanding share
      capital or its voting rights, or has the right to appoint directors or the chief executive officer, but excluding a personal interest arising solely from holding of shares in the Company or in a body corporate. In addition, under the Companies Law,
      5759-1999 (the &#8220;<u>Companies Law</u>&#8221;) in case of a person voting by proxy for another person, Personal Interest includes the personal interest of either the proxy holder or the shareholder granting the proxy, whether the proxy holder has discretion
      to vote or not.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">In accordance with the Companies Regulations (Reliefs for Companies with Securities Listed on Foreign Stock Exchanges), 5760-2000, a shareholder voting at the Meeting or prior
      thereto by means of the enclosed Proxy Card is deemed to confirm to the Company that such shareholder does not have a Personal Interest with respect to any matter thus voted upon and that such shareholder is not a Controlling shareholder, unless such
      shareholder had previously delivered to the Company a written notice stating otherwise, no later than 48 hours prior to the Meeting.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The review of our audited Consolidated Financial Statements for the fiscal year ended December 31, 2023, described under Item 16 does not involve a vote of our shareholders.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="margin-left: 36pt; line-height: 1.25; font-weight: bold;">Security Ownership of Certain Beneficial Owners and Management.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The following table sets forth, as of May 28, 2024, to the best of the Company&#8217;s knowledge, information as to each person known to the Company to be the beneficial owner of more
      than five percent (5%) of the outstanding Ordinary Shares. Except where indicated, to the best of the Company&#8217;s knowledge, based on information provided by the owners, the beneficial owners of the shares listed below have sole investment and voting
      power with respect to those shares. Applicable percentage ownership in the following table is based on 6,708,322 Ordinary Shares outstanding as of May 28, 2024.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The shareholders&#8217; holdings reflect their voting rights. The Company&#8217;s principal shareholders do not have different voting rights than other shareholders with respect to their
      shares.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <table cellspacing="0" cellpadding="2" border="0" align="center" style="width: 85%; color: #000000; font-family: 'Times New Roman', Times, serif; font-size: 10pt; text-align: left;" id="zdde5136b4aad4293ac2f707eaa8c2d8a">

          <tr>
            <td colspan="2" style="vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25; font-weight: bold;">Name</div>
            </td>
            <td style="width: 12%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-weight: bold;">Number of Ordinary Shares Beneficially Owned<sup style="vertical-align: text-top; line-height: 1; font-size: smaller;">(1)</sup></div>
            </td>
            <td style="width: 12%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25;">
                <div style="text-align: center; line-height: 1.25; font-weight: bold;">Percentage of Ownership <sup style="vertical-align: text-top; line-height: 1; font-size: smaller;">(2)</sup></div>
                <div style="line-height: 1.25;"><font style="line-height: 1.25;">&#160;</font></div>
              </div>
            </td>
          </tr>
          <tr>
            <td colspan="2" style="vertical-align: middle; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25;">Yitzhak Nissan<sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">(3)</sup></div>
            </td>
            <td style="width: 12%; vertical-align: middle; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">165,224</div>
            </td>
            <td style="width: 12%; vertical-align: middle; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">2.5%</div>
            </td>
          </tr>
          <tr>
            <td colspan="2" style="vertical-align: middle; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25;">Nistec Golan Ltd.<sup style="vertical-align: text-top; line-height: 1; font-size: smaller;">&#160;</sup><sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">(3)</sup></div>
            </td>
            <td style="width: 12%; vertical-align: middle; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">3,291,596</div>
            </td>
            <td style="width: 12%; vertical-align: middle; border-width: 1px; border-style: solid; border-color: rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">49.1%</div>
            </td>
          </tr>

      </table>
    </div>
    <br>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 3.1%; vertical-align: top;">
            <div style="line-height: 1.25;"><sup style="vertical-align: text-top; line-height: 1; font-size: smaller;">(1)</sup></div>
          </td>
          <td style="width: 96.9%; vertical-align: middle;">
            <div style="text-align: justify; line-height: 1.25;">Beneficial ownership is determined in accordance with the rules of the U.S. Securities and Exchange Commission (&#8220;<u>SEC</u>&#8221;) and generally includes voting or investment power with respect to
              securities. Ordinary Shares relating to options or convertible notes currently exercisable or exercisable within sixty (60) days of the date of this table are deemed outstanding for computing the percentage of the person holding such
              securities but are not deemed outstanding for computing the percentage of any other person. Except as indicated by footnote, and subject to community property laws where applicable, the persons named in the table above have sole voting and
              investment power with respect to all shares shown as beneficially owned by them.</div>
          </td>
        </tr>
        <tr>
          <td style="width: 3.1%; vertical-align: top;">
            <div style="line-height: 1.25;"><sup style="vertical-align: text-top; line-height: 1; font-size: smaller;">(2)</sup></div>
          </td>
          <td style="width: 96.9%; vertical-align: middle;">
            <div style="text-align: justify; line-height: 1.25;">The percentages shown are based on 6,708,322 Ordinary Shares issued and outstanding as of May 28, 2024.</div>
          </td>
        </tr>
        <tr>
          <td style="width: 3.1%; vertical-align: top;">
            <div style="line-height: 1.25;"><sup style="vertical-align: text-top; line-height: 1; font-size: smaller;">(3)</sup></div>
          </td>
          <td style="width: 96.9%; vertical-align: middle;">
            <div style="text-align: justify; line-height: 1.25;">Nistec Golan Ltd. is an Israeli private company controlled by Mr. Yitzhak Nissan. Accordingly, Mr. Yitzhak Nissan may be deemed to be the beneficial owner of the Ordinary Shares held directly
              by Nistec Ltd.</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
      <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">4</font></div>
      <div style="page-break-after: always;" class="BRPFPageBreak">
        <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
    </div>
    <div style="line-height: 1.25"> <br>
    </div>
    <div style="margin-left: 36pt; line-height: 1.25; font-weight: bold;">Terms of Service and Employment of Executive Officers and Directors.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">For information relating to the compensation of our named executive office-holders during or with respect to the year ended December 31, 2023, please see &#8220;Item 6. Directors, Senior
      Management and Employees &#8212; B. Compensation&#8221; in our Annual Report on Form 20-F for the year ended December 31, 2023, which was filed with the SEC on March 26, 2024.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-family: 'Times New Roman',Times,serif; font-weight: bold;">1.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-family: 'Times New Roman',Times,serif; font-weight: bold;">ELECTION OF DIRECTORS</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: center; line-height: 1.25;">(Item 1 on the Proxy Card)</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">At the Meeting, our shareholders are requested to re-elect a slate of five (5) directors to serve on the Board. Yitzhak Nissan, Mordechai Marmorstein, David Rubner, Erez Meltzer
      and Ms. Revital Cohen-Tzemach have been nominated for re-election. Pursuant to the Articles, the number of directors in the Company (including the two (2) external directors) will be no less than three (3) nor more than nine (9), until otherwise
      prescribed by a resolution of the shareholders. In accordance with the Companies Law, one external director, Mr. Gad Dovev, will continue in office until the end of his three (3) year term (on October 6, 2026), and the second external director, Ms.
      Ilana Lurie, is nominated for re-election by our shareholders for a third three (3) year term, as described in Item 2 below.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The Companies Law provides that a nominee for a position of a director will have declared to the Company that he or she complies with the qualifications prescribed by the Companies
      Law for appointment as a director or as an independent director, if applicable. All of the proposed nominees have declared to the Company that they comply with such applicable qualifications.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The Audit Committee and the Board has determined that Mordechai Marmorstein has the accounting and financial expertise required under the Companies Law necessary to serve as an
      independent director, and therefore Mr. Marmorstein is nominated to be elected as an independent director.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The five (5) nominees named in this Item 1, if elected, will each hold office until the next annual general meeting of shareholders and until their respective successors are duly
      elected and qualified, unless any office is vacated earlier. The Company is unaware of any reason why any nominee, if elected, should be unable to serve as a director. All nominees listed below have advised the Board that they intend to serve as
      directors if elected.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; line-height: 1.25; font-weight: bold;">Nominees for the Board of Directors</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Set forth below is information about each nominee, including age, position(s) held with the Company, principal occupation, business history and other directorships held.</div>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="1" border="0" align="center" id="zbdba76cd9bb5497b9151948734dc1d0d" style="width: 85%; color: rgb(0, 0, 0); font-family: 'Times New Roman',Times,serif; font-size: 10pt; text-align: left;">

        <tr>
          <td style="width: 29.78%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: justify; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Name</div>
          </td>
          <td style="width: 6.59%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Age</div>
          </td>
          <td style="width: 63.63%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
            <div style="text-align: justify; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Position</div>
          </td>
        </tr>
        <tr>
          <td style="width: 29.78%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: justify; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Yitzhak Nissan</div>
          </td>
          <td style="width: 6.59%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">74</div>
          </td>
          <td style="width: 63.63%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
            <div style="text-align: justify; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Chairman of the Board</div>
          </td>
        </tr>
        <tr>
          <td style="width: 29.78%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: justify; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Mordechai Marmorstein</div>
          </td>
          <td style="width: 6.59%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">77</div>
          </td>
          <td style="width: 63.63%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
            <div style="text-align: justify; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Director</div>
          </td>
        </tr>
        <tr>
          <td style="width: 29.78%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: justify; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">David Rubner</div>
          </td>
          <td style="width: 6.59%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">83</div>
          </td>
          <td style="width: 63.63%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
            <div style="text-align: justify; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Director</div>
          </td>
        </tr>
        <tr>
          <td style="width: 29.78%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: justify; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Erez Meltzer</div>
          </td>
          <td style="width: 6.59%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">66</div>
          </td>
          <td style="width: 63.63%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
            <div style="text-align: justify; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Director</div>
          </td>
        </tr>
        <tr>
          <td style="width: 29.78%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
            <div style="text-align: justify; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Revital Cohen-Tzemach</div>
          </td>
          <td style="width: 6.59%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">40</div>
          </td>
          <td style="width: 63.63%; vertical-align: top; border-width: 1px; border-style: solid; border-color: rgb(0, 0, 0);">
            <div style="text-align: justify; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Director</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
      <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">5</font></div>
      <div style="page-break-after: always;" class="BRPFPageBreak">
        <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
    </div>
    <div style="line-height: 1.25"> <br>
    </div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;"><font style="font-weight: bold; font-style: italic;">Yitzhak Nissan</font> has served as the Chairman of the Board since November 2013 and is a member of our Banking Committee. He
      served as our chief executive officer from October 2014 until July 2018. Mr. Nissan is the founder of Nistec Group and has served as its chief executive officer since 1985. Mr. Nissan served as a Presiding Member of ILTAM (Israeli Users&#8217; Association
      of Advanced Technologies in Hi-Tech Integrated Systems) between 2008 and 2009 and as a Presiding Member of the Israeli Association of Electronics and Software Industries since 2012. Mr. Nissan also established the VPs Operations Forum, which brings
      thought leadership to 200 VPs of operations from diverse hi-tech companies in Israel. In 2008, Mr. Nissan received the Distinguished Industry Award from the mayor of Petach Tikva Municipality. In 2019 Mr. Nissan was awarded a &#8220;notable person&#8221; award
      by the city of Petach Tikva. Mr. Nissan holds a B.Sc. degree in Electronic Engineering from the University of Buffalo, New York.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;"><font style="font-weight: bold; font-style: italic;">Dr. Mordechai Marmorstein</font> has served on the Board since October 2013 and is a member of its Audit and Compensation
      Committees. From 1992 to 2001, Dr. Marmorstein was the chief financial officer of Pazchim Co. Ltd. Dr. Marmorstein was also an internal auditor and accountant at Negev Phosphate Works. Dr. Marmorstein served as the chairman of Teshet (Tourist
      Enterprises and Aviation Services Co. Ltd.), a subsidiary of El-Al, the Israeli national airline, from 1999 to 2000. Dr. Marmorstein holds a B.A. degree in Economics, an M.A. degree in Contemporary Jewry Studies and a Ph.D. in Jewish History Studies,
      all from Bar-Ilan University.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;"><font style="font-weight: bold; font-style: italic;">David Rubner</font> has served on the Board since October 2013. Mr. Rubner is the chairman and chief executive officer of
      Rubner Technology Ventures Ltd. Previously, he was a partner in Hyperion Israel Advisors Ltd., a venture capital firm. During the years 1991 to 2000, Mr. Rubner was the president and chief executive officer of ECI Telecom Ltd. (&#8220;<u>ECI</u>&#8221;). Prior
      to that, Mr. Rubner held several senior positions within ECI. Before joining ECI, Mr. Rubner was a senior engineer in the Westinghouse Research Laboratories in Pittsburgh, Pennsylvania. Mr. Rubner served on the boards of Check Point Software Ltd.,
      Radware Ltd., Telemessage International Ltd., Koor Industries Ltd., Lipman Industries Ltd. and a number of private companies. He also serves on the boards of trustees and executive council of Shaare Zedek Hospital and Jerusalem College of Technology.
      Mr. Rubner holds a B.Sc. (Hons) degree in engineering from Queen Mary College, University of London and an M.S. degree from Carnegie Mellon University.&#160;Mr. Rubner was awarded 14 U.S. Patents and was the recipient of the Israeli Industry Prize for
      1995.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;"><font style="font-weight: bold; font-style: italic;">Erez Meltzer</font><font style="font-weight: bold;">&#160;</font>has served as on the Board since 2009, including as its Chairman
      from 2011 to 2013. Mr. Meltzer was the Executive Chairman of Hadassah Medical Center from 2014 until the end of 2020.&#160; He is currently the CEO and BOD member of Nano-x Imaging Ltd.&#160; Mr. Meltzer also serves as a director of Hadasit Bio Holding (HBL)
      Ltd., Mentfield Ltd. Capital Nature Ltd., GEM Pharma Ltd., Atlasense Ltd., Supplant Ltd., Tevel Aerobotics Technologies Ltd., Xenia Ltd.&#160; and Rivulis (Plastro) Ltd. From 2008 to 2013, Mr. Meltzer served as the Chief Executive Officer of Gadot
      Chemical Tankers &amp; Terminals Ltd. From 2006 to 2007, Mr. Meltzer served as the Chief Executive Officer of Africa Israel Group. From 2002 to 2006, Mr. Meltzer served as the President and Chief Executive Officer of Netafim Ltd. From 1999 to 2001,
      Mr. Meltzer served as the President and Chief Executive Officer of CreoScitex. Mr. Meltzer is a teaching Professor on Crisis Management at the Tel Aviv University since 2008. Mr. Meltzer served as a colonel in the Israeli Defense Forces &#8211; Armored
      Corps (reserve).&#160; Mr. Meltzer serves as the Chairman of the Lowenstein Hospital Friends Association since 1999. Mr. Meltzer studied Economics and Business at the Hebrew University of Jerusalem and Boston University and is a graduate of the Advanced
      Management Program at Harvard Business School.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;"><font style="font-weight: bold; font-style: italic;">Revital Cohen-Tzemach</font> has served on the Board since 2023 and had previously attended Board meetings as a non-voting
      observer (since 2022). From 2015 to 2023, Ms. Cohen-Tzemach was employed by the Company, first as a trainee in the office of the CEO, then as an assistant to the CEO, and finally as a special project manager. From 2008 until 2014, Ms. Cohen-Tzemach
      served as a branch manager for Halperin Optics Ltd., a major Israeli optics supplier. Ms. Cohen-Tzemach holds a B.Sc. degree in Optometry and an Executive M.B.A. degree from Bar-Ilan University.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
      <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">6</font></div>
      <div style="page-break-after: always;" class="BRPFPageBreak">
        <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
    </div>
    <div style="line-height: 1.25"> <br>
    </div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Each director (<font style="font-style: italic;">excluding</font> Mr. Nissan and Ms. Cohen-Tzemach) is entitled to officers&#8217; and directors&#8217; insurance (as may be approved by the
      Company from time to time), an indemnification in the form approved by our shareholders on December 5, 2019, and an exculpation letter in the form approved by our shareholders on October 17, 2013. In addition, each director (<font style="font-style: italic;">excluding</font> Mr. Nissan but <font style="font-style: italic;">including</font> Ms. Cohen-Tzemach) is entitled to monetary compensation as provided in the &#8220;Permanent Amount&#8221; criteria of the Companies Regulations (Rules Regarding
      Compensation and Expenses for External Directors), 5760-2000 (the &#8220;<u>Compensation Regulations</u>&#8221;). Each director is otherwise prohibited from receiving any other compensation, directly or indirectly, in connection with his or her services to the
      Company.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Each of Mr. Nissan and Ms. Cohen-Tzemach is entitled to officers&#8217; and directors&#8217; insurance (as may be approved by the Compensation Committee and the Board from time to time), as
      well as to an indemnification agreement and an exculpation letter in the foregoing forms (the extensions of which are further subject to the periodical approval of our shareholders). Subject to our shareholders&#8217; approval of Items 4 and 5 below, Mr.
      Nissan will also continue to be entitled to monetary compensation, as set forth in the Amended Management Agreement by and between the Company and Nistec Ltd.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="line-height: 1.25; font-style: italic;">Board Diversity</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">We are dedicated to ensuring equality and diversity in our Company. Our Board has no specific policy on director diversity, but it reviews a diversity of viewpoints, backgrounds,
      experience, accomplishments, education and skills when evaluating nominees. In addition, Nasdaq&#8217;s recently adopted Board Diversity Rule is a disclosure standard designed to encourage a minimum board diversity objective for companies and provide
      stakeholders with consistent, comparable disclosures concerning a listed company&#8217;s current board composition. Since August 2022, the Board Diversity Rule requires a company that is a &#8220;foreign private issuer&#8221; (as defined in SEC rules) like Eltek to
      initially have, or explain why it does not have, at least one diverse director. Our current board composition is in compliance with these requirements. Each term used above and in the matrix below has the meaning given to it in Nasdaq Listing Rule
      5605(f). The matrix below provides certain highlights of the composition of our Board members based on self-identification as of May 28, 2024.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">Board Diversity Matrix (as of May 28, 2024)</div>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="2" border="0" id="z025cf71c43ca44cdbf9569c7698dda4c" style="font-family: 'Times New Roman',Times,serif; font-size: 10pt; width: 100%; text-align: left; color: rgb(0, 0, 0);">

        <tr>
          <td style="width: 58.14%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="margin-left: 1.75pt; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Country of Principal Executive Offices</div>
          </td>
          <td style="vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);" colspan="4">
            <div style="line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Israel</div>
          </td>
        </tr>
        <tr>
          <td style="width: 58.14%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="margin-left: 1.75pt; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Foreign Private Issuer</div>
          </td>
          <td style="vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);" colspan="4">
            <div style="line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Yes</div>
          </td>
        </tr>
        <tr>
          <td style="width: 58.14%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="margin-left: 1.75pt; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Disclosure Prohibited under Home Country Law</div>
          </td>
          <td style="vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);" colspan="4">
            <div style="line-height: 1.25; font-family: 'Times New Roman', Times, serif;">No</div>
          </td>
        </tr>
        <tr>
          <td style="width: 58.14%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="margin-left: 1.75pt; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Total Number of Directors</div>
          </td>
          <td style="vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);" colspan="4">
            <div style="line-height: 1.25; font-family: 'Times New Roman', Times, serif;">6</div>
          </td>
        </tr>
        <tr>
          <td style="width: 58.14%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="margin-left: 1.75pt; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Part I: Gender Identity</div>
          </td>
          <td style="width: 9.18%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Female</div>
          </td>
          <td style="width: 7.66%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Male</div>
          </td>
          <td style="width: 9.56%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Non-Binary</div>
          </td>
          <td style="width: 15.45%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Did Not Disclose&#8194;</div>
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Gender</div>
          </td>
        </tr>
        <tr>
          <td style="width: 58.14%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="margin-left: 1.75pt; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Directors</div>
          </td>
          <td style="width: 9.18%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">2</div>
          </td>
          <td style="width: 7.66%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">5</div>
          </td>
          <td style="width: 9.56%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">0</div>
          </td>
          <td style="width: 15.45%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">0</div>
          </td>
        </tr>
        <tr>
          <td style="width: 58.14%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="margin-left: 1.75pt; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Part II: Demographic Background</div>
          </td>
          <td style="vertical-align: bottom; background-color: rgb(173, 173, 173); border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);" colspan="4">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">&#8195;</div>
          </td>
        </tr>
        <tr>
          <td style="width: 58.14%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="margin-left: 1.75pt; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Underrepresented Individual in Home Country Jurisdiction</div>
          </td>
          <td style="vertical-align: middle; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);" colspan="4">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">0</div>
          </td>
        </tr>
        <tr>
          <td style="width: 58.14%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
            <div style="margin-left: 1.75pt; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">LGBTQ+</div>
          </td>
          <td style="vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);" colspan="4">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">0</div>
          </td>
        </tr>
        <tr>
          <td style="width: 58.14%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
            <div style="margin-left: 1.75pt; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Did Not Disclose Demographic Background</div>
          </td>
          <td style="vertical-align: bottom; border-width: 1px; border-style: solid; border-color: rgb(0, 0, 0);" colspan="4">
            <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">7</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25; font-weight: bold;">The Board recommends a vote FOR the election of each nominee for director named above, until the next annual general meeting of shareholders and until his or her
      successor has been duly elected and qualified, without modification of terms of office.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25; font-weight: bold;">Vote Required</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">The affirmative vote of the holders of a majority of the voting power represented at the Meeting, in person or by proxy, is necessary for the re-election of each of the
      nominees.</div>
    <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;"> <br>
    </div>
    <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
      <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">7</font></div>
      <div style="page-break-after: always;" class="BRPFPageBreak">
        <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
    </div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">2.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-weight: bold;">RE-ELECTION OF EXTERNAL DIRECTOR</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: center; line-height: 1.25;">(Item 2 on the Proxy Card)</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Under the Companies Law, public companies (such as the Company) are required to have at least two (2) external directors. Every external director must either be &#8220;professionally
        qualified&#8221; or have &#8220;accounting and financial expertise&#8221; (as both such terms are defined in the Companies Regulations (Conditions and Criteria for Having Accounting and Financial Expertise or for Being Professionally Qualified), 5766-2005), and at
        least one of the external directors of a company must have &#8220;accounting and professional expertise&#8221;. All of the external directors of a company must be members of its audit and compensation committees, and any committee of a company&#8217;s board of
        directors that is authorized to exercise one or more powers of the board of directors must include at least one (1) external director.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The Companies Law provides that a person may not be appointed as an external director if: (i) such person is a relative of a Controlling shareholder; (ii) such person, his or her
        relative (as such term is defined in the Companies Law), partner, employer or an entity under that person&#8217;s control, has or had during the two (2) years preceding the date of appointment any affiliation with the Company, the Controlling shareholder
        or its relative; (iii) in a company that does not have a Controlling shareholder, such person has an affiliation (as such term is defined in the Companies Law), at the time of his or her appointment, to the company&#8217;s chairman, chief executive
        officer, chief financial officer or a shareholder holding at least five percent (5%) of the company&#8217;s share capital; and (iv) such person&#8217;s relative, partner, employer, supervisor, or an entity under that person&#8217;s control, has other than negligible
        business or professional relations with any of the persons with whom that person may not be affiliated. The term &#8220;relative&#8221; means a person&#8217;s spouse, sibling, parent, grandparent and child, as well as a child, sibling or parent of the person&#8217;s
        spouse, or the spouse of any of the foregoing. The term &#8220;affiliation&#8221; includes an employment relationship, a business or professional relationship maintained on a regular basis, control and service as an office holder (excluding service as an
        external director of a company that is offering its shares to the public for the first time).</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">In addition, a person may not serve as an external director if his or her position or other activities create or may create a conflict of interest with his or her
        responsibilities as director or may otherwise interfere with his or her ability to serve as director. If, at the time an external director is appointed, all members of the board of directors who are not Controlling shareholders or their relatives,
        are of the same gender, then that external director must be of the other gender. A director of one company may not be appointed as an external director of another company if he or she is acting as an external director of the first company at such
        time. For a period of two (2) years from termination of office, the company or its Controlling shareholder may not give any direct or indirect benefit to the former external director.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">External directors are required to be elected by a company&#8217;s shareholders. An external director&#8217;s term of office is three (3) years and may generally be extended for up to two
        (2) additional three (3) year terms. Subject to our shareholders&#8217;&#160;approval, Ms. Lurie&#8217;s third term as an external director will commence on September 6, 2024.</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;"> <br>
      </div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">8</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The Companies Law provides that a nominee for the position of an external director will have declared to the company that he or she meets the legal requirements for being
        appointed as an external director. Ms. Lurie has declared that she meets such legal requirements, and that she is &#8220;professionally qualified&#8221; and has the requisite &#8220;accounting and financial expertise&#8221; to serve as an external director. A brief
        biography of Ms. Lurie is set forth below:</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;"><font style="font-weight: bold; font-style: italic;">Ilana Lurie</font> has served as an external director since September 2018 and is a member of our Audit, Compensation and
        Banking Committees. Ms. Lurie&#160;has over 15 years in international finance and operations, predominantly in management positions within large, regulated technology companies. In the course of the last 10 years, Ms. Lurie led significant financing
        rounds, as well as debt restructuring processes. Ms. Lurie played a critical role in transition from R&amp;D to production in NovelSat and she is currently leading this activity in IO Tech, in her capacity as CFO &amp; COO and serving as External
        Director in Wearable devices (NASDAQ:WLDS). From 2012 to 2020, Ms. Lurie served as CFO of NovelSat, Landa Ventures portfolio company. Prior to her tenure at NovelSat, Ms. Lurie served as Finance Manager for the Enterprise Services business unit
        (formerly EDS) of Hewlett Packard (NYSE:HPQ). From 2006 to 2011, Ms. Lurie held several financial management positions at Ness Technologies (NASDAQ/TASE:NSTC), which, at the time, was a public company. Ms. Lurie earned her B.A. degree and an MBA
        degree with a specialization in Finance and Marketing from Hebrew University of Jerusalem.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">As are all other directors, Ms. Lurie will be entitled to: (i) director&#8217;s insurance, provided to all directors and officers, including the external directors, as approved by the
        Compensation Committee and as may be amended thereby from time to time, subject to the Company&#8217;s Second Amended and Restated Compensation Policy, as approved by our shareholders on September 12, 2023; (ii) an indemnification agreement, in the form
        approved by our shareholders on December 5, 2019; (iii) an&#160;exculpation letter, in the form approved by our shareholders on October 17, 2013; (iv) monetary compensation as provided in the &#8220;Permanent Amount&#8221; criteria of the Compensation Regulations;
        (v) options to purchase 20,000 Ordinary Shares, effective as of September 6, 2021, according to the terms approved by our shareholders on June 3, 2021; and (vii) options to purchase 10,000 Ordinary Shares, effective as of October 6, 2023. Subject
        to our shareholders&#8217;&#160;approval of Item 9 below and as described therein, the terms of the options previously granted to Ms. Lurie (and to all other directors, excluding Mr. Yitzhak Nissan, our Controlling shareholder and Chairman of the Board, and
        his daughter, Ms. Revital Cohen-Tzemach) shall be amended effective as of September 6, 2024. Ms. Lurie is otherwise prohibited from receiving any other compensation, directly or indirectly, in connection with her service.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">On May 16 and 20, 2024, the Audit Committee and the Board have respectively determined that Ms. Lurie meets the legal requirements for being appointed as an external director,
        and that she is &#8220;professionally qualified&#8221; and has the requisite &#8220;accounting and financial expertise&#8221; to serve as such.</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-indent: 36pt; line-height: 1.25;">At the Meeting, the Board proposes that the following resolution be adopted:</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">&#8220;<font style="font-weight: bold;">RESOLVED</font>, that Ms. Ilana Lurie be, and hereby is, re-elected for a third term as an external director, to hold office for three (3)
        years, as of September 6, 2024.&#8221;</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25; font-weight: bold;">Vote Required</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The approval of this Item 2 requires the affirmative vote of a majority of the shares present and voting on the matter, in person or by proxy, <font style="font-style: italic;">provided</font>
        that either (i) at least a majority of the shares voted by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the election of the external director; or (ii) the total
        number of shares of shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, which are voted against the election of the external director, does not exceed two percent (2%) of the outstanding voting
        power in the Company. For the purposes of the vote on this Item 2, a Personal Interest does not include an interest in the proposed resolution that is not by virtue of ties to a Controlling shareholder.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">9</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">3.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-weight: bold;">THIRD AMENDED AND RESTATED COMPENSATION POLICY</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: center; line-height: 1.25;">&#160;(Item 3 on the Proxy Card)</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">As required of public companies under the Companies Law, in January 2014, the Company adopted a compensation policy, setting forth the principles that govern the terms of office
        and employment of the Company&#8217;s &#8220;office holders.&#8221; as defined in the Companies Law. Under the Companies Law, any amendment to a public company&#8217;s compensation policy requires its shareholders&#8217; approval. In December 2016, our shareholders approved a
        new compensation policy for the Company, which was amended in September 2018 and in December 2019, amended and restated in August 2022, and amended in September 2023 (the &#8220;<u>Second Amended and Restated Compensation Policy</u>&#8221;). Our shareholders
        are requested to approve the following amendments to the Second Amended Compensation Policy (<font style="font-style: italic;">capitalized terms used not no otherwise defined below, shall have the meanings respectively ascribed thereto in the Third
          Amended and Restated Compensation Policy</font> (as defined below)):</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <table cellspacing="0" cellpadding="0" id="z777af429238b47f090c08b2c8d589057" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 36pt;"><br>
            </td>
            <td style="width: 18pt; vertical-align: top;">&#8226;</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Section 3.2 (<font style="font-style: italic;">Maximum Monthly Base Salary</font>): the maximum gross amount payable to the Active Chairman of the Company&#8217;s Board shall be increased from NIS100,000 to NIS120,000 (approximately
                US$32,260), and the gross amount payable to the Company&#8217;s CEO shall be increased from NIS95,000 to NIS110,000 (approximately US$29,570);</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zd39fc373e1894c50a13b05ef04d46fb5" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 36pt;"><br>
            </td>
            <td style="width: 18pt; vertical-align: top;">&#8226;</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Section 5.2 (<font style="font-style: italic;">Annual Bonus Plan</font>): bonus amounts (and the ceilings applicable thereto) shall be calculated according to the applicable Officer&#8217;s gross monthly salary at the time such bonuses are
                paid.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z1b9261b177254b8bafa8c35c52906b22" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 36pt;"><br>
            </td>
            <td style="width: 18pt; vertical-align: top;">&#8226;</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Section 6.6 (<font style="font-style: italic;">Equity-Based Compensation</font>): (a) for any Equity Grant, the exercise price per share shall not be less than the average share price on the stock exchange in the 30 trading days prior to
                the date on which such Equity Grant is made; (b) the application of &#8220;acceleration mechanisms&#8221; included in the Option Plan to any Equity Grant to any Director and/or Officer will be determined at the time that any such Equity Grant is made,
                or at any time thereafter.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">This brief overview of the proposed amendments is qualified in its entirety by reference to the full text of the proposed third amended and restated Compensation Policy, attached
        as <font style="font-weight: bold;"><u>Exhibit A</u></font> hereto, in a form marked against the Second Amended and Restated Compensation Policy, as approved by our shareholders on September 12, 2023 (the &#8220;<u>Third </u><u>Amended and Restated
          Compensation Policy</u>&#8221;). On March 7, 2024, the Compensation Committee has recommended, and on March 10, 2024, the Board has accordingly resolved, to approve the Third Amended and Restated Compensation Policy.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">At the Meeting, the Board proposes that the following resolution be adopted:</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">&#160;&#8220;<font style="font-weight: bold;">RESOLVED</font>, that the Third Amended and Restated Compensation Policy, attached to the Proxy Statement as <font style="font-weight: bold;"><u>Exhibit

            A</u></font>, be and hereby is, approved.&#8221;</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25; font-weight: bold;">Vote Required</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The approval of this Item 3 requires the affirmative vote of a majority of the Ordinary Shares present and voting on the matter, in person or by proxy, <font style="font-style: italic;">provided</font> that either (i) at least a majority of the Ordinary Shares voted by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the proposed resolution;
        or (ii) the total number of Ordinary Shares voted against the proposed resolution by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, does not exceed two percent (2%) of the outstanding voting
        power in the Company.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">10</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
    </div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">4.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-weight: bold;">EXTENSION OF THE AMENDED MANAGEMENT AGREEMENT BETWEEN THE </font></div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">COMPANY AND NISTEC LTD.</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: center; line-height: 1.25;">(Item 4 on the Proxy Card)</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">In November 2013, the Company entered into a Management Agreement with Nistec Ltd., then its Controlling shareholder (respectively, the &#8220;<u>Management Agreement</u>&#8221; and &#8220;<u>Nistec</u>&#8221;).


        In December 2016, our shareholders approved an extension and amendment of the Management Agreement. In December 2018, Mr. Yitzhak Nissan, the beneficial owner of Nistec, transferred the shares of the Company held by Nistec to Nistec Golan Ltd., a
        company beneficially held by him. The extension and amendment of the Management Agreement was then approved effective as of January 1, 2019 (the &#8220;<u>Amended Management Agreement</u>&#8221;). In June 2021, our shareholders approved another extension of
        the Amended Management Agreement for a three (3) year period, effective as of January 1, 2022.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">&#160;In accordance with the provisions of the Companies Law, an agreement with a company&#8217;s Controlling shareholder (whether directly or indirectly) may not exceed three (3) years,
        and its extension for any additional period of up to three (3) years, as well as any amendment to its terms, must be approved by the company&#8217;s shareholders. In this Item 4, our shareholders are requested to approve the extension of the term of the
        Amended Management Agreement for an additional period of three (3) years, without modification of its terms, effective as of January 1, 2025. Under Item 5 below, our shareholders are further requested to approve the amendment and restatement of the
        Amended Management Agreement, effective as of January 1, 2024.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Under the terms of the Amended Management Agreement, Mr. Nissan serves as the Chairman of the Board, and provides the Company with the active chairman services listed in Exhibit
        A thereto. In providing such services, Mr. Nissan is required to dedicate the appropriate attention, time and effort to the Company, in accordance with the Company&#8217;s needs from time to time. In consideration for providing said services, the Company
        has been paying Nistec &#8211; and subject to the approval of the shareholders, will continue to pay &#8211; a monthly fixed fee of NIS90,000 (approximately US$24,195), plus applicable VAT. In addition, subject to such approval, Nistec will continue to be
        entitled to the following compensation:</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <table cellspacing="0" cellpadding="0" id="zd03511434f804dc5a7a2d1fe8c3ce54e" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 36pt;"><br>
            </td>
            <td style="width: 18pt; vertical-align: top;">&#8226;</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Subject to Company&#8217;s reimbursement policy, as approved by the Audit Committee on May 15, 2016, Mr. Nissan will receive reimbursement of travel expenses (other than food and beverage expenses) while traveling internationally on behalf of
                the Company, <font style="font-style: italic;">provided</font> that such reimbursement will not exceed an aggregate amount of NIS10,000 (approximately US$2,690) per calendar quarter; and</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z9f3072dfb4f24cf9aadc2553cc978182" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 36pt;"><br>
            </td>
            <td style="width: 18pt; vertical-align: top;">&#8226;</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Mr. Nissan will receive reimbursement of food and beverage expenses while traveling internationally on behalf of the Company, against receipts, in accordance with the Israeli Income Tax Regulations (Deduction of Certain Expenses),
                5732-1972.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">On March 7 and 10, 2024, the Audit Committee and the Board have respectively approved the extension of the term of the Amended Management Agreement for an additional three (3)
        year period, without modification of its terms (subject to the proposed amendment and restatement under Item 5 below), effective as of January 1, 2025.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">At the Meeting, the Board proposes that the following resolution be adopted:</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">&#8220;<font style="font-weight: bold;">RESOLVED</font>, that the extension of the term of the Amended Management Agreement, by and between the Company and Nistec Ltd., for an
        additional three (3) year period, without modification of its terms (subject to the proposed amendment and restatement under Item 5 below), effective as of January 1, 2025, be and hereby is, authorized and approved.&#8221;</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-indent: 36pt; line-height: 1.25; font-weight: bold;">Vote Required</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The approval of this Item&#160;4 requires the affirmative vote of a majority of the Ordinary Shares present and voting on the matter, in person or by proxy, provided that either (i)
        at least a majority of the Ordinary Shares voted by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the proposed resolution; or (ii) the total number of Ordinary Shares
        voted against the proposed resolution by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, does not exceed two percent (2%) of the outstanding voting power in the Company.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">11</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">5.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-weight: bold;">AMENDMENT AND RESTATEMENT OF THE AMENDED MANAGEMENT AGREEMENT </font></div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">BETWEEN THE COMPANY AND NISTEC LTD.</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: center; line-height: 1.25;">(Item 5 on the Proxy Card)</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Pursuant to the proposed amendment and restatement of the Amended Management Agreement, effective as of January 1, 2024: (a) subject to the shareholders&#8217; approval of the Third
        Amended and Restated Compensation Policy under Item 3 above, the monthly fixed fee payable to Nistec in consideration of Mr. Nissan&#8217;s active chairman services shall be increased to NIS120,000 (approximately US$32,260), plus applicable VAT (the &#8220;<u>Fee</u>&#8221;);

        and (b) commencing on the year ended December 31, 2024, and each calendar year thereafter, in the event that the Company&#8217;s audited consolidated financial Statements reflect that the Company&#8217;s net income equals 2% or more of the Company&#8217;s revenues,
        Nistec shall be entitled to receive an annual performance-based bonus with respect to Mr. Nissan&#8217;s active chairman services, in an amount equal to three (3) times the Fee (the &#8220;<u>Bonus</u>&#8221;). The proposed amendment and restatement further clarify
        that the Company&#8217;s policy for recovering erroneously awarded compensation, adopted in accordance with the requirements of the Companies Law, Section 10D of the U.S. Securities Exchange Act of 1934, Rule 10D-1 promulgated by the SEC thereunder, and
        Listing Rule 5608 of the Nasdaq&#8217;s corporate governance rules (the &#8220;<u>Clawback Policy</u>&#8221;), will apply to any Erroneously Awarded Compensation (as defined in the Clawback Policy) that may be paid to Nistec under the Amended Management Agreement,
        whether during or after the term thereof.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">All other terms of the Amended Management Agreement will remain the same. Accordingly, in addition to the Fee and the Bonus, Mr. Nissan will be entitled to reimbursement of
        travel expenses as described in Item 4 above. Subject to the shareholders&#8217; approval of the proposed extension of the term of the Amended Management Agreement thereunder and the proposed amended and restatement under this Item 5, the terms of the
        Amended Management Agreement, as amended hereunder, shall comprise the Amended and Restated Management Services Agreement to be entered into as of January 1, 2025, by and between the Company and Nistec.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">On March 7 and 10, 2024, the Audit Committee and the Board have respectively approved the amendment and restatement of the Amended Management Agreement, effective as of January
        1, 2024.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">At the Meeting, the Board proposes that the following resolution be adopted:</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">&#8220;<font style="font-weight: bold;">RESOLVED</font>, that the amendment and restatement of the Amended Management Agreement, by and between the Company and Nistec Ltd., as
        described in the Proxy Statement, be and hereby is, authorized and approved.&#8221;</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-indent: 36pt; line-height: 1.25; font-weight: bold;">Vote Required</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The approval of this Item&#160;5 requires the affirmative vote of a majority of the Ordinary Shares present and voting on the matter, in person or by proxy, provided that either (i)
        at least a majority of the Ordinary Shares voted by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the proposed resolution; or (ii) the total number of Ordinary Shares
        voted against the proposed resolution by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, does not exceed two percent (2%) of the outstanding voting power in the Company.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">12</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">6.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-weight: bold;">AMENDMENT AND EXTENSION OF AMENDED PCB PURCHASE PROCEDURE</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: center; line-height: 1.25;">(Item 6 on the Proxy Card)</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">&#160;In October 2015, the Company established a procedure for the purchase of PCBs from the Company by Nistec. In 2017, our shareholders approved amendments to the terms of such
        procedure (the &#8220;<u>Amended PCB Purchase Procedure</u>&#8221;). In accordance with the provisions of the Companies Law, the term of the Amended PCB Purchase Procedure may not exceed three (3) years, and its extension for any additional period of up to
        three (3) years, as well as any amendment to its terms, must be approved by the Company&#8217;s shareholders. In 2018 and 2021, the shareholders approved extensions of the term of the Amended PCB Purchase Procedure, each time for a period of three (3)
        years. The shareholders are therefore requested to approve the amendment of the Amended PCB Purchase Procedure, as described in this Item 6, and the extension of the term of the Amended PCB Purchase Procedure (as amended hereby) for an additional
        period of three (3) years, all as of September 1, 2024.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The Amended PCB Purchase Procedure sets forth the terms under which Nistec may purchase PCBs from the Company, solely for providing assembled boards to its customers and not for
        re-sale. Nistec will ask the Company for a quote for a specific PCB, detailing the required supply time and volume. The Company&#8217;s quote will be based on its standard price list and, pursuant to the proposed amendment, may be subject to a discount
        at such rate as offered by the Company from time to time to its other customer, <font style="font-style: italic;">provided</font> that in no event shall the quoted price fall below 1.6 times the variable cost of such PCB, as determined by the
        Company&#8217;s dynamic pricing system (instead of such discount being capped at ten percent (10%)). The quote will include reference to increased prices to account for factors such as short lead time and quick turn-around, and will set minimum order
        thresholds, all in accordance with the Company&#8217;s standard price list. Alternatively, the Company may issue a quote based on a quote issued by a comparable independent PCB supplier with comparable technological capabilities, if and as provided by
        Nistec (the &#8220;<u>Alternative Quote</u>&#8221;). The Company&#8217;s quote will include all ancillary costs such as shipping and customs. The Company may issue a quote based on the Alternative Quote only if it reflects a gross margin (sale price less the cost of
        raw materials) of at least sixty-five percent (65%). Should the Alternative Quote be made by a supplier that has already designed tooling for the specific circuits ordered by Nistec, the Company may absorb the tooling costs, if Nistec does not
        charge its clients for such costs, and in accordance with the Company&#8217;s customary terms and conditions for orders received from unrelated third parties. The Company&#8217;s decision to absorb such tooling costs will be made by its CEO. Should the Company
        be asked to indemnify Nistec for faulty PCBs, such indemnification will be made (a) in compliance with the Company&#8217;s general policy in the regard, and (b) subject to the pre-approval of the Audit Committee. Neither Mr. Nissan, our Controlling
        shareholder, nor any of his relatives, may be involved in the process of issuing a quote by the Company to Nistec or in any post-sale discussions such as with respect to warranties or indemnification for faulty products. Should Nistec&#8217;s order be
        for PCBs imported by the Company, the quote would reflect the actual price of such PCBs, plus a mark-up of at least twenty percent (20%). Should Nistec&#8217;s order be for PCBs from the Company&#8217;s excess inventory of an original order, the quote would
        reflect the standard price of such PCBs, with a discount of up to fifty percent (50%) of the full price actually paid for such PCBs in the original order (the &#8220;<u>Excess Inventory Discount</u>&#8221;). The Excess Inventory Discount will apply only to
        orders from excess inventory of the first original order of a specific PCB (i.e., should a second order of a specific PCB generate any excess inventory, and Nistec would like to purchase such PCBs manufactured in excess, the Excess Inventory
        Discount would not be applied to such purchase).</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">On May 16, 2024, the Audit Committee has approved the proposed amendment and extension of the Amended PCB Purchase Procedure, and it will annually review the Company&#8217;s compliance
        therewith. The Board has previously determined that the terms of the Amended PCB Purchase Procedure were established in good faith and are similar to those employed in transactions with third parties. The Board has further determined that the
        discount formulas and cap (as per the proposed amendment) and the twenty percent (20%) mark-up are reasonable, and that the sales under the Amended PCB Purchase Procedure will not limit the Company&#8217;s ability to sell to third parties. The Board has
        also determined that the execution of the Amended PCB Purchase Procedure does not constitute a &#8220;prohibited distribution&#8221; under the Companies Law. On May 20, 2024, the Board has accordingly approved the proposed amendment of the Amended PCB Purchase
        Procedure and the proposed extension of its term for an additional three (3) year period, all as of September 1, 2024 and as described herein.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">At the Meeting, the Board proposes that the following resolution be adopted:</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">&#8220;<font style="font-weight: bold;">RESOLVED</font>, that the amendment of the Company&#8217;s Amended PCB Purchase Procedure with Nistec Ltd., as described in the Proxy Statement, and
        the extension of its term for an additional three (3) year period, all effective as of September 1, 2024, be and hereby are, authorized and approved.&#8221;</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-indent: 36pt; line-height: 1.25; font-weight: bold;">Vote Required</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The approval of this Item&#160;6 requires the affirmative vote of a majority of the Ordinary Shares present and voting on the matter, in person or by proxy, provided that either (i)
        at least a majority of the Ordinary Shares voted by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the proposed resolution; or (ii) the total number of Ordinary Shares
        voted against the proposed resolution by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, does not exceed two percent (2%) of the outstanding voting power in the Company.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">13</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">7.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-weight: bold;"> AMENDMENT AND EXTENSION OF AMENDED SOLDERING, ASSEMBLY AND DESIGN</font></div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;"> SERVICES PROCEDURE</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: center; line-height: 1.25;">(Item 7 on the Proxy Card)</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">In October 2015, the Company established a procedure for the retention of soldering and assembly services by the Company from Nistec. In 2017, our shareholders approved an
        amendment to the terms of such procedure (the &#8220;<u>Amended Soldering, Assembly and Design Services Procedure</u>&#8221;). In accordance with the provisions of the Companies Law, the term of the Amended Soldering, Assembly and Design Services Procedure may
        not exceed three (3) years, and its extension for any additional period of up to three (3) years, as well as any amendment to its terms, must be approved by the Company&#8217;s shareholders. In 2018 and 2021, our shareholders approved extensions of the
        term of the Amended Soldering, Assembly and Design Services Procedure, each time for a period of three (3) years. The shareholders are therefore requested to approve the amendment of the Amended Soldering, Assembly and Design Services Procedure, as
        described in this Item 7, and the extension of the term of the Amended Soldering, Assembly and Design Services Procedure for an additional period of three (3) years, all as of September 1, 2024.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The Amended Soldering, Assembly and Design Services Procedure sets forth the terms under which the Company may retain the following services from Nistec: (i) soldering and
        assembly services (&#8220;<u>Soldering Services</u>&#8221;), (ii) design and/or design services for the production of PCBs (&#8220;<u>Design Services</u>&#8221;), and/or (iii) the ordering of soldering materials or components by Nistec on the Company&#8217;s behalf (&#8220;<u>Purchasing

          Services</u>&#8221;). Soldering Services and Design Services will be priced according to Nistec&#8217;s standard price list for each, less a five percent (5%) discount. Purchasing Services will be priced according to the actual costs of the materials and/or
        components ordered, plus a fourteen and a quarter percent (14.25%) commission, which reflects a five percent (5%) discount, as compared to the commission charged by Nistec from third parties for similar services. Prices of services not included in
        Nistec&#8217;s standard price lists will be negotiated by the Company and Nistec in good faith (without the participation of Mr. Nissan, our Controlling shareholder, or any of his relatives). Nistec&#8217;s standard procedures will govern manufacturer
        warranties and restrictions regarding defective assembled products. Pursuant to the proposed amendment, the aggregate price of services retained by the Company under the Amended Soldering, Assembly and Design Services Procedure may not exceed
        NIS3,000,000 (approximately US$800,000) per annum (instead of NIS300,000).</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">On May 16, 2024, the Audit Committee has approved the proposed amendment and extension of the Amended Soldering, Assembly and Design Services Procedure, and it will annually
        review the Company&#8217;s compliance therewith. The Board has previously determined that the terms of the Amended Soldering, Assembly and Design Services Procedure were established in good faith and are similar to those employed in transactions with
        third parties. The Board has further determined that Soldering Services, Design Services and Purchasing Services are not material to the Company&#8217;s business; that it will not be beneficial for the Company to source separate quotes for each; and that
        the price differences between Nistec and other service providers are not significant. For these reasons, and due to the fact that the PCBs will not be exposed to third parties, the Board has determined that the terms of the Amended Soldering,
        Assembly and Design Services Procedure are favorable to the Company. The Board has also determined that the execution of the Amended Soldering, Assembly and Design Services Procedure does not constitute a &#8220;prohibited distribution&#8221; under the
        Companies Law. On May 20, 2024, the Board has accordingly approved the proposed amendment of the Amended Soldering, Assembly and Design Services Procedure, and the proposed extension of its term for an additional three (3) year period, all as of
        September 1, 2024, and as described herein.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">At the Meeting, the Board proposes that the following resolution be adopted:</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">&#8220;<font style="font-weight: bold;">RESOLVED</font>, that the amendment of the Company&#8217;s Amended Soldering, Assembly and Design Services Procedure with Nistec Ltd., as described in
        the Proxy Statement, and the extension of its term for an additional three (3) year period, all effective as of September 1, 2024, be and hereby are, authorized and approved.&#8221;</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-indent: 36pt; line-height: 1.25; font-weight: bold;">Vote Required</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The approval of this Item&#160;7 requires the affirmative vote of a majority of the Ordinary Shares present and voting on the matter, in person or by proxy, provided that either (i)
        at least a majority of the Ordinary Shares voted by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the proposed resolution; or (ii) the total number of Ordinary Shares
        voted against the proposed resolution by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, does not exceed two percent (2%) of the outstanding voting power in the Company.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">14</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">8.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-weight: bold;">GRANT OF 2023 ANNUAL BONUS TO MS. REVITAL COHEN-TZEMACH</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: center; line-height: 1.25;">(Item 8 on the Proxy Card)</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Ms. Revital Cohen-Tzemach, currently a director of the Company, was previously employed by the Company as a special project manner; Ms. Cohen-Tzemach&#8217;s employment with the
        Company ended on December 31, 2023. Under the terms of the Companies Law, any benefits provided to Ms. Cohen-Tzemach with respect to her employment with the Company must be approved by Eltek&#8217;s shareholders, as she is the daughter of our Chairman of
        the Board and Controlling shareholder, Mr. Yitzhak Nissan.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">On June 3, 2021, our shareholders approved Ms. Cohen-Tzemach&#8217;s participation in the Company&#8217;s future annual bonus plans for the years 2022 to 2024 (with the application of the
        annual bonus plan for the year 2024 being subject to the extension of Ms. Cohen-Tzemach&#8217;s employment with the Company, as subsequently approved by our shareholders in September 12, 2023). Notwithstanding, due to the structure and discretion of the
        Compensation Committee and the Board in respect of the actual annual bonus amount, the grant to Ms. Cohen-Tzemach of the applicable amount for each year is also subject to our shareholders&#8217; approval. On September 12, 2023, our shareholders approved
        the grant of an annual bonus in the amount of NIS80,000 (approximately US$21,700, as of such time) to Ms. Cohen-Tzemach under the Company&#8217;s annual bonus plan for the year 2022.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">On March 6 and 8, 2023, the Compensation Committee and the Board have respectively approved the Company&#8217;s annual bonus plan for the year 2023 (the &#8220;<u>2023</u><u> Bonus Plan</u>&#8221;),

        in accordance with the terms of the Company&#8217;s Amended and Restated Compensation Policy (as approved by the shareholders on August 31, 2022) then in effect. The aggregate bonus amount that Ms. Cohen-Tzemach was eligible to receive under the 2023
        Bonus Plan was limited to four (4) gross monthly salaries (the &#8220;<u>2023</u><u> Individual Bonus </u><u>Ceiling</u>&#8221;) &#8211; as was the case for another, similarly situated senior employee of the Company, who is not an &#8220;Office Holder&#8221; (as such term is
        defined in the Companies Law) and to whom the 2023 Bonus Plan was also applied; and as with respect to all senior employees (including Office Holders) participating in the 2023 Bonus Plan, such aggregate amount consisted of a performance bonus,
        determined according to the Company&#8217;s meeting of graded annual targets set with respect to five (5) pre-defined measurable financial criteria of different weights (the &#8220;<u>Performance Bonus</u>&#8221;), and a personal-assessment bonus, determined by the
        Company&#8217;s CEO (the &#8220;<u>Personal-Assessment Bonus</u>,&#8221; and together with the Performance Bonus, the &#8220;<u>Annual Bonus</u>&#8221;). Furthermore, the total amount that could be granted as Annual Bonuses to all such employees under the 2023 Bonus Plan was
        limited to seven percent (7%) of the Company&#8217;s pre-tax profit in the year 2023 (the &#8220;<u>2023</u><u> Collective Bonus </u><u>Ceiling</u>&#8221;).</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">On March 7 and 10, 2024, the Audit Committee and the Board have respectively approved the grant of an Annual Bonus in the amount of NIS80,000 (approximately US$21,500) to Ms.
        Cohen-Tzemach under the 2023 Bonus Plan (the &#8220;<u>2023 Annual Bonus</u>&#8221;), consisting of a Performance Bonus in the amount NIS69,000 and a Personal-Assessment Bonus in an amount equal to thirty percent (30%) thereof, the sum of which was then
        reduced in accordance with the 2023 Individual Bonus Ceiling (while the total amount of the Annual Bonuses granted under the 2023 Bonus Plan was initially smaller than the 2023 Collective Bonus Ceiling). The shareholders are hereby requested to
        approve the grant of the 2023 Annual Bonus to Ms. Cohen-Tzemach.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">At the Meeting, the Board proposes that the following resolution be adopted:</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">&#8220;<font style="font-weight: bold;">RESOLVED</font>, that the grant of the 2023 Annual Bonus to Ms. Revital Cohen-Tzemach, as described in the Proxy Statement, be and hereby is,
        authorized and approved.&#8221;</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-indent: 36pt; line-height: 1.25; font-weight: bold;">Vote Required</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The approval of this Item&#160;8&#160;requires the affirmative vote of a majority of the Ordinary Shares present and voting on the matter, in person or by proxy, <font style="font-style: italic;">provided</font> that either (i) at least a majority of the Ordinary Shares voted by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the proposed resolution;
        or (ii) the total number of Ordinary Shares voted against the proposed resolution by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, does not exceed two percent (2%) of the outstanding voting
        power in the Company.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">15</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">9.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-weight: bold;">AMENDMENT OF TERMS OF OPTIONS GRANTED TO DIRECTORS</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: center; line-height: 1.25;">(Item 9 on the Proxy Card)</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Under the terms of the Companies Law, any benefits provided to the Company&#8217;s directors require our shareholders&#8217; approval. Our shareholders are therefore requested to approve the
        amendment of the terms of the options previously granted to the Company&#8217;s directors (including the external directors, but excluding our Controlling shareholder and Chairman of the Board, Mr. Yitzhak Nissan, and his daughter, Ms. Revital
        Cohen-Tzemach), as described in this Item 9.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">In 2018, the Board approved a share incentive plan, which authorizes the grant of options to purchase shares and of restricted shares units to officers, employees, directors and
        consultants of the Company and its subsidiaries (the &#8220;<u>Option Plan</u>&#8221;). Options granted under the Option Plan are generally exercisable for ten (10) years from the date on which such options are granted.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">On June 3, 2021, our shareholders approved the grant of options to purchase 20,000 Ordinary Shares to each of the Company&#8217;s directors (and 100,000 in the aggregate), including
        the external directors, but excluding our Controlling shareholder and Chairman of the Board, Mr. Nissan, effective as of, and exercisable at a price per share equal to the average daily closing price of the Ordinary Shares during the thirty (30)
        trading days prior to, September 6, 2021 (US$6.47, effectively reduced to US$6.08 pursuant to Section 4 of the Option Plan, following the Company&#8217;s distribution of cash dividends (a) in the amount of US$0.17 per Ordinary Share on December 12, 2022
        (the &#8220;<u>2022 Distribution</u>&#8221;), and (b) in the amount of US$0.22 per Ordinary Share on December 21, 2023 (the &#8220;<u>2023 Distribution</u>&#8221;, and collectively with the 2022 Distribution, the &#8220;<u>Distribution</u>&#8221;)). On September 12, 2023, our
        shareholders approved an additional grant of options to purchase 10,000 Ordinary Shares to each of the Company&#8217;s directors (and 50,000 in the aggregate), including the external directors, but excluding our Controlling shareholder and Chairman of
        the Board, Mr. Nissan, and his daughter, Ms. Cohen-Tzemach, effective as of, and exercisable at a price per share equal to the average daily closing price of the Ordinary Shares during the 30 trading days prior to, October 6, 2023 (US$9.08,
        effectively reduced to US$8.86 pursuant to Section 4 of the Option Plan, following the 2023 Distribution). All such options were granted under the Option Plan and Section 102(b)(2) of the Income Tax Ordinance [New Version], 5721-1961 (the &#8220;<u>Capital-Gains

          Tax Route</u>&#8221; and the &#8220;<u>Income Tax Ordinance</u>&#8221;, respectively), and in accordance with the terms of the Company&#8217;s compensation policy then in effect. Furthermore, all such options vest over a four (4) year period, commencing on their
        applicable effective date, such that twenty-five percent (25%) of the options vest on the first annual anniversary of such effective date, and the remaining options vest in equal quarterly installments thereafter.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">On March 7 and 10, 2024, the Audit Committee and the Board have respectively approved the following amendment of the terms of all options heretofore granted to each of the
        Company&#8217;s directors (including the external directors, but excluding our Controlling shareholder and Chairman of the Board, Mr. Nissan, and his daughter, Ms. Cohen-Tzemach): effective as of September 6, 2024, notwithstanding anything to the
        contrary in any award letter executed by the Company and each director with respect to any such options, in the event that the Company consummates an M&amp;A Transaction (as defined in the Option Plan), all unvested options as of such time shall
        automatically vest and become exercisable in full immediately prior to the consummation of such M&amp;A Transaction. The foregoing amendment is made pursuant to Section 14.6 of the Option Plan, and meets the terms of the Second Amended and Restated
        Compensation Policy, as approved by the shareholders on September 12, 2023, and of the Third Amended and Restated Compensation Policy, subject to our shareholders&#8217; approval of Item 3 above.</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">At the Meeting, the Board proposes that the following resolution be adopted:</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">&#8220;<font style="font-weight: bold;">RESOLVED</font>, that the amendment of the terms of the options heretofore granted to the Company&#8217;s directors (including the external
        directors, but excluding the Controlling shareholder and Chairman of the Board, Mr. Yitzhak Nissan, and his daughter, Ms. Revital Cohen-Tzemach), as described in the Proxy Statement, be and hereby is, authorized and approved.&#8221;</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 35.3pt; line-height: 1.25; font-weight: bold;">Vote Required</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The approval of this Item 9&#160;requires the affirmative vote of the holders of a majority of the voting power represented at the Meeting, in person or by proxy.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">16</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">10.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-weight: bold;">COMPENSATION OF CHIEF EXECUTIVE OFFICER</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: center; line-height: 1.25;">(Item 10 on the Proxy Card)</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">In September 2018, our shareholders approved the appointment of Mr. Eli Yaffe as the Company&#8217;s CEO, effective as of July 1, 2018, and the Company entered into an employment
        agreement therewith (the &#8220;<u>Original Agreement</u>&#8221;). In October 2020, our shareholders approved the Company&#8217;s execution of an amendment to the Original Agreement. In June 2021, the Compensation Committee and the Board increased Mr. Yaffe&#8217;s salary
        by NIS5,000 per month &#8211; an immaterial change that did not require shareholders&#8217; approval &#8211; and a second amendment to the Original Agreement was executed. In August 2022, our shareholders approved the Company&#8217;s execution of a third amendment to the
        Original Agreement (the &#8220;<u>Third Amendment</u>&#8221;), effective as of January 1, 2023, whereby, <font style="font-style: italic;">inter alia</font>, effective as of the first month in which the Company&#8217;s revenues shall exceed US$45,000,000, the
        aggregate monthly salary payable to Mr. Yaffe shall be increased to NIS90,000 (approximately US$24,500); and effective as of the first month in which the Company&#8217;s revenues shall exceed US$50,000,000, the aggregate monthly salary payable to Mr.
        Yaffe shall be increased to NIS 95,000 (approximately US$25,500).</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">On March 7, 2024, the Compensation Committee has recommended, and on March 10, 2024, the Board has accordingly resolved, to approve the following amendment of the Original
        Agreement, as previously amended (the &#8220;<u>Fourth Amendment</u>&#8221;), which includes the following changes to Mr. Yaffe&#8217;s salary that our shareholders are therefore requested to approve:</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <table cellspacing="0" cellpadding="0" id="zf7838497defb4ac586f07d65bce249b2" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 36pt;"><br>
            </td>
            <td style="width: 18pt; vertical-align: top;">&#8226;</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Effective as of January 1, 2024, Mr. Yaffe&#8217;s salary shall be increased by NIS3,000 per month, to NIS93,000 (approximately US$25,000) in the aggregate (taking into account that the first increase under the Third Amendment became, as
                described above, effective as of January 2024);</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zb53c87c55a95402587b393a4d36da989" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 36pt;"><br>
            </td>
            <td style="width: 18pt; vertical-align: top;">&#8226;</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Effective as of the first month in which the Company&#8217;s revenues shall exceed US$50,000,000, the aggregate monthly salary payable to Mr. Yaffe shall be increased to NIS98,000 (approximately US$26,500) (instead of NIS95,000, per the second
                increase contemplated under the Third Amendment, as described above); and</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zc28078adfbb44652bbb9647903d1dbeb" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 36pt;"><br>
            </td>
            <td style="width: 18pt; vertical-align: top;">&#8226;</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Effective as of the first month in which the Company&#8217;s revenues shall exceed US$55,000,000, the aggregate monthly salary payable to Mr. Yaffe shall be increased to NIS108,000 (approximately US$29,000), subject to the shareholders&#8217;
                approval of the Third Amended and Restated Compensation Policy under Item 3 above.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">The Fourth Amendment further clarifies that the Company&#8217;s Clawback Policy will apply to any Erroneously Awarded Compensation (as defined in the Clawback Policy) that may be
        paid to the CEO under the Original Agreement, as in effect from time to time, whether during or after the term thereof.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">Subject to the additional changes that our shareholders are requested to approve under Item 11 below, all other terms of the Original Agreement (as previously amended),
        including but not limited to permitted activities, confidentiality and non-competition, severance pay and pension arrangements, vacation, education fund contribution, sick pay, reimbursement of expenses and travel expenses, performance bonus and
        company car, will remain the same. In addition, as an Office Holder of the Company, Mr. Yaffe will continue to be entitled to: (i) officers&#8217; and directors&#8217; insurance, as may be approved by the Compensation Committee and the Board from time to time;
        (ii) an indemnification agreement, in the form approved by our shareholders on December 5, 2019; and (iii) an exculpation letter, in the form approved by our shareholders on October 17, 2013.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">The changes to Mr. Yaffe&#8217;s salary under the Fourth Amendment meet the terms of the Third Amended and Restated Compensation Policy, subject to our shareholders&#8217; approval of
        Item 3 above. However, under the Companies Law, the Compensation Committee and the Board may in special circumstances approve the Company&#8217;s execution of the Fourth Amended, even if shareholders&#8217; approval for Item 3 above and/or this Item 10 is not
        received.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">At the Meeting, the Board proposes that the following resolution be adopted:</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">&#8220;<font style="font-weight: bold;">RESOLVED</font>, that amended terms of Mr. Eli Yaffe&#8217;s employment with the Company, regarding Mr. Yaffe&#8217;s salary, as described in the Proxy
        Statement, be and hereby are, authorized and approved.&#8221;</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 35.3pt; line-height: 1.25; font-weight: bold;">Vote Required</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">The approval of this Item 10 requires the affirmative vote of a majority of the Ordinary Shares present and voting on the matter, in person or by proxy, <font style="font-style: italic;">provided</font> that either (i) at least a majority of the Ordinary Shares voted by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the
        proposed resolution; or (ii) the total number of Ordinary Shares voted against the proposed resolution by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, does not exceed two percent (2%) of
        the outstanding voting power in the Company.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">17</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">11.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-weight: bold;">ENGAGEMENT OF CHIEF EXECUTIVE OFFICER</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: center; line-height: 1.25;">(Item 11 on the Proxy Card)</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">In addition to the salary-related changes described in Item 10 above, the Fourth Amendment entitles the CEO, at his sole and absolute discretion, to request that his
        employment with the Company be terminated, and that he will instead be engaged as an independent contractor, in which case the CEO shall be entitled to receive, in consideration of his services to the Company as such, a fixed monthly fee in an
        amount equal to the total cost of his employment for the Company, plus applicable VAT, in lieu of the monthly salary payable to the CEO, and all social and other benefits to which he is entitled, under the Original Agreement (as then in effect).</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">The foregoing change, which our shareholders requested to approve in addition to the salary-related changes described in Item 10 above, meets the terms of the Second Amended
        and Restated Compensation Policy, as approved by the shareholders on September 12, 2023, and of the Third Amended and Restated Compensation Policy, subject to our shareholders&#8217; approval of Item 3 above.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">At the Meeting, the Board proposes that the following resolution be adopted:</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">&#8220;<font style="font-weight: bold;">RESOLVED</font>, that amended terms of Mr. Eli Yaffe&#8217;s employment with the Company, regarding the mode of Mr. Yaffe&#8217;s engagement by the
        Company, as described in the Proxy Statement, be and hereby are, authorized and approved.&#8221;</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 35.3pt; line-height: 1.25; font-weight: bold;">Vote Required</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">The approval of this Item 11 requires the affirmative vote of a majority of the Ordinary Shares present and voting on the matter, in person or by proxy, <font style="font-style: italic;">provided</font> that either (i) at least a majority of the Ordinary Shares voted by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the
        proposed resolution; or (ii) the total number of Ordinary Shares voted against the proposed resolution by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, does not exceed two percent (2%) of
        the outstanding voting power in the Company.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">18</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">12.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-weight: bold;">AMENDMENT OF TERMS OF OPTIONS GRANTED TO CHIEF EXECUTIVE OFFICER</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: center; line-height: 1.25;">&#160;(Item 12 on the Proxy Card)</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Under the terms of the Companies Law, any benefit (other than non-material benefits) provided to the CEO with respect to his employment with the Company, must be approved by
        Eltek&#8217;s shareholders. Our shareholders are therefore requested to approve the amendment of the terms of the options previously granted to the CEO, as described in this Item 12.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">On September 6, 2018, our shareholders approved the grant of options to purchase 60,857 Ordinary Shares to the CEO, effective as of, and exercisable at a price per share equal to
        the average daily closing price of the Ordinary Shares during the 30 trading days prior to, July 1, 2018 (US$4.17, effectively reduced to US$3.78 pursuant to Section 4 of the Options Plan, following the Distributions). Following the rights&#8217;
        offerings issued by the Company in March 2019 and December 2020, and in accordance with Section 4 of the Option Plan, these options are effectively exercisable into 78,580 Ordinary Shares. On June 3, 2021, our shareholders approved an additional
        grant of options to purchase 100,000 Ordinary Shares to the CEO, effective as of, and exercisable at a price per share equal to the average daily closing price of the Ordinary Shares during the 30 trading days prior to, December 29, 2020 (US$4.75,
        effectively reduced to US$4.36 pursuant to Section 4 of the Option Plan, following the Distributions). On September 12, 2023, our shareholders approved an additional grant of options to purchase 25,000 Ordinary Shares to the CEO, effective as of,
        and exercisable at a price per share equal to the average daily closing price of the Ordinary Shares during the 30 trading days prior to, August 3, 2023 (US$9.11, effectively reduced to US$8.89 pursuant to Section 4 of the Option Plan, following
        the 2023 Distribution). All of the foregoing options were granted under the Option Plan and the Capital-Gains Tax Route, and in accordance with the terms of the Company&#8217;s compensation policy then in effect. Furthermore, all such options vest over a
        four (4) year period, commencing on their applicable effective date, such that twenty-five percent (25%) of the options vest on the first annual anniversary of such effective date, and the remaining options vest in equal quarterly installments
        thereafter.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">On March 7, 2024, the Compensation Committee has recommended, and on March 10, 2024, the Board has accordingly resolved, to approve the following amendment of the terms of all
        options heretofore granted to the CEO: notwithstanding anything to the contrary in any award letter executed by the Company and the CEO with respect to any such options, in the event that the Company consummates an M&amp;A Transaction (as defined
        in the Option Plan), all unvested options as of such time shall automatically vest and become exercisable in full immediately prior to the consummation of such M&amp;A Transaction. The foregoing amendment is made pursuant to Section 14.6 of the
        Option Plan, and meets the terms of the Second Amended and Restated Compensation Policy, as approved by the shareholders on September 12, 2023, and of the Third Amended and Restated Compensation Policy, subject to our shareholders&#8217; approval of Item
        3 above.</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">At the Meeting, the Board proposes that the following resolution be adopted:</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">&#8220;<font style="font-weight: bold;">RESOLVED</font>, that the amendment of the terms of the options heretofore granted to Mr. Eli Yaffe, as described in the Proxy Statement, be
        and hereby is, authorized and approved.&#8221;</div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 35.3pt; line-height: 1.25; font-weight: bold;">Vote Required</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The approval of this Item 12 requires the affirmative vote of a majority of the Ordinary Shares present and voting on the matter, in person or by proxy, <font style="font-style: italic;">provided</font> that either (i) at least a majority of the Ordinary Shares voted by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the proposed resolution;
        or (ii) the total number of Ordinary Shares voted against the proposed resolution by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, does not exceed two percent (2%) of the outstanding voting
        power in the Company.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">19</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">13.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-weight: bold;">GRANT OF OPTIONS TO CHIEF EXECUTIVE OFFICER</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; text-indent: -35.45pt; margin-left: 35.45pt; line-height: 1.25;">(Item 13 on the Proxy Card)</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">As explained in Item 12 above, any benefit (other than non-material benefits) provided to the CEO with respect to his employment with the Company, must be approved by Eltek&#8217;s
        shareholders. Our shareholders are therefore requested to approve the grant of options as described in this Item 13.</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;"> <br>
      </div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">In addition to the options heretofore granted to the CEO, as described in Item 12 above, on March 7, 2024, the Compensation Committee has recommended, and on March 10, 2024, the
        Board has accordingly resolved, to grant options to purchase 20,000 Ordinary Shares to the CEO, effective as of March 10, 2024, subject to our shareholders&#8217; approval. All such options will (i) be granted under the Option Plan and the Capital-Gains
        Tax Route, (ii) vest over the following four (4) years, such that twenty-five percent (25%) of the options will vest on March 9, 2025, and the remaining options will vest in equal quarterly installments thereafter, <font style="font-style: italic;">provided</font>, <font style="font-style: italic;">however</font>, that in the event that the Company consummates an M&amp;A Transaction (as defined in the Option Plan), all unvested options as of such time shall automatically vest and
        become exercisable in full immediately prior to the consummation of such M&amp;A Transaction, and (iii) be exercisable by means of a &#8220;cashless exercise&#8221; and at a price per share equal to the average daily closing price of the Ordinary Shares during
        the 30 trading days prior to March 10, 2024.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The grant of options to the CEO hereunder meets the terms of the Second Amended and Restated Compensation Policy, as approved by our shareholders on September 12, 2023, and of
        the Third Amended and Restated Compensation Policy, subject to our shareholders&#8217; approval of Item 3 above.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">At the Meeting, the Board proposes that the following resolution be adopted:</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">&#8220;<font style="font-weight: bold;">RESOLVED</font>, that the grant of options to Mr. Eli Yaffe, as described in the Proxy Statement, be and hereby is, authorized and approved.&#8221;</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25; font-weight: bold;">Vote Required</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The approval of this Item&#160;13&#160;requires the affirmative vote of a majority of the Ordinary Shares present and voting on the matter, in person or by proxy, <font style="font-style: italic;">provided</font> that either (i) at least a majority of the Ordinary Shares voted by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the proposed resolution;
        or (ii) the total number of Ordinary Shares voted against the proposed resolution by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, does not exceed two percent (2%) of the outstanding voting
        power in the Company.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">20</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">14.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-weight: bold;">GRANT OF SPECIAL BONUS TO CHIEF EXECUTIVE OFFIER AND CHIEF FINANCIAL OFFICER</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; line-height: 1.25;">(Item 14 on the Proxy Card)</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">On February 15, 2024, the Company successfully consummated a public offering of 625,000 Ordinary Shares at a public offering price of $16.00 per share, for gross proceeds of
        $10,000,000, before deducting underwriting discounts and offering expenses payable by the Company (the &#8220;<u>Offering</u>&#8221;). The Company intends to use the net proceeds from the Offering to strategically invest in the expansion of its production
        capabilities and for general corporate purposes, including working capital.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">On March 7, 2024, the Compensation Committee has recommended, and on March 10, 2024, the Board have accordingly resolved, subject to our shareholders&#8217; approval, to approve the
        grant of a special bonus to each of the Company&#8217;s CEO and the Company&#8217;s Chief Financial Officer (the &#8220;<u>CFO</u>&#8221;), due to their significant contribution to the successful consummation of the Offering, in an amount equal to fifty percent (50%) of
        their respective current monthly salaries &#8211; i.e., an amount of NIS45,000 (approximately US$12,000) payable to the CEO, and an amount of NIS26,000 (approximately US$7,000) payable to the CFO (the &#8220;<u>Special Bonus</u>&#8221;). The Special Bonus shall be
        paid in addition to any annual bonus (performance-based and/or discretionary) payable to each of the CEO and the CFO for the trading years 2023 and 2024.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Under the terms of the Companies Law, since payment of the Special Bonus will exceed the Bonus Ceiling (as defined in the Second Amended and Restated Compensation Policy, as
        approved by our shareholders on September 12, 2023) applicable to each of the CEO and the CFO, such payment must be approved by our shareholders. As further required under the Companies Law, in approving the grant of the Special Bonus, the
        Compensation Committee and the Board have determined the amount of the Special Bonus and its terms of payment taking into account the need to promote the Company&#8217;s goals and in light of its current needs, specifically raising capital for its
        various purposes, and with the aim of adequately incentivizing the relevant officers in light of their crucial contribution to the success to future equity financings, which is imperative for accomplishing the Company&#8217;s goals and maximizing its
        long-term profits. Prior to approving the grant of the Special Bonus, the Compensation Committee and the Board have reviewed the amounts of the annual bonuses payable to each of the CEO and the CFO for the year 2023.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">At the Meeting, the Board proposes that the following resolution be adopted:</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">&#8220;<font style="font-weight: bold;">RESOLVED</font>, that the grant of a special bonus to each of Mr. Eli Yaffe and Mr. Ron Freund, as described in the Proxy Statement, be and
        hereby is, authorized and approved.&#8221;</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25; font-weight: bold;">Vote Required</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The approval of this Item&#160;14&#160;requires the affirmative vote of a majority of the Ordinary Shares present and voting on the matter, in person or by proxy, <font style="font-style: italic;">provided</font> that either (i) at least a majority of the Ordinary Shares voted by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, are voted in favor of the proposed resolution;
        or (ii) the total number of Ordinary Shares voted against the proposed resolution by shareholders who are not Controlling shareholders and who do not have a Personal Interest in the matter, does not exceed two percent (2%) of the outstanding voting
        power in the Company.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">21</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25;"><br style="line-height: 1.25;">
      </div>
    </div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">15.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-weight: bold;">APPOINTMENT OF INDEPENDENT AUDITORS</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; text-indent: -35.45pt; margin-left: 35.45pt; line-height: 1.25;">(Item 15 on the Proxy Card)</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The Board recommends that our shareholders appoint Kost Forer Gabbay &amp; Kasierer, a member of Ernst &amp; Young Global (the &#8220;<u>Proposed Auditors</u>&#8221;), as the Company&#8217;s
      independent auditors for the year ending December 31, 2024, and for such additional period, until the next annual general meeting of the shareholders.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">The Proposed Auditors will replace the Company&#8217;s current independent auditors, Brightman Almagor Zohar &amp; Co., a firm in the Deloitte Global Network (the &#8220;<u>Current Auditors</u>&#8221;),

      which has served as our principal independent certified public accounting firms since October 2020. On May 16, 2024, the Audit Committee has recommended,&#160; and on May <font style="font-weight: bold;">20</font>, 2024, the Board has accordingly
      resolved, to approve the replacement of the Current Auditors by the Proposed Auditors. As required under the Companies Law, prior to making its foregoing recommendation, the Audit Committee gave the Current Auditors a reasonable opportunity to
      present their position in this regard thereto, and the Board has given the Current Auditors a reasonable opportunity to present such view to the shareholders, including by inviting the Current Auditors to attend the Meeting.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">Subject to our shareholders&#8217; approval, the Proposed Auditors will review the Company&#8217;s quarterly financial statements for the second quarter of, and audit the Company&#8217;s annual
      financial statements for, the year ending December 31, 2024.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 35.45pt; line-height: 1.25;">The following table sets forth, for each of the years indicated, the audit and other fees paid to Brightman Almagor Zohar &amp; Co.</div>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" border="0" align="center" style="width: 85%; color: #000000; font-family: 'Times New Roman', Times, serif; font-size: 10pt; text-align: left;" id="zba79ab45626142e7935e187e9a91f96f" class="cfttable">

        <tr>
          <td valign="bottom" style="vertical-align: top; padding-bottom: 2px;">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; padding-bottom: 2px;" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: top; border-bottom: #000000 solid 2px;" colspan="6">
            <div style="text-align: center; line-height: 1.25; font-weight: bold;">Year Ended December 31, 2023</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; padding-bottom: 2px;" colspan="1" class="cftfncell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; padding-bottom: 2px;" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: top; border-bottom: #000000 solid 2px;" colspan="6">
            <div style="text-align: center; line-height: 1.25; font-weight: bold;">Year Ended December 31, 2022</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; padding-bottom: 2px;" colspan="1" class="cftfncell">&#160;</td>
        </tr>
        <tr>
          <td valign="bottom" style="vertical-align: top; padding-bottom: 2px;">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; padding-bottom: 2px;" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: top; border-bottom: 2px solid rgb(0, 0, 0);" colspan="2">
            <div style="text-align: center; line-height: 1.25; font-weight: bold;">Amount</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; padding-bottom: 2px;" colspan="1" class="cftfncell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; padding-bottom: 2px;" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: top; border-bottom: 2px solid rgb(0, 0, 0);" colspan="2">
            <div style="text-align: center; line-height: 1.25; font-weight: bold;">Percentage</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; padding-bottom: 2px;" colspan="1" class="cftfncell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; padding-bottom: 2px;" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: top; border-bottom: 2px solid rgb(0, 0, 0);" colspan="2">
            <div style="text-align: center; line-height: 1.25; font-weight: bold;">Amount</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; padding-bottom: 2px;" colspan="1" class="cftfncell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; padding-bottom: 2px;" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: top; border-bottom: 2px solid rgb(0, 0, 0);" colspan="2">
            <div style="text-align: center; line-height: 1.25; font-weight: bold;">Percentage</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; padding-bottom: 2px;" colspan="1" class="cftfncell">&#160;</td>
        </tr>
        <tr>
          <td valign="bottom" style="vertical-align: bottom; width: 52%; background-color: rgb(204, 238, 255);">
            <div style="text-align: justify; line-height: 1.25;">Audit Fees <sup style="vertical-align: text-top; line-height: 1; font-size: smaller;">(1)</sup></div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; background-color: rgb(204, 238, 255);" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; background-color: rgb(204, 238, 255);" colspan="1" class="cftcurrcell">
            <div style="line-height: 1.25;">$</div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%; background-color: rgb(204, 238, 255);" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">102,000</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%; background-color: rgb(204, 238, 255);" colspan="1" class="cftfncell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; background-color: rgb(204, 238, 255);" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; background-color: rgb(204, 238, 255);" colspan="1" class="cftcurrcell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%; background-color: rgb(204, 238, 255);" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">81</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%; background-color: rgb(204, 238, 255);" colspan="1" class="cftfncell">
            <div style="line-height: 1.25;">%</div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; background-color: rgb(204, 238, 255);" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; background-color: rgb(204, 238, 255);" colspan="1" class="cftcurrcell">
            <div style="line-height: 1.25;">$</div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%; background-color: rgb(204, 238, 255);" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">98,000</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%; background-color: rgb(204, 238, 255);" colspan="1" class="cftfncell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; background-color: rgb(204, 238, 255);" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; background-color: rgb(204, 238, 255);" colspan="1" class="cftcurrcell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%; background-color: rgb(204, 238, 255);" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">94</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%; background-color: rgb(204, 238, 255);" colspan="1" class="cftfncell">
            <div style="line-height: 1.25;">%</div>
          </td>
        </tr>
        <tr>
          <td valign="bottom" style="vertical-align: bottom; width: 52%;">
            <div style="text-align: justify; line-height: 1.25;">Audit-related fees<sup style="vertical-align: text-top; line-height: 1; font-size: smaller;">(2)</sup></div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%;" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%;" colspan="1" class="cftcurrcell">
            <div style="line-height: 1.25;">$</div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%;" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">13,500</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%;" colspan="1" class="cftfncell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%;" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%;" colspan="1" class="cftcurrcell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%;" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">11</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%;" colspan="1" class="cftfncell">
            <div style="line-height: 1.25;">%</div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%;" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%;" colspan="1" class="cftcurrcell">
            <div style="line-height: 1.25;">$</div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%;" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">0</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%;" colspan="1" class="cftfncell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%;" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%;" colspan="1" class="cftcurrcell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%;" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">0</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%;" colspan="1" class="cftfncell">
            <div style="line-height: 1.25;">%</div>
          </td>
        </tr>
        <tr>
          <td valign="bottom" style="vertical-align: bottom; width: 52%; padding-bottom: 2px; background-color: rgb(204, 238, 255);">
            <div style="text-align: justify; line-height: 1.25;">All other fees<sup style="vertical-align: text-top; line-height: 1; font-size: smaller;">(2)</sup></div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; padding-bottom: 2px; background-color: rgb(204, 238, 255);" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; border-bottom: 2px solid rgb(0, 0, 0); background-color: rgb(204, 238, 255);" colspan="1" class="cftcurrcell">
            <div style="line-height: 1.25;">$</div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%; border-bottom: 2px solid rgb(0, 0, 0); background-color: rgb(204, 238, 255);" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">11,000</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%; padding-bottom: 2px; background-color: rgb(204, 238, 255);" colspan="1" class="cftfncell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; padding-bottom: 2px; background-color: rgb(204, 238, 255);" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; border-bottom: 2px solid rgb(0, 0, 0); background-color: rgb(204, 238, 255);" colspan="1" class="cftcurrcell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%; border-bottom: 2px solid rgb(0, 0, 0); background-color: rgb(204, 238, 255);" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">8</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%; padding-bottom: 2px; background-color: rgb(204, 238, 255);" colspan="1" class="cftfncell">
            <div style="line-height: 1.25;">%</div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; padding-bottom: 2px; background-color: rgb(204, 238, 255);" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; border-bottom: 2px solid rgb(0, 0, 0); background-color: rgb(204, 238, 255);" colspan="1" class="cftcurrcell">
            <div style="line-height: 1.25;">$</div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%; border-bottom: 2px solid rgb(0, 0, 0); background-color: rgb(204, 238, 255);" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">6,000</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%; padding-bottom: 2px; background-color: rgb(204, 238, 255);" colspan="1" class="cftfncell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; padding-bottom: 2px; background-color: rgb(204, 238, 255);" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; border-bottom: 2px solid rgb(0, 0, 0); background-color: rgb(204, 238, 255);" colspan="1" class="cftcurrcell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%; border-bottom: 2px solid rgb(0, 0, 0); background-color: rgb(204, 238, 255);" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">6</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%; padding-bottom: 2px; background-color: rgb(204, 238, 255);" colspan="1" class="cftfncell">
            <div style="line-height: 1.25;">%</div>
          </td>
        </tr>
        <tr>
          <td valign="bottom" style="vertical-align: bottom; width: 52%; padding-bottom: 4px;">
            <div style="text-align: justify; line-height: 1.25;">Total</div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; padding-bottom: 4px;" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; border-bottom: 4px double rgb(0, 0, 0);" colspan="1" class="cftcurrcell">
            <div style="line-height: 1.25;">$</div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%; border-bottom: 4px double rgb(0, 0, 0);" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">126,500</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%; padding-bottom: 4px;" colspan="1" class="cftfncell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; padding-bottom: 4px;" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; border-bottom: 4px double rgb(0, 0, 0);" colspan="1" class="cftcurrcell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%; border-bottom: 4px double rgb(0, 0, 0);" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">100</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%; padding-bottom: 4px;" colspan="1" class="cftfncell">
            <div style="line-height: 1.25;">%</div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; padding-bottom: 4px;" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; border-bottom: 4px double rgb(0, 0, 0);" colspan="1" class="cftcurrcell">
            <div style="line-height: 1.25;">$</div>
          </td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%; border-bottom: 4px double rgb(0, 0, 0);" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">104,000</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%; padding-bottom: 4px;" colspan="1" class="cftfncell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; padding-bottom: 4px;" colspan="1" class="cftguttercell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; width: 1%; border-bottom: 4px double rgb(0, 0, 0);" colspan="1" class="cftcurrcell">&#160;</td>
          <td valign="bottom" style="vertical-align: bottom; text-align: right; width: 9%; border-bottom: 4px double rgb(0, 0, 0);" colspan="1" class="cftnumcell">
            <div style="line-height: 1.25;">100</div>
          </td>
          <td valign="bottom" nowrap="nowrap" style="vertical-align: bottom; width: 1%; padding-bottom: 4px;" colspan="1" class="cftfncell">
            <div style="line-height: 1.25;">%</div>
          </td>
        </tr>

    </table>
    <div><br>
    </div>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

        <tr>
          <td style="width: 3.13%; vertical-align: top;">
            <div style="line-height: 1.25;"><sup style="vertical-align: text-top; line-height: 1; font-size: smaller;">(1)</sup></div>
          </td>
          <td style="width: 96.87%; vertical-align: top;">
            <div style="text-align: justify; line-height: 1.25;">Audit fees relate to audit services provided for each of the years shown in the table, including fees associated with the annual audit, consultations on various accounting issues and audit
              services provided in connection with statutory or regulatory filings</div>
          </td>
        </tr>
        <tr>
          <td style="width: 3.13%; vertical-align: top;">
            <div style="line-height: 1.25;"><sup style="vertical-align: text-top; line-height: 1; font-size: smaller;">(2)</sup></div>
          </td>
          <td style="width: 96.87%; vertical-align: top;">
            <div style="text-align: justify; line-height: 1.25;">All of such fees were pre-approved by our Audit Committee.</div>
          </td>
        </tr>

    </table>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25; font-weight: bold;"> <br>
    </div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25; font-weight: bold;">Audit Committee&#8217;s pre-approval policies and procedures:</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">Our Audit Committee has adopted a policy and procedures for the pre-approval of audit and non-audit services rendered by our independent auditors.&#160;Pre-approval of an audit or
      non-audit service may be given as a general pre-approval, as part of the Audit Committee&#8217;s approval of the scope of the engagement of our independent auditor, or on an individual basis.&#160;Any proposed services exceeding general pre-approved levels also
      require specific pre-approval by our Audit Committee. If needed, the Audit Committee&#8217;s Chairman may pre-approve services up to a limit of $10,000, in anticipation of approval of the Audit Committee, at the first meeting following the Chairman&#8217;s
      approval.&#160;The policy prohibits retention of the independent registered public accounting firm to perform the prohibited non-audit functions defined in Section 201 of the Sarbanes-Oxley Act or the rules of the SEC, and also requires the Audit
      Committee to consider whether proposed services are compatible with the independence of the registered public accountants.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">At the Meeting, the Board proposes that the following resolution be adopted:</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="line-height: 1.25;">
      <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">&#8220;<font style="font-weight: bold;">RESOLVED</font>, that Kost Forer Gabbay &amp; Kasierer, a member of Ernst &amp; Young Global, be, and hereby is, appointed as the Company&#8217;s
        independent auditors for the fiscal year ending December 31, 2024, and for such additional period, until the next annual general meeting of shareholders, and that the Company&#8217;s Board of Directors be, and hereby is, authorized to approve their
        compensation.&#8221;</div>
      <div style="line-height: 1.25">&#160;</div>
    </div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25; font-weight: bold;">Vote Required</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The approval of this Item 15 requires the affirmative vote of the holders of a majority of the voting power represented at the Meeting, in person or by proxy.</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;"> <br>
    </div>
    <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
      <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">22</font></div>
      <div style="page-break-after: always;" class="BRPFPageBreak">
        <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
    </div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; line-height: 1.25;"><font style="font-weight: bold;">16.</font>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;<font style="font-weight: bold;">REVIEW OF AUDITOR&#8217;S REPORT AND FINANCIAL STATEMENTS</font></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">At the Meeting, the Auditor&#8217;s Report and the Company&#8217;s Audited Consolidated Financial Statements for the fiscal year ended December 31, 2023 will be presented for review. On March
      26, 2024, the Auditor&#8217;s Report and the Company&#8217;s Audited Consolidated Financial Statements were filed with the SEC under Form 20-F and appear on its website: <font style="font-weight: bold;"><u>www.sec.gov</u></font>, as well as on the Company&#8217;s
      website: <font style="font-weight: bold;"><u>www.nisteceltek.com</u></font>. These financial statements are not a part of this Proxy Statement.&#160;This Item 16 does not involve a vote of our shareholders.</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; margin-right: 36pt; line-height: 1.25; font-weight: bold;">OTHER BUSINESS</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: justify; text-indent: 36pt; line-height: 1.25;">The Meeting is called for the purposes set forth in the Notice accompanying this Proxy Statement. As of the date of the Notice, the Board knows of no business which will be
      presented for consideration at the Meeting other than the foregoing matters. </div>
    <div style="line-height: 1.25">&#160;</div>
    <table cellspacing="0" cellpadding="0" border="0" align="right" id="z7b6ca603ecd84715979f5a6418f7c7b0" style="width: 50%; color: #000000; font-family: 'Times New Roman', Times, serif; font-size: 10pt; text-align: left;">

        <tr>
          <td style="width: 100%; vertical-align: top;">
            <div style="text-align: center; line-height: 1.25;">By Order of the Board of Directors,</div>
          </td>
        </tr>
        <tr>
          <td style="width: 100%; vertical-align: top;">&#160;</td>
        </tr>
        <tr>
          <td style="width: 100%; vertical-align: top;">
            <div style="text-align: center; line-height: 1.25;">Yitzhak Nissan</div>
          </td>
        </tr>
        <tr>
          <td style="width: 100%; vertical-align: top;">
            <div style="text-align: center; line-height: 1.25;">Chairman of the Board of Directors</div>
          </td>
        </tr>

    </table>
    <div style="text-align: justify; line-height: 1.25; font-family: 'Times New Roman',Times,serif; clear: both;"> <br>
    </div>
    <div style="text-align: justify; line-height: 1.25;">May 28, 2024</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
      <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">23</font></div>
      <div style="page-break-after: always;" class="BRPFPageBreak">
        <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
    </div>
    <div style="text-align: center; line-height: 1.25; font-variant: small-caps; font-weight: bold;">Exhibit A</div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="text-align: center; line-height: 1.25; font-variant: small-caps; font-weight: bold;"><u>Third Amended and Restated Compensation Policy</u></div>
    <div style="line-height: 1.25">&#160;</div>
    <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
      <div style="page-break-after: always;" class="BRPFPageBreak">
        <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
    </div>
    <!--PROfilePageNumberReset%Num%1%A - %%-->
    <div style="line-height: 1.25;">
      <div class="BRPFPageHeader">
        <div style="line-height: 1.25;">
          <div style="line-height: 1.25;">Directors and Officers Compensation Policy &#8211; 2023</div>
          <div style="line-height: 1.25;">
            <hr noshade="noshade" align="center" style="height: 2px; color: #000000; background-color: #000000; text-align: center; margin-left: auto; margin-right: auto; border: none;"></div>
          <div style="line-height: 1.25;"><br style="line-height: 1.25;">
          </div>
        </div>
      </div>
      <div style="text-align: center; line-height: 1.25; font-weight: bold;">Eltek Ltd.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: center; line-height: 1.25; font-weight: bold;">Directors and Officers Compensation Policy</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; line-height: 1.25;">The meaning of the definitions and terms in the Compensation Policy will be as set down in the Companies Law, 5759-1999 (the &#8220;<font style="font-weight: bold;">Companies Law</font>&#8221;), unless
        otherwise defined in the framework of the Compensation Policy.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: center; line-height: 1.25; font-weight: bold;"><u>Chapter 1: General Background</u></div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z79ee28371fcc4fc8a73cafb3b76d745d" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 18pt; vertical-align: top; font-weight: bold;">1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div style="font-weight: bold;"><u>General background</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z731abf464bf44f47beebafdd3664153a" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">1.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The following document presents Eltek Ltd.&#8217;s (the<font style="font-weight: bold;">&#160;</font>&#8220;<font style="font-weight: bold;">Company</font>&#8221;) Compensation Policy regarding the Company&#8217;s Officers (the &#8220;<font style="font-weight: bold;">Compensation

                  Policy</font>&#8221;) as determined by the Compensation Committee and the Company&#8217;s Board of Directors (the &#8220;<font style="font-weight: bold;">BOD</font>&#8221;).</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z79276e004bc0440d98170fff80942f0f" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">1.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Compensation Policy is intended to increase the transparency of the Company&#8217;s activities regarding all aspects of its Officers&#8217; compensation and to enhance the shareholders' ability to express their opinion and influence the
                Compensation Policy.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zd3e4b25958d14592b22608a37b458f86" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">1.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The principles of the Compensation Policy were formulated following internal discussions held by the Compensation Committee and the BOD, which considered, among other things, the changes in the provisions of the law since the adoption of
                the previous Compensation Policy; the experience and the lessons accumulated in the company during the period of the implementation of the previous compensation policy; and the changes in the company and its needs. The policy&#8217;s principles
                are designed for determining reasonable, appropriate and fair compensation for the Company&#8217;s Officers, that will ensure that the Officers&#8217; compensation will be compatible with the good of the company and its long-term and short-term
                organizational strategy, considering the Company&#8217;s risk management policy while increasing the Officers&#8217; sense of solidarity with the company and its activities, increasing their satisfaction and motivation and enabling the company to both
                retain its high quality Officers for the long term and to hire new good quality officers.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z4c813baef8954aeda574aa667301f30f" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">1.4.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The considerations taken into account during the setting of the Compensation Policy principles:</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zec8486c7bfd149db953a1898df084034" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">a.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Promoting the Company&#8217;s goals, work plan and long-term policies.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 1</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="zeeb555f8a034492bb2ea87497b5c5fea" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">b.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Creating appropriate incentives for the Company&#8217;s Officers while keeping in mind the Company&#8217;s risk management.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z38d6db294d0c463c999c92992c875d27" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">c.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The size of the Company and the nature of its activities.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z8de73abd22614428af0354f452a40bc1" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">d.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>With regard to variable components of the Officers terms of service and employment - the Officer&#8217;s contribution to achieving the Company&#8217;s goals and maximizing profits; all with a long-term view and considering the position of each
                Officer.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="ze51445188d144828bc2cbd508d02e542" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">1.5.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Objectives of the Compensation Policy</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zc98971763c0e473fbbdf51b0343da9b6" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">a.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Encouraging the maximization of the Company&#8217;s profits via compensation incentives.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zb747aaed02c14c1e8f06aa204d1e269a" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">b.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Maximizing the Company&#8217;s performance without the Company&#8217;s Officers taking unreasonable risks.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z791bee2984fa41fca0a227249124b1a4" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">c.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Supporting the implementation of the Company&#8217;s business strategy.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z3221b4fcd90a45ac8c016ffb8b78243d" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">d.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Promoting the alignment of the Officers&#8217; interests with those of the Company&#8217;s shareholders.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zfcc54ba89b5a4a22a70cf350c52cc17b" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">e.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Increasing the Company&#8217;s ability to recruit and retain Officers who can lead the Company and meet the market&#8217;s challenges.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z262271772f3e45d485bc6c97d1b01cb3" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">f.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Creating a balance between the various types of compensation components.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z0137df9438b045c18e6e77389534db53" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">1.6.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Measures for setting the Compensation Policy</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">The Compensation Policy is based among other things, on the following measures:</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="za10a52da19094043bb3879b405e865f1" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">a.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Each Officer&#8217;s education, skills, expertise and achievements.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zd46382957fa044558ff94bca862cedfe" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">b.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The positions, areas of responsibility and previous wage agreements signed with the Officers.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z4027d769b343439e8f547993ba6079e6" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">c.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The relationship between the fixed compensation components and the variable compensation components.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z33e5142a9fd04227b3ab446376bfba12" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">d.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>An examination of the average terms of service and employment for the Officers in accordance with the Compensation Policy relative to the average and mean wage conditions of the Company&#8217;s employees and contract workers, and the influence
                of the gaps between these conditions on the labor relations at the Company.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 2</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="z6aad361ee8e142deb339db9640fc043a" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">1.7.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>The Compensation Policy determination and approval process</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">The BOD approved the&#160; Compensation Policy on November 11, 2019, following the adoption of the recommendations of the Compensation Committee concerning the Compensation Policy.
        The Compensation Policy is subject to the approval of the General Assembly of the Company&#8217;s shareholders, in accordance with the provisions of Section 267A(b) of the Companies Law. The above notwithstanding, the BOD may even set the Compensation
        Policy in the absence of the approval of the said General Assembly, in accordance with the provisions of Section 267A(c) of the Companies Law.</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zcd67f6ccede14f55a10163bff71b77e8" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">1.8.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Applicability</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="ze009a6885efe45c398ea3ff9134d34ad" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">1.8.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Compensation Policy will be valid for a period of three years, effective from September 1, 2022, following the approval of all the required organizations, in accordance with the provisions of Section 267A of the Companies Law (the &#8220;<font style="font-weight: bold;">Applicable Date</font>&#8221;).</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="ze203090b224941b694db5a036e069a4d" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">1.8.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Compensation Policy will apply to the Company&#8217;s Officers in accordance with the definition of the term &#8220;officers&#8221; in the Companies Law.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z942e4f7fa4484cdf8e544e96b7cd2195" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">1.8.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Accordingly, this Compensation Policy is intended to set the compensation terms of the Officers serving in the Company as of the Applicable Date, and as such as will be from time to time, including:</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z9a509827741e4510bb32d06112ad8439" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 81.65pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">a.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Members of the BOD;</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z28ac3091053a4c04917dbda754417115" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 81.65pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">b.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The CEO;</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z63cec17ce67145a7b3cee17f1b0b5d5d" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 81.65pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">c.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The deputy CEO, vice presidents (chief officers)&#160; and/or other Company Officers.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 81.65pt; line-height: 1.25;">(collectively the &#8220;<font style="font-weight: bold;">Company&#8217;s Officers</font>&#8221; or the &#8220;<font style="font-weight: bold;">Officers</font>&#8221;)</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="za7d7baee7ab5476eb77d347ac75d777a" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">1.9.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Compensation Policy, its principles and parameters shall not be construed as establishing any right for Company Officers and/or any other third party with respect to the Company. The Company Officers&#8217; rights with respect to the
                Company will be determined and defined only in accordance with the provisions of the law, the employment agreements, the compensation plans and other agreements that will be signed, as such will be signed, with the Company Officers.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 3</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: center; margin-left: 18pt; line-height: 1.25; font-weight: bold;"><u>Chapter 2: The Compensation Components</u></div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z1f3f4e2e2d364dd08ee8289441286d2a" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 18pt; vertical-align: top; font-weight: bold;">2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div style="font-weight: bold;"><u>The components of the Compensation Policy</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zfade9e27252548a9b8c50c377c9f6903" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">2.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Compensation Policy for the Officers is composed of several components that combined to form an overall compensation appropriate for the Officers, in accordance with their duties and their contributions to the Company.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zcb5986aa780b4cc7a10b1763c4657dc3" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">2.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Compensation Policy includes the following components:</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z5a046af665594fd4b9d895013a276d9b" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">a.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Base Salary</u> &#8211; this component consists of a monthly salary (in gross terms) or fixed monthly management fees, which correlates to the Officer&#8217;s education, skills, expertise, professional experience and takes into consideration his
                achievements, jobs, areas of responsibility and previous wage agreements.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z20c1143a6c804b5fb58b1a806c419c52" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">b.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Social and Fringe Benefits</u> &#8211; including pension savings, severance pay, disability insurance, vacation, sick leave, recreation pay, continuing education savings, reimbursement of expenses, use of a company car, mobile phone, etc.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zc5d06bcdddb54eb492b489e8dc1d4934" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">c.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Variable Rewards in cash (Bonus)</u> &#8211; designed as in incentive for Officers to promote and achieve the Company&#8217;s goals in the medium and long term.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z032d2b0ea3894239bd929e25f3c483b2" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">d.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Equity-Based Compensation</u> &#8211; designed to create a link between actions that lead to maximizing the value of the Company&#8217;s shares over time and the reward given to the Officers for this maximizing, such that the link aligns the
                Officers&#8217; interests with the interests of the Company&#8217;s shareholders and contributes to the Officers&#8217; motivation and the Company&#8217;s ability to retain quality Officers.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z1ae57810f6e44a53a640c66e53cabeb4" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">e.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>End of service terms</u> &#8211; designed to arrange the terms at the end of the Officers&#8217; service at the Company, including in order to anchor the rights and obligations of the Company and the Officers toward one another.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z48915d005c194c0dbd62ccb74ddad7fa" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 17.85pt; vertical-align: top;">f.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Provisions to protect Officers</u> &#8211; include exemption, indemnification and responsibility insurance for Officers, and are designed to enable the Company to retain and recruit Officers suitable for serving in the Company, in light of
                the Officers&#8217; personal exposure to the consequences of actions undertaken in the framework of their jobs at the Company.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 4</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="z9c7df1af533547f689874af12d1bb2ba" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">2.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Unless otherwise noted, the parameters for the fixed components<sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">1</sup> in the compensation relate to an Officer employed in a fulltime position. If the relevant Officer is not a salaried employee and/or is
                not employed fulltime, the requisite adjustments must be made.<sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">2</sup> Thus for example, if an Officer is an independent contractor who provides the Company with services and is paid based on a tax receipt,
                the requisite adjustments will be made such that the cost to the Company will not be higher than the cost if the worker were a salaried employee.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z7dc702de4e074eab8ba2c8c8b172b1f1" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">2.4.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The following policy rules concerning each of the Officers&#8217; compensation components set an upper or lower limit in certain instance, for the compensation component, based on certain criteria. It is important to note that the Company is
                not obligated to grant the Officer all the components detailed in this Compensation Policy and is not obligated to grant the maximum or minimum rate set for each of the components, as relevant.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z1cd0a8e698eb4a8b8941044dcdd27573" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">2.5.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Compensation rules do not relate to various benefits whose value is not significant and which the Company grants to its workers. These benefits include: parking, newspaper subscriptions, Internet access, clothing, holiday gifts,
                etc., and the Company will not be restricted in this regard.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z21d24cf21f0d44d3a68ecc3873a54161" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 18pt; vertical-align: top; font-weight: bold;">3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div style="font-weight: bold;"><u>Base Salary</u><sup style="vertical-align: text-top; line-height: 1; font-size: smaller;">3</sup></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z1f757eca2534496fb85899777cecc445" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">3.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Directors&#8217; compensation</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">The Company&#8217;s serving Directors, who are not employed by the Company and do not receive a salary as employees will be eligible for annual compensation, compensation for
        participating in board meetings (including in decisions in writing or via telephone) and reimbursement of expenses, all in accordance with the provisions of the Companies Law Regulations (Rules Regarding Compensation and Expenses for External
        Directors), 5760-2000, and as such will be amended from time to time (the &#8220;<font style="font-weight: bold;">Compensation Laws</font>&#8221;). The sum of the compensation, in accordance with the Compensation Laws, will be in keeping with the level of the
        Company&#8217;s equity (whatever this will be from time to time).</div>
      <div style="line-height: 1.25"><br>
        <hr noshade="noshade" align="left" style="background-color: #000000; border: 0px; height: 1px; width: 2in; margin-left: 0pt; margin-right: auto; color: #000000;">
        <table cellspacing="0" cellpadding="0" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

            <tr>
              <td style="width: 19.85pt; vertical-align: top;"><font style="font-weight: bold;">1</font>&#160;</td>
              <td style="width: auto; vertical-align: top; text-align: justify;">
                <div>The fixed components in the Compensation Policy refer to the Base Salary and to the Social and Fringe Benefits.</div>
              </td>
            </tr>

        </table>
        <div style="line-height: 1.25">&#160;</div>
        <table cellspacing="0" cellpadding="0" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

            <tr>
              <td style="width: 19.85pt; vertical-align: top; font-weight: bold;">2</td>
              <td style="width: auto; vertical-align: top; text-align: justify;">
                <div>The above notwithstanding, the value of car use, mobile phone use and the advance notice period to which the Officer is eligible will not be adjusted to the actual scope of the Officer&#8217;s position.</div>
              </td>
            </tr>

        </table>
        <div style="line-height: 1.25">&#160;</div>
        <table cellspacing="0" cellpadding="0" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

            <tr>
              <td style="width: 19.85pt; vertical-align: top;"><font style="font-weight: bold;">3</font>&#160;</td>
              <td style="width: auto; vertical-align: top; text-align: justify;">
                <div>The base salary is in terms of gross salary and does not include social and fringe benefits</div>
              </td>
            </tr>

        </table>
        <div style="line-height: 1.25">&#160;</div>
        <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
          <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 5</font></div>
          <div style="page-break-after: always;" class="BRPFPageBreak">
            <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
        </div>
      </div>
      <div style="line-height: 1.25"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="z8a823969d46d4b44999ef100e4053620" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">3.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Maximum monthly base salary</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="2" border="0" align="right" id="z25e259ef44f2447f9fe756e47ab3ac1f" style="width: 90%; color: #000000; font-family: 'Times New Roman', Times, serif; font-size: 10pt; text-align: left;">

          <tr>
            <td nowrap="nowrap" style="width: 43.89%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-weight: bold;">Officer</div>
              <div style="line-height: 1.25;"><font style="line-height: 1.25;">&#160;</font></div>
            </td>
            <td nowrap="nowrap" style="width: 29.87%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-weight: bold;">Maximum monthly base salary (gross) in NIS</div>
            </td>
            <td style="width: 26.24%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-weight: bold;">Scope of position<sup style="vertical-align: text-top; line-height: 1; font-size: smaller;">4</sup></div>
            </td>
          </tr>
          <tr>
            <td nowrap="nowrap" style="width: 43.89%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25;">Active Chairman of the Board<sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">5</sup></div>
            </td>
            <td nowrap="nowrap" style="width: 29.87%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;"><strike>100,000</strike><font style="font-style: italic;">120,000</font></div>
            </td>
            <td style="width: 26.24%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">As may be Required</div>
            </td>
          </tr>
          <tr>
            <td nowrap="nowrap" style="width: 43.89%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25;">CEO</div>
            </td>
            <td nowrap="nowrap" style="width: 29.87%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;"><strike>95,000</strike><font style="font-style: italic;">110,000</font><sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">6</sup></div>
            </td>
            <td style="width: 26.24%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">100%</div>
            </td>
          </tr>
          <tr>
            <td nowrap="nowrap" style="width: 43.89%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25;">Deputy CEO, vice presidents and other Officers<sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">7</sup></div>
            </td>
            <td nowrap="nowrap" style="width: 29.87%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">55,000</div>
            </td>
            <td style="width: 26.24%; vertical-align: top; border-width: 1px; border-style: solid; border-color: rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">100%</div>
            </td>
          </tr>

      </table>
      <div style="clear: both;"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="z87260193ace7441ba9edc85fc1d40fa1" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">3.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Linkage to the index</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">The ceiling of the base salary will be linked to the increase in the cost-of-living index that is published every month by the Central Bureau of Statistics.<sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">8</sup></div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z2df07b8b85e14e74981e6868aacd29fb" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">3.4.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Comparison to the market - benchmark</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">In order to set the base salary when a new Officer is hired for the Company (&#8220;<font style="font-weight: bold;">a new Officer</font>&#8221;), or upon the approval of new terms of
        service and/or employment for an existing Officer, the BOD will, if necessary and in accordance with the BOD&#8217;s discretion, refer to the existing salary structure at the Company and, if the BOD considers it appropriate, to a survey of comparative
        data on the accepted salary for similar positions (as much as possible) (&#8220;<font style="font-weight: bold;">salary survey</font>&#8221;).</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">If the BOD decides to conduct a salary survey, the characteristics of the companies in the salary survey for the purpose of conducting the said comparison will be: a)
        technology companies, with a preference for those involved in the electronics industry; or b) public companies with a market value similar to that of the Company; or c) companies with revenues similar to those of the Company (severally and
        separately: the &#8220;<font style="font-weight: bold;">sample companies</font>&#8221;). In the event that the sample companies do not have a position identical to that of the Officer, the Company may conduct the comparative data survey of the employment terms
        of officers with similar seniority and/or a similar position (as much as possible) among other public companies (whose characteristics are not necessarily consistent with a), b) and c) above in this paragraph).</div>
      <div style="line-height: 1.25">&#160;<br>
        <u>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; &#160;&#160; &#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </u><br>
        <div>
          <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%;" id="z2431e35485d74cd3ac02527adec77f55" class="DSPFListTable">

              <tr style="vertical-align: top;">
                <td style="width: 1.45pt;">&#160;</td>
                <td style="text-align: right; vertical-align: top; width: 12.75pt;">
                  <div style="text-align: justify; line-height: 1.25;"><font style="font-family: 'Times New Roman',Times,serif; font-weight: bold;">4</font></div>
                </td>
                <td style="text-align: left; vertical-align: top; width: auto;">
                  <div style="text-align: justify; line-height: 1.25;"><font style="font-family: 'Times New Roman',Times,serif;">If the Officer is employed less than fulltime, the ceiling for the monthly salary will be adjusted in accordance with the
                      actual scope of the position.</font></div>
                </td>
              </tr>

          </table>
        </div>
        <div>
          <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%;" id="zcaaf74af76314ce68223e02e4a1d92d0" class="DSPFListTable">

              <tr style="vertical-align: top;">
                <td style="width: 1.45pt;">&#160;</td>
                <td style="text-align: right; vertical-align: top; width: 12.75pt;">
                  <div style="text-align: justify; line-height: 1.25;"><font style="font-family: 'Times New Roman',Times,serif; font-weight: bold;">5</font></div>
                </td>
                <td style="text-align: left; vertical-align: top; width: auto;">
                  <div style="text-align: justify; line-height: 1.25;"><font style="font-family: 'Times New Roman',Times,serif;">An active chairman of the board is a chairman of the board who proves services to the Company that are supplementary to the
                      services he grants the Company in his capacity as a member of the BOD (including his position as chairman of the board).</font></div>
                </td>
              </tr>

          </table>
        </div>
        <div>
          <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%;" id="zcc483a9113e94f18b092b346e9f91cdf" class="DSPFListTable">

              <tr style="vertical-align: top;">
                <td style="width: 1.45pt;">&#160;</td>
                <td style="text-align: right; vertical-align: top; width: 12.75pt;">
                  <div style="text-align: justify; line-height: 1.25;"><font style="font-family: 'Times New Roman',Times,serif; font-weight: bold;">6</font></div>
                </td>
                <td style="text-align: left; vertical-align: top; width: auto;">
                  <div style="text-align: justify; line-height: 1.25;"><font style="font-family: 'Times New Roman',Times,serif;">An incremental allowance (&#8220;<font style="font-weight: bold;">Tosefet Yoker</font>&#8221;) shall be included in the CEO's Salary in
                      accordance with provisions of the general collective agreements, and the expansion orders dealing with incremental allowances, and as shall be updated from time to time.</font></div>
                </td>
              </tr>

          </table>
        </div>
        <div>
          <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%;" id="zee62952e1c87410ca734d4c1e43fb0fc" class="DSPFListTable">

              <tr style="vertical-align: top;">
                <td style="width: 1.45pt;">&#160;</td>
                <td style="text-align: right; vertical-align: top; width: 12.75pt;">
                  <div style="text-align: justify; line-height: 1.25;"><font style="font-family: 'Times New Roman',Times,serif; font-weight: bold;">7</font></div>
                </td>
                <td style="text-align: left; vertical-align: top; width: auto;">
                  <div style="text-align: justify; line-height: 1.25;"><font style="font-family: 'Times New Roman',Times,serif;">Officers, if and inasmuch as these will be in the future, who are not chairman of the board, CEO, deputy CEO or vice president
                      (&#8220;<font style="font-weight: bold;">other officers</font>&#8221;).</font></div>
                </td>
              </tr>

          </table>
        </div>
        <table cellspacing="0" cellpadding="0" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

            <tr>
              <td style="width: 1.45pt;"><br>
              </td>
              <td style="width: 12.75pt; vertical-align: top; font-weight: bold;">8</td>
              <td style="width: auto; vertical-align: top; text-align: justify;">
                <div style="font-family: 'Times New Roman',Times,serif;">The base index for calculating the linkage of the compensation elements in accordance with this Compensation Policy will be the index published at the time of the approval of the
                  Compensation Policy by the BOD.</div>
              </td>
            </tr>

        </table>
        <div style="line-height: 1.25">&#160;</div>
        <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
          <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 6</font></div>
          <div style="page-break-after: always;" class="BRPFPageBreak">
            <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
        </div>
      </div>
      <div style="line-height: 1.25"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="z8b2ef7d9392e4fadbce99cc1f7188fc5" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">3.5.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Updating the base salary</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">From time to time the Compensation Committee and the BOD may update the base salary paid to an Officer of the Company, in accordance with the parameters set by this
        Compensation Policy, including in consideration of his education, skills, expertise and professional experience, as well as the Officer&#8217;s achievements, his position, areas of responsibility and previous wage agreements that have been signed with
        him.</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zb8fe1995682941d894d4dd9c3706e39b" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">3.6.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Company&#8217;s Officers (apart from the Directors who are not employed by the Company in additional positions) will be eligible for social and fringe benefits as detailed in Clause 4 below.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z95de1de32c0741afba6c4e0d1431b9be" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 18pt; vertical-align: top; font-weight: bold;">4.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div style="font-weight: bold;"><u>Social and fringe benefits</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z0f02b00e85c34da78d4152e3e7667e82" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">4.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Pension contributions</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">The Company will contribute each month to a life insurance and long-term disability insurance plan, a pension fund or a provident pension fund, or to a combined life insurance,
        disability and provident pension fund (the &#8220;<font style="font-weight: bold;">Plan</font>&#8221;)<font style="font-weight: bold;">&#160;</font> in accordance with the relevant Officer&#8217;s choice, and will undertake the contributions to the compensation,
        severance pay and disability funds in accordance with the plan chosen, in compliance with the law and considering the custom in the market sector of the Company&#8217;s operations and the Company&#8217;s policy in this matter. The contributions will be subject
        to Section 14 of the Severance Pay Act. The basis for the contributions will be up to 100% of the base salary.</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z13a01778eba14bef825e9dce6f5ba588" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">4.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Contributions to continuing education funds</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">To the extent that the Officer&#8217;s terms of employment include contributions to a continuing education fund, the Company will undertake the contributions to the continuing
        education fund, in accordance with the Officer&#8217;s choice, in compliance with the law and considering the custom in the market sector of the Company&#8217;s operations and the Company&#8217;s policy in this matter. The basis for the contributions to a continuing
        education fund may be the full base salary.</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;"> <br>
      </div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 7</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z297cc06b3b9540d4b3cb3fff49f177d6" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">4.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Sick leave and sick pay</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">The Company&#8217;s Officers will be eligible for full pay for sick days starting from the first day.</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z04d49aa0c0604518827dbf3cf1097552" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">4.4.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Recreation pay</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">The Company&#8217;s Officers will be eligible for recreation pay at the maximum rate, in accordance with the law.</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zbed7e9290f0b4f289c9b023636cec039" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">4.5.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Annual vacation</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z2a0c3eef50a44650a1330ed9dba4e8d6" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">4.5.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Each of the Company&#8217;s Officers will be eligible for annual vacation<sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">9</sup> amounting to no less than the minimum number of days established by the Annual Vacation Law 5711-1951 (the &#8220;<font style="font-weight: bold;">Annual Vacation Law</font>&#8221;) and the extension order for the metals, electricity and electronics industry and will not exceed the total maximum days specified in the table below for each work-year, as defined in
                the&#160; Annual Vacation Law, in the year he serves in his position:</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="2" border="0" align="right" id="z5b11daa998184288870d306514e26648" style="width: 90%; color: #000000; font-family: 'Times New Roman', Times, serif; font-size: 10pt; text-align: left;">

          <tr>
            <td nowrap="nowrap" style="width: 51.97%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-weight: bold;">Officer</div>
            </td>
            <td nowrap="nowrap" style="width: 48.03%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-weight: bold;">Maximum total number of days*</div>
              <div style="text-align: center; line-height: 1.25; font-weight: bold;">(in terms of work days)</div>
            </td>
          </tr>
          <tr>
            <td nowrap="nowrap" style="width: 51.97%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25;">Active Chairman of the Board, CEO</div>
            </td>
            <td nowrap="nowrap" style="width: 48.03%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">24</div>
            </td>
          </tr>
          <tr>
            <td nowrap="nowrap" style="width: 51.97%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25;">Deputy CEO, vice presidents and other Officers</div>
            </td>
            <td nowrap="nowrap" style="width: 48.03%; vertical-align: top; border-width: 1px; border-style: solid; border-color: rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">24</div>
            </td>
          </tr>

      </table>
      <div style="text-align: justify; margin-left: 78pt; line-height: 1.25; font-family: 'Times New Roman',Times,serif; clear: both;"> <br>
      </div>
      <div style="text-align: justify; margin-left: 78pt; line-height: 1.25;">* Including the right to be absent for &#8220;optional days&#8221;&#160; <br>
      </div>
      <div style="text-align: justify; margin-left: 78pt; line-height: 1.25;"> <br>
      </div>
      <div style="text-align: justify; line-height: 1.25; font-family: 'Times New Roman',Times,serif;"><u>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </u><br>
      </div>
      <div style="line-height: 1.25; font-family: 'Times New Roman',Times,serif;">
        <div style="text-align: justify; text-indent: -19.85pt; margin-left: 19.85pt; line-height: 1.25; font-family: 'Times New Roman', Times, serif;"><font style="font-weight: bold;">9</font>&#160; Vacation days are calculated based on a 5-day work week.</div>
        <div style="text-align: justify; text-indent: -19.85pt; margin-left: 19.85pt; line-height: 1.25; font-family: 'Times New Roman', Times, serif;"> <br>
        </div>
        <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
          <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-family: 'Times New Roman', Times, serif; font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 8</font></div>
          <div style="page-break-after: always;" class="BRPFPageBreak">
            <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
        </div>
      </div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z4586c886ec5c494180ef1a00613b6ed3" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">4.5.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>If the Officer does not serve in his position for a full work-year, the maximum number of vacation days for which he is eligible (in terms of work days) will be adjusted in accordance with the law.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z512198ebf8e745fd83faff27846a9da4" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">4.5.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>An Officer at the Company may accrue vacation days that he is not obligated to use under the Annual Vacation Law up to the limit set by the law (the<font style="font-weight: bold;">&#160;</font>&#8220;<font style="font-weight: bold;">cumulative
                  ceiling</font>&#8221;).</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zb8d24b98778e45449d03c19b1c73be87" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">4.5.4.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Throughout the duration of the Officer&#8217;s service and subject to the Company&#8217;s approval or to the provisions of the Officer&#8217;s employment agreement and subject to the law, the Officer may redeem the vacation days that he has accrued.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z6a981a42b3404799bf600d483b043055" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">4.5.5.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Upon the completion of his service at the Company, an Officer may redeem the vacation days he has accrued.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z676911bb0fb5437b898d46bb037bccbe" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">4.6.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Company car</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">The Company may provide a car for the personal use of an Officer and cover the costs of the use and maintenance of the car. The Company will not gross up the value of this
        benefit and the Officer will bear the cost of the income tax. The type of car provided to an Officer will be in keeping with his position, as follows:</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="2" border="0" align="right" id="zb3fdc8aaee3a4f8b97fc1e1d9f39a71f" style="width: 95%; color: rgb(0, 0, 0); font-family: 'Times New Roman',Times,serif; font-size: 10pt; text-align: left;">

          <tr>
            <td nowrap="nowrap" style="width: 61.7%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Officer</div>
            </td>
            <td nowrap="nowrap" style="width: 38.3%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Car price ceiling (NIS<sup style="vertical-align: text-top; line-height: 1; font-size: smaller;">10</sup>)</div>
            </td>
          </tr>
          <tr>
            <td nowrap="nowrap" style="width: 61.7%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Active Chairman of the Board</div>
            </td>
            <td nowrap="nowrap" style="width: 38.3%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Up to NIS 300,000</div>
            </td>
          </tr>
          <tr>
            <td nowrap="nowrap" style="width: 61.7%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25; font-family: 'Times New Roman', Times, serif;">CEO</div>
            </td>
            <td nowrap="nowrap" style="width: 38.3%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Up to NIS 300,000</div>
            </td>
          </tr>
          <tr>
            <td nowrap="nowrap" style="width: 61.7%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Deputy CEO, vice presidents and other Officers</div>
            </td>
            <td nowrap="nowrap" style="width: 38.3%; vertical-align: top; border-width: 1px; border-style: solid; border-color: rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Up to NIS 220,000</div>
            </td>
          </tr>

      </table>
      <div style="clear: both;"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="z5dde8a58a9a54939ad89f4aec39a40e2" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">4.7.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Mobile phone</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">The Company may provide Officers, excluding Directors, with a mobile phone and bear all the accompanying costs. The Company will not gross up the value of this benefit and the
        Officer will bear the cost of the income tax.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="line-height: 1.25"><br>
        <br>
        <hr noshade="noshade" align="left" style="background-color: #000000; border: 0px; height: 1px; width: 2in; margin-left: 0pt; margin-right: auto; color: #000000;">
        <div style="text-align: justify; text-indent: -19.85pt; margin-left: 19.85pt; line-height: 1.25;"><font style="font-weight: bold;">10</font>&#160;The car price ceiling will be linked to the Cost of Living Index.</div>
      </div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 9</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="z58429218c9cf4b85ba5fc5ce2134841e" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">4.8.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Reimbursement of expenses</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z98d9e19b08cf4163b59af11d9e918b99" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">4.8.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>An Officer at the Company is eligible for the reimbursement of the customary and accepted types of expenses in the Company&#8217;s business sphere, including the cost of hosting guests in Israel and abroad, travel and parking expenses, etc.
                that are reasonable in the relevant circumstances, considering the Officer&#8217;s position, the scope of each expense and its necessity, and the provisions of the Company&#8217;s reimbursement of expenses procedures (including obtaining approval in
                advance, if required); subject to the said expenses being incurred in the framework of the Officer&#8217;s fulfilling his duties in connection with the Company&#8217;s operations and for the purpose of promoting its interests.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zd7d034b59db04263b3ec7d58f07b8286" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">4.8.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>In accordance with the Company&#8217;s petty cash procedure and reimbursement of expenses procedure, every Officer is obligated to submit original receipts to the Company&#8217;s accountant in order to receive reimbursement for expenses incurred on
                the job.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z497eaf065fe8421f84ce91c49a7aa1af" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">4.9.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>If the Officer provides services to the Company as an independent contractor, or via a management company he controls, the BOD has the authority to grant the Officer the fringe benefits detailed in Clauses 4.3 to 4.8 above (as relevant
                in each case), which will be added to the management fees.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z2608615cd554448b9e1fe981c3d1a92b" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 18pt; vertical-align: top; font-weight: bold;">5.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div style="font-weight: bold;"><u>Bonuses</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z8a4ad6f8d84a4c8cb920525f410bdc5d" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">5.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Company may grant the Officers bonuses based on financial results or based on other measurable parameters, as well as other bonuses in accordance with the Company&#8217;s discretion (and subject to the provisions of the law and the
                obtaining of the requisite approvals). Such bonuses will be in accordance with the Company&#8217;s bonuses policy, which reflects the Company&#8217;s risk management policy and whose objectives are: to promote the improvement of the Company&#8217;s business
                conduct and profitability; to achieve the Company&#8217;s long-term goals; to increase the Officers&#8217; satisfaction and motivation; to increase each Officer&#8217;s contribution to achieving the Company&#8217;s goals and maximizing its profits, all with a
                long-term view and considering the Officer&#8217;s position; and the correlation of some of the Company&#8217;s compensation costs to its financial performance.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 10</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="z198d4e4b17cc41f086f0b91e8867e4e4" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">5.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Annual Bonus Plan</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zce3f25ce2d794a13a9860d8de2da40af" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">5.2.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Each year, after receiving a recommendation from the Compensation Committee, the BOD may approve an Annual Bonus Plan for the Company&#8217;s Officers (the &#8220;<font style="font-weight: bold;">Annual Bonus Plan</font>&#8221;);</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z5f744d0aa9144d7da54a96f55c571be5" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">5.2.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Annual Bonus Plan will be based upon at least <font style="font-style: italic;">one</font> pre-defined measurable criteria such as: pre-tax profit, net profit, gross profit, operating profit, EBITDA, sales, (positive) cash flow,
                capital raising for the company, or any other measurable financial criteria, amount of work accidents, yield, time compliance (customer order execution) (collectively, the &#8220;<font style="font-weight: bold;">Criteria</font>&#8221;).</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zfad09b269123420c8e6817d8b7cb346b" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">5.2.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>[Reserved.]</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z48832eb9a6aa41f5afdd19922158f0fb" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">5.2.4.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>With respect to the Criteria, as applicable, the Company will set the targets for that year (the &#8220;<font style="font-weight: bold;">Targets</font>&#8221;), such that a minimum target for the Criteria shall be set, as applicable, under which the
                officer will not be eligible for a bonus for such Criteria (the &#8220;<font style="font-weight: bold;">Threshold Conditions</font>&#8221;). The CEO of the Company may determine the Targets of the officers reporting to the CEO, while the CEO&#8217;s or the
                (active) Chairman's Targets shall be determined by the Compensation Committee and the BOD.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="za585af5fbf8e4b2fbc7cc489ddd25902" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">5.2.5.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Personal Assessment &#8211; the Company may add to the yearly bonus for which an officer is entitled (in accordance with meeting the Targets as set in each of the Criteria) an amount of up to 30% of the bonus, at the discretion of the CEO
                (with respect to the officers reporting to the CEO, except for the CFO); subject to the discretion of the CEO and the Chairman of the Audit Committee (with respect to the CFO); and subject to the discretion of the Compensation Committee and
                the BOD (with respect to the CEO), <font style="font-style: italic;">provided, </font>that the total amount of the annual bonus granted under the Annual Bonus Plan does not exceed the annual bonus cap. Notwithstanding the above, to the
                extent that the CEO is paid a <u>Discretionary Bonus </u>in accordance with Clause 5.3 below, the amount of the <u>Discretionary Bonus</u>, shall not exceed 3 monthly salaries, <font style="font-style: italic;">in gross terms, at the
                  time such Discretionary Bonus is paid</font>.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zd72f378d396a4b13a26924733bb3b707" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">5.2.6.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The date of the Annual Bonus will be shortly after the approval of the Company&#8217;s Consolidated Financial Statements for the end of the calendar year for which the bonus is being granted.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 11</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="zb01f2123238641ab9b23d654ea443cf9" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">5.2.7.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>The Bonus Ceiling</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 81.65pt; line-height: 1.25;">The annual limit for the amount of the grant, based on the Annual Bonus Plan (the &#8220;<font style="font-weight: bold;">Bonus Ceiling</font>&#8221;), shall be for each of the officers
        as follows:</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="2" border="0" align="right" id="z53c84c5d657344d3b29d887faf1f8ff1" style="width: 90%; color: #000000; font-family: 'Times New Roman', Times, serif; font-size: 10pt; text-align: left;">

          <tr>
            <td style="width: 10.62%; vertical-align: middle; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">&#160;</td>
            <td style="width: 50.02%; vertical-align: middle; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">CEO and Active Chairman of the Board</div>
            </td>
            <td style="width: 39.35%; vertical-align: middle; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">Company&#8217;s Officers</div>
            </td>
          </tr>
          <tr>
            <td style="width: 10.62%; vertical-align: middle; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">Grant Ceiling</div>
            </td>
            <td style="width: 50.02%; vertical-align: middle; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">Up to 9 <font style="font-style: italic;">monthly</font>&#160;<strike>S</strike><font style="font-style: italic;">s</font>alaries, <font style="font-style: italic;">in gross terms</font></div>
            </td>
            <td style="width: 39.35%; vertical-align: middle; border-width: 1px; border-style: solid; border-color: rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">Up to 6 monthly <strike>S</strike><font style="font-style: italic;">s</font>alaries, <font style="font-style: italic;">in gross terms</font></div>
            </td>
          </tr>

      </table>
      <div style="text-align: justify; margin-left: 81.65pt; line-height: 1.25; font-family: 'Times New Roman',Times,serif; font-style: italic; clear: both;"> <br>
      </div>
      <div style="text-align: justify; margin-left: 81.65pt; line-height: 1.25; font-style: italic;">It is hereby clarified, that for any Officer, the Bonus Ceiling is calculated according to such Officer&#8217;s monthly salary, in gross terms, at the time such
        Bonus is paid (the &#8220;<font style="font-weight: bold;">Current Salary</font>&#8221;).</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z5ed7e254fdbd44a58d7cc9eddc69916f" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">5.2.8.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Eligibility for a results-based bonus for partial employment period</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zc367f60ba55e4b9394d8c73e29d87d98" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 81.65pt;"><br>
            </td>
            <td style="width: 45.95pt; vertical-align: top;">5.2.8.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>If any of the Officers ceases to serve in his position before the end of the calendar year, the ratio of the Officer&#8217;s eligibility for the Annual Bonus will be adjusted for the number of months in which he served as an Officer in the
                Company, relative to a full calendar year (&#8220;<font style="font-weight: bold;">Partial Annual Bonus</font>&#8221;). Note: The ceiling for the Partial Annual Bonus will likewise be adjusted (linearly, based on the number of full months)<font style="font-style: italic;">, and calculated according to the Officer&#8217;s monthly salary, in gross terms, at the time such Officers ceases to serve in his position</font>.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z3a78d678fc5c4e8a9cafd64a17349411" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 81.65pt;"><br>
            </td>
            <td style="width: 45.95pt; vertical-align: top;">5.2.8.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The payment of the Partial Annual Bonus will be made only after the approval of the Company&#8217;s Consolidated Financial Statements for the calendar year for which the Annual Bonus is being granted.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z1bc6da269e124d5e96e956c6fc78d128" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 81.65pt;"><br>
            </td>
            <td style="width: 45.95pt; vertical-align: top;">5.2.8.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>All of the above notwithstanding, if the Officer ceases to serve in his position for reasons that render him ineligible for severance pay &#8211; he will lose his eligibility for a Partial Annual Bonus and any sum not yet paid to him in
                respect of the bonus will be forfeited by the Company.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="za9fa62654c89422eaf3b0dc600e19e49" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">5.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Discretionary Bonus to the CEO</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="ze0e12fc0faf24b76859388b594ae6d4a" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">5.3.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Once a year the Company may grant the CEO a bonus that will not exceed the sum of three (3) monthly salaries, in gross terms, based on approval by the Compensation Committee and the BOD, which will relate, inter alia, to criteria that
                are not financial and are not measurable; to the Officer&#8217;s long-term contribution and his performance in the year for which the bonus is being granted.<sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">11</sup>&#160;<font style="font-style: italic;">Such bonus
                  will be calculated according the CEO&#8217;s monthly salary, in gross terms, at the time such bonus is paid.</font></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="line-height: 1.25"> <br>
      </div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 12</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="z60648d604b2a4624b907b73f55d24c85" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">5.3.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The CEO will be eligible for a Discretionary Bonus only if he has served in this position for at least two (2) full quarters in the calendar year for which the bonus is being granted.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z9f17605d1c244e3db321a4fb65998c26" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">5.3.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The payment of the Discretionary Bonus only after the approval of the Company&#8217;s periodic report for the end of the calendar year for which the Discretionary Bonus is being granted.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z85c4900f7f1448e4827d3e4bbda88d24" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">5.3.4.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>If the CEO received an Annual Bonus and a Discretionary Bonus in a single calendar year, the sum of the Discretionary Bonus will be adjusted such that the combined total of the two grants paid to the CEO will not exceed the Bonus Ceiling
                set for Officers in Clause 5.2.7. above.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z1633d6ab725a4c0eb3604d0a2ffaf18d" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">5.4.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Bonuses for Officers subordinate to the CEO</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z9a65f39f4df94d7d8fd0ff1286c96c18" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">5.4.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Without detracting from the Company&#8217;s right to grant results-based bonuses, as detailed in Clause 5.2 above, note that, subject to obtaining approval from the Compensation Committee and the BOD, the Company will have the right to grant
                bonuses of any type to Officers subordinate to the CEO, including financial results-based bonuses (including such as are not in accordance with the provisions of Clause 5.2 above); bonuses based on other measurable parameters; and other
                bonuses in accordance with the Company&#8217;s discretion that are not based on measurable criteria, up to the Bonus Ceiling set in Clause 5.2.7. above.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z127bc349394b4af49c00bec257f8f11b" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">5.4.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>These bonuses will be granted to the Officers subordinate to the CEO based on the considerations specified in this Compensation Policy above.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z7454b9387f9547799b74b69b50a23fc5" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">5.4.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>If an Officer subordinate to the CEO received an Annual Bonus and a Discretionary Bonus in a single calendar year, the sum of the Discretionary Bonus will be adjusted such that the combined total of the two grants paid to the Officer
                will not exceed the Bonus Ceiling set for Officers in Clause 5.2.7, above.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="line-height: 1.25"><u>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </u><br>
      </div>
      <div style="line-height: 1.25">
        <div style="text-align: justify; text-indent: -19.85pt; margin-left: 19.85pt; line-height: 1.25;"><font style="font-weight: bold;">11</font>&#160; If the CEO is a controlling shareholder or his relative, additional approvals will be required in
          accordance with applicable law.</div>
        <div style="text-align: justify; text-indent: -19.85pt; margin-left: 19.85pt; line-height: 1.25;"> <br>
        </div>
        <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
          <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 13</font></div>
          <div style="page-break-after: always;" class="BRPFPageBreak">
            <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
        </div>
      </div>
      <div style="line-height: 1.25"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="z9402bae706cb46949a65f71e91c93d9c" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">5.5.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>[Reserved]</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="za167bf95524d4f6a899308e1991e0aeb" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">5.6.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>BOD discretion in reducing a bonus</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">The BOD will have the right to reduce any of the bonuses for which an Officer is eligible, subsequent to a substantial deterioration in the Company&#8217;s financial situation or
        subsequent to substantive dissatisfaction with the functioning of the relevant Officer who is eligible for any of the said bonuses, up to a ratio of 25% of the bonus.</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z490a93ef49014d67be2323eee2d3636c" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">5.7.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Officers will not be eligible for any social benefits in respect of any bonus they receive.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z9dc056e8d18a477db958a97742991ed9" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 18pt; vertical-align: top; font-weight: bold;">6.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div style="font-weight: bold;"><u>Equity Based Compensation</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z9ed446cb09db46beab6aa3a0a346ed46" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">6.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Company may grant Directors and Officers serving at the Company compensation based on securities in order to promote improvement in commercial processes and the Company&#8217;s long-term profitability, to increase the Officers&#8217; sense of
                solidarity with the Company and with its operations, in increase the Officers&#8217; satisfaction and motivation and retain the high quality Officers at the Company in the long term.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z31d84f3c5b064ca98d38f624849b9073" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">6.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Accordingly, the Company can offer Officers to participate in a plan for the allocation of options for shares in the Company (the<font style="font-weight: bold;">&#160;</font>&#8220;<font style="font-weight: bold;">Options Plan</font>&#8221; and &#8220;<font style="font-weight: bold;">Equity Grant</font>&#8221;), considering, among other things, their education, skills, expertise, professional experience, positions and areas of responsibility of each of the said Officers. The Options Plan will be
                defined and implemented such that it will comply, as much as possible, with the provisions of Section 102 of the Income Tax Ordinance (New Version) 5721-1961 (as much as possible and subject to the Company&#8217;s discretion, in the capital gains
                track).</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z0e861592da3649759d7a3da3c15920e0" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">6.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The maximum dilution with respect of the securities granted under the Option Plan, during the period of this Compensation Policy, shall not exceed 10% of the fully diluted basis share capital of the Company at the Equity Grant , taking
                such Equity Grant into account.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 14</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="z3fce54e19e5640b7b82e130c821d5f51" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">6.4.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Options Plan will include the following terms:</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zb78333521fb8483a9c13186a7e912448" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">6.4.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><font style="font-style: italic;">Subject to Section 6.6 below</font>, <strike>T</strike><font style="font-style: italic;">t</font>he vesting period for the Equity Grant will be spread over at least three years, in keeping with a
                division into tranches: The first tranche of the Equity Grant will vest and be exercisable after at least 12 months from the date of its granting, and the final tranche of the Equity Grant will vest and be exercisable after at least 36
                months from the date of its granting.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z52796e509c5548d0bfbd6e9704983fa8" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">6.4.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The exercise price of the options will be set in accordance with the decision of the Compensation Committee and the BOD. Note: Exercise prices shall not reflect a discount relative to the share price (as defined below) close to the date
                of the granting of the options. Accordingly, the exercise price will be calculated on the basis of the average share price on the stock exchange as of the date of the BOD&#8217;s decision on the matter and shall not be less than such average
                calculation in the period of 30 <font style="font-style: italic;">trading</font> days prior to the date of grant of the said options (the &#8220;<font style="font-weight: bold;">Share Price</font>").</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zaa089949c5444c89a7cf0ea9a6e2cbc2" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">6.4.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Options Plan may allow for the exercising of the options on the basis of the benefit element (cashless exercise).</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zdeb1dcccb0ec4011bf80ee5fe32061e7" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">6.4.4.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Company may include mechanisms in the Options Plan, including commonly accepted adjustments in the event of the distribution of benefit shares, a rights issue, the disbursement of dividends, changes in the Company&#8217;s capital,
                structural changes in the Company, etc.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z2c5abd49f6ab4691a866034b29fbd8ec" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 35.45pt; vertical-align: top;">6.4.5.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The value of the options benefit on the date of their granting for each year of vesting (based on annual average over the vesting period) will not exceed 30% of the relevant Officer&#8217;s annual base salary (as defined in Clause 2.2 above).</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z70d61b4d7ba44c769cd8065e62dea1b8" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">6.5.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Ceiling on the value of the exercising of the options</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">Following consideration of this matter, the Compensation Committee and the BOD have decided not to set a ceiling on the value for the exercising of the options, since the
        Company believes that the said ceiling does not serve the Company&#8217;s objectives and does not enable the Company to maximize the advantages inherent in the use of the shares-based equity compensation tool, among other things, as a means to
        incentivize Company Officers to maximize the Company&#8217;s profits and the value of its shares, by strengthening the alignment of the Officers&#8217; interests and those of the shareholders, with a view to the long term.</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;"> <br>
      </div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 15</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z3834e2c7ac8e4d24ab7d6a813bfe8b6f" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">6.6.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><font style="font-style: italic;">Without derogating from the generality of Section 6.4.1 above, </font><strike>T</strike><font style="font-style: italic;">t</font>he Company may include &#8220;acceleration mechanisms&#8221; in the Options Plan,
                that will facilitate the immediate eligibility to exercise the options, in the event of (1) a change in the control of the Company; (2) a merger, acquisition, reorganization of the Company with or into another company, when the Company is
                not the surviving company; (3) the sale of all or a significant part of the Company&#8217;s property or shares, apart from in the framework of a public offer. In addition, the BOD may include &#8220;partial acceleration&#8221; in the Options Plan, for
                special circumstances, when an officer who is not a controlling shareholder is dismissed, apart from when the dismissal is based on grounds that disqualify the said Officer from being eligible for severance pay. In the event that the
                Company does not include such mechanisms, and an Officer ceased serving the Company before the expiration of the options allocated to him, all the options that have not yet been exercised will expire will not acquire the Officer any rights.
                <font style="font-style: italic;">The applicability of such &#8220;acceleration mechanisms&#8221; to any Officer will be determined at the time that any Equity Grant is made, or at any time thereafter</font>.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zccc0f6c8bef349c6b7a5d992561cb2b6" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 18pt; vertical-align: top; font-weight: bold;">7.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div style="font-weight: bold;"><u>Arrangements for the completion of service</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z2e75c82afdf54ed78a27a5a9282b128b" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">7.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Advance Notice</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">The Company&#8217;s Officers, apart from Directors, will be entitled to Advance Notice prior to the termination of their employment at the Company (&#8220;<font style="font-weight: bold;">Advance

          Notice Period</font>&#8221;). The Advance Notice Period will not exceed the number of months specified below:</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="2" border="0" align="right" id="zc2fa0d0182ba4267a92b1c04396b24b6" style="width: 90%; color: rgb(0, 0, 0); font-family: 'Times New Roman',Times,serif; font-size: 10pt; text-align: left;">

          <tr>
            <td nowrap="nowrap" style="width: 46.06%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Officer</div>
            </td>
            <td nowrap="nowrap" style="width: 53.94%; vertical-align: bottom; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Maximum advance notice period</div>
            </td>
          </tr>
          <tr>
            <td nowrap="nowrap" style="width: 46.06%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Active Chairman of the Board, CEO</div>
            </td>
            <td nowrap="nowrap" style="width: 53.94%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Up to 6 months</div>
            </td>
          </tr>
          <tr>
            <td nowrap="nowrap" style="width: 46.06%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25; font-family: 'Times New Roman', Times, serif;">other Officers</div>
            </td>
            <td nowrap="nowrap" style="width: 53.94%; vertical-align: top; border-width: 1px; border-style: solid; border-color: rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Up to 3 months</div>
            </td>
          </tr>

      </table>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25; font-family: 'Times New Roman',Times,serif; clear: both;"> <br>
      </div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">During the Advance Notice Period the Officer will be required to continue to fulfill his duties, unless the BOD (with respect to the Chairman of the Board or CEO) or the CEO
        (with respect to an Officer who is not a Director or CEO) decides to release him from that obligation, and he will be entitled to the rest of the terms of his service and employment without any changes.</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;"> <br>
      </div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 16</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z925ba0ae4d79441198a6f8d42e8b8f75" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 18pt; vertical-align: top; font-weight: bold;">8.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div style="font-weight: bold;"><u>Ratio of fixed elements to variable elements</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 17.85pt; line-height: 1.25;">The ratio between the annual cost of the fixed elements and the annual cost of the variable elements for the Company&#8217;s Officers, as set down in the framework of this
        Compensation Policy is as follows:</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="2" border="0" align="right" id="z60730fea205742b99a9542c0d491c785" style="width: 90%; color: #000000; font-family: 'Times New Roman', Times, serif; font-size: 10pt; text-align: left;">

          <tr>
            <td style="width: 28.48%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);" rowspan="2">
              <div style="text-align: center; line-height: 1.25; font-weight: bold;">Officer</div>
            </td>
            <td style="width: 71.52%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);" colspan="2">&#160;</td>
          </tr>
          <tr>
            <td style="width: 34.46%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">Ratio of the fixed elements<sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">12</sup> to the total Compensation (%)</div>
            </td>
            <td style="width: 37.06%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">Ratio of the variable elements<sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">13</sup><sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">&#160;</sup>to the total Compensation (%)</div>
            </td>
          </tr>
          <tr>
            <td style="width: 28.48%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25;">Active Chairman of the Board</div>
            </td>
            <td style="width: 34.46%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">45-100</div>
            </td>
            <td style="width: 37.06%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">0-55</div>
            </td>
          </tr>
          <tr>
            <td style="width: 28.48%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25;">CEO</div>
            </td>
            <td style="width: 34.46%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">45-100</div>
            </td>
            <td style="width: 37.06%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">0-55</div>
            </td>
          </tr>
          <tr>
            <td style="width: 28.48%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25;">Deputy CEO, Vice Presidents and other Officers</div>
            </td>
            <td style="width: 34.46%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">52-100</div>
            </td>
            <td style="width: 37.06%; vertical-align: top; border-width: 1px; border-style: solid; border-color: rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25;">0-48</div>
            </td>
          </tr>

      </table>
      <div style="text-align: justify; margin-left: 17.85pt; line-height: 1.25; font-family: 'Times New Roman',Times,serif; clear: both;"> <br>
      </div>
      <div style="text-align: justify; margin-left: 17.85pt; line-height: 1.25;">The process of the adoption of the Compensation Policy included the examination of the ratio between the fixed elements and the variable elements, as part of the examination
        of the proposed structure of the Compensation Policy. After this examination, the Compensation Committee and the BOD are of the opinion that the said ratio is a fair expression of the Company&#8217;s concept concerning the necessary balance between
        creating appropriate incentives for the Officers, based on their performance, and the Company&#8217;s risk management policy as well as aligning the interests and creating an appropriate link between the Officers&#8217; compensation and the yield for the
        Company&#8217;s shareholders.</div>
      <div style="line-height: 1.25">&#160;</div>
      <div style="line-height: 1.25"><u>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; &#160; &#160;&#160; &#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </u><br>
      </div>
      <div style="line-height: 1.25">
        <div style="text-align: justify; text-indent: -19.85pt; margin-left: 19.85pt; line-height: 1.25;"><font style="font-weight: bold;">12</font>&#160;&#160;&#160; The total fixed elements include the base salary, social benefits, fringe benefits and employers
          National Insurance Institute payment. The calculation is done on the assumption that for each of the elements the Officer will be paid the maximum sum to which he is entitled in accordance with this Compensation Policy.</div>
        <div style="text-align: justify; text-indent: -21.3pt; margin-left: 21.3pt; line-height: 1.25;"><font style="font-weight: bold;">13</font>&#160;&#160;&#160; The total variable elements include bonuses (on the assumption that the Officer is granted the overall
          maximum allowable in accordance with the Compensation Policy, as detailed in Clause 5.2.7 above) and a capital grant (partial for calendar year).&#160; The calculation is done on the assumption that for each of the elements the Officer will be paid
          the maximum sum to which he is entitled in accordance with this Compensation Policy.</div>
      </div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 17</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="z5b07b5b262f84b63aa6b0f447d044af5" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 18pt; vertical-align: top; font-weight: bold;">9.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div style="font-weight: bold;"><u>Ratio between the Officers&#8217; compensation and the Company employees&#8217; salaries</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z550fdb2e9599465999f85d2b3401fe71" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">9.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Compensation Committee and the BOD examined the ratio between the terms of service and the employment of the Officers and the salaries of the remainder of the employees, including contract workers employed by the Company, and
                specifically the relationship to the average and mean salaries of all these employees, with a focus on the influence of the gap between them on the labor relations at the Company, based on the assumption of the payment of the maximum base
                salary, the payment of 100% of the maximum bonuses that can be granted under this Compensation Policy, and assuming maximum Equity Grant value in one vesting year.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">Accordingly, the ratios are as follows:<sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">14</sup></div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="2" border="0" align="right" id="z0673bc29e4a44f22bb8ba694f8d9c2a2" style="width: 90%; color: rgb(0, 0, 0); font-family: 'Times New Roman',Times,serif; font-size: 10pt; text-align: left;">

          <tr>
            <td style="width: 35.08%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Position</div>
            </td>
            <td style="width: 33.48%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Relationship to the average salary of the Company&#8217;s employees</div>
            </td>
            <td style="width: 31.44%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif; font-weight: bold;">Relationship to the mean salary of the Company&#8217;s employees</div>
            </td>
          </tr>
          <tr>
            <td style="width: 35.08%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Active Chairman of the Board</div>
            </td>
            <td style="width: 33.48%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">22</div>
            </td>
            <td style="width: 31.44%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">25</div>
            </td>
          </tr>
          <tr>
            <td style="width: 35.08%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25; font-family: 'Times New Roman', Times, serif;">CEO</div>
            </td>
            <td style="width: 33.48%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">22</div>
            </td>
            <td style="width: 31.44%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-right: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">25</div>
            </td>
          </tr>
          <tr>
            <td style="width: 35.08%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
              <div style="line-height: 1.25; font-family: 'Times New Roman', Times, serif;">Deputy CEO, Vice Presidents and other Officers</div>
            </td>
            <td style="width: 33.48%; vertical-align: top; border-top: 1px solid rgb(0, 0, 0); border-left: 1px solid rgb(0, 0, 0); border-bottom: 1px solid rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">15</div>
            </td>
            <td style="width: 31.44%; vertical-align: top; border-width: 1px; border-style: solid; border-color: rgb(0, 0, 0);">
              <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman', Times, serif;">20</div>
            </td>
          </tr>

      </table>
      <div style="clear: both;"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="zdc429cfc3b3247879262898f10fc3bb2" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">9.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Compensation Committee and the BOD determined that the relationships are reasonable considering the size of the Company, the nature of its operations, the responsibility borne by each of the Officers at the Company, the mix of human
                resources employed by the Company, the number of employees and their occupations, and determined that these relationships will not negatively influence the labor relations at the Company.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zc40f415fa45a46dcb01f5af91b6f3b9b" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 18pt; vertical-align: top; font-weight: bold;">10.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div style="font-weight: bold;"><u>Indemnification, Exemption and Insurance of Directors and Officers</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z262b65d86db241ceaeb12f284febff36" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">10.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Directors and Officers may grant the Officers an exemption, indemnification (in advance and/or after the fact) and a Directors and Officers insurance liability policy (respectively &#8220;<font style="font-weight: bold;">exemption</font>,&#8221;
                &#8220;<font style="font-weight: bold;">indemnification</font>&#8221; and &#8220;<font style="font-weight: bold;">liability insurance</font>&#8221;), subject to the requisite approvals under the Companies Law.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="line-height: 1.25"><u>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </u><br>
      </div>
      <div style="line-height: 1.25">
        <div style="text-align: justify; text-indent: -19.85pt; margin-left: 19.85pt; line-height: 1.25;"><font style="font-weight: bold;">14</font>&#160; In practice, the will likely be a different ratio in the event that one or more of the compensation
          components is below the maximum.</div>
        <div style="text-align: justify; text-indent: -19.85pt; margin-left: 19.85pt; line-height: 1.25;"> <br>
        </div>
        <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
          <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 18</font></div>
          <div style="page-break-after: always;" class="BRPFPageBreak">
            <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
        </div>
      </div>
      <div style="line-height: 1.25"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="za3b5d42d19a34df58afe7d53495d6fcb" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">10.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Insurance</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">The Company pay purchase insurance policies, including Run Off policies, to cover the liability of the Directors&#8217; and Officers&#8217; serving and who will serve at the Company from
        time to time, including Directors and Officers who are controlling shareholders or their relatives, based on the following policy terms:</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z7faee8ef53924f958147681f7b0c608a" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">10.2.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The coverage that can be granted each Officer under the insurance policy will not exceed a total sum of US$15 million per insurance event and per period.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z718e09188c49477b8b43b27e1fcc905f" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">10.2.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Each policy that will be purchased can include both insurance for the Company itself (&#8220;Entity Coverage&#8221;) for suits under the Securities Law, whether such suits are filed against the Company alone or against the Company and against
                Directors and Officers.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zb1978d751ebc4a12b7308bac2c48864e" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">10.2.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The annual premiums and deductibles of the Company&#8217;s directors and officers liability insurance policy shall be determined according to the conditions of the insurance market at such time, as advised by the Company&#8217;s insurance
                consultants, provided that such annual premiums and deductibles are not material to the Company.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z399cb7c948cf4526bba6bf3acc66ad27" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">10.2.4.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Each policy that will be purchased can also include liability coverage for the Directors and Officers for issuing new securities. If such supplementary coverage is included, the supplement to the annual premium for that coverage will not
                exceed 60% of the cost of the premium for that year.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z7ac4c50095294ebd995849eb187525df" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">10.2.5.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The amount of the Deductible that will be set in the framework of each policy that is purchased is likely to be zero for the Directors and Officers and a different commonly accepted sum for the Company.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z95ed4eb67e9149329a105f9ae203998a" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">10.2.6.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The terms of this insurance policy will be identical for Directors and Officers, including Directors and Officers who are among the controlling shareholders or their relatives, should they be serving at that time, apart from the commonly
                accepted exclusions in this type of policy with respect to the controlling shareholders.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="ze17217d1fb6948c1af8ff41d0a91b887" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">10.2.7.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>In the event of an insurance event, the order of payments under the policy will be as follows: (a) Payment to Directors and Officers; (b) payment to the Company for any sum the Company is required to pay to Directors and Officers in
                accordance with the letter of indemnification given to them; (c) payment to the Company.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zd89c739a7973424289a6cb8d8fa85243" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">10.2.8.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Company may bring the specific terms of the insurance policy for the approval of the Compensation Committee alone. Such approval will be subject to compliance with the principles detailed above in this Clause 10.2, with a focus on
                the conditions prevalent in the insurance market at the time of the purchase of the policy, as long as such policy is consistent with the market conditions and is not liable to substantively impact the Company&#8217;s profitability, property or
                obligations.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 19</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="zd6df347a9a1745478f878f524da0359e" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">10.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Indemnification</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z5647824d58804d4fa259c40ef8cbce1d" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">10.3.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The indemnification that can be granted to every Officer can be determined in advance or after the fact, for events that will be set interior design the BOD and will be detailed in the letter if indemnification given to the relevant
                Officer.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zd83dbfeb42814b30834b0f47aad02f6e" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">10.3.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The sum of the indemnification for all Officers will not exceed the (i) the value of 25% of the Company&#8217;s net equity according to the audited or reviewed financial statement known at the time the request for indemnification was
                submitted; or (ii) $3,000,000, whichever is greater.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="ze8de64a116ff433b9920d475817e7483" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 18pt; vertical-align: top; font-weight: bold;">11.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div style="font-weight: bold;"><u>Updating of employment terms</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 18pt; line-height: 1.25;">Notwithstanding the above Compensation Policy, it is hereby clarified that:</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z9fd4e61f7d424514ab3942f6ccb02abe" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">11.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Non-substantive change to the employment terms of an Officer subordinate to the CEO</u><sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">15</sup></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">The Company may implement a non-substantive change in the employment terms of an Officer subordinate to the CEO without obtaining the approval of the Compensation Committee, as
        long as the following conditions are met (aggregately):</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z375f8a0ceefb43fc8da616c939d4d44e" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">11.1.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The change is approved by the CEO.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zba689d57152b407b934cf3705db359ba" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">11.1.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The terms of service following the change are consistent with the Compensation Policy.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">In this Clause 11.1, &#8220;<font style="font-weight: bold;">non-substantive change</font>&#8221; = (a) A change in the compensation whose financial cost to the Company is up to (and
        including) 10% of the cost of the employment of the Officer subordinate to the CEO before the change; (b) Grant/s whose total sum does not exceed 2 monthly salaries (in gross terms) annually of the Officer subordinate to the CEO &#8211; all subject to
        the ceilings set down in the Compensation Policy.</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;"> <br>
      </div>
      <div style="line-height: 1.25; font-family: 'Times New Roman',Times,serif;"><u>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </u><br>
      </div>
      <div style="line-height: 1.25; font-family: 'Times New Roman',Times,serif;">
        <table cellspacing="0" cellpadding="0" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

            <tr>
              <td style="width: 19.85pt; vertical-align: top; font-weight: bold;">15</td>
              <td style="width: auto; vertical-align: top; text-align: justify;">
                <div>If an Officer subordinate to the CEO is a controlling shareholder or his relative, the implementation of the non-substantive change in his employment terms will require additional approvals as required by law.</div>
              </td>
            </tr>

        </table>
        <div style="line-height: 1.25">&#160;</div>
      </div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 20</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z6979973d184742ad95603949c31643a2" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">11.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Renewal/extension of the contractual agreement with the CEO</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">The Company may renew or extend the contractual agreement with the CEO, with respect to the terms of his service and employment, without obtaining approval from the General
        Assembly of the shareholders,<sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">16</sup><sup style="font-weight: bold; vertical-align: text-top; line-height: 1; font-size: smaller;">&#160;</sup>as long as the following conditions are met (aggregately):</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z751878829a0741b1a8cda677c5c2aeb2" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">11.2.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The renewal or extension of the contractual agreement concern terms of service and employment that are not better than those in the previous contractual agreement, or if there is no real change in the terms and the remainder of the
                pertinent circumstances;</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zf24f5bce5fc448d19fc9e3dc336ea8ca" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">11.2.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The terms of service and employment are consistent with the Company&#8217;s Compensation Policy and the previous contractual agreement was approved under Section 272(c1) of the Companies Law.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="ze6657d62a8bc4761abace0d91d456fa1" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">11.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div><u>Approval of the contractual agreement with the CEO/Director until the date of the next General Assembly</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="text-align: justify; margin-left: 46.2pt; line-height: 1.25;">The Company may enter a contractual agreement with the CEO or with a Director, concerning the terms of his service and employment, without the need to obtain the approval of
        the General Assembly of the shareholders, concerning the period from the date of the contractual agreement until the closest General Assembly, if all of the following conditions are met:</div>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z5672d1530f2b4320befe2f1cc67aca23" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">11.3.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The terms of service and employment were approved by the Compensation Committee and the BOD in accordance with Sections 272(c1)(1) and 273(a) of the Companies Law, as relevant;</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="zbc75fcd8f46b467e8ae16b8d0588f412" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">11.3.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The terms of service and employment are consistent with the Compensation Policy;</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z6b6b72f455d94c8488bc0529bd99a405" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 46.2pt;"><br>
            </td>
            <td style="width: 61.8pt; vertical-align: top;">11.3.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The terms of service and employment are not better than the terms of service and employment of the previous CEO or no real changes between the two contractual agreements and the remainder of the pertinent circumstances, including the
                scope of the employment.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;<br>
        <div style="text-align: justify; text-indent: -19.85pt; margin-left: 19.85pt; line-height: 1.25;"><u>&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </u><br>
        </div>
        <table cellspacing="0" cellpadding="0" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

            <tr>
              <td style="width: 19.85pt; vertical-align: top; font-weight: bold;">16</td>
              <td style="width: auto; vertical-align: top; text-align: justify;">
                <div>If a CEO is a controlling shareholder or his relative, the renewal or extension of will require additional approvals as required by law.</div>
              </td>
            </tr>

        </table>
        <div style="line-height: 1.25">&#160;</div>
      </div>
      <div style="clear: both; margin-top: 10pt; margin-bottom: 10pt;" class="BRPFPageBreakArea">
        <div style="text-align: center;" class="BRPFPageNumberArea"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 21</font></div>
        <div style="page-break-after: always;" class="BRPFPageBreak">
          <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
      </div>
      <div style="line-height: 1.25"> <br>
      </div>
      <table cellspacing="0" cellpadding="0" id="zea806f0c196b476bbfd5c80d860f77f6" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 18pt; vertical-align: top; font-weight: bold;">12.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div style="font-weight: bold;"><u>Miscellaneous</u></div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z7fa73f119ccf4dc79b7c261e105096f7" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">12.1.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>Subject to the provisions of the law, nothing in this Compensation Policy will detract from the validity, nor add to the provisions of previous agreements between the Company and the Company&#8217;s Officers in connection with the principles
                or compensation terms that were approved before the approval of this Compensation Policy or any that preceded it.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z7828b9106a1e4ae79d886b3c3edabf14" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">12.2.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>It is hereby clarified that nothing in this policy shall be construed as detracting from the directives of the Companies Law and/or the Company&#8217;s article of association concerning the manner of the approval of the contractual agreement
                with any of the Officers concerning their service and employment.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z2b3f359113f544599e400d921d730a62" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">12.3.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>If after the approval of the Compensation Policy, the law and/or the regulations and/or court orders and/or guidelines and/or statements by the Israel Securities Authority set lenient terms with respect to the Compensation Policy,
                including with respect to the required approvals, the restrictions and/or threshold terms necessary for inclusion in the Compensation Policy as of the date of its approval, such lenient terms will be considered as included, as if they were
                stated in the framework of the Compensation Policy from the outset.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z0d45de509aa2446e83db2a16dc3d9321" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">12.4.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>From time to time a Company Director will examine the Compensation Policy and the need for its adjustment, if there are substantive changes in the circumstances that existed when the Compensation Policy was set, or for other reasons as
                he sees fit.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <table cellspacing="0" cellpadding="0" id="z11aaea4581f747068370aaa4d5c1696c" class="DSPFListTable" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;">

          <tr>
            <td style="width: 17.85pt;"><br>
            </td>
            <td style="width: 28.35pt; vertical-align: top;">12.5.</td>
            <td style="width: auto; vertical-align: top; text-align: justify;">
              <div>The Company has adopted a policy for recovering erroneously awarded compensation intended to comply with the requirements of the Companies Law, Section 10D of the U.S. Securities Exchange Act of 1934, Rule 10D-1 promulgated by the U.S.
                Securities and Exchange Commission thereunder, and Listing Rule 5608 of the Nasdaq&#8217;s corporate governance rules (the &#8220;<font style="font-weight: bold;">Clawback Policy</font>&#8221;). Any provision of the Clawback Policy shall be deemed to comply
                with this Compensation Policy. In the event of any inconsistency between this Compensation Policy and the Clawback Policy, the Clawback Policy shall prevail. For the avoidance of doubt, no amendments to, or further corporate approvals in
                connection with, this Compensation Policy will be required in connection with the adoption or amendment of the Clawback Policy.</div>
            </td>
          </tr>

      </table>
      <div style="line-height: 1.25">&#160;</div>
      <div style="line-height: 1.25; text-align: center;"><font style="font-weight: normal; font-style: normal;" class="BRPFPageNumber">A - 22</font>
        <hr style="border-width: 1px medium 4px; border-style: solid none; border-color: black -moz-use-text-color; -moz-border-top-colors: none; -moz-border-right-colors: none; -moz-border-bottom-colors: none; -moz-border-left-colors: none; border-image: none; height: 10px; color: rgb(255, 255, 255); background-color: rgb(255, 255, 255); margin-left: auto; margin-right: auto;"></div>
      <div class="BRPFPageFooter">
        <div style="line-height: 1.25">&#160;</div>
      </div>
      <div style="text-align: justify; text-indent: -19.85pt; margin-left: 19.85pt; line-height: 1.25;"><br>
      </div>
      <div style="line-height: 1.25">&#160;</div>
      <br>
    </div>
  </div>
</body>
</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.2
<SEQUENCE>3
<FILENAME>exhibit_99-2.htm
<DESCRIPTION>EXHIBIT 99.2
<TEXT>
<html>
  <head>
    <title></title>
    <!-- Licensed to: ZKG
         Document created using Broadridge PROfile 24.3.1.5224
         Copyright 1995 - 2024 Broadridge -->
  </head>
<body bgcolor="#ffffff" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; text-align: left; color: #000000;">
  <div>
    <div style="text-align: center; line-height: 1.25;">
      <hr align="center" style="border: none; border-bottom: 1px solid black; border-top: 4px solid black; height: 10px; color: #ffffff; background-color: #ffffff; margin-left: auto; margin-right: auto;"></div>
    <div style="text-align: right; line-height: 1.25; font-family: 'Times New Roman',Times,serif;"><u><font style="font-weight: bold;"> Exhibit 99.2</font></u><br>
    </div>
    <div style="text-align: center; line-height: 1.25;"> <br>
    </div>
    <div style="text-align: center; line-height: 1.25;">ELTEK LTD.</div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">PROXY FOR ANNUAL MEETING OF SHAREHOLDERS</div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">TO BE HELD July 8, 2024</div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">THIS PROXY IS SOLICITED ON BEHALF OF THE BOARD OF DIRECTORS</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: justify; line-height: 1.25;">The undersigned hereby appoint(s) Ron Freund and Eli Yaffe, or either of them, attorneys or attorney of the undersigned, for and in the name(s) of the undersigned, with power of substitution and
      revocation in each to vote any and all ordinary shares, par value NIS 3.00 per share, of Eltek Ltd. (the &#8220;<u>Company</u>&#8221;), which the undersigned would be entitled to vote as fully as the undersigned could if personally present at the Annual General
      Meeting of Shareholders of the Company (the &#8220;<u>Meeting</u>&#8221;) to be held on Monday, July 8, 2024 at 10:00 a.m. (Israel time) at the principal offices of the Company, 20 Ben Zion Gelis Street, Petach Tikva, Israel and at any adjournment or
      adjournments thereof, and hereby revoking any prior proxies to vote said shares, upon the following items of business more fully described in the notice of and proxy statement for such Meeting (receipt of which is hereby acknowledged):</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: justify; line-height: 1.25; font-weight: bold;">In accordance with Israeli law, by voting at the Meeting or prior thereto by means of this Proxy Card, you are deemed to confirm to the Company that you do not have a &#8220;Personal
      Interest&#8221; (as defined under the Israeli Companies Law) with respect to any matter thus voted upon, and that you are not a Controlling shareholder, unless you have previously delivered to the Company a written notice stating otherwise, no later than
      48 hours prior to the Meeting.</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: justify; line-height: 1.25; font-weight: bold;">For information regarding the definition of &#8220;Personal Interest,&#8221; see the &#8220;Votes Required&#8221; section of the Proxy Statement.</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">(Continued and to be signed on the reverse side)</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div class="BRPFPageBreakArea" style="clear: both; margin-top: 10pt; margin-bottom: 10pt;">
      <div class="BRPFPageBreak" style="page-break-after: always;">
        <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
    </div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">ANNUAL GENERAL MEETING OF SHAREHOLDERS OF</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">ELTEK LTD.</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">JULY 8, 2024</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25;">Please sign, date and mail</div>
    <div style="text-align: center; line-height: 1.25;">your proxy card in the</div>
    <div style="text-align: center; line-height: 1.25;">envelope provided as soon</div>
    <div style="text-align: center; line-height: 1.25;">as possible.</div>
    <div style="text-align: center; line-height: 1.25;"> <br>
    </div>
    <div style="line-height: 1.25;">
      <hr noshade="noshade" align="center" style="height: 2px; color: #000000; background-color: #000000; text-align: center; margin-left: auto; margin-right: auto; border: none;"></div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">THE BOARD OF DIRECTORS RECOMMENDS A VOTE &#8220;FOR&#8221; ALL PROPOSALS.</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman',Times,serif; font-weight: bold;">PLEASE SIGN, DATE AND RETURN PROMPTLY IN THE ENCLOSED ENVELOPE. PLEASE MARK YOUR VOTE IN BLUE OR BLACK INK AS SHOWN HERE &#9746;</div>
    <div style="text-align: justify; line-height: 1.25; font-weight: bold;">
      <hr noshade="noshade" align="center" style="height: 2px; color: #000000; background-color: #000000; text-align: center; margin-left: auto; margin-right: auto; border: none;"></div>
    <div style="text-align: justify; line-height: 1.25;">&#160;</div>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;" class="DSPFListTable" id="z238db406eaba448292e0db3b2eca5f0d">

        <tr>
          <td style="width: 17.85pt;"><br>
          </td>
          <td style="width: 17.85pt; vertical-align: top;">1.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>Proposal to re-elect Messrs. Yitzhak Nissan, Mordechai Marmorstein, David Rubner, Erez Meltzer and Ms. Revital Cohen-Tzemach, to the Company&#8217;s Board of Directors (the &#8220;<u>Board</u>&#8221;), to serve until the next annual general meeting of the
              shareholders and until their successors have been duly elected and qualified;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25;">&#9744; FOR ALL NOMINEES&#160; &#160; &#160; &#160; &#9744;&#160; WITHHOLD AUTHORITY FOR ALL NOMINEES</div>
    <div style="text-align: justify; margin-right: 36pt; margin-left: 36pt; line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;" class="DSPFListTable" id="zdf95b199241b40c7b9e38735f354cf17">

        <tr>
          <td style="width: 17.85pt;"><br>
          </td>
          <td style="width: 17.85pt; vertical-align: top;">2.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>Proposal re-elect Ms. Ilana Lurie for a third term as an external director, to hold office for three (3) years, as of September 6, 2024;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">&#9744; FOR&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160;&#160; &#9744; AGAINST&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#9744; ABSTAIN</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;" class="DSPFListTable" id="zf8fa8de2909147a9b5e8d2489c810380">

        <tr>
          <td style="width: 17.85pt;"><br>
          </td>
          <td style="width: 17.85pt; vertical-align: top;">3.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>Proposal to approve the Company&#8217;s Third Amended and Restated Compensation Policy, as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25; text-align: center;"> <br>
    </div>
    <div style="line-height: 1.25; text-align: center;">&#9744; FOR&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160;&#160; &#9744; AGAINST&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#9744; ABSTAIN</div>
    <div style="text-align: center; margin-right: 36pt; line-height: 1.25; font-family: 'Times New Roman',Times,serif;"><br>
    </div>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;" class="DSPFListTable" id="z9f6b3a7e2b49486dabc988746f4969e0">

        <tr>
          <td style="width: 17.85pt;"><br>
          </td>
          <td style="width: 17.85pt; vertical-align: top;">4.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>Proposal to approve the extension of the Company&#8217;s Amended Management Agreement with Nistec Ltd., our Controlling shareholder.</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="line-height: 1.25;">
      <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">&#9744; FOR&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160;&#160; &#9744; AGAINST&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#9744; ABSTAIN</div>
    </div>
    <br>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;" class="DSPFListTable" id="zca736624378d44feaa7c813c8225ac2d">

        <tr>
          <td style="width: 17.85pt;"><br>
          </td>
          <td style="width: 17.85pt; vertical-align: top;">5.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>Proposal to approve the amendment and restatement of the Company&#8217;s Amended Management Agreement with Nistec Ltd., our Controlling shareholder.</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">&#9744; FOR&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160;&#160; &#9744; AGAINST&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#9744; ABSTAIN</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;" class="DSPFListTable" id="z311859a713354793a79ea9bcd17f41df">

        <tr>
          <td style="width: 17.85pt;"><br>
          </td>
          <td style="width: 17.85pt; vertical-align: top;">6.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>Proposal to approve the amendment and extension of the Amended PCB Purchase Procedure with Nistec Ltd., our Controlling shareholder.</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">&#9744; FOR&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160;&#160; &#9744; AGAINST&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#9744; ABSTAIN</div>
    <div style="text-align: center; margin-right: 36pt; margin-left: 36pt; line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;" class="DSPFListTable" id="z25a29a66784e437fadd76e45a599da2e">

        <tr>
          <td style="width: 17.85pt;"><br>
          </td>
          <td style="width: 17.85pt; vertical-align: top;">7.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>Proposal to approve the amendment and extension of the Amended Soldering, Assembly and Design Services Procedure with Nistec Ltd., our Controlling shareholder.</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">&#9744; FOR&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160;&#160; &#9744; AGAINST&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#9744; ABSTAIN</div>
    <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman',Times,serif;"> <br>
    </div>
    <div class="BRPFPageBreakArea" style="clear: both; margin-top: 10pt; margin-bottom: 10pt;">
      <div class="BRPFPageBreak" style="page-break-after: always;">
        <hr noshade="noshade" style="border-width: 0px; clear: both; margin: 4px 0px; width: 100%; height: 2px; color: #000000; background-color: #000000;"></div>
    </div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;" class="DSPFListTable" id="z6da7472f6a4245abbec4f8102817a0f6">

        <tr>
          <td style="width: 17.85pt;"><br>
          </td>
          <td style="width: 17.85pt; vertical-align: top;">8.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>Proposal to approve the grant of an annual bonus for the year 2023 to Ms. Revital Cohen-Tzemach, director, former special project manager and daughter of Mr. Yitzhak Nissan, our Controlling shareholder and Chairman of the Board, as
              described in the Proxy Statement.</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">&#9744; FOR&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160;&#160; &#9744; AGAINST&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#9744; ABSTAIN</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;" class="DSPFListTable" id="z67602e58fea748ef9b45187bbcdf8b1b">

        <tr>
          <td style="width: 17.85pt;"><br>
          </td>
          <td style="width: 17.85pt; vertical-align: top;">9.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>Proposal to approve the amendment of the terms of options granted to the Company&#8217;s directors (including the external directors, but excluding our Controlling shareholder and Chairman of the Board, Mr. Yitzhak Nissan, and his daughter, Ms.
              Revital Cohen-Tzemach), as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">&#9744; FOR&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160;&#160; &#9744; AGAINST&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#9744; ABSTAIN</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;" class="DSPFListTable" id="z86ee172c5b3849168425a59693021e64">

        <tr>
          <td style="width: 17.85pt;"><br>
          </td>
          <td style="width: 17.85pt; vertical-align: top;">10.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>Proposal to approve an amendment of the terms of employment of Mr. Eli Yaffe, the Company&#8217;s Chief Executive Officer (the &#8220;<u>CEO</u>&#8221;), relating to Mr. Yaffe&#8217;s salary, as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">&#9744; FOR&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160;&#160; &#9744; AGAINST&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#9744; ABSTAIN</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;" class="DSPFListTable" id="z3af515e9b1974e23a3e7f728ebca2c60">

        <tr>
          <td style="width: 17.85pt;"><br>
          </td>
          <td style="width: 17.85pt; vertical-align: top;">11.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>Proposal to approve the amendment of the terms of employment of Mr. Eli Yaffe, the CEO, relating to the mode of Mr. Yaffe&#8217;s engagement by the Company, as described in the Proxy Statement;</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">&#9744; FOR&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160;&#160; &#9744; AGAINST&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#9744; ABSTAIN</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;" class="DSPFListTable" id="z47df0c4ec4e04e50800230bc6cc03fa6">

        <tr>
          <td style="width: 17.85pt;"><br>
          </td>
          <td style="width: 17.85pt; vertical-align: top;">12.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>Proposal to approve the amendment of the terms of options granted to Mr. Eli Yaffe, the Company&#8217;s CEO, as described in the Proxy Statement.</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">&#9744; FOR&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160;&#160; &#9744; AGAINST&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#9744; ABSTAIN</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;" class="DSPFListTable" id="zf5dece35fbab4cb38edd5994646429d9">

        <tr>
          <td style="width: 17.85pt;"><br>
          </td>
          <td style="width: 17.85pt; vertical-align: top;">13.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>Proposal to approve the grant of options to Mr. Eli Yaffe, the Company&#8217;s CEO, as described in the Proxy Statement.</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">&#9744; FOR&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160;&#160; &#9744; AGAINST&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#9744; ABSTAIN</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;" class="DSPFListTable" id="zf6f018f7679a474c9e4bd9dbb9a1c73a">

        <tr>
          <td style="width: 17.85pt;"><br>
          </td>
          <td style="width: 17.85pt; vertical-align: top;">14.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>Proposal to approve the grant of a special bonus to Mr. Eli Yaffe, the Company&#8217;s CEO, and Mr. Ron Freund, the Company&#8217;s Chief Financial Officer, as described in the Proxy Statement.</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: center; line-height: 1.25; font-family: 'Times New Roman',Times,serif;">&#9744; FOR&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160;&#160; &#9744; AGAINST&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#9744; ABSTAIN</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <table cellspacing="0" cellpadding="0" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; width: 100%; text-align: left; color: #000000;" class="DSPFListTable" id="zd7d4836a242b49f387935f3371be0f3a">

        <tr>
          <td style="width: 17.85pt;"><br>
          </td>
          <td style="width: 17.85pt; vertical-align: top;">15.</td>
          <td style="width: auto; vertical-align: top; text-align: justify;">
            <div>Proposal to appoint Kost Forer Gabbay &amp; Kasierer, a member of Ernst &amp; Young Global, as the Company&#8217;s independent auditors for the year ending December 31, 2024 and for such additional period until the next annual general meeting of
              shareholders, and to authorize the Board to approve their compensation.</div>
          </td>
        </tr>

    </table>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="line-height: 1.25; text-align: center;">&#9744; FOR&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160;&#160; &#9744; AGAINST&#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#160; &#9744; ABSTAIN</div>
    <div style="text-align: center; margin-right: 36pt; line-height: 1.25;"><br>
    </div>
    <div style="text-align: center; line-height: 1.25; font-weight: bold;">Please sign, date and return the card promptly in the accompanying envelope.</div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="line-height: 1.25;">
      <table cellspacing="0" cellpadding="0" border="0" id="zd6268dedf24e4bc98d21cf08f7a10f11" style="font-family: 'Times New Roman', Times, serif; font-size: 10pt; color: #000000; width: 100%;">

          <tr>
            <td style="width: 11.08%;">
              <div>&#160;</div>
            </td>
            <td style="border-bottom: 1px solid rgb(0, 0, 0); width: 20.9%;">
              <div>&#160;</div>
            </td>
            <td colspan="1" style="width: 2.72%;">&#160;</td>
            <td style="width: 13.93%;">
              <div>&#160;</div>
            </td>
            <td colspan="1" style="width: 2.72%;">&#160;</td>
            <td style="width: 20.9%;">
              <div>&#160;</div>
            </td>
            <td colspan="1" style="width: 2.72%;">&#160;</td>
            <td style="width: 13.93%;">
              <div>&#160;</div>
            </td>
            <td style="width: 11.08%;">
              <div>&#160;</div>
            </td>
          </tr>
          <tr>
            <td style="width: 11.08%;">
              <div>&#160;</div>
            </td>
            <td style="width: 20.9%;">
              <div style="text-align: center;">&#160;Signature of Shareholder <br>
              </div>
            </td>
            <td colspan="1" style="width: 2.72%;">&#160;</td>
            <td style="border-top: 1px solid rgb(0, 0, 0); width: 13.93%;">
              <div style="text-align: center;">&#160; Date:</div>
            </td>
            <td colspan="1" style="width: 2.72%;">&#160;</td>
            <td style="border-top: 1px solid rgb(0, 0, 0); width: 20.9%;">
              <div style="text-align: center;">&#160;Signature of Shareholder <br>
              </div>
            </td>
            <td colspan="1" style="width: 2.72%;">&#160;</td>
            <td style="border-top: 1px solid rgb(0, 0, 0); width: 13.93%;">
              <div style="text-align: center;">&#160; Date:</div>
            </td>
            <td style="width: 11.08%;">
              <div>&#160;</div>
            </td>
          </tr>

      </table>
    </div>
    <div style="line-height: 1.25;"><br style="line-height: 1.25;">
    </div>
    <div style="text-align: justify; line-height: 1.25;"><font style="font-weight: bold;">Note: </font>Please sign exactly as your name or names appear on this Proxy. When shares are held jointly, each holder should sign or the senior of the joint tenants
      should sign. When signing as executor, administrator, attorney, trustee or guardian, please give full title as such. If the signer is a corporation, please sign full corporate name by duly authorized officer, giving full title as such. If signer is a
      partnership, please sign in partnership name by authorized person.</div>
    <div style="text-align: justify; line-height: 1.25;"> <br>
    </div>
    <div style="text-align: justify; line-height: 1.25;">
      <hr align="center" style="border: none; border-bottom: 4px solid black; border-top: 1px solid black; height: 10px; color: #ffffff; background-color: #ffffff; text-align: center; margin-left: auto; margin-right: auto;"> </div>
  </div>
</body>
</html>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
