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85000
6801000
1155000
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68000
5493000
318000
45299000
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60405000
26355000
490000
79559000
23266000
114469000
75331000
28093000
121000
90784000
23685000
3336000
3994000
3594000
5248000
4979000
5348000
127187000
97696000
29491000
84572000
31959000
4701000
3792000
2067000
96000
65000
20814000
14920000
6780000
8357000
27594000
23277000
80000
67000
27674000
23277000
27594000
27215000
337000
15000
15000
6000
6000
23277000
22617000
469000
25000
33000
65000
119000
171000
85000
158000
108000
372000
320000
211000
57000
73000
31000
175000
50000
75000
20000
305000
201000
62000
16000
26000
-7000
3000
-3000
-1000
1000
356000
292000
292000
282000
282000
23000
25000
110000
24000
133000
82000
-2000
108000
58000
-2000
-223000
292000
-2000
5000
-29000
40000
-4000
-248000
-423000
396000
330000
4200000
4763000
4200000
3789000
3789000
-564000
-645000
-1180000
-1081000
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67470
0-25%
25-49%
49-74%
74-90%
90-100%
25%
25%
20%
15%
10%
10% to 25% during the remaining five to eight years
10% to 25% for the following five to eight years
In 2017 from 25% to 24%, and in 2018 from 24% to 23%
24% to 23%
25% to 24%
5/0 years
8/0 years
8/0 years
8/0 years
8/0 years
343000
276000
0.0016
0.0002
0.020
0.024
32499000
31245000
27674000
23210000
3308000
3272000
29316000
43173000
399000
1086000
1240000
1552000
1838000
66000
70000
12000
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7023000
12016000
4813000
10412000
4792000
9043000
12688000
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7256000
7847000
5822000
5557000
17284000
24830000
1000
884000
992000
1102000
5907000
4987000
5058000
182000
179000
0.0227
0.0202
0.0279
0.04
0.036
0.031
129000
140000
-11000
4000
269000
-1955000
730000
269000
-1955000
730000
174000
352000
4987000
5058000
-787000
-1269000
10
33
20
4
15
15
33
10
2048000
1311000
51000
54000
-1944000
726000
4678000
5285000
0.096
0.032
10325000
12832000
193000
101000
20341000
22981000
0.90
Three years
0.23
0.075
0.16
0.09
0.12
0.075
0.06
0.04
0.23
0.24
0.10
0.15
0.125
0.07
The duration of tax benefits is subject to a limitation of the earlier of 7 to 10 years (depending on the extent of foreign investment in the company) from the first year in which the company generated taxable income (at, or after, the Year of Election) , or 12 years from the first day of the Year of Election.
The benefits period is limited to the earlier of 12 years from completion of the investment or commencement of production (“Year of Operation”), or 14 years from the year in which the certificate of approval was obtained.
The benefits period is limited to 12 years from the Year of Operation, or 14 years from the year in which the certificate of approval was obtained.
Dividend is distributed during the benefits period or within the following 12 years (the limitation does not apply to a Foreign Investors Company, which is a company that more than 25% of its shares owned by non-Israeli residents).
0.25
47289000
20484000
-83024000
-61073000
112376000
-300000
112076000
372000
320000
305000
2/10 years
2/10 years
2/10 years
2/10 years
2/10 years
10
20-33
20
2.5-4
10-20
15
6-33
five years
Eight years
2048000
1311000
-726000
-11000
18018000
25559000
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-align: justify; text-indent: -28.35pt"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 1.25in"></td><td style="padding-right: 0; width: 0.5in"></td><td style="padding-right: 0; text-align: justify"><u>The plan liabilities, net:</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 103.05pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>December 31,</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2019</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2018</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 76%; font-size: 10pt; text-align: left">Defined benefit obligation</td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">5,058</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">4,987</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1.5pt; padding-right: 0; font-size: 10pt; text-align: left">Fair value of plan assets</td><td style="padding-bottom: 1.5pt; padding-right: 0; font-size: 10pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">(3,789</td><td style="padding-bottom: 1.5pt; padding-right: 0; font-size: 10pt; text-align: left">)</td><td style="padding-bottom: 1.5pt; padding-right: 0; font-size: 10pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">(4,200</td><td style="padding-bottom: 1.5pt; padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 4pt">Total liabilities, net</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">1,269</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">787</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-align: justify; text-indent: -28.35pt"></p>
0.026
0.035
0.025
0.033
15000
4206000
11426000
4708000
5669000
64000
489000
142000
288000
326000
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: left"><u>Changes
in liabilities arising from financing activities</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>January 1,<br />
2019</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>Cumulative
effect of initially applying IFRS 16 (1)</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>Payments</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>Foreign
exchange movement</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>New
loans and leases</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>Write
off</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>December 31,<br />
2019</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="26" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 16%; text-align: left">Bank loans</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left">$</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">1,140</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">     -</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">(475</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">81</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">    -</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">      -</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left">$</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">746</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left">Leases</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">138</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">4,717</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">(1,070</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">406</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">870</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">(60</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">5,001</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left; padding-bottom: 1.5pt">Total</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">1,278</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">4,717</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">(1,545</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">487</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">870</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">(60</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">5,747</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left">(1)</td><td style="padding-right: 0; text-align: justify">Following the initial application of IFRS 16, on January
1, 2019 , the Company recorded discounted operating lease commitment classified as a lease at the amount of $4,717 thousands with
respect to office and storage spaces, vehicles and certain office equipment (i.e. printing and photocopying machines) at the amount
of $4,023, $663 and $31 thousands, respectively.</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: left"><u>Financial
assets (liabilities) measured at fair value:</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left"><b>Financial assets (liabilities)
measured at fair value:</b></td><td style="font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: center"><b>Level 1</b></td><td style="padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: center"><b>Level 2</b></td><td style="padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"><b> </b></td><td style="font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: center"><font style="font-size: 10pt"><b> <font style="font-family: Times New Roman, Times, Serif">U.S.
Dollars in </font>thousands </b></font></td><td style="padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left">December 31, 2019</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-indent: -0.125in; padding-left: 0.125in; width: 76%; text-align: left">Debt securities (corporate and government) measured at fair value through other comprehensive income</td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left">$</td><td style="width: 9%; font-size: 10pt; text-align: right">4,289</td><td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 9%; font-size: 10pt; text-align: right">8,543</td><td style="width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left">Derivatives instruments</td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">-</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">15</td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; padding-bottom: 1.5pt"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right"> </td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; padding-bottom: 4pt"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">4,289</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">8,558</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="margin: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-align: center; font-size: 10pt"><b> </b></td><td style="text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: center"><b>Level 1</b></td><td style="text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: center"><b>Level 2</b></td><td style="text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center; font-size: 10pt"><b> </b></td><td style="text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>U.S.
Dollars in</b></font><b> <font style="font-size: 10pt">thousands </font></b></td><td style="text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left">December 31, 2018</td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-indent: -0.125in; padding-left: 0.125in; width: 76%; text-align: left">Debt securities (corporate and government) measured fair value through other comprehensive income</td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left">$</td><td style="width: 9%; font-size: 10pt; text-align: right">1,588</td><td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right">8,736</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 1.5pt">Derivatives instruments</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right">-</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right">(64</td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; padding-bottom: 4pt"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">1,588</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">8,672</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 49.65pt; text-align: justify; text-indent: 0in"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>December
31,</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>2019</b></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>2018</b></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>U.S.
Dollars in thousands</b></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom">
<td colspan="9" style="font: 10pt Times New Roman, Times, Serif; text-align: left">Sensitivity test to changes in market price of listed Securities</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left">Gain (loss) from change:</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; width: 76%; text-align: left; padding-bottom: 4pt">5% increase in market price</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right">642</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right">519</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 4pt">5% decrease in market price</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">(642</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">(519</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left">Sensitivity test to changes in foreign currency:</td><td style="font-size: 10pt"> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left">Gain (loss) from change:</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 4pt">5% increase in NIS</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">(24</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">(21</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 4pt">5% decrease in NIS</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">24</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">21</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 4pt">5% increase in Euro</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">(552</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">(197</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 4pt">5% decrease in Euro</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">552</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">197</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td></tr></table>
<p style="margin-top: 0; margin-bottom: 0"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>December
31,</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>2019</b></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>2018</b></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>U.S.
Dollars in thousands</b></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left">In NIS:</td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; width: 76%; text-align: left">Bank loans measured at amortized cost</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left">$</td><td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right">746</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left">$</td><td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right">1,140</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 1.5pt">Leases measured at amortized cost</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right">4,973</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right">-</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-align: left; padding-bottom: 4pt"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">5,719</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">1,140</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left">In USD:</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 4pt">Leases measured at amortized cost</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">28</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">138</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td></tr></table>
514000
493000
16880
2058
49 years
3614000
19000
590000
-132000
3116000
699000
14000
4000
672000
118000
3703000
5000
636000
115000
3563000
956000
517000
6000
516000
6000
956000
433000
2204000
619000
619000
2119000
539000
391000
390000
531000
22000
1246000
938000
25004000
17000
1308000
837000
24550000
1004000
992000
1342000
1140000
138000
5747000
746000
5001000
5001000
5747000
6000
58000
138000
1278000
746000
1140000
P30Y
45000000
5000000
39500000
10000000
15 years
7 years
12 years
255000
2176000
8355000
8686
13133
1
1
9000
16000
23572
44892
70000000
70000000
40295078
40353101
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="border-bottom: Black 1.5pt solid; text-align: left"><b>Tax Exemption Period</b></td><td style="text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td style="border-bottom: Black 1.5pt solid; text-align: center"><b>Reduced Tax Period</b></td><td style="text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Rate of Reduced Tax</b></td><td style="text-align: center; padding-bottom: 1.5pt"><b> </b></td><td style="text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td style="border-bottom: Black 1.5pt solid; text-align: center"><b>Percent of Foreign Ownership</b></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 64%; text-align: left">2/10 years</td><td style="width: 1%"> </td>
<td style="width: 11%; text-align: center">5/0 years</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">25</td><td style="width: 1%; text-align: left">%</td><td style="width: 1%"> </td>
<td style="width: 11%; text-align: center">0-25%</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">2/10 years</td><td> </td>
<td style="text-align: center">8/0 years</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">25</td><td style="text-align: left">%</td><td> </td>
<td style="text-align: center">25-49%</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">2/10 years</td><td> </td>
<td style="text-align: center">8/0 years</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">20</td><td style="text-align: left">%</td><td> </td>
<td style="text-align: center">49-74%</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">2/10 years</td><td> </td>
<td style="text-align: center">8/0 years</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">15</td><td style="text-align: left">%</td><td> </td>
<td style="text-align: center">74-90%</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">2/10 years</td><td> </td>
<td style="text-align: center">8/0 years</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">10</td><td style="text-align: left">%</td><td> </td>
<td style="text-align: center">90-100%</td></tr>
</table>
32088000
28224000
3864000
41472000
37988000
3484000
49737000
45271000
4466000
-26644000
-22213000
-26953000
-274000
1082000
197000
7170000
20341000
22981000
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">The share
based compensation expense that was recognized for services received from employees and Board of Directors members is presented
in the following table:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="font-size: 10pt; text-align: center"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>For
the Year Ended <br />December 31</b></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: center; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt; text-align: center"><b> </b></td><td style="text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: center"><b>2019</b></td><td style="text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: center"><b>2018</b></td><td style="text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: center"><b>2017</b></td><td style="text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt; text-align: center"><b> </b></td><td style="text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: center"><b>U.S. Dollar in thousands</b></td><td style="text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 64%; font-size: 10pt; text-align: left">Cost of revenues</td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left">$</td><td style="width: 9%; font-size: 10pt; text-align: right">364</td><td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left">$</td><td style="width: 9%; font-size: 10pt; text-align: right">401</td><td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left">$</td><td style="width: 9%; font-size: 10pt; text-align: right">179</td><td style="width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-align: left">Research and development</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">254</td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">224</td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">138</td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; text-align: left">Selling and marketing</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">63</td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">51</td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">48</td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-align: left; padding-bottom: 1.5pt">General and administrative</td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right">482</td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right">272</td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right">118</td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; text-align: left; padding-bottom: 4pt">Total share-based compensation</td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">1,163</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">948</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">483</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: justify">The following
table lists the number of share options, the weighted average exercise prices of share options and changes in share options grants
during the year:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0in"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; text-align: center; padding-left: 0.125in; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>2019</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>2018</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>2017</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; text-align: center; padding-left: 0.125in; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>Number
of<br /> Options</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>Weighted<br />
Average<br /> Exercise<br /> Price</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>Number
of<br /> Options</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>Weighted<br />
Average<br /> Exercise<br /> Price</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>Number
of<br /> Options</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>Weighted<br />
Average<br /> Exercise<br /> Price</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; text-align: center; padding-left: 0.125in; font-size: 10pt"><b> </b></td><td style="padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td>
<td colspan="2" style="padding-bottom: 1.5pt; font-size: 10pt; text-align: center"><b> </b></td><td style="padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>In
NIS</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td><td style="padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td>
<td colspan="2" style="padding-bottom: 1.5pt; font-size: 10pt; text-align: center"><b> </b></td><td style="padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>In
NIS</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td><td style="padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td>
<td colspan="2" style="padding-bottom: 1.5pt; font-size: 10pt; text-align: center"><b> </b></td><td style="padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: center"><b>In
NIS</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in; font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: center"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: center"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: center"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: center"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: center"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: center"> </td><td style="font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-indent: -0.125in; padding-left: 0.125in; width: 28%; text-align: left">Outstanding at beginning of year</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right">2,445,597</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right">29.99</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right">2,572,372</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right">32.47</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right">2,487,236</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right">35.20</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-indent: -0.125in; padding-left: 0.25in">Granted</td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">443,800</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">20.64</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">617,825</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">19.02</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">458,950</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">21.10</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-indent: -0.125in; padding-left: 0.25in">Exercised</td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">(67,470</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">32.30</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">(53,584</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">15.77</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">(10,659</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">18.19</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-indent: -0.125in; padding-left: 0.25in">Forfeited</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right">(485,373</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right">16.98</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right">(691,016</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right">30.51</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right">(363,155</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right">35.70</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-indent: -0.125in; padding-left: 0.125in; text-align: left">Outstanding at end of year</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">2,336,554</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">27.87</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">2,445,597</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">29.99</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">2,572,372</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">32.47</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-indent: -0.125in; padding-left: 0.125in; text-align: left">Exercisable at end of year</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">1,412,023</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">33.17</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">1,406,048</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">38.02</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">1,755,253</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">38.69</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-indent: -0.125in; padding-left: 0.125in; text-align: left">The weighted average remaining contractual life for the share options</td><td style="padding-bottom: 4pt; font-size: 10pt"> </td>
<td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">3.39</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt"> </td>
<td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">3.63</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt"> </td>
<td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">3.22</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td>
<td> </td>
<td colspan="10" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Number of RSs</b></font></td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2019</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2018</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2017</b></font></td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td> </td>
<td> </td>
<td colspan="2" style="text-align: right"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: right"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="width: 64%"><font style="font: 10pt Times New Roman, Times, Serif">Outstanding at beginning of year</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">139,706</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">76,512</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">27,333</font></td>
<td style="width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td><font style="font: 10pt Times New Roman, Times, Serif">Granted</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">69,725</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">96,308</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">58,835</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td><font style="font: 10pt Times New Roman, Times, Serif">End of restriction period</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(18,643</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(23,572</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(7,656</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td><font style="font: 10pt Times New Roman, Times, Serif">Forfeited</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(44,892</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(9,542</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(2,000</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td><font style="font: 10pt Times New Roman, Times, Serif">Outstanding at end of year</font></td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">145,896</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">139,706</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">76,512</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td><font style="font: 10pt Times New Roman, Times, Serif">The weighted average remaining contractual life for the restricted share</font></td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">2.78</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">3.21</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">3.54</font></td>
<td> </td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.75in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif">The
following table lists the inputs to the binomial model used for the fair value measurement of equity-settled share options for
the above plan:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-align: left"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td style="border-bottom: Black 1.5pt solid; text-align: center"><b>2019</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td style="border-bottom: Black 1.5pt solid; text-align: center"><b>2018</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td style="border-bottom: Black 1.5pt solid; text-align: center"><b>2017</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Dividend yield (%)</td><td> </td>
<td style="text-align: center">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: center">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: center">-</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Expected volatility of the share prices (%)</td><td> </td>
<td style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">23-41</font></td><td style="text-align: left"> </td><td> </td>
<td style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">25-39</font></td><td style="text-align: left"> </td><td> </td>
<td style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">37-45</font></td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Risk-free interest rate (%)</td><td> </td>
<td style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">0.3 – 1.7</font></td><td style="text-align: left"> </td><td> </td>
<td style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">0.2-0.2.0</font></td><td style="text-align: left"> </td><td> </td>
<td style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">0.1-1.83</font></td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="width: 67%; text-align: left">Contractual term of up to (years)</td><td style="width: 1%"> </td>
<td style="width: 9%; text-align: center">6.5</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 9%; text-align: center">6.5</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 9%; text-align: center">6.5</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Exercise multiple</td><td> </td>
<td style="text-align: center">2</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: center">2</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: center">2</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Weighted average share prices (NIS)</td><td> </td>
<td style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">19.17-19.65</font></td><td style="text-align: left"> </td><td> </td>
<td style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">18.49-21.17</font></td><td style="text-align: left"> </td><td> </td>
<td style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">16.05-16.44</font></td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Expected average forfeiture rate (%)</td><td> </td>
<td style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2-6</font></td><td style="text-align: left"> </td><td> </td>
<td style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">1-5</font></td><td style="text-align: left"> </td><td> </td>
<td style="text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">1-5</font></td><td style="text-align: left"> </td></tr>
</table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-align: left"><b> </b></td><td><b> </b></td>
<td colspan="2" style="text-align: center"><b>Total</b></td><td><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; text-align: center"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>U.S Dollars<br />
in thousands</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: left"> </td><td> </td>
<td colspan="2" style="text-align: left"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 88%; text-align: left">Balance at January 1, 2019</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">2,048</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Amount carried to profit and loss</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(726</td><td style="text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt; text-align: left">Amount carried to other comprehensive income</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(11</td><td style="padding-bottom: 1.5pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 4pt; text-align: left">Balance as of December 31, 2019</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">1,311</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="margin: 0pt"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-weight: bold; text-align: center">Year ended December 31,</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-weight: bold; text-align: center">2019</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-weight: bold"> </td><td style="padding-right: 0; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-weight: bold; text-align: center">2018</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-weight: bold"> </td><td style="padding-right: 0; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-weight: bold; text-align: center">2017</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; text-align: left">Current taxes</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">-</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">-</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">129</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Deferred tax expenses (income)</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">726</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">(1,944</td><td style="padding-right: 0; text-align: left">)</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">-</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Taxes in respect of prior years</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">4</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">(11</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">140</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left; padding-bottom: 4pt">Taxes on income</td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">730</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">(1,955</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left">)</td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">269</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="margin: 0pt"></p>
0.23
0.23
0.24
37970697
40275374
40320888
74400
170043
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38045097
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40581627
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Pursuant to the 2011 Plan, granted share options and RS generally vest over a four-year period following the date of the grant in 13 installments: 25% of the options vest on the first anniversary of the grant date and 6.25% options vest at the end of each quarter thereafter.
On January 20, 2020, the Company's Board of Directors approved the grant of 212,800 options to Board of Directors. The fair value of the options calculated on the date of grant using the binomial option valuation model was estimated at $391 thousands. The grant of the options to the Board of Directors is subject to the approval of the General Meeting of Shareholders of the Company that is expected to take place by March 2020.
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P3Y2M19D
P3Y7M17D
P3Y6M14D
P3Y2M16D
P3Y4M20D
P2Y9M11D
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P6Y6M0D
P6Y6M0D
P6Y6M0D
2
2
2
16.05
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0.05
0.06
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KAMADA LTD
0001567529
20-F
2019-12-31
false
--12-31
No
No
Yes
Accelerated Filer
false
false
4035310
FY
2019
001-35948
Yes
L3
true
false
false
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td style="padding-right: 0"><b></b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; text-align: left">U.S.A</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">84,572</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">75,331</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">60,405</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Israel</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">31,959</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">28,093</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">26,355</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Europe</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">4,701</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">3,594</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">5,348</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Latin America</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">3,792</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">3,994</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">5,248</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Asia</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,067</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">3,336</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">4,979</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Others</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">96</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">121</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">490</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; padding-bottom: 1.5pt">Total Revenue</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">127,187</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">114,469</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">102,825</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: 1in; width: 86%; border-collapse: collapse">
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td rowspan="2" style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 4.4in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding: 0; width: 56.1pt; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>%</b></font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 5.1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding: 0; width: 56.1pt; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Mainly
%</b></font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top; background-color: #CCEEFF">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Buildings</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2.5-4</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">4</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Machinery
and equipment</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">10-20</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">15</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top; background-color: #CCEEFF">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Vehicles</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">15</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">15</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Computers,
software, equipment and office furniture</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">6-33</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">33</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top; background-color: #CCEEFF">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Leasehold
improvements</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">(*)</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">10</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">(*)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Leasehold
improvements are depreciated on a straight-line basis over the shorter of the lease term
(including the extension option held by the Company and intended to be exercised) and
the expected life of the improvement.</font></td></tr></table>
<p style="margin: 0pt"></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 4.2in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 1.5pt solid; padding: 0; font: 10pt Times New Roman, Times, Serif; width: 51pt; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>%</b></font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 10.2pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding: 0; width: 56.1pt; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Mainly %</b></font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top; background-color: #CCEEFF">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Land
and Buildings</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">10</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">10</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Vehicles</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">20-33</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">3</font>3</td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top; background-color: #CCEEFF">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">office
equipment (i.e. printing and photocopying machines)</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">20</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center">20</td></tr>
</table>
<p style="margin: 0pt"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b>Note
5: - Cash and Cash Equivalents</b></font></p>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left">Cash and deposits for immediate withdrawal</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">25,559</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">18,018</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Cash equivalents in USD deposits (1)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">17,017</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt">Cash equivalents in NIS deposits (2)</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">86</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">75</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1.5pt">Total Cash and Cash Equivalents</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">42,662</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">18,093</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 58.5pt"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 23.85pt"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
deposits bear interest of 2.0%-2.4% per year, as of December 31, 2019.</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">(2)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
deposits bear interest of 0.02% per year, as of December 31, 2019 and 0.16% per year,
as of December 31, 2018.</font></td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left">Cash and deposits for immediate withdrawal</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">25,559</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">18,018</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Cash equivalents in USD deposits (1)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">17,017</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt">Cash equivalents in NIS deposits (2)</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">86</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">75</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1.5pt">Total Cash and Cash Equivalents</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">42,662</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">18,093</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 58.5pt"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 23.85pt"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
deposits bear interest of 2.0%-2.4% per year, as of December 31, 2019.</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">(2)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
deposits bear interest of 0.02% per year, as of December 31, 2019 and 0.16% per year,
as of December 31, 2018.</font></td></tr></table>
<table cellspacing="0" cellpadding="0" style="font: 11pt Calibri, Helvetica, Sans-Serif; width: 100%; border-collapse: collapse"><tr style="vertical-align: bottom"><td style="text-align: center"> </td>
<td> </td>
<td colspan="6" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>December 31,</b></font></td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2019</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2018</b></font></td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td>
<td> </td>
<td colspan="6" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>U.S. Dollars in thousands</b></font></td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif">Open accounts:</font></td>
<td> </td>
<td colspan="2"> </td>
<td> </td>
<td> </td>
<td colspan="2"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="width: 76%"><font style="font: 10pt Times New Roman, Times, Serif">In NIS</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">8,357</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="width: 9%; text-align: right"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">6,780</p>
</td>
<td style="width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td><font style="font: 10pt Times New Roman, Times, Serif">In USD</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">14,920</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">20,814</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td> </td>
<td> </td>
<td><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">23,277</font></td>
<td> </td>
<td> </td>
<td><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">27,594</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td><font style="font: 10pt Times New Roman, Times, Serif">Checks receivable</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">80</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">23,277</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">27,674</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td><font style="font: 10pt Times New Roman, Times, Serif">Less allowance for doubtful accounts(1)</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(67</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td><font style="font: 10pt Times New Roman, Times, Serif">Total Trade receivables, net</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">23,210</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">27,674</font></td>
<td> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font-size: 7pt">  </font></p>
<table cellspacing="0" cellpadding="0" style="font: 11pt Calibri, Helvetica, Sans-Serif; width: 100%">
<tr style="vertical-align: top">
<td style="width: 0.25in"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">Allowance for doubtful accounts:</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font-size: 7pt"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 11pt Calibri, Helvetica, Sans-Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="width: 76%"><font style="font: 10pt Times New Roman, Times, Serif">December 31, 2018</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"> </td>
<td style="width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">Provision for
the year</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(67</font></td>
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"> </td>
<td style="padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="padding-bottom: 4pt"><font style="font: 10pt Times New Roman, Times, Serif">December 31, 2019</font></td>
<td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double"> </td>
<td style="border-bottom: Black 4pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(67</font></td>
<td style="padding-bottom: 4pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double"> </td>
<td style="border-bottom: Black 4pt double; text-align: right"> </td>
<td style="padding-bottom: 4pt"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font-size: 7pt"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font-size: 7pt"> <font style="font-family: Times New Roman, Times, Serif"><b> </b></font></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">$67 thousands of the over 121 days balance is provided for as
allowance for doubtful accounts.</p></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="26" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Past due trade receivables with aging of</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Neither past due nor impaired</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>Up to 30</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>Days</b></p></td><td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>31-60</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>Days</b></p></td><td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>61-90</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>Days</b></p></td><td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>91-120</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>Days</b></p></td><td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>Over 121</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>days</b></p></td><td style="padding-bottom: 1.5pt"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Total</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 16%; padding-bottom: 1.5pt">December 31, 2019</td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">22,617</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">469</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">25</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">33</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">65</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">68</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left">(1)</td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">23,277</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt">December 31, 2018</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">27,215</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">337</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">15</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">15</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">6</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">6</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">27,594</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font-size: 7pt"> <font style="font-family: Times New Roman, Times, Serif"><b> </b></font></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">$67 thousands of the over 121 days balance is provided for as
allowance for doubtful accounts.</p></td></tr></table>
<p style="font: 10pt Calibri, Helvetica, Sans-Serif; margin: 0 0 8pt"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b>Note
8: - Other Accounts Receivables</b></font><font style="font: 10pt Times New Roman, Times, Serif"> </font> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left">Government authorities</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">1,838</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">1,552</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Prepaid expenses</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,240</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,086</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Accrued interest</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">70</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">66</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Accrued income</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">101</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">193</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Materials for clinical trials and inventory designated for R&D activities</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">399</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td>Other</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">8</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">12</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 10pt; text-align: left; padding-bottom: 1.5pt; text-indent: -10pt">Derivatives financial instruments mainly measured at fair value through other comprehensive income</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">15</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1.5pt">Total Other Accounts Receivables  </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">3,272</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">3,308</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left">Government authorities</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">1,838</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">1,552</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Prepaid expenses</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,240</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,086</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Accrued interest</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">70</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">66</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Accrued income</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">101</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">193</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Materials for clinical trials and inventory designated for R&D activities</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">399</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td>Other</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">8</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">12</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 10pt; text-align: left; padding-bottom: 1.5pt; text-indent: -10pt">Derivatives financial instruments mainly measured at fair value through other comprehensive income</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">15</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1.5pt">Total Other Accounts Receivables  </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">3,272</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">3,308</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr></table>
<p style="font: 10pt Calibri, Helvetica, Sans-Serif; margin: 0 0 8pt"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b>Note
9: - Inventories</b></font><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left">Finished products</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">12,016</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">7,023</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Purchased products</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">10,412</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">4,813</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Work in progress</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">9,043</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">4,792</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt">Raw materials</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">11,702</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">12,688</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Total Inventories</p>
</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">43,173</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">29,316</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 7pt Times New Roman, Times, Serif"><b> </b></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">The inventories balance as of December 31, 2019 and December
31, 2018 is presented net of impairment of inventories in the amount of $334 thousands and $61 thousands, respectively.</p></td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left">Finished products</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">12,016</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">7,023</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Purchased products</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">10,412</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">4,813</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Work in progress</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">9,043</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">4,792</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt">Raw materials</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">11,702</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">12,688</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Total Inventories</p>
</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">43,173</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">29,316</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 7pt Times New Roman, Times, Serif"><b> </b></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">The inventories balance as of December 31, 2019 and December
31, 2018 is presented net of impairment of inventories in the amount of $334 thousands and $61 thousands, respectively.</p></td></tr></table>
61000
334000
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold"> </td>
<td colspan="6" style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 4pt; width: 76%; text-align: left">Under finance lease</td><td style="padding-bottom: 4pt; width: 1%"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">992</td><td style="padding-bottom: 4pt; width: 1%; text-align: left"> </td><td style="padding-bottom: 4pt; width: 1%"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">1,004</td><td style="padding-bottom: 4pt; width: 1%; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"></p>
<p style="font: small-caps 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>Note 11: - Other Long Term Assets</b></p>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2" style="text-align: center"> </td><td> </td><td> </td>
<td colspan="2" style="text-align: center"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left">Distribution right (1)</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">298</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">123</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt">Long term pre-paid expenses</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">54</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">51</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td>Total Other Long Term Assets</td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">352</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">174</td><td style="text-align: left"> </td></tr>
</table>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 0.5in"></td><td style="width: 0.5in; text-align: left">(1)</td><td style="text-align: justify">During 2018 and 2019 the Company entered into agreements
for the distribution right of certain therapeutic products to be distributed in Israel, subject to Israeli Ministry of Health
(“IL MOH”) marketing approval. Pursuant to the agreements, the Company was required to make certain upfront and milestone
payments. These payments are accounted for as long term assets through obtaining IL MOH marketing authorization and it will be
amortized during the product’s economic useful life. As of December 31, 2019 no amortization was recorded.</td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2" style="text-align: center"> </td><td> </td><td> </td>
<td colspan="2" style="text-align: center"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left">Distribution right (1)</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">298</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">123</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt">Long term pre-paid expenses</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">54</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">51</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td>Total Other Long Term Assets</td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">352</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">174</td><td style="text-align: left"> </td></tr>
</table>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 0.5in"></td><td style="width: 0.5in; text-align: left">(1)</td><td style="text-align: justify">During 2018 and 2019 the Company entered into agreements
for the distribution right of certain therapeutic products to be distributed in Israel, subject to Israeli Ministry of Health
(“IL MOH”) marketing approval. Pursuant to the agreements, the Company was required to make certain upfront and milestone
payments. These payments are accounted for as long term assets through obtaining IL MOH marketing authorization and it will be
amortized during the product’s economic useful life. As of December 31, 2019 no amortization was recorded.</td></tr></table>
<p style="font: small-caps 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>Note 13: - Other Accounts Payables</b></p>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td colspan="6" style="text-align: center"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 76%; text-align: left">Employees and payroll accruals</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">5,669</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">4,708</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Derivatives financial instruments mainly measured at fair value through other comprehensive income</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">64</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 1.5pt">Accrued Expenses and Others</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">142</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">489</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt">Total Other Accounts Payables</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,811</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,261</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
<p style="font: small-caps 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>Note 13: - Other Accounts Payables</b></p>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td colspan="6" style="text-align: center"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 76%; text-align: left">Employees and payroll accruals</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">5,669</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">4,708</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Derivatives financial instruments mainly measured at fair value through other comprehensive income</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">64</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 1.5pt">Accrued Expenses and Others</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">142</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">489</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt">Total Other Accounts Payables</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,811</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,261</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.75in; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 1.25in"></td><td style="padding-right: 0; width: 0.5in"></td><td style="padding-right: 0; text-align: justify"><u>Expenses recognized in comprehensive income (loss): </u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 103.05pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2019</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2018</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2017</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"> </td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>U.S. Dollars
in thousands</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; font-size: 10pt; text-align: left">Current service cost</td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">282</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">292</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">356</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Interest expenses, net</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">24</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">25</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">23</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; font-size: 10pt; text-align: left">Current service cost (income) due to the transfer of real yield from the compensation component to the royalties' component in executive insurance policies before 2004</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(1</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">3</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(7</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 4pt">Total employee benefit expenses</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">305</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">320</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">372</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 4pt">Actual return on plan assets</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">158</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">171</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">119</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.75in; text-align: left"><u>The expenses
are presented in the Statement of Comprehensive income (loss) as follows</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; font-size: 10pt; text-align: left">Cost of revenues</td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">201</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">175</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">211</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Research and development</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">62</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">50</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">57</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Selling and marketing</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">16</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">75</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">73</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 1.5pt">General and administrative</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">26</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">20</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">31</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">305</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">320</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">372</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-align: justify; text-indent: -28.35pt"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 1.25in"></td><td style="padding-right: 0; width: 0.5in"><font style="font-size: 10pt"> </font></td><td style="padding-right: 0; text-align: justify"><u>Changes in the present value of defined benefit obligation</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2019</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2018</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 76%; font-size: 10pt; text-align: left">Balance at January 1,</td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">4,987</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">5,907</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Interest costs</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">133</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">110</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Current service cost</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">282</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">292</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Benefits paid</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(1,180</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(645</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Demographic assumptions</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">40</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(29</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Financial assumptions</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">292</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(223</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Past Experience</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">108</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(2</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 1.5pt">Currency Exchange</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">396</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">(423</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 4pt">Balance at December 31,</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">5,058</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">4,987</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 141.75pt; text-align: justify; text-indent: -28.35pt"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 1.25in"></td><td style="padding-right: 0; width: 0.5in; text-align: left"></td><td style="padding-right: 0; text-align: justify"><u>The principal assumptions underlying the defined benefit
plan</u></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-align: justify; text-indent: -28.35pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>%</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; font-size: 10pt; text-align: left">Discount rate of the plan liability</td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">2.79</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">2.02</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">2.27</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Future salary increases</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">3.1</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">3.6</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">4</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr></table>
The Company will be entitled to royalty payments in a rate of 12% on net sales of Glassia through August 2025, and at a rate of 6% thereafter until 2040, with a minimum of $5 million annually.
3747000
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: left"></p>
<table cellpadding="0" cellspacing="0" style="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0"></td><td style="padding-right: 0; width: 0.75in; text-align: left"><font style="font-variant: small-caps">Note 18: -</font></td><td style="padding-right: 0; text-align: justify"><font style="font-variant: small-caps">Guarantees
and Charges</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left">a.</td><td style="padding-right: 0; text-align: justify">The Company provided a bank guarantees in the amount of
$ 255 thousands in favor of the Lessor of its leased office facility in Rehovot, Israel, and for other obligation, as guarantee
for meeting its obligations under the lease agreement.</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left">b.</td><td style="padding-right: 0; text-align: justify">The Company pledged specific purchased assets as collateral
against loans, in the original amount of NIS 8,355 thousands ($ 2,176 thousands) received to fund the purchase of such assets.</td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify"><td style="padding-right: 0; width: 0.75in; text-align: left"><font style="font-variant: small-caps">Note 20: -</font></td><td style="padding-right: 0; text-align: justify"><font style="font-variant: small-caps">Share-Based
Payment</font></td>
</tr></table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: -56.7pt"> </p>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: -56.7pt"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: justify">On July 24, 2011, the Company’s
Board of Directors approved an unregistered share options plan. In September 2016 the Company’s Board of Directors approved
an amendment to the plan, to cover issuance of restricted shares (“RS”) under the plan and named it the Israeli Share
Award Plan (“2011 Plan”).</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 49.5pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: justify">Pursuant to the 2011 Plan,
granted share options and RS generally vest over a four-year period following the date of the grant in 13 installments: 25% of
the options vest on the first anniversary of the grant date and 6.25% options vest at the end of each quarter thereafter.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in">a.</td><td style="padding-right: 0"><u>Expense recognized in the financial statements</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">The share based compensation expense that was recognized
for services received from employees and Board of Directors members is presented in the following table:</p>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: -56.7pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt; text-align: center"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>For
the Year Ended <br />December 31</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt; text-align: center"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2019</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2018</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2017</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt; text-align: center"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>U.S. Dollar in thousands</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; font-size: 10pt; text-align: left">Cost of revenues</td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">364</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">401</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">179</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Research and development</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">254</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">224</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">138</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Selling and marketing</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">63</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">51</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">48</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 1.5pt">General and administrative</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">482</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">272</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">118</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 4pt">Total share-based compensation</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">1,163</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">948</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">483</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in">b.</td><td style="padding-right: 0"><u>Share options granted to the Company’s Chief Executive Officer (“CEO”)</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin-left: 1.25in; margin-top: 0pt; margin-bottom: 0pt; text-align: justify">On June 20, 2019 the Company’s
Board of Directors approved the grant of options to purchase 90,000 Ordinary Shares of the Company at an exercise price of NIS
21.34 per share and 30,000 RS to the Company’s CEO. The initial fair value of the options and of the RSs estimated based
on the Binomial Model was $154 thousands and $165 thousands, respectively. The grant of the equity instruments to the Company’s
CEO is subject to the approval of the General Meeting of Shareholders of the Company that is expected to take place during March
2020</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in">c.</td><td style="padding-right: 0"><u>Share options and Restricted shares granted to Employees and Management</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: top">
<td style="width: 120px"> </td>
<td style="width: 48px; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">1.</font></td>
<td style="text-align: justify; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">During 2019 the Company’s Board of Directors approved the grant  of 443,000 options to employees and members of the Company’s management. The fair value of the options calculated on the date of grant using the binomial option valuation model was estimated at $778 thousands.</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: top">
<td style="width: 120px"> </td>
<td style="width: 48px; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">2.</font></td>
<td style="text-align: justify; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">During 2019, the Company’s Board of Directors approved the grant of 69,725 RSs to the Company’s employees and management. The RSs do not have exercise price. The fair value of the RSs was estimated based on the market price of the share on the grant date at $381 thousands.</font></td></tr>
</table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: -56.7pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in">d.</td><td style="padding-right: 0"><u>Share options granted to members of the Board of Directors</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 103.05pt; text-align: justify; text-indent: -0.25in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 5.8pt 0pt 1.25in; text-align: justify; text-indent: 0in">On January
20, 2020, the Company’s Board of Directors approved the grant of 212,800 options to Board of Directors. The fair value of
the options calculated on the date of grant using the binomial option valuation model was estimated at $391 thousands. The grant
of the options to the Board of Directors is subject to the approval of the General Meeting of Shareholders of the Company that
is expected to take place by March 2020.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 103.05pt; text-align: justify; text-indent: -0.25in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 0.75in"></td><td style="width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">e.</font></td><td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Change
of Awards during the Year</u></font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 103.05pt; text-align: justify; text-indent: -0.25in">  </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 5.8pt 0pt 1.25in; text-align: justify; text-indent: 0in">The following
table lists the number of share options, the weighted average exercise prices of share options and changes in share options grants
during the year:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0in"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-left: 9pt; text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="6" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2019</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="6" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2018</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="6" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2017</b></font></td>
<td style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 9pt; text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Number of<br />
Options</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Weighted<br />
Average<br />
Exercise<br />
Price</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Number of<br />
Options</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Weighted<br />
Average<br />
Exercise<br />
Price</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Number of<br />
Options</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Weighted<br />
Average<br />
Exercise<br />
Price</b></font></td>
<td style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 9pt; text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>In NIS</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>In NIS</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>In NIS</b></font></td>
<td style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="width: 28%; padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Outstanding at beginning of year</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">2,445,597</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">29.99</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">2,572,372</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">32.47</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">2,487,236</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">35.20</font></td>
<td style="width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="padding-left: 0.25in; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Granted</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">443,800</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">20.64</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">617,825</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">19.02</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">458,950</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">21.10</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="padding-left: 0.25in; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Exercised</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(67,470</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">32.30</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(53,584</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">15.77</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(10,659</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">18.19</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="padding-left: 0.25in; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Forfeited</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(485,373</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">16.98</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(691,016</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">30.51</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(363,155</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">35.70</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Outstanding at end of year</font></td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">2,336,554</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">27.87</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">2,445,597</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">29.99</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">2,572,372</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">32.47</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Exercisable at end of year</font></td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,412,023</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">33.17</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,406,048</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">38.02</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,755,253</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">38.69</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">The weighted average remaining contractual life for the share options</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">3.39</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">3.63</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">3.22</font></td>
<td> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 5.8pt 0pt 1.25in; text-align: justify; text-indent: 0in">The range
of exercise prices for share options outstanding as of December 31, 2018 and 2019 were NIS 15- NIS 57. Exercise is by cashless
method.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 0.75in"></td><td style="width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">f.</font></td><td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
following table lists the number of RSs and changes in RSs grants during the year:</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td> </td>
<td> </td>
<td colspan="10" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Number of RSs</b></font></td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2019</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2018</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2017</b></font></td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td> </td>
<td> </td>
<td colspan="2" style="text-align: right"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: right"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="width: 64%"><font style="font: 10pt Times New Roman, Times, Serif">Outstanding at beginning of year</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">139,706</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">76,512</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">27,333</font></td>
<td style="width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td><font style="font: 10pt Times New Roman, Times, Serif">Granted</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">69,725</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">96,308</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">58,835</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td><font style="font: 10pt Times New Roman, Times, Serif">End of restriction period</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(18,643</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(23,572</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(7,656</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td><font style="font: 10pt Times New Roman, Times, Serif">Forfeited</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(44,892</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(9,542</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(2,000</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td><font style="font: 10pt Times New Roman, Times, Serif">Outstanding at end of year</font></td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">145,896</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">139,706</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">76,512</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td><font style="font: 10pt Times New Roman, Times, Serif">The weighted average remaining contractual life for the restricted share</font></td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">2.78</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">3.21</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"> </td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">3.54</font></td>
<td> </td></tr>
</table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 0.75in"></td><td style="width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">g.</font></td><td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Measurement
of the fair value of share options:</u></font></td>
</tr></table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.75in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif">The
Company uses the binomial model when estimating the grant date fair value of equity-settled share options. The measurement was
made at the grant date of equity-settled share options since the options were granted to employees and Board of Directors members.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.75in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif">The
following table lists the inputs to the binomial model used for the fair value measurement of equity-settled share options for
the above plan:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: left"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Dividend yield (%)</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center">-</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center">-</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center">-</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Expected volatility of the share prices (%)</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">23-41</font></td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">25-39</font></td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">37-45</font></td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Risk-free interest rate (%)</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">0.3 – 1.7</font></td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">0.2-2.0</font></td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">0.1-1.83</font></td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; width: 67%; text-align: left">Contractual term of up to (years)</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 9%; text-align: center">6.5</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 9%; text-align: center">6.5</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 9%; text-align: center">6.5</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Exercise multiple</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center">2</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center">2</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center">2</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Weighted average share prices (NIS)</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">19.17-19.65</font></td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">18.49-21.17</font></td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">16.05-16.44</font></td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Expected average forfeiture rate (%)</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2-6</font></td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">1-5</font></td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">1-5</font></td><td style="padding-right: 0; text-align: left"> </td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify"><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 0.75in; text-align: left"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b>Note
21: -</b></font></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: justify"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b>Taxes
on Income</b></font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: -28.35pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">a.</font></td><td style="padding-right: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Tax
laws applicable to the Company</u></font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 113.4pt; text-align: justify; text-indent: -28.35pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Law
for the Encouragement of Industry (Taxes), 1969 </u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 113.4pt; text-align: justify; text-indent: -28.35pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif">The
Law for the Encouragement of Industry (Taxes), 1969 (the “Encouragement of Industry Law”), provides several tax
benefits for “Industrial Companies.” Pursuant to the Encouragement of Industry Law, a company qualifies as an
Industrial Company if it is a resident of Israel and at least 90% of its income in any tax year (exclusive of income from
certain defense loans) is generated from an “Industrial Enterprise” that it owns. An Industrial Enterprise is
defined as an enterprise whose principal activity, in a given tax year, is industrial activity.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif">An
Industrial Company is entitled to certain tax benefits, including: (i) a deduction of the cost of purchases of patents, know-how
and certain other intangible property rights (other than goodwill) used for the development or promotion of the Industrial Enterprise
in equal amounts over a period of eight years, beginning from the year in which such rights were first used, (ii) the right to
elect to file consolidated tax returns, under certain conditions, with additional Israeli Industrial Companies under its control,
and (iii) the right to deduct expenses related to public offerings in equal amounts over a period of three years beginning from
the year of the offering.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Eligibility
for benefits under the Encouragement of Industry Law is not contingent upon the approval of any governmental authority. The Company
believes that it currently qualifies as an industrial company within the definition of the Industry Encouragement Law. The Company
cannot confirm that the Israeli tax authorities will agree that the Company qualifies, or, if qualified, that it will continue
to qualify as an industrial company or that the benefits described above will be available to the Company in the future.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 113.4pt; text-align: justify; text-indent: -28.35pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Law
for the Encouragement of Capital Investments, 1959</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: 24.5pt; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Tax
benefits prior to Amendment 60</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: 28.35pt; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif">The
Company’s facilities in Israel have been granted Approved Enterprise status under the Law for the Encouragement of
Capital Investments, 1959, commonly referred to as the “Investment Law”. The Investment Law provides that capital
investments in a production facility (or other eligible assets) may be designated as an Approved Enterprise. Until 2005, the
designation required advance approval from the Investment Center of the Israel Ministry of Industry, Trade and Labor. Each
certificate of approval for an Approved Enterprise (“Certificate of Approval”) relates to a specific investment
program, delineated both by the financial scope of the investment and by the physical characteristics of the facility or the
asset.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif">Under
the Approved Enterprise programs, a company is eligible for governmental grants (“Grants Track”). Under the Grants
Track the Company is eligible for investments grants awarded at various rates according to the development area in which the plant
is located: in Development Zone A the rate is 24% and in Development Zone B the rate is 10%. In addition to the above grants,
the Company is eligible to tax exemption at the first two years of the benefit period (as define below) and is subject to reduced
corporate tax of 10% to 25% during the remaining five to eight years (depending on the extent of foreign investment in the Company)
of the benefit period. The benefits period is limited to the earlier of 12 years from completion of the investment or commencement
of production (“Year of Operation”), or 14 years from the year in which the certificate of approval was obtained.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif">The
benefit period for part of the Company plants has ended by 2017.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif">Under
the Investment Law a company may elect to receive an alternative package comprised of tax benefits (“Alternative
Track”) instead of the above mentioned grants Track. Under the Alternative Track, a company’s undistributed
income derived from an Approved Enterprise is exempt from corporate tax for an initial period of two to ten years (depending
on the geographic location of the Approved Enterprise within Israel which begins in the first year that the Company realizes
taxable income from the Approved Enterprise following the year of operation (as define below). After expiration of the
initial tax exemption period, the Company is eligible for a reduced corporate tax rate of 10% to 25% for the following five
to eight years, depending on the extent of foreign investment in the Company (as shown in the table below). The benefits
period is limited to 12 years from the Year of Operation, or 14 years from the year in which the certificate of approval was
obtained, whichever is earlier.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif"><u>Tax
benefits under Amendment 60</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif">On
April 1, 2005, an amendment to the Investment Law was effected (“Amendment 60”). The amendment revised the criteria
for investments qualified to receive tax benefits. An eligible investment program under the amendment will qualify for benefits
as a Privileged Enterprise (rather than the previous terminology of Approved Enterprise).</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif">Pursuant
to the Amendment, to be entitled to receive the tax benefits, a company must make an investment in the Privileged Enterprise exceeding
a certain percentage or a minimum amount specified in the Investments Law. Such investment may be made over a period of no more
than three years ending at the end of the year in which the company requested to have the tax benefits apply to the Privileged
Enterprise (the “Year of Election”).</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif">The
Company received a Tax Ruling from the Israeli Tax Authority that its activity is an industrial activity and the Company will
be eligible for the status of a Privileged Enterprise, provided that it meets the requirements under the ruling. The Year of Election
is 2009.The Company also obtained 2012 as a Year of Election.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif">The
duration of tax benefits is subject to a limitation of the earlier of 7 to 10 years (depending on the extent of foreign investment
in the company) from the first year in which the company generated taxable income (at, or after, the year of election) , or 12
years from the first day of the Year of Election. The amendment does not apply to investment programs approved prior to December 31,
2004. The new tax regime applies to new investment programs only.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif">The
tax benefits available under Approved Enterprise or Privileged Enterprise relate only to taxable income attributable to the specific
Approved Enterprise or Privileged Enterprise, and the Company’s effective tax rate will be the result of a weighted combination
of the applicable rates.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; background-color: white"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; background-color: white"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"><b>Tax Exemption Period</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Reduced Tax Period</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Rate of Reduced Tax</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Percent of Foreign Ownership</b></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; text-align: left">2/10 years</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 11%; text-align: center">5/0 years</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 9%; text-align: right">25</td><td style="padding-right: 0; width: 1%; text-align: left">%</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 11%; text-align: center">0-25%</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">2/10 years</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center">8/0 years</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">25</td><td style="padding-right: 0; text-align: left">%</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center">25-49%</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">2/10 years</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center">8/0 years</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">20</td><td style="padding-right: 0; text-align: left">%</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center">49-74%</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">2/10 years</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center">8/0 years</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">15</td><td style="padding-right: 0; text-align: left">%</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center">74-90%</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">2/10 years</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center">8/0 years</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">10</td><td style="padding-right: 0; text-align: left">%</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: center">90-100%</td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; background-color: white"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif">The
benefits available to an Approved Enterprise and a Privileged Enterprise are conditioned upon terms stipulated in the Investment
Law and the related regulations and the criteria (for an Approved Enterprise) set forth in the applicable certificate of approval.
If the Company does not fulfill these conditions, in whole or in part, the benefits can be cancelled and may be required to refund
the amount of the benefits, linked to the Israeli consumer price index plus interest. The Company believes that its Privileged
Enterprise programs currently operate in compliance with all applicable conditions and criteria.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif">In
the event that a company declares and pays dividends from tax-exempt income, the company will be taxed on the otherwise exempt
income at the same reduced corporate tax rate that would have applied to that income. Payment of dividends derived from income
that was taxed at reduced rates, but not tax-exempt, does not result in additional tax consequences to the company. Shareholders
who receive dividends derived from Approved Enterprise or Privileged Enterprise income are generally taxed at a rate of 15%, which
is withheld and paid by the company paying the dividend, if the dividend is distributed during the benefits period or within the
following 12 years (the limitation does not apply to a Foreign Investors Company, which is a company that more than 25% of its
shares owned by non-Israeli residents).</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif"><u>Preferred
Enterprise </u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><i> </i></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif">Tax
Benefits under the 2011 Amendment</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif">As
of January 1, 2011 new legislation amending to the Investment Law was effected (the “2011 Amendment”). Pursuant to
the amendment a new status of “Preferred Company” and “Preferred Enterprise”, replacing the existed status
of “Privileged Company” and “Privileged Enterprise”. Similarly to “Beneficiary Company”, a
Preferred Company is an industrial company owning a Preferred Enterprise which meets certain conditions (including a minimum threshold
of 25% export). However, under this new legislation the requirement for a minimum investment in productive assets was cancelled.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif">Under
the 2011 Amendment, a uniform corporate tax rate will apply to all qualifying income of the Preferred Company, as opposed to the
former law, which was limited to income from the Approved Enterprises and Beneficiary Enterprise during the</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif">benefits
period. The uniform corporate tax rate will be 7% in Development Area A, and 12.5% elsewhere in Israel.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif">On
August 5, 2013, the “Knesset” issued the Law for Changing National Priorities (Legislative Amendments for Achieving
Budget Targets for 2013 and 2014), which consists of Amendment 71 to the Encouragement Law (“the Amendment”). According
to the Amendment, the tax rate on preferred income from a Preferred Enterprise in 2014 and onwards will be 9% in Development Area
A, and 16% elsewhere in Israel.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif">The
Amendment also prescribes that any dividends distributed to individuals or foreign residents from the preferred enterprise’s earnings
as above will be subject to tax at a rate of 20% from 2014 and onwards (or a reduced rate under an applicable double tax treaty).
Upon a distribution of a dividend to an Israeli company, no withholding tax is remitted.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: -56.7pt"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif">In
December 2016, the Israeli “Knesset” amended the Investment Law. According to the amendment, effective from January
1, 2017 the tax rate on:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0; background-color: white"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1.25in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">1.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Preferred
income from a preferred enterprise will be 16% (in development area A – 7.5% instead
of 9%).</font></td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0; background-color: white"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1.25in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">2.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Preferred
income resulting from IP in a preferred technology enterprise will be 12% (in development
area A – 7.5%).</font></td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0; background-color: white"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1.25in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">3.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Preferred
income resulting from IP in a special preferred technology enterprise will be 6%.</font></td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0; background-color: white"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1.25in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">4.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Any
dividends distributed from technology enterprise earnings to a foreign company that qualifies
the provisions that are detailed in the law, will be subject to tax at a rate of 4%.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; background-color: white"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company has evaluated the effect of the adoption of the Amendment on its tax position, and as of the date of the approval of the
financial statements, the Company believes that it will not apply the Amendment. The Company may elect to adopt the amendment
in the future.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: -28.35pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 0.75in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">b.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Tax
rates applicable to the Company (other than the applicable preferred tax)</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif">In
December 2016, the Israeli “Knesset” approved, as part of the economic efficiency law (Legislative Amendments for Achieving
Budget Targets for 2017 and 2018), a reduction of the corporate tax rate in 2017 from 25% to 24%, and in 2018 from 24% to 23%.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif">The
Israeli corporate income tax rate was 23% in 2019 and 2018 and 24% in 2017.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in">c.</td><td style="padding-right: 0"><u>Tax assessments</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify">The Company has finalized tax assessments through
the end of tax year 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in">d.</td><td style="padding-right: 0"><u>Carry forward losses for tax purposes and other temporary differences</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify">As of December 31, 2019,
the Company has carry forward losses and other temporary differences in the amount of $ 47,400 thousands. Final tax assessments
for the years 2015 onwards could have an impact on the balance of carry forward tax losses for which deferred tax asset was not
recognized. During 2019, the Company recorded deferred tax asset at an amount of $ 1,311 thousands representing utilization of
$ 20,484 thousands of its carry forward losses in the foreseeable future. The Company did not record deferred tax asset for the
remaining portion of its carry forward losses due to estimation that their utilization in the foreseeable future is not probable.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in">e.</td><td style="padding-right: 0"><u>Uncertain
tax positions</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 82.4pt; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify">The Company analyzed uncertainty
involving income taxes on its financial statements and whether it has any potential impact on the financial statements. As of December
31, 2019 and 2018, the application of IFRIC 23 did not have a material effect on the financial statements.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 82.4pt; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in">f.</td><td style="padding-right: 0"><u>Deferred taxes:</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify">The Company initially recorded deferred tax
assets for carry forward losses and other temporary differences, as their utilization in the foreseeable future is estimated to
be probable. Below is the roll forward for deferred taxes:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify; text-indent: -28.35pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: left"><b> </b></td><td style="padding-right: 0"><b> </b></td>
<td colspan="2" style="padding-right: 0; text-align: center"><b>Total</b></td><td style="padding-right: 0"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; padding-bottom: 1.5pt; text-align: center"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>U.S Dollars<br />
in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 88%; text-align: left">Balance at January 1, 2019</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">2,048</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Amount carried to profit and loss</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">(726</td><td style="padding-right: 0; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">Amount carried to other comprehensive income</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">(11</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; padding-bottom: 4pt; text-align: left">Balance as of December 31, 2019</td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">1,311</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 63.8pt; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: justify">Deferred tax liabilities have not
been recognized for the immaterial temporary differences associated with investments in subsidiaries because the disposal of these
subsidiaries in the foreseeable future is not probable and because distributions of dividends by these companies are not subject
to tax.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 63.8pt; text-align: justify"> </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: top">
<td style="width: 12%"> </td>
<td style="width: 5%; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">g.</font></td>
<td style="width: 83%; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif"><u>Composition:</u></font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">  </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 2.85pt; text-align: center"><b>Statements
of</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 2.85pt; text-align: center"><b>financial position</b></p></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td colspan="10" style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 2.85pt; text-align: center"><b>Statements
of</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 2.85pt; text-align: center"><b>profit or loss</b></p></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">Year ended December 31,</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2017</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td colspan="18" style="border-bottom: Black 1.5pt solid; font: bold 10pt Times New Roman, Times, Serif; text-align: center">U.S Dollars in thousands</td><td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt">Deferred tax liabilities:</td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; width: 40%; font-size: 10pt; text-align: left">Financial assets measured at fair value through other comprehensive income</td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 9%; font-size: 10pt; text-align: right">(32</td><td style="width: 1%; font-size: 10pt; text-align: left">)</td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 9%; font-size: 10pt; text-align: right">(12</td><td style="width: 1%; font-size: 10pt; text-align: left">)</td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 9%; font-size: 10pt; text-align: right"> </td><td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 9%; font-size: 10pt; text-align: right"> </td><td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 9%; font-size: 10pt; text-align: right"> </td><td style="width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; padding-bottom: 1.5pt; text-indent: -8.5pt; padding-left: 8.5pt">Revaluation of derivatives</td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right">(4</td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left">)</td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-align: left; text-indent: -8.5pt; padding-left: 8.5pt">Deferred tax assets:</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-align: left; text-indent: -8.5pt; padding-left: 8.5pt">Carryforward tax losses</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">1,330</td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">2,056</td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">(726</td><td style="font-size: 10pt; text-align: left">)</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">(1,944</td><td style="font-size: 10pt; text-align: left">)</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">-</td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; text-align: left; text-indent: -8.5pt; padding-left: 8.5pt">Employee benefits</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">25</td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">1</td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-indent: -8.5pt; padding-left: 8.5pt">Issuance of sheers</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; padding-bottom: 1.5pt; text-indent: -8.5pt; padding-left: 8.5pt">Revaluation of derivatives</td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right">3</td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; text-align: left; padding-bottom: 4pt; text-indent: -8.5pt; padding-left: 8.5pt">Deferred tax income (expenses)</td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">(726</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left">)</td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">(1,944</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left">)</td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; text-align: left; padding-bottom: 4pt; text-indent: -8.5pt; padding-left: 8.5pt">Deferred tax assets, net</td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">1,311</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">2,048</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 63.8pt; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify">The deferred
taxes are reflected in the statement of financial position as follows:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">NIS in thousands</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="width: 76%; font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 9%; font-size: 10pt; text-align: right"> </td><td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 9%; font-size: 10pt; text-align: right"> </td><td style="width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; text-align: left; padding-bottom: 1.5pt; text-indent: -8.5pt; padding-left: 8.5pt">Non-current assets</td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right">1,311</td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right">2,048</td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"> <font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">h.</font></td><td style="padding-right: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Taxes
on income</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 63.8pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-weight: bold; text-align: center">Year ended December 31,</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-weight: bold; text-align: center">2019</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-weight: bold"> </td><td style="padding-right: 0; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-weight: bold; text-align: center">2018</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-weight: bold"> </td><td style="padding-right: 0; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-weight: bold; text-align: center">2017</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; text-align: left">Current taxes</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">-</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">-</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">129</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Deferred tax expenses (income)</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">726</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">(1,944</td><td style="padding-right: 0; text-align: left">)</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">-</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Taxes in respect of prior years</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">4</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">(11</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">140</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left; padding-bottom: 4pt">Taxes on income</td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">730</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">(1,955</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left">)</td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">269</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 63.8pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">i.</font></td><td style="padding-right: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Theoretical
tax</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 63.8pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.25in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
table below represent the reconciliation between the statutory tax rate and the effective tax rate as recorded in profit or loss</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 63.8pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font: bold 10pt Times New Roman, Times, Serif"> </td>
<td colspan="2" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center">Year ended December 31,</td><td style="font: bold 10pt Times New Roman, Times, Serif"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: bold 10pt Times New Roman, Times, Serif; text-align: center">2019</td><td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: bold 10pt Times New Roman, Times, Serif; text-align: center">U.S. Dollars in thousands</td><td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; width: 88%; text-align: left; padding-bottom: 4pt">Gain before taxes on income</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right">22,981</td><td style="font: 10pt Times New Roman, Times, Serif; width: 1%; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 4pt">Statutory tax rate</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">23</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left">%</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left">Tax calculated using the statutory tax rate</td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">5,286</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: bold 10pt Times New Roman, Times, Serif; text-align: left">Increase (decrease) in taxes resulting from permanent differences - the tax effect:</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left">Adjustment of deferred tax balances following a change in tax rates</td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">(356</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left">Taxable income with preferred income tax rates by virtue of the Encouragement Law</td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">(3,747</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left">Tax exempt income, income subject to special tax rates and nondeductible expenses and other</td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">(105</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left">Increase in unrecognized tax losses in the year</td><td style="font: 10pt Times New Roman, Times, Serif"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; text-align: right">(352</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 1.5pt">Prior year taxes</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right">4</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 4pt">Tax on income</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">730</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 4pt">Effective tax rate</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left"> </td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right">3.2</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left">%</td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 63.8pt; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold; text-align: center">Year ended December 31,</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; width: 88%; text-align: left; padding-bottom: 4pt; text-indent: -8.5pt; padding-left: 8.5pt">Gain before  taxes on income</td><td style="width: 1%; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; font-size: 10pt; text-align: right">20,341</td><td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 4pt; text-indent: -8.5pt; padding-left: 8.5pt">Statutory tax rate</td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">23</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left">%</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; text-indent: -8.5pt; padding-left: 8.5pt">Tax calculated using the statutory tax rate</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">4,678</td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; text-indent: -8.5pt; padding-left: 8.5pt">Carry-forward tax losses utilization for which no deferred taxes were provided, net</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">(4,678</td><td style="font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; text-indent: -8.5pt; padding-left: 8.5pt">Temporary differences for which deferred taxes are initially recognized</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">(1,944</td><td style="font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; text-indent: -8.5pt; padding-left: 8.5pt">Prior year taxes</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">(11</td><td style="font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; padding-bottom: 1.5pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 4pt">Tax on income</td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">(1,955</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 4pt">Effective tax rate</td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">9.6</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left">%</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 63.8pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; font-weight: bold"> </td>
<td colspan="2" style="padding-right: 0; font-weight: bold; text-align: center">Year ended December 31,</td><td style="padding-right: 0; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-weight: bold; text-align: center">2019</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 88%; text-align: left; padding-bottom: 4pt">Gain before taxes on income</td><td style="padding-right: 0; width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; width: 9%; text-align: right">22,981</td><td style="padding-right: 0; width: 1%; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left; padding-bottom: 4pt">Statutory tax rate</td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">23</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left">%</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Tax calculated using the statutory tax rate</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">5,285</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Tax benefit arising from preferred income tax rates by virtue
of the Encouragement Law</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">[        </td><td style="padding-right: 0; text-align: left">]</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Temporary differences for which deferred taxes are initially recognized</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">Prior year taxes</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">4</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left; padding-bottom: 4pt">Tax on income</td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">730</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left; padding-bottom: 4pt">Effective tax rate</td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">3.2</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left">%</td></tr></table>
<p style="margin-top: 0; margin-bottom: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold; text-align: center">Year ended December 31,</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; width: 88%; text-align: left; padding-bottom: 4pt; text-indent: -8.5pt; padding-left: 8.5pt">Gain before  taxes on income</td><td style="width: 1%; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; font-size: 10pt; text-align: right">20,341</td><td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 4pt; text-indent: -8.5pt; padding-left: 8.5pt">Statutory tax rate</td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">23</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left">%</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; text-indent: -8.5pt; padding-left: 8.5pt">Tax calculated using the statutory tax rate</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">4,678</td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; text-indent: -8.5pt; padding-left: 8.5pt">Carry-forward tax losses utilization for which no deferred taxes were provided, net</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">(4,678</td><td style="font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; text-indent: -8.5pt; padding-left: 8.5pt">Temporary differences for which deferred taxes are initially recognized</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">(1,944</td><td style="font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; text-indent: -8.5pt; padding-left: 8.5pt">Prior year taxes</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">(11</td><td style="font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; padding-bottom: 1.5pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 4pt">Tax on income</td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">(1,955</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-align: left; padding-bottom: 4pt">Effective tax rate</td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">9.6</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left">%</td></tr>
</table>
<p style="font: small-caps 10pt Times New Roman, Times, Serif; text-align: left; margin-top: 0pt; margin-right: 0; margin-bottom: 0pt"><b>Note 23: - Income (loss) Per Share</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 51.8pt"></td><td style="width: 30.6pt">a.</td><td><u>Details of the number of shares and income (loss) used in the computation of income (loss) per share</u></td></tr></table>
<p style="margin-top: 0; margin-bottom: 0; text-align: left">  </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; text-indent: -0.125in; padding-left: 0.125in"> </td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="22" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0">Year Ended</p> <p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0">December 31,</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"></p></td><td style="padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; text-indent: -0.125in; padding-left: 0.125in; font-weight: bold"> </td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>2017</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b></b></p>
</td><td style="padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in; font-weight: bold"> </td><td> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>Weighted Number of Shares</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b></b></p></td><td> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Income Attributed to equity holders of the Company</td><td style="font-weight: bold"> </td><td> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>Weighted Number of Shares</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b></b></p></td><td> </td><td> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>Income Attributed to equity holders of the Company</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b></b></p></td><td> </td><td> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>Weighted Number of Shares</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b></b></p></td><td> </td><td> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>Loss Attributed to equity holders of the Company</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"></p></td><td> </td></tr>
<tr style="vertical-align: bottom">
<td style="white-space: nowrap; text-indent: -0.125in; padding-left: 0.125in; font-weight: bold"> </td><td style="white-space: nowrap; font-weight: bold"> </td>
<td colspan="2" style="white-space: nowrap; font-weight: bold; text-align: center"> </td><td style="white-space: nowrap; font-weight: bold"> </td><td style="white-space: nowrap"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; white-space: nowrap; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>U.S. Dollars<br />
in thousands</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"></p></td><td style="white-space: nowrap"> </td><td style="white-space: nowrap; font-weight: bold"> </td>
<td colspan="2" style="white-space: nowrap; font-weight: bold; text-align: center"> </td><td style="white-space: nowrap; font-weight: bold"> </td><td style="white-space: nowrap"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; white-space: nowrap; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>U.S. Dollars<br />
in thousands</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b></b></p></td><td style="white-space: nowrap"> </td><td style="white-space: nowrap; font-weight: bold"> </td>
<td colspan="2" style="white-space: nowrap; font-weight: bold; text-align: center"> </td><td style="white-space: nowrap; font-weight: bold"> </td><td style="white-space: nowrap"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; white-space: nowrap; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>U.S. Dollars<br />
in thousands</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b></b></p></td><td style="white-space: nowrap"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 28%; text-align: left">For the computation of basic income (loss)</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">40,320,888</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">22,251</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">40,275,374</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">22,296</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">37,970,697</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">6,901</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1.5pt; text-indent: -0.125in; padding-left: 0.125in">Effect of potential dilutive ordinary shares</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">260,739</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">170,043</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">74,400</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left"></td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt">For the computation of diluted income (loss)</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">40,581,627</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">22,251</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">40,445,417</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">22,296</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">38,045,097</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">6,901</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="margin-top: 0; margin-bottom: 0; text-align: left"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 51.8pt"></td><td style="width: 30.6pt">b.</td><td style="padding-right: 5.85pt">The computation of the diluted income per share for the years ending December 31, 2019, 2018
and 2017 took into account the options and RSs due to their dilutive effect.</td></tr></table>
<p style="font: small-caps 10pt Times New Roman, Times, Serif; text-align: justify; margin-top: 0pt; margin-bottom: 0pt"><b></b><b>Note</b> <b>24: - Operating Segments</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 0.5in"></td><td style="width: 0.5in">a.</td><td><u>General</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0in 0pt 1in; text-align: justify">The operating segments
are identified on the basis of information that is reviewed by the chief operating decision makers (“CODM”) to make
decisions about resources to be allocated and assess its performance. Accordingly, for management purposes, the Company is organized
into operating segments based on the products and services of the business units and has two operating segments as follows:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 5.85pt 0pt 82.4pt; text-align: justify"> </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: top">
<td style="white-space: nowrap; padding-left: 1.125in; width: 35%">Proprietary Products </td>
<td style="text-align: justify; width: 65%">Development, manufacturing, sales and distribution of plasma-derived protein therapeutics.</td></tr>
<tr style="vertical-align: top">
<td style="white-space: nowrap; padding-left: 1.125in; padding-right: 21.1pt"> </td>
<td style="padding-right: 21.1pt"> </td></tr>
<tr style="vertical-align: top">
<td style="white-space: nowrap; padding-left: 1.125in">Distribution</td>
<td style="text-align: justify">Distribute imported drug products in Israel, which are manufactured by third parties.</td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 21.1pt 0pt 202.45pt; text-indent: -104.8pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin-left: 1in; margin-top: 0pt; margin-bottom: 0pt; text-align: justify">Segment performance is evaluated
based on revenues and gross profit in the financial statements.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin-left: 1in; margin-top: 0pt; margin-bottom: 0pt; text-align: justify">The segment results reported
to the CODM include items that are allocated directly to the segments and items that can be allocated on a reasonable basis. Items
that were not allocated, mainly the Company’s headquarter assets, research and development costs, sales and marketing costs,
general and administrative costs and financial costs (consisting of finance expenses and finance income and including fair value
adjustments of financial instruments), are managed on a Company basis.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin-left: 1in; margin-top: 0pt; margin-bottom: 0pt; text-align: justify">The segment liabilities do not
include loans and financial liabilities as these liabilities are managed on a group basis.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">   </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 0.5in"></td><td style="width: 0.5in">b.</td><td><u>Reporting on operating segments</u></td></tr></table>
<p style="margin-top: 0; margin-bottom: 0; text-align: left"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-indent: -0.25in; padding-left: 0.25in; font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Proprietary Products</td><td style="font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Distribution</td><td style="font-weight: bold"> </td><td> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">Total</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"></p></td><td> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; text-indent: -0.25in; padding-left: 0.25in; font-weight: bold"> </td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.25in; padding-left: 0.25in; font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="10" style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.25in; padding-left: 0.25in; font-weight: normal">Year Ended December 31, 2019</td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.25in; padding-left: 0.25in; width: 64%; font-weight: normal">Revenues</td><td style="width: 1%; font-weight: normal"> </td>
<td style="width: 1%; font-weight: normal; text-align: left">$</td><td style="width: 9%; font-weight: normal; text-align: right">97,696</td><td style="width: 1%; font-weight: normal; text-align: left"> </td><td style="width: 1%; font-weight: normal"> </td>
<td style="width: 1%; font-weight: normal; text-align: left">$</td><td style="width: 9%; font-weight: normal; text-align: right">29,491</td><td style="width: 1%; font-weight: normal; text-align: left"> </td><td style="width: 1%; font-weight: normal"> </td>
<td style="width: 1%; font-weight: normal; text-align: left">$</td><td style="width: 9%; font-weight: normal; text-align: right">127,187</td><td style="width: 1%; font-weight: normal; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.25in; padding-left: 0.25in; font-weight: normal; text-align: left">Gross profit</td><td style="font-weight: normal"> </td>
<td style="font-weight: normal; text-align: left">$</td><td style="font-weight: normal; text-align: right">45,271</td><td style="font-weight: normal; text-align: left"> </td><td style="font-weight: normal"> </td>
<td style="font-weight: normal; text-align: left">$</td><td style="font-weight: normal; text-align: right">4,466</td><td style="font-weight: normal; text-align: left"> </td><td style="font-weight: normal"> </td>
<td style="font-weight: normal; text-align: left">$</td><td style="font-weight: normal; text-align: right">49,737</td><td style="font-weight: normal; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.25in; padding-left: 0.25in; font-weight: normal; text-align: left">Unallocated corporate expenses</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: normal"> </td>
<td style="font-weight: normal; text-align: left"> </td><td style="font-weight: normal; text-align: right">(26,953</td><td style="font-weight: normal; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.25in; padding-left: 0.25in; font-weight: normal; text-align: left">Finance income, net</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: normal"> </td>
<td style="font-weight: normal; text-align: left"> </td><td style="font-weight: normal; text-align: right">197</td><td style="font-weight: normal; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.25in; padding-left: 0.25in; font-weight: bold"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.25in; padding-left: 0.25in; padding-bottom: 4pt; font-weight: normal; text-align: left">Income before taxes on income</td><td style="padding-bottom: 4pt"> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-weight: normal"> </td>
<td style="border-bottom: Black 4pt double; font-weight: normal; text-align: left">$</td><td style="border-bottom: Black 4pt double; font-weight: normal; text-align: right">22,981</td><td style="padding-bottom: 4pt; font-weight: normal; text-align: left"> </td></tr>
</table>
<p style="margin-top: 0; margin-bottom: 0; text-align: left"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td><font style="font-size: 10pt"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-size: 10pt"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-size: 10pt">Proprietary
Products</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-size: 10pt"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-size: 10pt"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-size: 10pt">Distribution</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-size: 10pt"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-size: 10pt"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-size: 10pt">Total</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-size: 10pt"> </font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font-size: 10pt"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-size: 10pt"> </font></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-size: 10pt">U.S
Dollars in thousands</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-size: 10pt"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"><font style="font-size: 10pt"> </font></td><td style="font-weight: bold"><font style="font-size: 10pt"> </font></td>
<td colspan="10" style="font-weight: bold; text-align: center"><font style="font-size: 10pt"> </font></td><td style="font-weight: bold"><font style="font-size: 10pt"> </font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font-size: 10pt">Year Ended December 31, 2018</font></td><td><font style="font-size: 10pt"> </font></td>
<td colspan="2"><font style="font-size: 10pt"> </font></td><td><font style="font-size: 10pt"> </font></td><td><font style="font-size: 10pt"> </font></td>
<td colspan="2"><font style="font-size: 10pt"> </font></td><td><font style="font-size: 10pt"> </font></td><td><font style="font-size: 10pt"> </font></td>
<td colspan="2"><font style="font-size: 10pt"> </font></td><td><font style="font-size: 10pt"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 64%; padding-left: 0in"><font style="font-size: 10pt">Revenues</font></td><td style="width: 1%"><font style="font-size: 10pt"> </font></td>
<td style="width: 1%; text-align: left"><font style="font-size: 10pt">$</font></td><td style="width: 9%; text-align: right"><font style="font-size: 10pt">90,784</font></td><td style="width: 1%; text-align: left"><font style="font-size: 10pt"> </font></td><td style="width: 1%"><font style="font-size: 10pt"> </font></td>
<td style="width: 1%; text-align: left"><font style="font-size: 10pt">$</font></td><td style="width: 9%; text-align: right"><font style="font-size: 10pt">23,685</font></td><td style="width: 1%; text-align: left"><font style="font-size: 10pt"> </font></td><td style="width: 1%"><font style="font-size: 10pt"> </font></td>
<td style="width: 1%; text-align: left"><font style="font-size: 10pt">$</font></td><td style="width: 9%; text-align: right"><font style="font-size: 10pt">114,469</font></td><td style="width: 1%; text-align: left"><font style="font-size: 10pt"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-left: 0in"><font style="font-size: 10pt">Gross profit</font></td><td><font style="font-size: 10pt"> </font></td>
<td style="text-align: left"><font style="font-size: 10pt">$</font></td><td style="text-align: right"><font style="font-size: 10pt">37,988</font></td><td style="text-align: left"><font style="font-size: 10pt"> </font></td><td><font style="font-size: 10pt"> </font></td>
<td style="text-align: left"><font style="font-size: 10pt">$</font></td><td style="text-align: right"><font style="font-size: 10pt">3,484</font></td><td style="text-align: left"><font style="font-size: 10pt"> </font></td><td><font style="font-size: 10pt"> </font></td>
<td style="text-align: left"><font style="font-size: 10pt">$</font></td><td style="text-align: right"><font style="font-size: 10pt">41,472</font></td><td style="text-align: left"><font style="font-size: 10pt"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-left: 0in"><font style="font-size: 10pt">Unallocated corporate expenses</font></td><td><font style="font-size: 10pt"> </font></td>
<td style="text-align: left"><font style="font-size: 10pt"> </font></td><td style="text-align: right"><font style="font-size: 10pt"> </font></td><td style="text-align: left"><font style="font-size: 10pt"> </font></td><td><font style="font-size: 10pt"> </font></td>
<td style="text-align: left"><font style="font-size: 10pt"> </font></td><td style="text-align: right"><font style="font-size: 10pt"> </font></td><td style="text-align: left"><font style="font-size: 10pt"> </font></td><td><font style="font-size: 10pt"> </font></td>
<td style="text-align: left"><font style="font-size: 10pt"> </font></td><td style="text-align: right"><font style="font-size: 10pt">(22,213</font></td><td style="text-align: left"><font style="font-size: 10pt">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-left: 0in"><font style="font-size: 10pt">Finance income, net</font></td><td><font style="font-size: 10pt"> </font></td>
<td style="text-align: left"><font style="font-size: 10pt"> </font></td><td style="text-align: right"><font style="font-size: 10pt"> </font></td><td style="text-align: left"><font style="font-size: 10pt"> </font></td><td><font style="font-size: 10pt"> </font></td>
<td style="text-align: left"><font style="font-size: 10pt"> </font></td><td style="text-align: right"><font style="font-size: 10pt"> </font></td><td style="text-align: left"><font style="font-size: 10pt"> </font></td><td><font style="font-size: 10pt"> </font></td>
<td style="text-align: left"><font style="font-size: 10pt"> </font></td><td style="text-align: right"><font style="font-size: 10pt">1,082</font></td><td style="text-align: left"><font style="font-size: 10pt"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0in"><font style="font-size: 10pt"> </font></td><td><font style="font-size: 10pt"> </font></td>
<td style="text-align: left"><font style="font-size: 10pt"> </font></td><td style="text-align: right"><font style="font-size: 10pt"> </font></td><td style="text-align: left"><font style="font-size: 10pt"> </font></td><td><font style="font-size: 10pt"> </font></td>
<td style="text-align: left"><font style="font-size: 10pt"> </font></td><td style="text-align: right"><font style="font-size: 10pt"> </font></td><td style="text-align: left"><font style="font-size: 10pt"> </font></td><td><font style="font-size: 10pt"> </font></td>
<td style="text-align: left"><font style="font-size: 10pt"> </font></td><td style="text-align: right"><font style="font-size: 10pt"> </font></td><td style="text-align: left"><font style="font-size: 10pt"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 4pt; padding-left: 0in"><font style="font-size: 10pt">Income before taxes on
income</font></td><td style="padding-bottom: 4pt"><font style="font-size: 10pt"> </font></td>
<td style="padding-bottom: 4pt; text-align: left"><font style="font-size: 10pt"> </font></td><td style="padding-bottom: 4pt; text-align: right"><font style="font-size: 10pt"> </font></td><td style="padding-bottom: 4pt; text-align: left"><font style="font-size: 10pt"> </font></td><td style="padding-bottom: 4pt"><font style="font-size: 10pt"> </font></td>
<td style="padding-bottom: 4pt; text-align: left"><font style="font-size: 10pt"> </font></td><td style="padding-bottom: 4pt; text-align: right"><font style="font-size: 10pt"> </font></td><td style="padding-bottom: 4pt; text-align: left"><font style="font-size: 10pt"> </font></td><td style="padding-bottom: 4pt"><font style="font-size: 10pt"> </font></td>
<td style="border-bottom: Black 4pt double; text-align: left"><font style="font-size: 10pt">$</font></td><td style="border-bottom: Black 4pt double; text-align: right"><font style="font-size: 10pt">20,341</font></td><td style="padding-bottom: 4pt; text-align: left"><font style="font-size: 10pt"> </font></td></tr>
</table>
<p style="margin-top: 0; margin-bottom: 0; text-align: left"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; text-indent: -0.125in; padding-left: 0.125in"></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Proprietary Products</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Distribution</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Total</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; text-align: center"><b>U.S. Dollars in thousand</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td colspan="10" style="text-align: center"> </td><td> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in">Year Ended December 31, 2017</td><td> </td>
<td colspan="10" style="text-align: center"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 64%">Revenues</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">79,559</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">23,266</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">102,825</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Gross profit</td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">28,224</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">3,864</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">32,088</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Unallocated corporate expenses</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(26,644</td><td style="text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Finance expense, net</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(274</td><td style="text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 4pt">Loss before taxes on income</td><td style="padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt; text-align: right"> </td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt; text-align: right"> </td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">7,170</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
<p style="margin-top: 0; margin-bottom: 0; text-align: left"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-indent: -0.25in; padding-left: 0.25in; font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Proprietary Products</td><td style="font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Distribution</td><td style="font-weight: bold"> </td><td> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">Total</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"></p></td><td> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; text-indent: -0.25in; padding-left: 0.25in; font-weight: bold"> </td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.25in; padding-left: 0.25in; font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="10" style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.25in; padding-left: 0.25in; font-weight: normal">Year Ended December 31, 2019</td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.25in; padding-left: 0.25in; width: 64%; font-weight: normal">Revenues</td><td style="width: 1%; font-weight: normal"> </td>
<td style="width: 1%; font-weight: normal; text-align: left">$</td><td style="width: 9%; font-weight: normal; text-align: right">97,696</td><td style="width: 1%; font-weight: normal; text-align: left"> </td><td style="width: 1%; font-weight: normal"> </td>
<td style="width: 1%; font-weight: normal; text-align: left">$</td><td style="width: 9%; font-weight: normal; text-align: right">29,491</td><td style="width: 1%; font-weight: normal; text-align: left"> </td><td style="width: 1%; font-weight: normal"> </td>
<td style="width: 1%; font-weight: normal; text-align: left">$</td><td style="width: 9%; font-weight: normal; text-align: right">127,187</td><td style="width: 1%; font-weight: normal; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.25in; padding-left: 0.25in; font-weight: normal; text-align: left">Gross profit</td><td style="font-weight: normal"> </td>
<td style="font-weight: normal; text-align: left">$</td><td style="font-weight: normal; text-align: right">45,271</td><td style="font-weight: normal; text-align: left"> </td><td style="font-weight: normal"> </td>
<td style="font-weight: normal; text-align: left">$</td><td style="font-weight: normal; text-align: right">4,466</td><td style="font-weight: normal; text-align: left"> </td><td style="font-weight: normal"> </td>
<td style="font-weight: normal; text-align: left">$</td><td style="font-weight: normal; text-align: right">49,737</td><td style="font-weight: normal; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.25in; padding-left: 0.25in; font-weight: normal; text-align: left">Unallocated corporate expenses</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: normal"> </td>
<td style="font-weight: normal; text-align: left"> </td><td style="font-weight: normal; text-align: right">(26,953</td><td style="font-weight: normal; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.25in; padding-left: 0.25in; font-weight: normal; text-align: left">Finance income, net</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td style="font-weight: normal"> </td>
<td style="font-weight: normal; text-align: left"> </td><td style="font-weight: normal; text-align: right">197</td><td style="font-weight: normal; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.25in; padding-left: 0.25in; font-weight: bold"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.25in; padding-left: 0.25in; padding-bottom: 4pt; font-weight: normal; text-align: left">Income before taxes on income</td><td style="padding-bottom: 4pt"> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-weight: normal"> </td>
<td style="border-bottom: Black 4pt double; font-weight: normal; text-align: left">$</td><td style="border-bottom: Black 4pt double; font-weight: normal; text-align: right">22,981</td><td style="padding-bottom: 4pt; font-weight: normal; text-align: left"> </td></tr>
</table>
<p style="margin-top: 0; margin-bottom: 0; text-align: left"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Proprietary Products</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Distribution</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Total</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold"> </td>
<td colspan="10" style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td>Year Ended December 31, 2018</td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 64%; padding-left: 0in">Revenues</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">90,784</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">23,685</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">114,469</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-left: 0in">Gross profit</td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">37,988</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">3,484</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">41,472</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-left: 0in">Unallocated corporate expenses</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(22,213</td><td style="text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-left: 0in">Finance income, net</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,082</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 4pt; padding-left: 0in">Income before taxes on income</td><td style="padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt; text-align: right"> </td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt; text-align: right"> </td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">20,341</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="margin-top: 0; margin-bottom: 0; text-align: left"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; text-indent: -0.125in; padding-left: 0.125in"></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Proprietary Products</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Distribution</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Total</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; text-align: center"><b>U.S. Dollars in thousand</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td colspan="10" style="text-align: center"> </td><td> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in">Year Ended December 31, 2017</td><td> </td>
<td colspan="10" style="text-align: center"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 64%">Revenues</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">79,559</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">23,266</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">102,825</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Gross profit</td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">28,224</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">3,864</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">32,088</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Unallocated corporate expenses</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(26,644</td><td style="text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Finance expense, net</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(274</td><td style="text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 4pt">Loss before taxes on income</td><td style="padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt; text-align: right"> </td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt; text-align: right"> </td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">7,170</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify"><td style="width: 0.75in; text-align: left"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b>Note
25: -</b></font></td><td style="text-align: justify"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b>Balances
and Transactions with Related Parties</b></font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: -56.7pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; width: 0.75in"></td><td style="font: 10pt Times New Roman, Times, Serif; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a.</font></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Balances
with related parties</u></font></td></tr></table>
<p style="margin: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="white-space: nowrap; text-align: center"><b> </b></td><td style="white-space: nowrap; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; white-space: nowrap; text-align: center"><b>December 31,<br />
2019</b></td><td style="white-space: nowrap; padding-bottom: 1.5pt"><b> </b></td><td style="white-space: nowrap; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; white-space: nowrap; text-align: center"><b>December 31,<br />
2018</b></td><td style="white-space: nowrap; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2" style="text-align: right"> </td><td> </td><td> </td>
<td colspan="2" style="text-align: right"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left; padding-bottom: 1.5pt">Other accounts payables</td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">151</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">336</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt">Employee benefit liabilities, net</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">80</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt">Trade receivable</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,135</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: -56.7pt">  </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 0.5in"></td><td style="width: 0.5in">b.</td><td><u>Transactions with employed/directors that accounts as related parties</u></td></tr></table>
<p style="margin: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; text-align: center; font-weight: bold">Year Ended December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center; font-weight: bold">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center; font-weight: bold">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2017</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; text-align: center; font-weight: bold">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 64%; text-align: left; padding-bottom: 4pt; text-indent: -0.125in; padding-left: 0.125in">Salary and related expenses to those employed by the Company or on its behalf</td><td style="width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">311</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">352</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">460</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 4pt; text-indent: -0.125in; padding-left: 0.125in">Remuneration of directors not employed by the Company or on its behalf</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">363</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">366</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">107</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; text-indent: -0.125in; padding-left: 0.125in">Number of People to whom the Salary and remuneration Refer: </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; text-indent: -0.125in; padding-left: 0.125in">Related and related parties employed by the Company or on its behalf</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">2</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">2</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">2</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt; text-indent: -0.125in; padding-left: 0.125in">Directors not employed by the Company</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">7</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">8</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">2</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 4pt; text-indent: 0; padding-left: 0"><p style="margin: 0">Total Directors employed and not employed by the Company</p>
</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">9</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">10</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">4</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="margin: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top; text-align: justify">
<td style="width: 0.5in"></td><td style="width: 0.5in; text-align: left">c.</td><td style="text-align: justify"><u>Transactions with key executive personnel (including
non-related parties)</u></td>
</tr></table>
<p style="margin: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in; font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Year Ended December 31,</td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in; font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2017</td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: center"><b>U.S. Dollars in thousands</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></p></td><td> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 64%; text-align: left">Short-term benefits</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">3,157</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">2,766</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">2,959</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Share-based payment</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">188</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">285</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">310</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 1.5pt">Other long-term benefits</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">6</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: 0; padding-left: 0; padding-bottom: 4pt"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0">Total</p>
</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">3,345</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">3,051</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">3,275</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="margin: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top; text-align: justify">
<td style="width: 0.5in"></td><td style="width: 0.5in; text-align: left">d.</td><td style="text-align: justify"><u>Transactions with related parties</u></td>
</tr></table>
<p style="margin: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: center"> </td><td style="font-weight: bold"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Year Ended December 31,</td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in; font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2017</td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td style="font-weight: bold"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt; width: 64%">Revenues</td><td style="padding-bottom: 4pt; width: 1%"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">2,566</td><td style="padding-bottom: 4pt; width: 1%; text-align: left"> </td><td style="padding-bottom: 4pt; width: 1%"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">3,529</td><td style="padding-bottom: 4pt; width: 1%; text-align: left"> </td><td style="padding-bottom: 4pt; width: 1%"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">3,455</td><td style="padding-bottom: 4pt; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt; text-align: left">Cost of Goods Sold</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">13</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">-</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">-</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt; text-align: left">Selling and marketing expenses</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">257</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">313</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">121</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt; text-align: left">General and administrative expenses</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">447</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">408</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">446</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="margin: 0">  </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 0.5in"></td><td style="width: 0.5in">e.</td><td><u>Terms of Transactions with Related Parties </u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; margin-left: 1in; text-indent: 0in; text-align: justify">Sales
to related parties are conducted at market prices. Open account that have yet to be repaid by the end of the year by a related
party bear no interest and their settlement will be in cash and certain balances are guaranteed by letter of credit. For the years
ended December 31, 2019, 2018 and 2017, the Company recorded no allowance for doubtful accounts for trade receivable from related
parties.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0in 0pt 1.5in; text-align: justify"></p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1in"></td><td style="width: 0.5in">1.</td><td style="text-align: justify">On May 26, 2011, the Company entered into an amended agreement with Tuteur SACIFIA (“Tuteur”),
a company registered in Argentina, currently under the control of the Hahn family. Such amended agreement revises and replaces
the distribution agreement signed in 2001 between the Company and Tuteur in connection with the distribution of Glassia in Argentina
and Paraguay. The amended agreement was made as an arm’s length transaction. On August 19, 2014 the Company entered into
a subsequent amendment to the agreement, pursuant to which, the Company granted Tuteur distribution right in Argentina for its
KamRho(D) product. In addition the distribution territory and expanded to include Bolivia.</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify; text-indent: -0.25in"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0in 0pt 1.5in; text-align: justify">Pursuant to the distribution
agreement, Tuteur serves as the exclusive distributor of Glassia and KamRho(D), in Argentina, Paraguay and Bolivia. In 2016 the
Board of Directors approved a marketing contribution funding to Tuteur for reimbursement of costs associated with marketing activities
aimed to locating new AATD patients and increasing the overall number of AATD patients treated with Glassia in Argentina. Such
funding was paid by the Company in each of 2016 and 2017. In addition, in 2016 and in 2017 the Board of Directors approved extending
a price discount for KamRho(D) to Tuteur.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0in 0pt 1.5in; text-align: justify">During 2018, a third amendment
to the agreement was executed, which was effective as of July 1, 2018, pursuant to which the Company extended a price discount
for Glassia. Pursuant to the third amendment Tuteur was obligated to issue bank guarantees to cover any future outstanding debt
due to supply of products by the Company to Tuteur.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 1in"></td><td style="width: 0.5in; text-align: left"><font style="font-size: 10pt">2.</font></td><td style="text-align: justify"><font style="font-size: 10pt">On July 29, 2015 the Company
entered into a distribution agreement with Khairi S.A. (“Khairi”), a company held, inter alia, by Mr. Leon Recanati,
the Chairman of the Company’s Board of Directors, and Mr. Jonathan Hahn, a director of the Company and his siblings, for
the distribution of Glassia and KamRho(D) in Uruguay. This distribution agreement with Khairi is an arm’s length transaction</font>.
<font style="font-size: 10pt">For the years ending December 31, 2019, 2018 and 2017 there were no sales of Glassi and KamRho(D)
by the Company to Khairi</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 1in"></td><td style="width: 0.5in; text-align: left">3.</td><td style="text-align: justify">FIMI Opportunity Fund 6, L.P. and FIMI Israel Opportunity
Fund 6, Limited Partnership (the “FIMI Funds”) purchased on November 21, 2019 5,240,956 ordinary shares at a price
of $6.00, representing 12.99%. On February 10, 2020, the Company closed a private placement with FIMI Opportunity Fund 6, L.P.
and FIMI Israel Opportunity Fund 6, Limited Partnership (the “FIMI Funds”), a then 12.99% stockholder of the Company.
Pursuant to the private placement the Company issued 4,166,667 ordinary shares at a price of $6.00 per share, for an aggregate
gross proceeds of $25,000 thousands. Upon closing of the private placement, the FIMI Funds ownership represents approximately
21% of the Company’s outstanding shares. Concurrently, the Company entered into a registration rights agreement with the
FIMI Funds, pursuant to which the FIMI Funds are entitled to customary demand registration rights (effective six months following
the closing of the transaction) and piggyback registration rights with respect to all shares held by FIMI Funds. Mr. Ishay Davidi,
Ms. Lilach Asher Topilsky and Mr. Amiram Boehm, members of our board of directors, are executives of the FIMI Funds.</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0in 0pt 1.5in; text-align: justify">The following Israeli entities:
Amnir recycling industries Ltd., Grafity office equipment marketing, G-one security solutions, Carmel Frenkel IND, and Oxygen
& Argon works Ltd who are controlled by the FIMI Funds, are currently engaged by the Company for the provision of certain
services relating to its continuous operations in non-material amounts and in market prices.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 0.5in"></td><td style="width: 0.5in">f.</td><td><u>CEO employment terms</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0in 0pt 1in; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">On December 20, 2018 the Company’s
shareholders approved an amendment to the employment terms of the Company’s CEO. Pursuant to the amendment the CEO monthly
gross salary increased to NIS 82,500 (or $22,627), effective as of July, 1 2018. On June 20, 2019 the Company’s Board of
Directors approved a subsequent amendment to the employment terms of the Company’s CEO, pursuant to which, the monthly gross
salary will increased to NIS 88,000 (or $25,462), effective as July 1, 2019. The updated employment terms are subject to the approval
of the General Meeting of Shareholders which is expected to take place during March 2020.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0in 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0in 0pt 1in; text-align: justify">During 2019 the Company accounted
for a bonus accrual to the CEO in the amount of $189 thousands. As for a grant of options and restricted shares to the CEO, refer
to Note 20b.</p>
<p style="font: small-caps 10pt Times New Roman, Times, Serif; text-align: left; margin-top: 0pt; margin-right: 0; margin-bottom: 0pt"><b>Note 26: - Events Subsequents to the Reporting
Period</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 0.5in"></td><td style="width: 0.5in">a.</td><td style="text-align: justify">As for grant of options to the members of the Board of Directors approved by the Board of Directors on January 20, 2020, refer
to Note 20d.</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 0.5in"></td><td style="width: 0.5in">b.</td><td>As for the private placement closed with the FIMI funds on February 10, 2020 refer to note 25e3.</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: -56.7pt"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; width: 0.75in"></td><td style="font: 10pt Times New Roman, Times, Serif; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif"></font></td><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Balances
with related parties</u></font></td></tr></table>
<p style="margin: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="white-space: nowrap; text-align: center"><b> </b></td><td style="white-space: nowrap; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; white-space: nowrap; text-align: center"><b>December 31,<br />
2019</b></td><td style="white-space: nowrap; padding-bottom: 1.5pt"><b> </b></td><td style="white-space: nowrap; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; white-space: nowrap; text-align: center"><b>December 31,<br />
2018</b></td><td style="white-space: nowrap; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2" style="text-align: right"> </td><td> </td><td> </td>
<td colspan="2" style="text-align: right"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left; padding-bottom: 1.5pt">Other accounts payables</td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">151</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">336</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt">Employee benefit liabilities, net</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">80</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt">Trade receivable</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,135</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; text-align: center; font-weight: bold">Year Ended December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center; font-weight: bold">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center; font-weight: bold">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2017</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; text-align: center; font-weight: bold">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 64%; text-align: left; padding-bottom: 4pt; text-indent: -0.125in; padding-left: 0.125in">Salary and related expenses to those employed by the Company or on its behalf</td><td style="width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">311</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">352</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">460</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 4pt; text-indent: -0.125in; padding-left: 0.125in">Remuneration of directors not employed by the Company or on its behalf</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">363</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">366</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">107</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; text-indent: -0.125in; padding-left: 0.125in">Number of People to whom the Salary and remuneration Refer: </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; text-indent: -0.125in; padding-left: 0.125in">Related and related parties employed by the Company or on its behalf</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">2</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">2</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">2</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt; text-indent: -0.125in; padding-left: 0.125in">Directors not employed by the Company</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">7</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">8</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">2</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 4pt; text-indent: 0; padding-left: 0"><p style="margin: 0">Total Directors employed and not employed by the Company</p>
</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">9</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">10</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">4</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td style="text-indent: -0.125in; padding-left: 0.125in; font-weight: bold"></td><td style="font-weight: bold"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Year Ended December 31,</td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in; font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2017</td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: center"><b>U.S. Dollars in thousands</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></p></td><td> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 64%; text-align: left">Short-term benefits</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">3,157</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">2,766</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">2,959</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Share-based payment</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">188</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">285</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">310</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 1.5pt">Other long-term benefits</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">6</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: 0; padding-left: 0; padding-bottom: 4pt"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0">Total</p>
</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">3,345</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">3,051</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">3,275</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td style="text-indent: -0.125in; padding-left: 0.125in; text-align: center"> </td><td style="font-weight: bold"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Year Ended December 31,</td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in; font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="font-weight: bold"> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2017</td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"> </td><td style="font-weight: bold"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt; width: 64%">Revenues</td><td style="padding-bottom: 4pt; width: 1%"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">2,566</td><td style="padding-bottom: 4pt; width: 1%; text-align: left"> </td><td style="padding-bottom: 4pt; width: 1%"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">3,529</td><td style="padding-bottom: 4pt; width: 1%; text-align: left"> </td><td style="padding-bottom: 4pt; width: 1%"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">3,455</td><td style="padding-bottom: 4pt; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt; text-align: left">Cost of Goods Sold</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">13</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">-</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">-</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt; text-align: left">Selling and marketing expenses</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">257</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">313</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">121</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt; text-align: left">General and administrative expenses</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">447</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">408</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">446</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b></b></p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 51.8pt"></td><td style="width: 30.6pt"></td><td><u>Details of the number of shares and income (loss) used in the computation of income (loss) per share</u></td></tr></table>
<p style="margin-top: 0; margin-bottom: 0; text-align: left">  </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; text-indent: -0.125in; padding-left: 0.125in"> </td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="22" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0">Year Ended</p> <p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0">December 31,</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"></p></td><td style="padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; text-indent: -0.125in; padding-left: 0.125in; font-weight: bold"> </td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>2017</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b></b></p>
</td><td style="padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in; font-weight: bold"> </td><td> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>Weighted Number of Shares</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b></b></p></td><td> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Income Attributed to equity holders of the Company</td><td style="font-weight: bold"> </td><td> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>Weighted Number of Shares</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b></b></p></td><td> </td><td> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>Income Attributed to equity holders of the Company</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b></b></p></td><td> </td><td> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>Weighted Number of Shares</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b></b></p></td><td> </td><td> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>Loss Attributed to equity holders of the Company</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"></p></td><td> </td></tr>
<tr style="vertical-align: bottom">
<td style="white-space: nowrap; text-indent: -0.125in; padding-left: 0.125in; font-weight: bold"> </td><td style="white-space: nowrap; font-weight: bold"> </td>
<td colspan="2" style="white-space: nowrap; font-weight: bold; text-align: center"> </td><td style="white-space: nowrap; font-weight: bold"> </td><td style="white-space: nowrap"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; white-space: nowrap; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>U.S. Dollars<br />
in thousands</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"></p></td><td style="white-space: nowrap"> </td><td style="white-space: nowrap; font-weight: bold"> </td>
<td colspan="2" style="white-space: nowrap; font-weight: bold; text-align: center"> </td><td style="white-space: nowrap; font-weight: bold"> </td><td style="white-space: nowrap"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; white-space: nowrap; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>U.S. Dollars<br />
in thousands</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b></b></p></td><td style="white-space: nowrap"> </td><td style="white-space: nowrap; font-weight: bold"> </td>
<td colspan="2" style="white-space: nowrap; font-weight: bold; text-align: center"> </td><td style="white-space: nowrap; font-weight: bold"> </td><td style="white-space: nowrap"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; white-space: nowrap; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; text-align: center; margin-top: 0pt; margin-bottom: 0pt"><b>U.S. Dollars<br />
in thousands</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b></b></p></td><td style="white-space: nowrap"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 28%; text-align: left">For the computation of basic income (loss)</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">40,320,888</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">22,251</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">40,275,374</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">22,296</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">37,970,697</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">6,901</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1.5pt; text-indent: -0.125in; padding-left: 0.125in">Effect of potential dilutive ordinary shares</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">260,739</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">170,043</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">74,400</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left"></td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt">For the computation of diluted income (loss)</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">40,581,627</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">22,251</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">40,445,417</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">22,296</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">38,045,097</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">6,901</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
0.21
<p style="margin: 0pt"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">According to the previous accounting policy</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Difference</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">According to the current accounting policy</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="10" style="text-align: center"><b>U.S Dollars in thousands</b></td><td style="padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td>As of January 1, 2019</td><td> </td>
<td colspan="2" style="text-align: center"> </td><td> </td><td> </td>
<td colspan="2" style="text-align: center"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold">Non-current assets:</td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 64%; text-align: left; padding-bottom: 1.5pt">Right-of-use assets</td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">-</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">4,161</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">4,161</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-weight: bold">Liabilities</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Current maturities of leases</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">110</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">810</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">920</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td>Leases</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">28</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">3,907</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">3,935</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Other accounts payables</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">5,261</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(255</td><td style="text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">5,006</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-weight: bold; text-align: left">Shareholder's Equity</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 4pt">Accumulated deficit</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">112,376</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(300</td><td style="padding-bottom: 4pt; text-align: left">)</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">112,076</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="margin: 0pt"></p>
<p style="font: 10pt Times New Roman, Times, Serif; text-align: justify; margin: 0pt 0"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b>Note
3: - Significant Accounting Judgments, Estimates And Assumptions Used In The Preparation Of The Financial Statements</b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">  </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">In
the process of applying the significant accounting policies, the Group has made the following judgments which have the most significant
effect on the amounts recognized in the financial statements:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Judgments</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"><u>Determining the fair value of
share-based payment transactions</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 70.9pt; text-align: justify">The fair value of share-based payment transactions
is determined upon initial recognition by an acceptable option pricing model. The inputs to the model include share price, exercise
price and assumptions regarding expected volatility, expected life of share option and expected dividend yield.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 70.9pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 70.9pt"><u>Discount rate for a lease liability</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 70.9pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">When the Company is unable to readily
determine the discount rate implicit in a lease in order to measure the lease liability, the Company uses an incremental borrowing
rate. That rate represents the rate of interest that the Company would have to pay to borrow over a similar term and with similar
security, the funds necessary to obtain an asset of similar value to the right-of-use asset in a similar economic environment.
When there are no financing transactions that can serve as a basis, the Company determines the incremental borrowing rate based
on its credit risk, the lease term and other economic variables deriving from the lease contract's conditions and restrictions.
In certain situations, the Company is assisted by an external valuation expert in determining the incremental borrowing rate.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Revenue</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
Company assesses the criteria for recognition of revenue related to up-front payments and milestones as outlined by IFRS 15.
Judgment is necessary to determine over which period the Company will satisfy its performance obligations related to up-
front payments and milestones and whether financing component exists. For additional information, refer to Note
17a.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Inventory</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Work
in process and Finished Good including direct and indirect costs. The allocation of indirect costs is accounted for on a quarterly
basis by dividing the total quarterly indirect manufacturing cost to the batches manufactured during that quarter based on predetermined
allocation factors. The criteria for allocation of indirect manufacturing expense to manufactured batches which eventually effect
our inventory value is subject to Company judgment.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b>  </b></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">b.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Estimates
and assumptions</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
preparation of the financial statements requires management to make estimates and assumptions that have an effect on the application
of the accounting policies and on the reported amounts of assets, liabilities, revenues and expenses. Changes in accounting estimates
are reported in the period of the change in estimate.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
key assumptions made in the financial statements concerning uncertainties at the end of the reporting period and the critical
estimates computed by the Company that may result in a material adjustment to the carrying amounts of assets and liabilities within
the next financial year are discussed below.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Pensions
and other post-employment benefits</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
liability in respect of post-employment defined benefit plans is determined using actuarial valuations. The actuarial valuation
involves making assumptions about, among others, discount rates, expected rates of return on assets, future salary increases and
mortality rates. Due to the long-term nature of these plans, such estimates are subject to significant uncertainty.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 1in"></td><td style="width: 0.5in; text-align: left">-</td><td style="text-align: justify"><u>Lease extension and/or termination options</u></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-indent: -5.4pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">In evaluating whether it is reasonably certain that
the Company will exercise an option to extend a lease or not exercise an option to terminate a lease, the Company considers all
relevant facts and circumstances that create an economic incentive for the Company to exercise the option to extend or not exercise
the option to terminate such as: significant amounts invested in leasehold improvements, the significance of the underlying asset
to the Company's operation and whether it is a specialized asset, the Company's past experience with similar leases, etc.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">After the commencement date, the Company reassesses
the term of the lease upon the occurrence of a significant event or a significant change in circumstances that affects whether
the Company is reasonably certain to exercise an option or not exercise an option previously included in the determination of
the lease term, such as significant leasehold improvements that had not been anticipated on the lease commencement date, sublease
of the underlying asset for a period that exceeds the end of the previously determined lease period, etc.<font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Provisions
for clinical trial and related expenses</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Accrued
expenses costs for clinical trial activities performed by third parties, are based on estimates on the progress of completion
of the clinical trials or services, as of the end of each reporting period, pursuant to the contract with the third parties, and
the agreed upon fee to be paid for such services.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Capitalization
of materials for clinical trials and inventory designated for R&D activities</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company recognizes inventory produced for commercial sale, including costs incurred prior to regulatory approval but subsequent
to the filing of a regulatory request when the Company has determined that the inventory has probable future economic benefit.
Inventory is not recognized prior to completion of a phase III clinical trial. For products with an approved indication, raw materials
and purchased drug product associated with development programs are included in inventory and charged to research and development
expense when consumed. For products without an approved indication, drug product is charged to research and development expense.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Impairment
of inventories with realizable value lower than cost or which are slow moving </u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Inventories
are measured at the lower of cost and net realizable value. The cost of inventories comprises costs of purchase of raw and other
materials and costs incurred in bringing the inventories to their present location and condition. Net realizable value is the
estimated selling price in the ordinary course of business, net of selling expenses. The estimation of realizable value can effect
on the inventory value at the period end.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Recognition
of deferred tax asset in respect of carry forward tax losses</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.5in; text-align: justify">Deferred tax assets are recognized
for unused carryforward tax losses and deductible temporary differences to the extent that it is probable that taxable profit
will be available against which the losses can be utilized. Significant management judgment is required to determine the amount
of deferred tax assets that can be recognized, based upon the timing and level of future taxable profits, its source and the tax
planning strategy. For information regarding deferred taxes recognition, please refer to note 21.<font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b></b></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 6.85pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Impairment
test for the production facility</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company performed an impairment test of its production facility. The Company calculated the recoverable amount of the production
facility to determine whether the book value exceeds its recoverable amount. The impairment test was based on a Discount Cash
Flow ("DCF") model using the Company's long term forecast. As of December 31, 2019 no impairment was recorded
as the recoverable amount exceeded the book value.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 6.85pt; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 1in"></td><td style="width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td><font style="font: 10pt Times New Roman, Times, Serif"><u>Legal
claims</u></font></td>
</tr></table>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 7pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
estimating the likelihood of outcome of legal claims filed against the Company, the Company relies on the opinion of its legal
counsel. These estimates are based on the legal counsel's best professional judgment, taking into account the stage of proceedings
and historical legal precedents in respect of the different issues. Since the outcome of the claims will be determined in courts,
the results could differ from these estimates.</font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.45pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">i.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Research
and development costs </u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Research
expenditures are recognized in profit or loss when incurred and include preclinical and clinical costs (as well as cost of materials
associated with the development of new products or existing products for new therapeutic indications). In addition, these costs
include additional product development activities with respect to approved and distributed products as well as post marketing
commitment research and development activities.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">An
intangible asset arising from a development project or from the development phase of an internal project is recognized if the
Company can demonstrate the technical feasibility of completing the intangible asset so that it will be available for use or sale;
the Company's intention to complete the intangible asset and use or sell it; the Company's ability to use or sell
the intangible asset; how the intangible asset will generate future economic benefits; the availability of adequate technical,
financial and other resources to complete the intangible asset; and the Company's ability to measure reliably the expenditure
attributable to the intangible asset during its development. Since the Company development projects are often subject to regulatory
approval procedures and other uncertainties, the conditions for the capitalization of costs incurred before receipt of approvals
are not normally satisfied and therefore, development expenditures are recognized in profit or loss when incurred.</font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">j.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Revenue
recognition</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
January 1, 2018, the Company initially adopted IFRS 15, “Revenue from Contracts with Customers” (“the Standard”).
The Company elected to apply the provisions of the Standard using the modified retrospective method with the application of certain
practical expedients and without restatement of comparative data. The accounting policy for revenue recognition applied from January
1, 2018, is as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">The Company recognizes revenue
when the customer obtains control over the promised goods or services. Revenues are recognized at an amount that reflects the
consideration to which an entity expects to be entitled in exchange for transferring goods or services to a customer. The Company
includes variable consideration, such as milestone payments or volume rebates, in the transaction price only when it is highly
probable that its inclusion will not result in a significant revenue reversal in the future when the uncertainty has been subsequently
resolved</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
determining the amount of revenue from contracts with customers, the Company evaluates whether it is a principal or an agent in
the arrangement. The Company is a principal when the Company controls the promised goods or services before transferring them
to the customer. In these circumstances, the Company recognizes revenue for the gross amount of the consideration.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: normal 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Identifying
the contract</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
Company account for a contract with a customer only when all of the following criteria are met:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
parties to the contract have approved the contract (in writing, orally or in accordance
with other customary business practices) and are committed to perform their respective
obligations;</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">b)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company can identify each party’s rights regarding the goods or services to be
transferred;</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">c)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company can identify the payment terms for the goods or services to be transferred;</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">d)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
contract has commercial substance (i.e. the risk, timing or amount of the entity’s
future cash flows is expected to change as a result of the contract); and</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">e)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">It
is probable that the Company will collect the consideration to which it will be entitled
in exchange for the goods or services that will be transferred to the customer</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">For
the purpose of paragraph (e) the Company examines, inter alia, the percentage of the advance payments received and the spread
of the contractual payments, past experience with the customer and the status and existence of sufficient collateral.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: normal 10pt Times New Roman, Times, Serif">Combination
of contracts</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
Company accounts for multiple contracts as a single contract when all the contracts are signed at or near the same time with the
same customer or with related parties of the customer, and when one of the following criteria is met:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
contracts are negotiated as a package with a single commercial objective.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">b)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
amount of consideration to be paid in one contract depends on the consideration of another
contract.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">c)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
goods or services that the Company will provide according to the contracts represent
a single performance obligation for the Company.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: normal 10pt Times New Roman, Times, Serif">Identifying
performance obligations</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">On
the contract’s inception date the Company assesses the goods or services promised in the contract with the customer and
identifies the performance obligations in it.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
Company identifies the performance obligations when the customer can benefit from the good or service either on its own or together
with other resources that are readily available to the customer and the Company promise to transfer the good or service to the
customer is separately identifiable from other promises in the contract.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">  <b> </b></font></p>
<p style="font: normal 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Determining
the transaction price</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
transaction price is the amount of the consideration that is expected to be received based on the contract terms. The Company
takes into account the effects of all the following elements when determining the transaction price:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.3pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Variable
consideration – The Company determines the transaction price separately for each
contract with a customer. When exercising this judgment, the Company evaluates the effect
of each variable amount in the contract, taking into consideration discounts, penalties,
variations, claims, and non-cash consideration. The Company includes the estimated variable
consideration in the transaction price only to the extent it is highly probable that
a significant reversal in the amount of cumulative revenue recognized will not occur
when the uncertainty is resolved. The Company updates the estimated transaction price
to represent faithfully the circumstances present at the end of the reporting period
and the changes in circumstances during the reporting period.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.3pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">b)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Existence
of a significant financing component – the Company adjusts the amount of the promised
consideration in respect of the effects of the time value of money when certain advance
payments provide the Company with a significant financing benefit. The financing component
is recognized as interest expenses over the period, which are calculated according to
the effective interest method.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.3pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">c)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Non-cash
consideration - Non-cash consideration is measured at the fair value for goods receivable
on a contract’s inception.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.3pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">d)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Consideration
payable to customers- The Company accounts for payments made to a customer as a reduction
of the revenues from the customer when the Company recognizes revenue from the transfer
of goods or services to the customer or the Company pays the consideration or promises
to pay the consideration in accordance with the Company’s customary business practices.
When the consideration payable to a customer is a payment for a distinct good or service
from the customer, then the Company accounts for the purchase of the good or service
in the same way it accounts for other purchases from suppliers.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: normal 10pt Times New Roman, Times, Serif">Allocating
the transaction price</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">For
contracts that consist of more than one performance obligation, at contract inception the Company allocates the contract transaction
price to each performance obligation identified in the contract on a relative stand-alone selling price basis. The stand-alone
selling price is the price at which the Company would sell the promised goods or services separately to a customer. When the stand-alone
selling price is not directly observable by reference to similar transactions with similar customers, the Company applies suitable
methods for estimating the stand-alone selling price including: the adjusted market assessment approach, the expected cost plus
a margin approach and the residual approach. The Company may also use a combination of these approaches to allocate the transaction
price in the contract.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">  <b> </b></font></p>
<p style="font: normal 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Satisfaction
of performance obligations</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company recognizes revenue from contracts with customers when the control over the goods or services is transferred to the customer.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">For
most contracts, revenue recognition occurs at a point in time when control of the asset is transferred to the customer, generally
on delivery of the goods. For agreements with a strategic partner, performance obligations are generally satisfied over time,
given that the customer both simultaneously receives and consumes the benefits provided by the Company, or receives assets with
no alternative use, for which the Company has an enforceable right to payment for performance completed to date. The method for
measuring the progress of performance obligations that are satisfied over time usually based upon the deliverables forming part
of performance obligations.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Contract
modifications</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">A
contract modification is a change in the scope or price (or both) of a contract that was approved by the parties to the contract.
A contract modification can be approved in writing, orally or be implied by customary business practices. A contract modification
can take place also when the parties to the contract have a disagreement regarding the scope or price (or both) of the modification
or when the parties have approved the modification in scope of the contract but have not yet agreed on the corresponding price
modification.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">When
a contract modification has not yet been approved by the parties, the Company continues to recognize revenues according to the
existing contract, while disregarding the contract modification, until the date the contract modification is approved or the contract
modification is legally enforceable.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company accounts for a contract modification as an adjustment of the existing contract since the remaining goods or services after
the contract modification are not distinct and therefore constitute a part of one performance obligation that is partially satisfied
on the date of the contract modification. The effect of the modification on the transaction price and on the rate of progress
towards full satisfaction of the performance obligation is recognized as an adjustment to revenues (increase or decrease) on the
date of the contract modification, meaning on a catch-up basis.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">When
a contract modification increases the scope of the contract as a result of adding distinct goods or services and the contract
price changes by an amount reflecting the stand-alone selling prices of the additional goods or services, the Company accounts
for the contract modification as a separate contract.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">The Company generate revenue mainly from sale of products to
strategic partners and distributors as well as from the licensing of our technology and distribution rights.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">The Company identifies the goods
and services it promises in its contracts with customers and analyzes whether each good or service promised is distinct. The Company
further groups a series of distinct goods or services to a single performance obligation.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">The Company’s conclusion depends
on the specific facts and circumstances pertaining to a contract.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">In the majority of contracts, revenue
recognition occurs at a point in time when control of our product is transferred to the customer, generally on delivery of the
goods.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">With regards to certain contract
with our strategic partner the Company analyzed the following:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">The Company identified few performance
obligations which include:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.25in"></td><td style="width: 0.25in">a.</td><td style="text-align: justify">Grant of a license for distribution one of the Company’s products in certain territories and the
supply of predetermined minimum quantities.</td></tr></table>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.25in"></td><td style="width: 0.25in">b.</td><td style="text-align: justify">The supply of a predetermined quantity of the Company’s product for the purpose of clinical trials
performed conducted by strategic partner.</td></tr></table>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.25in"></td><td style="width: 0.25in">c.</td><td style="text-align: justify">Grant of a license for the use of the Company’s knowledge and patents, and the provision of consulting
services with respect to the transfer of technology.</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> <font style="font: 10pt Times New Roman, Times, Serif"> <b>  </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">Subsequently, the Company determines
the transaction price. The transaction price is the amount of the consideration that is expected to be received based on the contract
terms. The Company takes into account the effects of all the following elements when determining the transaction price</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.25in"></td><td style="width: 0.25in">a.</td><td style="text-align: justify">Variable consideration – certain amounts of the promised consideration such as milestone
payments and volume rebates. The Company includes the estimated variable consideration in the transaction price only to the extent
it is highly probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty
is resolved.</td></tr></table>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.25in"></td><td style="width: 0.25in">b.</td><td style="text-align: justify">Significant financing component – Advance payments received provide with the benefit of financing.
Accordingly the Company adjusted the transaction price for the effects of the time value of money.</td></tr></table>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.25in"></td><td style="width: 0.25in">c.</td><td style="text-align: justify">Non-cash consideration – Raw materials provided as non-cash consideration. This consideration
is measured at fair value.</td></tr></table>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.25in"></td><td style="width: 0.25in">d.</td><td style="text-align: justify">Consideration payable to customers- The Company accounts for payments made to a customer as a reduction
of the revenues from the customer when the Company recognizes revenue from the transfer of goods or services to the customer or
the Company pays the consideration or promises to pay the consideration in accordance with the Company’s customary business
practices.</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.5in; text-align: justify">  </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">The Company allocates the transaction
price to the different performance obligation identified. This allocation is based on relative stand-alone selling price. For
certain amounts of variable consideration the Company allocated to a certain performance obligation or to a distinct goods or
services within it.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">For each performance obligation
identified, the Company recognizes revenue when (or as) it satisfies the performance obligation. The performance obligations are
satisfied over time, as the customer both simultaneously receives and consumes the benefits provided by the Company, or receives
assets with no alternative use, for which the Company has an enforceable right to payment for performance completed to date. The
method for measuring the progress in performance obligations that are satisfied over time usually based upon the deliverables
forming part of those performance obligations. </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Deferred
revenues</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Deferred
revenues include unearned amounts received from customers not yet recognized as revenues.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify">The accounting policy for revenue recognition applied until
December 31, 2017</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Revenues
are recognized in profit or loss when the revenues can be measured reliably, it is probable that the economic benefits associated
with the transaction will flow to the Company and the costs incurred or to be incurred in respect of the transaction can be measured
reliably. In cases where the Company operates as a principal supplier and it exposed to the risks and rewards associated with
the transaction, revenues are presented on a gross basis. Revenues are measured at the fair value of the consideration received
less any trade discounts, volume rebates and returns.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
specific criteria for revenue recognition for the following types of revenues are:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 15.3pt"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Revenues
from the sale of goods are recognized when all the significant risks and rewards of ownership
of the goods have passed to the buyer and the seller no longer retains continuing managerial
involvement. The delivery date is usually the date on which ownership passes.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 15.3pt"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Agreements
with multiple elements provide for varying consideration terms, such as upfront payments
and milestone payments. Revenues from such agreements that do not contain a general right
of return and that are composed of multiple elements such as distribution exclusivity,
license and services are allocated to the different elements and are recognized in respect
of each element separately. An element constitutes a separate accounting unit if and
only if it has a separate value to the customer. Revenue from the different element is
recognized when the criteria for revenue recognition have been met and only to the extent
of the consideration that is not contingent upon completion or performance of future
services in the contract.</font></td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif"></font>
<p style="font: 11pt Calibri, Helvetica, Sans-Serif; margin: 0">l.</p>
<font style="font: 10pt Times New Roman, Times, Serif"></font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Leases</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">As
of January 1, 2019 the Company initially applied IFRS 16, "Leases" ("the Standard").</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company chose to apply the provisions of the Standard using the modified retrospective approach without restatement of comparative
data.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
accounting policy for leases applied effective from January 1, 2019, is as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company accounts for a contract as a lease when the contract terms convey the right to control the use of an identified asset
for a period of time in exchange for consideration.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
the inception date of the lease, the Company determines whether the arrangement is a lease or contains a lease, while examining
if it conveys the right to control the use of an identified asset for a period of time in exchange for consideration. In its assessment
of whether an arrangement conveys the right to control the use of an identified asset, the Company assesses whether it has the
following two rights throughout the lease term:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 24.1pt"><font style="font: 10pt Times New Roman, Times, Serif">a)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
right to obtain substantially all the economic benefits from use of the identified asset;
and</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 24.15pt"><font style="font: 10pt Times New Roman, Times, Serif">b)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
right to direct the identified asset's use.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company as a lessee:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">For
leases in which the Company is the lessee, the Company recognizes on the commencement date of the lease a right-of-use asset and
a lease liability, excluding leases whose term is up to 12 months and leases for which the underlying asset is of low value. For
these excluded leases, the Company has elected to recognize the lease payments as an expense in profit or loss on a straight-line
basis over the lease term. In measuring the lease liability, the Company has elected to apply the practical expedient in the Standard
and does not separate the lease components from the non-lease components (such as management and maintenance services, etc.) included
in a single contract.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
the commencement date, the lease liability includes all unpaid lease payments discounted at the interest rate implicit in the
lease, if that rate can be readily determined, or otherwise using the Company's incremental borrowing rate. After the commencement
date, the Company measures the lease liability using the effective interest rate method.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
the commencement date, the right-of-use asset is recognized in an amount equal to the lease liability plus lease payments already
made on or before the commencement date and initial direct costs incurred less any lease incentives received. The right-of-use
asset is measured applying the cost model and depreciated over the shorter of its useful life or the lease term. The Company tests
for impairment of the right-of-use asset whenever there are indications of impairment pursuant to the provisions of IAS 36.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Depreciation
of right-of-use asset</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">After
lease commencement, a right-of-use asset is measured on a cost basis less accumulated depreciation and accumulated impairment
losses and is adjusted for re-measurements of the lease liability. Depreciation is calculated on a straight-line basis over the
useful life or contractual lease period, whichever earlier, as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 4.2in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding: 0; width: 51pt; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>%</b></font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 10.2pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding: 0; width: 56.1pt; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Mainly %</b></font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top; background-color: #CCEEFF">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Land
and Buildings</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">10</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">10</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Vehicles</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">20-33</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">3</font>3</td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top; background-color: #CCEEFF">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">office
equipment (i.e. printing and photocopying machines)</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">20</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center">20</td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Lease
extension and termination options:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">A
non-cancellable lease term includes both the periods covered by an option to extend the lease when it is reasonably certain that
the extension option will be exercised and the periods covered by a lease termination option when it is reasonably certain that
the termination option will not be exercised.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
the event of any change in the expected exercise of the lease extension option or in the expected non-exercise of the lease termination
option, the Company re-measures the lease liability based on the revised lease term using a revised discount rate as of the date
of the change in expectations. The total change is recognized in the carrying amount of the right-of-use asset until it is reduced
to zero, and any further reductions are recognized in profit or loss.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Subleases:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
a transaction in which the Company is a lessee of an underlying asset (head lease) and the asset is subleased to a third party,
the Company assesses whether the risks and rewards incidental to ownership of the right-of-use asset have been transferred to
the sub-lessee, among others, by evaluating the sublease term with reference to the useful life of the right-of-use asset arising
from the head lease.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">When
substantially all the risks and rewards incidental to ownership of the right-of-use asset have been transferred to the sub- lessee,
the Company accounts for the sublease as a finance lease, otherwise it is accounted for as an operating lease. If the sublease
is classified as a finance lease, the leased asset is derecognized on the commencement date and a new asset, "finance lease
receivable" is recognized at an amount equivalent to the present value of the lease payments, discounted at the interest
rate implicit in the lease. Any difference between the carrying amount of the leased asset before the derecognition and the carrying
amount of the finance lease receivable is recognized in profit or loss.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">Lease modification:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">If a lease modification does
not reduce the scope of the lease and does not result in a separate lease, the Company re-measures the lease liability based
on the modified lease terms using a revised discount rate as of the modification date and records the change in the lease
liability as an adjustment to the right-of-use asset.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">If a lease modification reduces
the scope of the lease, the Company recognizes a gain or loss arising from the partial or full reduction of the carrying amount
of the right-of-use asset and the lease liability. The Company subsequently remeasures the carrying amount of the lease liability
according to the revised lease terms, at the revised discount rate as of the modification date and records the change in the lease
liability as an adjustment to the right-of-use asset.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">For
additional information regarding right-of-use assets and lease liabilities and refer to Note 14.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
accounting policy for leases applied until December 31, 2018, is as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
criteria for classifying leases as finance or operating leases depend on the substance of the agreements and are made at the inception
of the lease in accordance with the following principles as set out in IAS 17.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>The
Company as lessee:</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 4.65pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">1.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Finance
lease</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Finance
leases transfer to the Company substantially all the risks and benefits incidental to ownership of the leased asset. At the commencement
of the lease term, the leased assets are measured at the fair value of the leased asset or, if lower, at the present value of
the minimum lease payments.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
leased asset is depreciated over the shorter of the lease term and the expected life of the leased asset.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">2.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Operating
lease</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Lease
agreements are classified as an operating lease if they do not transfer substantially all the risks and benefits incidental to
ownership of the leased asset. Lease payments are recognized as an expense in profit or loss on a straight-line basis over the
lease term.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">m.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Property,
plant and equipment</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">Property, plant and equipment are
measured at cost, including directly attributable costs, less accumulated depreciation and any related investment grants and excluding
day-to-day servicing expenses. Cost includes spare parts and auxiliary equipment that can be used only in connection with the plant
and equipment.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company's assets include computer systems comprising hardware and software. Software forming an integral part of the hardware
to the extent that the hardware cannot function without the software installed on it is classified as property, plant and equipment.
In contrast, software that adds functionality to the hardware is classified as an intangible asset.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
cost of assets includes the cost of materials, direct labor costs, as well as any costs directly attributable to bringing the
asset to the location and condition necessary for it to operate in the manner intended by management.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Depreciation
is calculated on a straight-line basis over the useful life of the assets at annual rates as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td rowspan="2" style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 4.4in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding: 0; width: 56.1pt; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>%</b></font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 5.1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding: 0; width: 56.1pt; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Mainly
%</b></font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top; background-color: #CCEEFF">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Buildings</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2.5-4</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">4</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Machinery
and equipment</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">10-20</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">15</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top; background-color: #CCEEFF">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Vehicles</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">15</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">15</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Computers,
software, equipment and office furniture</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">6-33</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">33</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top; background-color: #CCEEFF">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Leasehold
improvements</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">(*)</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">10</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">(*)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Leasehold
improvements are depreciated on a straight-line basis over the shorter of the lease term
(including the extension option held by the Company and intended to be exercised) and
the expected life of the improvement.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
useful life, depreciation method and residual value of an asset are reviewed at the year-end and any changes are accounted for
prospectively as a change in accounting estimate.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Depreciation
of an asset ceases at the earlier of the date that the asset is classified as held for sale and the date that the asset is derecognized.</font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">n.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Impairment
of non-financial assets</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company evaluates the need to record an impairment of the carrying amount of non-financial assets whenever events or changes in
circumstances indicate that the carrying amount is not recoverable. If the carrying amount of non-financial assets exceeds their
recoverable amount, the assets are reduced to their recoverable amount.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
recoverable amount is the higher of fair value less costs of sale and value in use. In measuring value in use, the expected future
cash flows are discounted using a pre-tax discount rate that reflects the risks specific to the asset. The recoverable amount
of an asset that does not generate independent cash flows is determined for the cash-generating unit to which the asset belongs.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">An
impairment loss of an asset, is reversed only if there have been changes in the estimates used to determine the asset's
recoverable amount since the last impairment loss was recognized. Reversal of an impairment loss, as above, shall not be
increased above the lower of the carrying amount that would have been determined (net of depreciation or amortization) had no
impairment loss been recognized for the asset in prior years and its recoverable amount. The reversal of impairment loss of an
asset presented at cost is recognized in profit or loss.</font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">o.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Financial
instruments</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 70.9pt; text-align: justify">On January 1, 2018, the Company initially adopted
IFRS 9, "Financial Instruments" ("the Standard"). The Company elected to apply the provisions of the Standard
retrospectively without restatement of comparative data.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 70.9pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 70.9pt; text-align: justify">The accounting policy for financial instruments applied
commencing from January 1, 2018, is as follows:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 4.65pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">1.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Financial
assets</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Financial
assets are classified at initial recognition, and subsequently measured at amortized cost, fair value through other comprehensive
income (OCI), and fair value through profit or loss. The classification of financial assets at initial recognition depends on
the financial asset's contractual cash flow characteristics and the Company's business model for managing them. With
the exception of trade receivables that do not contain a significant financing component or for which the Company has applied
the practical expedient, the Company initially measures a financial asset at its fair value plus, in the case of a financial asset
not at fair value through profit or loss, transaction costs.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">After
initial recognition, the accounting treatment of financial assets is based on their classification as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Debt
financial instruments are subsequently measured at fair value through profit or loss (FVPL), amortized cost, or fair value through
other comprehensive income (FVOCI). The classification is based on two criteria: the Company's business model for managing
the assets; and whether the instruments' contractual cash flows represent 'solely payments of principal and interest'
on the principal amount outstanding (the 'SPPI criterion').</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
classification and measurement of the Company's debt financial assets are as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 112.5pt"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 18pt"><font style="font: 10pt Times New Roman, Times, Serif">a)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Debt
instruments at amortized cost for financial assets that are held within a business model
with the objective to hold the financial assets in order to collect contractual cash
flows that meet the SPPI criterion. This category includes the Company's Trade
and other receivables.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 112.5pt"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 18pt"><font style="font: 10pt Times New Roman, Times, Serif">b)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Debt
instruments at FVOCI, with gains or losses recycled to profit or loss on derecognition.
Financial assets in this category are the Company's quoted debt instruments that
meet the SPPI criterion and are held within a business model both to collect cash flows
and to sell. Interest earned whilst holding Available For Sale (AFS) financial investments
is reported as interest income using the effective interest rate method.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Financial
assets at FVPL comprise derivative instruments unless they are designated as effective hedging instruments.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Impairment of financial
assets</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The Company evaluates at the end of each reporting
period the loss allowance for financial debt instruments which are not measured at fair value through profit or loss. The Company
distinguishes between two types of loss allowances:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 112.5pt"></td><td style="width: 18pt; text-align: left">a)</td><td style="text-align: justify">Debt instruments whose credit risk has not increased significantly
since initial recognition, or whose credit risk is low - the loss allowance recognized in respect of this debt instrument is measured
at an amount equal to the expected credit losses within 12 months from the reporting date (12-month ECLs); or</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="text-align: justify; width: 112.5pt"></td><td style="width: 18pt; text-align: justify">b)</td><td style="text-align: justify">Debt instruments whose credit risk has increased significantly
since initial recognition, and whose credit risk is not low - the loss allowance recognized is measured at an amount equal to
the expected credit losses over the instrument's remaining term (lifetime ECLs).</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 106.35pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The Company has short-term financial assets such
as trade receivables in respect of which the Company applies a simplified approach and measures the loss allowance in an amount
equal to the lifetime expected credit losses.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">An impairment loss on debt instruments measured
at amortized cost is recognized in profit or loss with a corresponding loss allowance that is offset from the carrying amount of
the financial asset, whereas the impairment loss on debt instruments measured at fair value through other comprehensive income
is recognized in profit or loss with a corresponding loss allowance that is recorded in other comprehensive income and not as a
reduction of the carrying amount of the financial asset in the statement of financial position.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The Company applies the low credit risk simplification
in the Standard, according to which the Company assumes the debt instrument's credit risk has not increased significantly since
initial recognition if on the reporting date it is determined that the instrument has a low credit risk, for example when the instrument
has an external rating of "investment grade".</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">In addition, the Company considers that when contractual payments
in respect of a debt instrument are more than 30 days past due, there has been a significant increase in credit risk, unless there
is reasonable and supportable information that demonstrates that the credit risk has not increased significantly.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The Company considers a financial asset in default when contractual
payments are more than 90 days past due. However, in certain cases, the Company considers a financial asset to be in default when
external or internal information indicates that the Company is unlikely to receive the outstanding contractual amounts in full.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The Company considers a financial asset that is not measured
at fair value through profit or loss as credit-impaired when one or more events that have a detrimental impact on the estimated
future cash flows of that financial asset have occurred. The Company takes into consideration the following events as evidence
that a financial asset is credit impaired:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 112.5pt"></td><td style="width: 18pt; text-align: left">a)</td><td>significant financial difficulty of the issuer or borrower;</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.75in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 112.5pt"></td><td style="width: 18pt; text-align: left">b)</td><td>a breach of contract, such as a default or past due event;</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.75in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 112.5pt"></td><td style="width: 18pt; text-align: left">c)</td><td>a concession granted to the borrower due to the borrower's
financial difficulties that would otherwise not be granted;</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.75in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 112.5pt"></td><td style="width: 18pt; text-align: left">d)</td><td>it is probable that the borrower will enter bankruptcy
or financial reorganization;</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.75in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 112.5pt"></td><td style="width: 18pt; text-align: left">e)</td><td>the disappearance of an active market for that financial
asset because of financial difficulties; or</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.75in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 112.5pt"></td><td style="width: 18pt; text-align: left">f)</td><td>the purchase or origination of a financial asset at a deep
discount that reflects the incurred credit losses.</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 106.35pt"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">ECLs
are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that
the Company expects to receive. For other debt financial assets (i.e., debt securities at FVOCI), the ECL is based on the 12-month
ECL. The 12-month ECL is the portion of lifetime ECLs that results from default events on a financial instrument that are possible
within 12 months after the reporting date. As of December 31, 2019 there is no ECL allowance.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">2.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Financial
liabilities</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0">Financial liabilities within the scope of IFRS 9 are initially
measured at fair value less transaction costs that are directly attributable to the issue of the financial liability.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">After
initial recognition, the accounting treatment of financial liabilities is based on their classification as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Financial
liabilities measured at amortized cost</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Loans,
including leases, are measured based on their terms at amortized cost using the effective interest method taking into account
directly attributable transaction costs.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">b)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Financial
liabilities measured at fair value</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Derivatives
are classified as fair value through profit and loss unless they are designated as effective hedging instruments. Transaction
costs are recognized in profit or loss.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">After
initial recognition, changes in fair value are recognized either in profit or loss for non-hedge accounting derivatives or in
other comprehensive income for hedge accounting derivatives.</font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in">q<font style="font: 10pt Times New Roman, Times, Serif">.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Derivative
financial instruments designated as hedges</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify">The Company enters into contracts for derivative financial instruments
such as forward currency contracts and cylinder strategy in respect of foreign currency to hedge risks associated with foreign
exchange rates fluctuations and cash flows risk. Such derivative financial instruments are carried as financial assets when the
fair value is positive and as financial liabilities when the fair value is negative.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">At
the inception of a hedge relationship, the Company formally designates and documents the hedge relationship to which the Company
wishes to apply hedge accounting and the risk management objective and strategy for undertaking the hedge. The hedge effectiveness
is assessed at the end of each reporting period.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Any
gains or losses arising from changes in the fair value of derivatives that do not qualify for hedge accounting are recorded immediately
in profit or loss.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Cash
flow hedges</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
effective portion of the gain or loss on the hedging instrument is recognized as other comprehensive income (loss), while any
ineffective portion is recognized immediately in profit or loss.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Amounts
recognized as other comprehensive income (loss) are reclassified to profit or loss when the hedged transaction affects profit
or loss, such as when the hedged income or expense is recognized or when a forecast payment occurs.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">If
the forecast transaction or firm commitment is no longer expected to occur, amounts previously recognized in other comprehensive
income are reclassified to profit or loss. If the hedging instrument expires or is sold, terminated or exercised, or if its designation
as a hedge is revoked, amounts previously recognized in other comprehensive income remain in other comprehensive income until
the forecast transaction or firm commitment occurs.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in">r<font style="font: 10pt Times New Roman, Times, Serif">.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><u>Provisions</u></p>
</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">A
provision in accordance with IAS 37 is recognized when the Company has a present (legal or constructive) obligation as a result
of a past event, it is expected to require the use of economic resources to clear the obligation and a reliable estimate can be
made of it. The expense is recognized in the statement of profit or loss net of any reimbursement.</font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">t.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Share-based
payment transactions</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
Company's employees and Board of Directors members are entitled to remuneration in the form of equity-settled share- based
payment transactions.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Equity-settled
transactions</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
cost of equity-settled transactions (options and restricted shares) with employees and Board of Directors members is measured
at the fair value of the equity instruments granted at grant date. The fair value of options is determined using a standard option
pricing model. The fair value of restricted shares is determined using the share price at the grant date.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
cost of equity-settled transactions is recognized in profit or loss together with a corresponding increase in shareholder's
equity during the period which the performance and/or service conditions are to be satisfied ending on the date on which the relevant
employees become entitled to the award ("the vesting period"). The cumulative expense recognized for equity-settled
transactions at the end of each reporting period until the vesting date reflects the extent to which the vesting period has expired
and the Company's best estimate of the number of equity instruments that will ultimately vest.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">No
expense is recognized for awards that do not ultimately vest.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
the event that the Company modifies the conditions on which equity-instruments were granted, an additional expense is calculated
and recognized over the remaining vesting period for any modification that increases the total fair value of the share-based payment
arrangement or is otherwise beneficial to the employee or director at the modification date.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b></b></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">u.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Earnings
(loss) per Share</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Earnings
(loss) per share are calculated by dividing the net income (loss) attributable to Company shareholders by the weighted number
of ordinary shares outstanding during the period. Ordinary shares underlying shares options or restricted shares are only included
in the calculation of diluted income (loss) per share when their impact dilutes the income (loss) per share. Furthermore, potential
ordinary shares converted during the period are included under diluted income (loss) per share only until the conversion date,
and from that date on are included under basic income (loss) per share.</font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in">v<font style="font: 10pt Times New Roman, Times, Serif">.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Reclassification
of prior years’ amounts</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Certain
amounts in prior years’ financial statements have been reclassified to conform to the current year’s presentation.
The reclassification had no effect on previously reported net loss or shareholders’ equity.</font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><b> </b></td><td><b> </b></td>
<td colspan="2" style="text-align: center"><b>U.S Dollars</b></td><td><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>In thousands</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 88%; text-align: left">Future minimum payments for non-cancellable leases as per IAS 17 according to the financial statements as of December 31, 2018</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">5,434</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in">Weighted average incremental borrowing rate as at January 1, 2019
<sup>(1)</sup></td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">3.06%-4.6%</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Discounted operating lease commitment at January 1, 2019</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">4,685</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in">Add:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Leases of other equipment</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">32</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 1.5pt">Leases that were previously identified as leases under IAS 17</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">138</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt">Lease liabilities as at January 1, 2019</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,855</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top"><td style="width: 1in"></td><td style="width: 1in"><u>2019</u></td><td></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b></b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Land and Buildings<br />
(1)</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Machinery and Equipment<br />
(1)</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Vehicles</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Computers, Software, Equipment and Office Furniture</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Leasehold Improvements</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Total</b></font></td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td colspan="22" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>U.S. Dollars in thousands</b></font></td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Cost</font></td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt; width: 28%; padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Balance at January 1, 2019</font></td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">29,167</font></td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">30,386</font></td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">85</font></td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">6,493</font></td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,141</font></td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">67,272</font></td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Additions</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,101</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,302</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">699</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">14</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">3,116</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt; padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Sale and write-off</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(148</font></td>
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(391</font></td>
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(539</font></td>
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Balance as of December 31, 2019</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">30,268</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">31,540</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">85</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">6,801</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,155</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">69,849</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif"><u>Accumulated Depreciation</u></font></td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt; padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Balance as of January 1, 2019</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">15,076</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">21,679</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">63</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,247</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">203</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">42,268</font></td>
<td style="padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Depreciation</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,232</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,575</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">636</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">115</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">3,563</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt; padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Sale and write-off</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(142</font></td>
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(390</font></td>
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(532</font></td>
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Balance as of December 31, 2019</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">16,308</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">23,112</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">68</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,493</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">318</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">45,299</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Depreciated cost as of December 31, 2019</font></td>
<td> </td>
<td style="border-bottom: black 4.5pt double"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">13,960</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">8,428</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">17</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,308</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">837</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">24,550</font></td>
<td> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 1in"></td><td style="width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td><td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Including
labor costs charged in 2019 to the cost of facilities, machinery and equipment in the amount of $493 thousands.</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>  </b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in"><u>2018</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-family: Times New Roman, Times, Serif">Land
and Buildings<br />
(1)</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-family: Times New Roman, Times, Serif">Machinery
and Equipment<br />
(1)</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-family: Times New Roman, Times, Serif">Vehicles</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-family: Times New Roman, Times, Serif">Computers,
Software, Equipment and Office Furniture</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-family: Times New Roman, Times, Serif">Leasehold
Improvements</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-family: Times New Roman, Times, Serif">Total</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="22" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-family: Times New Roman, Times, Serif">U.S.
Dollars in thousands</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif">Cost</font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 28%"><font style="font-family: Times New Roman, Times, Serif">Balance
at January 1, 2018</font></td><td style="width: 1%"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">28,399</font></td><td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">29,602</font></td><td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">66</font></td><td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">6,522</font></td><td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">1,273</font></td><td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">65,862</font></td><td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif">Additions</font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">806</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">2,331</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">19</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">590</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">(132</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">3,614</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif">Sale
and write-off</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(38</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(1,547</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(619</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(2,204</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif">Balance
as of December 31, 2018</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">29,167</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">30,386</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">85</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">6,493</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">1,141</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">67,272</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left"><font style="font-family: Times New Roman, Times, Serif"><u>Accumulated
Depreciation</u></font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif">Balance
as of January 1, 2018</font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">13,916</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">21,430</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">59</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">5,194</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">85</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">40,684</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left"><font style="font-family: Times New Roman, Times, Serif">Depreciation
and impairment</font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">1,198</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">1,711</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">4</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">672</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">118</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">3,703</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif">Sale
and write-off</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(38</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(1,462</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(619</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(2,119</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif">Balance
as of December 31, 2018</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">15,076</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">21,679</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">63</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">5,247</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">203</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">42,268</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 28%; padding-bottom: 4pt"><font style="font-family: Times New Roman, Times, Serif">Depreciated
cost as of December 31, 2018</font></td><td style="width: 1%; padding-bottom: 4pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">14,091</font></td><td style="width: 1%; padding-bottom: 4pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%; padding-bottom: 4pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">8,707</font></td><td style="width: 1%; padding-bottom: 4pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%; padding-bottom: 4pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">22</font></td><td style="width: 1%; padding-bottom: 4pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%; padding-bottom: 4pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">1,246</font></td><td style="width: 1%; padding-bottom: 4pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%; padding-bottom: 4pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">938</font></td><td style="width: 1%; padding-bottom: 4pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%; padding-bottom: 4pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">25,004</font></td><td style="width: 1%; padding-bottom: 4pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 1in"></td><td style="width: 0.5in; text-align: left">(1)</td><td style="text-align: left">Including labor costs charged in 2018 to the cost of facilities,
machinery and equipment in the amount of $514 thousands.</td></tr></table>
<p style="font: small-caps 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>Note 12: - Trade Payables</b></p>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2" style="text-align: center"> </td><td> </td><td> </td>
<td colspan="2" style="text-align: center"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left">Open debts mainly in USD</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">7,847</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">7,256</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Open debts in EUR</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">11,426</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">4,206</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt">Open debts in NIS</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">5,557</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">5,822</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td>Sub-Total</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">24,830</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">17,284</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt">Notes payable</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">1</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 4pt">Total Trade Payables</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">24,830</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">17,285</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2" style="text-align: center"> </td><td> </td><td> </td>
<td colspan="2" style="text-align: center"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left">Open debts mainly in USD</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">7,847</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">7,256</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Open debts in EUR</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">11,426</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">4,206</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt">Open debts in NIS</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">5,557</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">5,822</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td>Sub-Total</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">24,830</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">17,284</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt">Notes payable</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">1</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 4pt">Total Trade Payables</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">24,830</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">17,285</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr></table>
<p style="font: small-caps 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>Note 14: - Loans and Leases</b></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: left"> </p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: left"></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: top">
<td style="width: 48px"> </td>
<td style="width: 48px; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">a.</font></td>
<td style="font-size: 10pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Bank loans</u></font></td></tr>
</table>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: left"></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: left"> </p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: left"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="6" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="6" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="6" style="text-align: center"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left">Bank loans</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">746</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">688</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1pt">Less current maturities of bank loans</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">257</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">452</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 2.5pt">Total Long term bank loans</td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">489</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">1,140</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr>
</table>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: left"><b> </b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in"><u>Bank loans</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in; text-align: justify">The bank loans are payable over
60 equal monthly installments. The loans bear fixed interest rate in the range of 3.15% -3.55%. No new bank loans received in
2019. See Note 18 regarding pledge information related to the bank loans. </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: top">
<td style="width: 48px"> </td>
<td style="width: 48px; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">b.</font></td>
<td style="font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif"><u>Leases</u></font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 70.9pt; text-align: justify">The Company applies IFRS 16, Leases, as from January
1, 2019. The Company has lease agreements with respect to the following items:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -14.15pt"> </p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="text-align: justify; width: 70.9pt"></td><td style="text-align: justify; width: 14.15pt">1.</td><td style="text-align: justify">Office and storage spaces:</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -14.15pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify">The Company has engaged in lease agreements for
office and storage spaces for total of 10 years which includes lease extension for three year that will expire in 2026.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -14.15pt"> </p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="text-align: justify; width: 70.9pt"></td><td style="text-align: justify; width: 14.15pt">2.</td><td style="text-align: justify">Vehicles:</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -14.15pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify">The Company leases vehicles for mainly for three-year
periods from several different leasing companies.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -14.15pt"> </p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="text-align: justify; width: 70.9pt"></td><td style="text-align: justify; width: 14.15pt">3.</td><td style="text-align: justify">Office equipment (i.e. printing and photocopying machines):</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify">The Company leases office equipment (i.e. printing
and photocopying machines) for five year periods.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt"></p>
<p style="font: 10pt Times New Roman, Times, Serif; text-align: left; margin-top: 0pt; margin-bottom: 0pt"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Right-of-use assets composition and Changes in leas liabilities </u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt">  </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="14" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Right-of-use-assets</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Rented Offices</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Vehicles</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Computers, Software, Equipment and Office
Furniture</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Total</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Lease<br />
Liabilities<br />
<sup>(2)</sup></b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="18" style="border-bottom: Black 1.5pt solid; text-align: center"><b>U.S Dollars in thousands</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 40%">As of January 1, 2019<sup>(1)</sup></td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">3,466</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">663</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">32</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">4,161</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">4,855</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Additions to right -of -use assets</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">874</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">874</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">870</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td>Write-off</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(57</td><td style="text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(57</td><td style="text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(60</td><td style="text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Depreciation expense</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(433</td><td style="text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(517</td><td style="text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(6</td><td style="text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(956</td><td style="text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Exchange rate differences</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">406</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt">Repayment of lease liabilities</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right"> </td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(1,070</td><td style="padding-bottom: 1.5pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 4pt">As of December 31,  2019</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">3,033</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">989</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">26</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,022</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,001</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">  </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="width: 0"></td><td style="width: 0.25in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td><td style="text-align: justify">Following the initial application of IFRS 16, on January
1, 2019 , the Company recorded operating lease commitment classified as a lease liability at the amount of $4,717 thousands with
respect to office and storage spaces, vehicles and certain office equipment (i.e. printing and photocopying machines) at the amount
of $4,022, $663 and $32 thousands, respectively. Also refer to Note 2ii.</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="width: 0"></td><td style="width: 0.25in; text-align: left">(2)</td><td style="text-align: justify">The weighted average incremental borrowing rate used to
discount future lease payments in the calculation of the lease liability was in the range of 3.06%-4.6% evaluated based on credit
risk, terms of the leases and other economic variables.</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">  </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"><u>Below is the Consolidated Statements of Profit
or Loss and Other Comprehensive Income impact for the year ended December 31, 2019</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="white-space: nowrap"><b> </b></td><td style="white-space: nowrap"><b> </b></td>
<td colspan="2" style="white-space: nowrap; text-align: center"><b>Expense decrease<br />
(increase)</b></td><td style="white-space: nowrap"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="white-space: nowrap; text-align: center"><b> </b></td><td style="white-space: nowrap; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; white-space: nowrap; text-align: center"><b>For the year ended on<br />
December 31,<br />
2019</b></td><td style="white-space: nowrap; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>U.S Dollars in thousands</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 88%; text-align: left">Operating lease expense</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">1,182</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt">Depreciation of  right of use assets</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(956</td><td style="padding-bottom: 1.5pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Operating income</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">226</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt">Finance expense</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(212</td><td style="padding-bottom: 1.5pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 4pt">Net Income (loss)</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">14</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in"></p>
<p style="font: 10pt Times New Roman, Times, Serif; text-align: left; margin-top: 0pt; margin-bottom: 0pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"><u>Below is the Consolidated Statements of cash flow
impact for the year ended December 31, 2019</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>According to the previous accounting policy</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Difference</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>According to the current accounting policy</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="text-align: right"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>U.S Dollars in thousands</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-decoration: underline">For the year ended on December 31, 2019</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 64%; text-align: left; padding-bottom: 4pt">Cash flows from operating activities</td><td style="width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">26,501</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">1,070</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">27,571</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 4pt">Cash flows from financing activities</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(460</td><td style="padding-bottom: 4pt; text-align: left">)</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(1,070</td><td style="padding-bottom: 4pt; text-align: left">)</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(1,530</td><td style="padding-bottom: 4pt; text-align: left">)</td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in">  </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Maturity
analysis of the Company’s lease liabilities (including interest)</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Less than one<br /> year</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">1 to 2</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2 to 3</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">3 to 5</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">6 and<br /> thereafter</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Total</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 40%; text-align: left; padding-bottom: 1.5pt">Lease liabilities (including interest)</td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 7%; text-align: right">1,198</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 7%; text-align: right">1,000</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 7%; text-align: right">797</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 7%; text-align: right">1,352</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; width: 7%; text-align: right">1,364</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 7%; text-align: right">5,711</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">  </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin-left: 1in; margin-top: 0pt; margin-bottom: 0pt"><font style="font: 10pt Times New Roman, Times, Serif"><u>Lease extension</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 49.65pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 49.65pt; text-align: justify">The Company has leases that include extension options.
These options provide flexibility in managing the leased assets and align with the Company’s business needs.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 49.65pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 49.65pt; text-align: justify">The Company exercises significant judgement in deciding
whether it is reasonably certain that the extension options will be exercised.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 49.65pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 49.65pt; text-align: justify">Office and storage spaces leases have extension
options for additional three years. The Company have reasonably certain that the extension option will be exercised in order to
avoid a significant adverse impact to its operating activities.</p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td></td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="6" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td>
<td colspan="6" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="6" style="text-align: center"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left">Bank loans</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">746</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">688</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1pt">Less current maturities of bank loans</td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">257</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td>
<td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">452</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 2.5pt">Total Long term bank loans</td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">489</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td>
<td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">1,140</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="14" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Right-of-use-assets</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Rented Offices</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Vehicles</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Computers, Software, Equipment and Office
Furniture</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Total</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Lease<br />
Liabilities<br />
(2)</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="18" style="border-bottom: Black 1.5pt solid; text-align: center"><b>U.S Dollars in thousands</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 40%">As of January 1, 2019 (1)</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">3,466</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">663</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">32</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">4,161</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">4,855</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Additions to right -of -use assets</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">874</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">874</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">870</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td>Write-off</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(57</td><td style="text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(57</td><td style="text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(60</td><td style="text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Depreciation expense</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(433</td><td style="text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(517</td><td style="text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(6</td><td style="text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">(956</td><td style="text-align: left">)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Exchange rate differences</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">406</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt">Repayment of lease liabilities</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right"> </td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(1,070</td><td style="padding-bottom: 1.5pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 4pt">As of December 31,  2019</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">3,033</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">989</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">26</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,022</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">5,001</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">  </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: top">
<td style="width: 5%; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td>
<td style="text-align: justify; width: 95%">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Following the initial application of IFRS 16, on January 1,
2019 , the Company recorded operating lease commitment classified as a lease liability at the amount of $4,717 thousands with respect
to office and storage spaces, vehicles and certain office equipment (i.e. printing and photocopying machines) at the amount of
$4,022, $663 and $32 thousands, respectively. Also refer to Note 2ii.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">The weighted average incremental borrowing rate used
to discount future lease payments in the calculation of the lease liability was in the range of 3.06%-4.6% evaluated based on
credit risk, terms of the leases and other economic variables. </p></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Maturity
analysis of the Company's lease liabilities (including interest)</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Less than one<br /> year</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">1 to 2</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2 to 3</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">3 to 5</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">6 and<br /> thereafter</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Total</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 40%; text-align: left; padding-bottom: 1.5pt">Lease liabilities (including interest)</td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 7%; text-align: right">1,198</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 7%; text-align: right">1,000</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 7%; text-align: right">797</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 7%; text-align: right">1,352</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; width: 7%; text-align: right">1,364</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 7%; text-align: right">5,711</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td></tr></table>
<p style="font: small-caps 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>Note 15: - Financial Instruments</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 0.5in"></td><td style="width: 0.5in; text-align: left">a.</td><td style="text-align: justify"><u>Classification of financial assets and liabilities</u></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in">The financial assets liabilities in the balance sheet are classified
by groups of financial instruments pursuant to IFRS 9:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-decoration: underline; padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial assets</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial assets at fair value through profit or loss:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; width: 76%; text-align: left; padding-bottom: 1.5pt">Foreign exchange forward contracts</td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">2</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">-</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial assets at fair value through other comprehensive income:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Cash flow hedges</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">13</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Marketable debt securities</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">12,832</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">10,324</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial assets at cost:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Cash and cash equivalent</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">42,662</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">18,093</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Short term bank deposits</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">18,413</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">22,175</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left; padding-bottom: 1.5pt">Total assets measured at fair value through other comprehensive income</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">73,920</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">50,592</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left; padding-bottom: 1.5pt">Total financial assets</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">73,920</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">50,592</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial liabilities</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial assets at fair value through profit or loss:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left; padding-bottom: 1.5pt">Foreign exchange forward contracts</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">6</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial liabilities at fair value through other comprehensive income:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left; padding-bottom: 1.5pt">Cash flow hedges</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">58</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial liabilities measured at amortized cost:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Bank loans</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">746</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,140</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in; padding-bottom: 1.5pt">Leases</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">5,001</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">138</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left; padding-bottom: 1.5pt">Total Financial liabilities measured at amortized cost:</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">5,747</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,278</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left; padding-bottom: 1.5pt">Total financial and lease liabilities</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">5,747</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,342</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> <b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 0.5in"></td><td style="width: 0.5in">b.</td><td><u>Financial risk factors</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 1in; text-align: justify">The Company’s activities
expose it to various financial risks, such as market risk (foreign currency risk, interest rate risk and price risk), credit risk
and liquidity risk. The Company’s investment policy focuses on activities that will preserve the Company’s capital.
The Company utilized derivatives to hedge certain exposures to risk.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 1in; text-align: justify">Risk management is the
responsibility of the Company Chief Executive Officer (CEO) and Company Chief Financial Officer (CFO), in accordance with the
policy approved by the Board of Directors. The Board of Directors provides principles for the overall risk management.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1in"></td><td style="width: 0.5in">1.</td><td style="text-align: justify"><u>Market risks</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.5in"></td><td style="width: 0.5in">a)</td><td><u>Foreign exchange risk</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 2in; text-align: justify">The Company operates in
an international environment and is exposed to foreign exchange risk resulting from the exposure to different currencies, mainly
the NIS and EUR. Foreign exchange risks arise from recognized assets and liabilities denominated in a foreign currency other than
the functional currency, such as trade and other accounts receivables, trade and other accounts payables, loans and capital leases.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 2in; text-align: justify">As of December 31, 2019
and 2018, the Company has a position in financial derivatives intended to hedge changes in the exchange rate of the USD vs. the
NIS and the EUR (see also Note 15f. below).</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.5in"></td><td style="width: 0.5in">b)</td><td><u>Price risk</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 2in; text-align: justify">As of December 31, 2019
and 2018, the Company has financial instruments, classified as financial assets measured at fair value through other comprehensive
income for which the Company is exposed to risk of fluctuations in the security price that is determined by reference to the quoted
market price.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1in"></td><td style="width: 0.5in">2.</td><td><u>Credit risk</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 1.5in; text-align: justify">Financial instruments that
potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents, short-term bank
deposits, marketable securities, trade receivables and foreign currency derivative contracts.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.5in"></td><td style="width: 0.5in">a)</td><td><u>Cash, cash equivalent and short term investments:</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 2in; text-align: justify">The Company holds cash,
cash equivalents, short term deposits and other financial instruments at major financial institutions in Israel. In accordance
with Company policy, evaluations of the relative strength of credit of the various financial institutions are made on an ongoing
basis.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 143.6pt; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 2in; text-align: justify">Short-term investments
include short-term deposits with low risk for a period less than one year. The Company’s marketable securities consist of
investment-grade corporate bonds, government bonds (Including U.S., Israeli and other government bonds). The Company’s investment
policy, limits the amount the Company may invest in any one type of investment or issuer and the average maturities of the bond
portfolio, thereby reducing credit risk concentrations.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 143.6pt; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 2in; text-align: justify">The Company has not experienced
any significant losses on its short term investments.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.5in"></td><td style="width: 0.5in">b)</td><td><u>Trade receivables:</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 2in; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 2in; text-align: justify">The Company regularly monitors
the credit extended to its customers and their general financial condition, and, when necessary, requires collateral as security
for the debt such as letters of creditor and down payments. In addition, the Company partially insures its overseas sales with
foreign trade risk insurance. Refer to Note 7 for additional information.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 2in; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 2in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.75in; text-align: justify">The Company keeps constant
track of customer debt and the Financial Statements include an allowance for doubtful accounts that adequately reflects, in the
Company’s assessment, the loss embodied in the debts the collection of which is in doubt.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.75in; text-align: justify">The Company’s maximum
exposure to credit risk for the components of the statement of financial position as of December 31, 2019 and 2018 is the carrying
amount of trade receivables.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 1.25in"></td><td style="text-align: center; padding-right: 0; width: 0.5in">c)</td><td style="padding-right: 0"><u>Foreign currency derivative contracts:</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.75in; text-align: justify">The Company is exposed
to foreign currency exchange movements, primarily in USD vs. NIS and EUR. Consequently, it enters into various foreign currency
exchange contracts with major financial institutions (see also Note 15f. below).</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 1.25in"></td><td style="padding-right: 0; width: 0.5in">3.</td><td style="padding-right: 0"><u>Liquidity risk</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.75in; text-align: justify">The table below summarizes the maturity profile of
the Company’s financial liabilities based on contractual undiscounted payments:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-align: justify; text-indent: -28.35pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: left"><u>December
31, 2019</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 99.25pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 99.25pt; text-align: justify; text-indent: 0in"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Less than one<br /> year</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">1 to 2</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2 to 3</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">3 to 5</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">6 and<br /> thereafter</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Total</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 28%; text-align: left">Trade payables</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">24,830</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">24,830</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Other accounts payables</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">5,811</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">5,811</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; text-indent: -9pt; padding-left: 9pt">bank loans (including interest)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">506</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">227</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">34</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">767</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt; text-indent: -9pt; padding-left: 9pt">Lease liabilities (including interest)</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,198</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,000</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">797</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,352</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,364</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">5,711</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">32,345</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,227</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">831</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,352</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,364</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">37,119</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 99.25pt; text-align: justify; text-indent: 0in"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 99.25pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: left"><u>December
31, 2018</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 99.25pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Less than one<br /> year</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">1 to 2</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2 to 3</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">3 to 5</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Total</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 40%; text-align: left">Trade payables</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">17,285</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">17,285</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Other accounts payables</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">5,261</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">5,261</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; text-indent: -0.125in; padding-left: 0.125in">Long term bank loans and leases (including interest)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">595</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">495</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">209</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">32</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,331</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">23,141</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">495</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">209</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">32</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">23,877</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 99.25pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: left"><u>Changes
in liabilities arising from financing activities</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>January 1,<br />
2019</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>Cumulative
effect of initially applying IFRS 16 (1)</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>Payments</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>Foreign
exchange movement</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>New
loans and leases</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>Write
off</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>December 31,<br />
2019</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="26" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 16%; text-align: left">Bank loans</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left">$</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">1,140</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">     -</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">(475</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">81</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">    -</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">      -</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left">$</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">746</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left">Leases</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">138</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">4,717</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">(1,070</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">406</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">870</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">(60</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">5,001</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left; padding-bottom: 1.5pt">Total</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">1,278</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">4,717</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">(1,545</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">487</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">870</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">(60</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">5,747</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left">(1)</td><td style="padding-right: 0; text-align: justify">Following the initial application of IFRS 16, on January
1, 2019 , the Company recorded discounted operating lease commitment classified as a lease at the amount of $4,717 thousands with
respect to office and storage spaces, vehicles and certain office equipment (i.e. printing and photocopying machines) at the amount
of $4,023, $663 and $31 thousands, respectively.</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left">c.</td><td style="padding-right: 0; text-align: justify"><u>Fair value</u></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">The following
table demonstrates the carrying amount and fair value of the financial assets and liabilities presented in the financial statements
not at fair value:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="6" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Carrying Amount</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="6" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Fair Value</b></font></td>
<td style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="6" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>December 31,</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="6" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>December 31,</b></font></td>
<td style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2019</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2018</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2019</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2018</b></font></td>
<td style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="14" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>U.S. Dollars in thousands</b></font></td>
<td style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td>
<td> </td>
<td colspan="2"> </td>
<td> </td>
<td> </td>
<td colspan="2"> </td>
<td> </td>
<td> </td>
<td colspan="2"> </td>
<td> </td>
<td> </td>
<td colspan="2"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="width: 52%"><font style="font: 10pt Times New Roman, Times, Serif">Financial liabilities</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"> </td>
<td style="width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td><font style="font: 10pt Times New Roman, Times, Serif">Bank loans </font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">746</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,140</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">754</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,139</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td><font style="font: 10pt Times New Roman, Times, Serif">Leases</font></td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,001</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">138</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,583</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">136</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td><font style="font: 10pt Times New Roman, Times, Serif">Total Financial liabilities</font></td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,747</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,278</font></td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">6,337</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,275</font></td>
<td> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">The fair
value of the bank loans and leases was based on standard pricing valuation model such as DCF which considers the present value
of future cash flows discounted at the interest rate that reflects market conditions (Level 3).</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 87.35pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">The carrying
amount of cash and cash equivalents, short term bank deposits, trade and other receivables, trade and other payables approximates
their fair value, due to the short term maturities of the financial instruments.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left">d.</td><td style="padding-right: 0; text-align: justify"><u>Classification of financial instruments by fair value
hierarchy</u></td>
</tr></table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: left"><u>Financial
assets (liabilities) measured at fair value:</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left"><b>Financial assets (liabilities)
measured at fair value:</b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Level 1</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Level 2</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><font style="font-size: 10pt"><b> <font style="font-family: Times New Roman, Times, Serif">U.S.
Dollars in </font>thousands </b></font></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">December 31, 2019</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; width: 76%; text-align: left">Debt securities (corporate and government) measured at fair value through other comprehensive income</td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">4,289</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">8,543</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left">Derivatives instruments</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">-</td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; padding-right: 0; text-align: left"> </td><td style="padding-bottom: 1.5pt; padding-right: 0; font-size: 10pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">15</td><td style="padding-bottom: 1.5pt; padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">4,289</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">8,558</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="margin: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Level 1</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Level 2</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>U.S.
Dollars in</b></font><b> <font style="font-size: 10pt">thousands </font></b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">December 31, 2018</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; width: 76%; text-align: left">Debt securities (corporate and government) measured fair value through other comprehensive income</td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">1,588</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">8,736</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left; padding-bottom: 1.5pt">Derivatives instruments</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">-</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">(64</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">1,588</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">8,672</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: justify">During 2019 and 2018 there was no transfer due
to the fair value measurement of any financial instrument from Level 1 to Level 2, and furthermore, there were no transfers to
or from Level 3 due to the fair value measurement of any financial instrument.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: justify"><u>Sensitivity
tests and principal work assumptions</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: justify">The selected
changes in the relevant risk variables were determined based on management’s estimate as to reasonable possible changes in these
risk variables.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 49.65pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: justify">The Company has performed sensitivity
tests of principal market risk factors that are liable to affect its reported operating results or financial position. The sensitivity
tests present the profit or loss in respect of each financial instrument for the relevant risk variable chosen for that instrument
as of each reporting date. The test of risk factors was determined based on the materiality of the exposure of the operating results
or financial condition of each risk with reference to the functional currency and assuming that all the other variables are constant.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 49.65pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>December
31,</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: center"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>2019</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>2018</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>U.S.
Dollars in thousands</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom">
<td colspan="9" style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">Sensitivity test to changes in market price of listed Securities</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">Gain (loss) from change:</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 76%; text-align: left; padding-bottom: 4pt">5% increase in market price</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">642</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">519</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left; padding-bottom: 4pt">5% decrease in market price</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">(642</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">(519</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">Sensitivity test to changes in foreign currency:</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">Gain (loss) from change:</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left; padding-bottom: 4pt">5% increase in NIS</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">(24</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">(21</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left; padding-bottom: 4pt">5% decrease in NIS</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">24</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">21</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left; padding-bottom: 4pt">5% increase in Euro</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">(552</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left">)</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">(197</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left; padding-bottom: 4pt">5% decrease in Euro</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">552</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">197</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 49.65pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left">e.</td><td style="padding-right: 0; text-align: justify"><u>Linkage terms of financial liabilities by groups of
financial instruments pursuant to IFRS 9:</u></td>
</tr></table>
<p style="margin-top: 0; margin-bottom: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: center"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>December
31,</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: center"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>2019</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>2018</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center"><b>U.S.
Dollars in thousands</b></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: center; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">In NIS:</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 76%; text-align: left">Bank loans measured at amortized cost</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left">$</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">746</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%"> </td>
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left">$</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 9%; text-align: right">1,140</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left; padding-bottom: 1.5pt">Leases measured at amortized cost</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">4,973</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">-</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 4pt"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">5,719</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">1,140</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">In USD:</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left; padding-bottom: 4pt">Leases measured at amortized cost</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">28</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: right">138</td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in">f.</td><td style="padding-right: 0; text-align: justify"><u>Derivatives and hedging:</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: left"><u>Derivatives
instruments not designated as hedging </u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">The Company has foreign
currency forward contracts designed to protect it from exposure to fluctuations in exchange rates, mainly of NIS and EUR, in respect
of its trade receivables, trade payables and inventory. Foreign currency forward contracts are not designated as cash flow hedges,
fair value or net investment in a foreign operation. These derivatives are not considered as hedge accounting. As of December 31,
2019 the fair value of the derivative instruments not designated as hedging was an asset of $2 thousands. The open transactions
for those derivatives were in an amount of $6,316 thousands.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify"><u>Cash flow
hedges</u>:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: 0pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">As of December 31,
2019, the Company held NIS/USD hedging contracts (cylinder contracts) designated as hedges of expected future salaries expenses
and for expected future purchases from Israeli suppliers.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">The main terms
of these positions were set to match the terms of the hedged items. As of December 31, 2019 the fair value of the derivative instruments
designated as hedge accounting was an asset of $13 thousands. The open transactions for those derivatives were in an amount of
$371 thousands.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">Cash flow hedges of the expected salaries expenses in December 31, 2019 was estimated as highly effective and accordingly a net
unrecognized income was recorded in other comprehensive income in the amount of $65 thousands net.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-decoration: underline; padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial assets</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial assets at fair value through profit or loss:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; width: 76%; text-align: left; padding-bottom: 1.5pt">Foreign exchange forward contracts</td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">2</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">-</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial assets at fair value through other comprehensive income:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Cash flow hedges</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">13</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Marketable debt securities</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">12,832</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">10,324</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial assets at cost:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Cash and cash equivalent</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">42,662</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">18,093</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Short term bank deposits</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">18,413</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">22,175</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left; padding-bottom: 1.5pt">Total assets measured at fair value through other comprehensive income</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">73,920</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">50,592</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left; padding-bottom: 1.5pt">Total financial assets</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">73,920</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">50,592</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial liabilities</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial assets at fair value through profit or loss:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left; padding-bottom: 1.5pt">Foreign exchange forward contracts</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">6</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial liabilities at fair value through other comprehensive income:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left; padding-bottom: 1.5pt">Cash flow hedges</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">-</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">58</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Financial liabilities measured at amortized cost:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left">Bank loans</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">746</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,140</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in; padding-bottom: 1.5pt">Leases</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">5,001</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">138</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left; padding-bottom: 1.5pt">Total Financial liabilities measured at amortized cost:</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">5,747</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,278</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in; text-indent: -0.125in"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; text-align: left; padding-bottom: 1.5pt">Total financial and lease liabilities</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">5,747</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,342</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-align: justify; text-indent: -28.35pt"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: left"><u>December
31, 2019</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 99.25pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 99.25pt; text-align: justify; text-indent: 0in"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Less than one<br /> year</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">1 to 2</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2 to 3</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">3 to 5</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">6 and<br /> thereafter</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Total</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 28%; text-align: left">Trade payables</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">24,830</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">24,830</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Other accounts payables</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">5,811</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">5,811</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; text-indent: -9pt; padding-left: 9pt">bank loans (including interest)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">506</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">227</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">34</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">767</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt; text-indent: -9pt; padding-left: 9pt">Lease liabilities (including interest)</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,198</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,000</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">797</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,352</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,364</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">5,711</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">32,345</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,227</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">831</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,352</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">1,364</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">37,119</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 99.25pt; text-align: justify; text-indent: 0in"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 99.25pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: left"><u>December
31, 2018</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 99.25pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Less than one<br /> year</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">1 to 2</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2 to 3</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">3 to 5</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Total</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 40%; text-align: left">Trade payables</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">17,285</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">17,285</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left">Other accounts payables</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">5,261</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">5,261</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; text-indent: -0.125in; padding-left: 0.125in">Long term bank loans and leases (including interest)</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">595</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">495</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">209</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">32</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">1,331</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">23,141</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">495</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">209</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">32</td><td style="padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; text-align: right">23,877</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="6" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Carrying Amount</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="6" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Fair Value</b></font></td>
<td style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="6" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>December 31,</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="6" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>December 31,</b></font></td>
<td style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2019</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2018</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2019</b></font></td>
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2018</b></font></td>
<td style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td>
<td style="text-align: center"> </td>
<td colspan="14" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>U.S. Dollars in thousands</b></font></td>
<td style="text-align: center"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td>
<td> </td>
<td colspan="2"> </td>
<td> </td>
<td> </td>
<td colspan="2"> </td>
<td> </td>
<td> </td>
<td colspan="2"> </td>
<td> </td>
<td> </td>
<td colspan="2"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="width: 52%"><font style="font: 10pt Times New Roman, Times, Serif">Financial liabilities</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"> </td>
<td style="width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td><font style="font: 10pt Times New Roman, Times, Serif">Bank loans </font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">746</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,140</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">754</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,139</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td><font style="font: 10pt Times New Roman, Times, Serif">Leases</font></td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,001</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">138</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,583</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">136</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td><font style="font: 10pt Times New Roman, Times, Serif">Total Financial liabilities</font></td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,747</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,278</font></td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">6,337</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: Black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,275</font></td>
<td> </td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify"><td style="padding-right: 0; width: 0.75in; text-align: left"><font style="font-variant: small-caps">Note 16: -</font></td><td style="padding-right: 0; text-align: justify"><font style="font-variant: small-caps">Employee
Benefit Liabilities, NET</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 56.7pt; text-align: justify; text-indent: -56.7pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: justify">Employee
benefits consist of short-term benefits and post-employment benefits.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: justify">Post-employment
benefits:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: justify">According to the labor
laws and Severance Pay Law in Israel, the Company is required to pay compensation to an employee upon dismissal or retirement
or to make current contributions in defined contribution plans pursuant to Section 14 of the Severance Pay Law, as specified
below. The Company’s liability is accounted for as a post-employment benefit only for employees not under Section 14.
The computation of the Company’s employee benefit liability is made in accordance with a valid employment contract or a
collective bargaining agreement based on the employee’s salary and employment terms which establish the
entitlement to receive the compensation.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.75in; text-align: justify">The post-employment
employee benefits are normally financed by contributions classified as defined benefit plans, as detailed below:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 1.25in"></td><td style="padding-right: 0; width: 0.5in; text-align: left">1.</td><td style="padding-right: 0; text-align: justify"><u>Defined contribution deposit</u>:</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 103.05pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.75in; text-align: justify">The Company’s
agreements with part of its employees are in accordance with section 14 of the Israeli Severance Pay Law. Contributions made by
the Company in accordance with Section 14 release the Company from any future severance liabilities in respect of those employees.
The expenses for the defined benefit deposit in 2019, 2018 and 2017 were $1,102 thousands, $992 thousands and $884 thousands, respectively.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 103.05pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 1.25in"></td><td style="padding-right: 0; width: 0.5in; text-align: left">2.</td><td style="padding-right: 0; text-align: justify"><u>Defined benefit plans</u>:</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.75in; text-align: justify">The Company
accounts for the payment of compensation as a defined benefit plan for which an employee benefit liability is recognized and for
which the Company deposits amounts in a long-term employee benefit fund and in qualifying insurance policies.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 1.25in"></td><td style="padding-right: 0; width: 0.5in">3.</td><td style="padding-right: 0; text-align: justify"><u>Expenses recognized in comprehensive income (loss): </u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 103.05pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: center; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2019</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2018</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2017</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"> </td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>U.S. Dollars
in thousands</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; font-size: 10pt; text-align: left">Current service cost</td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">282</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">292</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">356</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Interest expenses, net</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">24</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">25</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">23</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; font-size: 10pt; text-align: left">Current service cost (income) due to the transfer of real yield from the compensation component to the royalties’ component in executive insurance policies before 2004</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(1</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">3</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(7</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 4pt">Total employee benefit expenses</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">305</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">320</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">372</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 4pt">Actual return on plan assets</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">158</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">171</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">119</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 103.05pt; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.75in; text-align: left"><u>The expenses
are presented in the Statement of Comprehensive income (loss) as follows</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; font-size: 10pt; text-align: left">Cost of revenues</td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">201</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">175</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">211</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Research and development</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">62</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">50</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">57</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Selling and marketing</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">16</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">75</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">73</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 1.5pt">General and administrative</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">26</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">20</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">31</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right"> </td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">305</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">320</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">372</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-align: justify; text-indent: -28.35pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 1.25in"></td><td style="padding-right: 0; width: 0.5in">4.</td><td style="padding-right: 0; text-align: justify"><u>The plan liabilities, net:</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 103.05pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>December 31,</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2019</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2018</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 76%; font-size: 10pt; text-align: left">Defined benefit obligation</td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">5,058</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">4,987</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1.5pt; padding-right: 0; font-size: 10pt; text-align: left">Fair value of plan assets</td><td style="padding-bottom: 1.5pt; padding-right: 0; font-size: 10pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">(3,789</td><td style="padding-bottom: 1.5pt; padding-right: 0; font-size: 10pt; text-align: left">)</td><td style="padding-bottom: 1.5pt; padding-right: 0; font-size: 10pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">(4,200</td><td style="padding-bottom: 1.5pt; padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 4pt">Total liabilities, net</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">1,269</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">787</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-align: justify; text-indent: -28.35pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 1.25in"></td><td style="padding-right: 0; width: 0.5in"><font style="font-size: 10pt">5</font>.</td><td style="padding-right: 0; text-align: justify"><u>Changes in the present value of defined benefit obligation</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2019</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2018</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-align: center; font-size: 10pt"><b> </b></td><td style="padding-right: 0; text-align: center; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; text-align: center; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 76%; font-size: 10pt; text-align: left">Balance at January 1,</td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">4,987</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">5,907</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Interest costs</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">133</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">110</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Current service cost</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">282</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">292</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Benefits paid</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(1,180</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(645</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Demographic assumptions</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">40</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(29</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Financial assumptions</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">292</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(223</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Past Experience</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">108</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(2</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 1.5pt">Currency Exchange</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">396</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">(423</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 4pt">Balance at December 31,</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">5,058</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">4,987</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 1.25in"></td><td style="padding-right: 0; width: 0.5in">6.</td><td style="padding-right: 0; text-align: justify"><u>Plan assets</u></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-align: justify; text-indent: -28.35pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 1.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left">a)</td><td style="padding-right: 0; text-align: justify"><font style="font-size: 10pt"><u>Plan assets</u></font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 170.1pt; text-align: justify; text-indent: -28.35pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 2.25in; text-align: justify">Plan assets
comprise assets held by long-term employee benefit funds and qualifying insurance policies.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 141.75pt; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 1.75in"></td><td style="padding-right: 0; width: 0.5in">b)</td><td style="padding-right: 0; text-align: justify"><font style="font-size: 10pt"><u>Changes in the fair value of plan assets</u></font></td></tr></table>
<p style="margin-top: 0; margin-bottom: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 76%; font-size: 10pt; text-align: left">Balance at January 1,</td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">4,200</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">4,763</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Expected return</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">108</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">85</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Contributions by employer</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">179</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">182</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Benefits paid</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(1,081</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(564</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Demographic assumptions</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(4</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">5</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Financial assumptions</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(2</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(2</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Past Experience</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">58</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">82</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; font-size: 10pt; text-align: left">Current service cost due to the transfer of real yield from the compensation component to the royalties component in executive insurance policies before 2004</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">1</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(3</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 1.5pt">Currency exchange</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">330</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">(348</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 4pt">Balance at December 31,</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">3,789</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">4,200</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 141.75pt; text-align: justify; text-indent: -28.35pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 1.25in"></td><td style="padding-right: 0; width: 0.5in; text-align: left">7.</td><td style="padding-right: 0; text-align: justify"><u>The principal assumptions underlying the defined benefit
plan</u></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-align: justify; text-indent: -28.35pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>%</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; font-size: 10pt; text-align: left">Discount rate of the plan liability</td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">2.79</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">2.02</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">2.27</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Future salary increases</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">3.1</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">3.6</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">4</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-align: justify; text-indent: -28.35pt"> </p>
<p style="font: small-caps 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.75in; text-align: justify"><font style="font-variant: normal; font-weight: normal">The
sensitivity analyses below have been determined based on reasonably possible changes of the principal assumptions underlying the
defined benefit plan as mentioned above, occurring at the end of the reporting period.</font></p>
<p style="font: small-caps 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 117pt; text-align: justify; text-indent: 0in"><font style="font-variant: normal; font-weight: normal"> </font></p>
<p style="font: small-caps 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.75in; text-align: justify"><font style="font-variant: normal; font-weight: normal">In
the event that the discount rate would be one percent higher or lower, and all other assumptions were held constant, the defined
benefit obligation would decrease by $288 thousands or increase by $343 thousands, respectively.</font></p>
<p style="font: small-caps 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 117pt; text-align: justify; text-indent: 0in"><font style="font-variant: normal; font-weight: normal"> </font></p>
<p style="font: small-caps 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.75in; text-align: justify"><font style="font-variant: normal; font-weight: normal">In
the event that the expected salary growth would increase or decrease by one percent, and all other assumptions were held constant,
the defined benefit obligation would increase by $326 thousands or decrease by $276 thousands, respectively.</font></p>
<p style="margin-top: 0; margin-bottom: 0"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td colspan="2" style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 76%; font-size: 10pt; text-align: left">Balance at January 1,</td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">4,200</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt"> </td>
<td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left">$</td><td style="padding-right: 0; width: 9%; font-size: 10pt; text-align: right">4,763</td><td style="padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Expected return</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">108</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">85</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Contributions by employer</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">179</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">182</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Benefits paid</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(1,081</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(564</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Demographic assumptions</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(4</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">5</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Financial assumptions</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(2</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(2</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left">Past Experience</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">58</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">82</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; font-size: 10pt; text-align: left">Current service cost due to the transfer of real yield from the compensation component to the royalties component in executive insurance policies before 2004</td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">1</td><td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt"> </td>
<td style="padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; text-align: right">(3</td><td style="padding-right: 0; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 1.5pt">Currency exchange</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">330</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: right">(348</td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; font-size: 10pt; text-align: left; padding-bottom: 4pt">Balance at December 31,</td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">3,789</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; font-size: 10pt; text-align: right">4,200</td><td style="padding-right: 0; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify"><td style="padding-right: 0; font-variant: small-caps; width: 0.75in; text-align: left">Note 19: -</td><td style="padding-right: 0; text-align: justify"><font style="font-variant: small-caps">Equity</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left">a.</td><td style="padding-right: 0; text-align: justify"><u>share capital</u></td>
</tr></table>
<p style="margin-top: 0; margin-bottom: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt; text-align: left"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>December 31, 2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>December 31, 2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt; text-align: left"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Authorized</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Outstanding</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Authorized</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Outstanding</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 52%; font-size: 10pt; text-align: left; padding-bottom: 4pt">Ordinary shares of NIS 1 par value</td><td style="padding-right: 0; width: 1%; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; width: 9%; font-size: 10pt; text-align: right">70,000,000</td><td style="padding-right: 0; width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; width: 9%; font-size: 10pt; text-align: right">40,353,101</td><td style="padding-right: 0; width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; width: 9%; font-size: 10pt; text-align: right">70,000,000</td><td style="padding-right: 0; width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; width: 9%; font-size: 10pt; text-align: right">40,295,078</td><td style="padding-right: 0; width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt">  </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: top">
<td style="width: 72px"> </td>
<td style="width: 48px; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">b.</font></td>
<td style="font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif"><u>Movement in share capital:</u></font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt"> </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: top">
<td style="width: 72px"> </td>
<td style="width: 48px; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif"></font></td>
<td style="font-size: 10pt">Issued and outstanding share capital: </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="font-weight: bold; text-align: center">Number of</td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">shares</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 88%">Balance as of January 1, 2018</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">40,262,819</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in">Issue of shares</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in">Exercise of options into shares</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">8,686</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt; padding-left: 0.125in">Exercise of restricted shares</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">23,573</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td>Balance as of December 31, 2018</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">40,295,078</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in">Issue of shares</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in">Exercise of options into shares</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">13,133</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1.5pt; padding-left: 0.125in">Exercise of restricted shares</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">44,890</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 4pt">Balance as of December 31, 2019</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">40,353,101</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt"> </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: top">
<td style="width: 72px; font-size: 10pt"> </td>
<td style="width: 48px; font-size: 10pt"> </td>
<td style="font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">Ordinary shares of NIS 1 par value</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt"> </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: top">
<td style="width: 72px"> </td>
<td style="width: 48px; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">c.</font></td>
<td style="font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif"><u>Rights attached to Shares</u></font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">Voting rights at the shareholders
general meeting, rights to dividend, rights in case of liquidation of the Company and rights to nominate directors.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: top">
<td style="width: 72px"> </td>
<td style="width: 48px; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">d.</font></td>
<td style="font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif"><u>Share options and restricted shares </u></font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">During 2019 and 2018, 67,470
and 53,584 share options, respectively, were exercised, on a cash-less basis, into 13,133 and 8,686 ordinary shares of NIS 1 par
value each and 44,892 and 23,572 restricted shares were vested for total consideration of $16 thousand and $9 thousands, respectively.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">For additional information regarding
options and restricted shares granted to employees and management in 2019, refer to Note 20 below.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: top">
<td style="width: 72px"> </td>
<td style="width: 48px; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">e.</font></td>
<td style="font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif"><u>Capital management in the Company</u></font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">The Company’s goals in
its capital management are to preserve capital ratios that will ensure stability and liquidity to support business activity and
create maximum value for shareholders.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 82.4pt"> </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: top">
<td style="width: 72px"> </td>
<td style="width: 48px; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">f.</font></td>
<td style="font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif"><u>Issuance of ordinary shares by the Company </u></font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 82.4pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">Refer to Note 25 e 3 for information
regarding the issuance of ordinary shares as of February 10, 2020</p>
<p style="margin-top: 0; margin-bottom: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt; text-align: left"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>December 31, 2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>December 31, 2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; font-size: 10pt; text-align: left"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Authorized</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Outstanding</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Authorized</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td><td style="padding-right: 0; font-size: 10pt; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; font-size: 10pt; text-align: center"><b>Outstanding</b></td><td style="padding-right: 0; padding-bottom: 1.5pt; font-size: 10pt"><b> </b></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 52%; font-size: 10pt; text-align: left; padding-bottom: 4pt">Ordinary shares of NIS 1 par value</td><td style="padding-right: 0; width: 1%; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; width: 9%; font-size: 10pt; text-align: right">70,000,000</td><td style="padding-right: 0; width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; width: 9%; font-size: 10pt; text-align: right">40,353,101</td><td style="padding-right: 0; width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; width: 9%; font-size: 10pt; text-align: right">70,000,000</td><td style="padding-right: 0; width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-right: 0; width: 1%; font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; width: 1%; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; padding-right: 0; width: 9%; font-size: 10pt; text-align: right">40,295,078</td><td style="padding-right: 0; width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt">   </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold"> </td>
<td colspan="2" style="font-weight: bold; text-align: center">Number of</td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">shares</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 88%">Balance as of January 1, 2018</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left"> </td><td style="width: 9%; text-align: right">40,262,819</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in">Issue of shares</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in">Exercise of options into shares</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">8,686</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt; padding-left: 0.125in">Exercise of restricted shares</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">23,573</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td>Balance as of December 31, 2018</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">40,295,078</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 0.125in">Issue of shares</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in">Exercise of options into shares</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">13,133</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 1.5pt; padding-left: 0.125in">Exercise of restricted shares</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">44,890</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-bottom: 4pt">Balance as of December 31, 2019</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left"> </td><td style="border-bottom: Black 4pt double; text-align: right">40,353,101</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt"> </p>
40262819
40295078
40353101
8686
13133
23573
44890
<p style="font: 10pt Calibri, Helvetica, Sans-Serif; margin: 0"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b>Note
7:</b> - <b>Trade Receivables, Net</b></font></p>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 7pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<table cellspacing="0" cellpadding="0" style="font: 11pt Calibri, Helvetica, Sans-Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td>
<td> </td>
<td colspan="6" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>December 31,</b></font></td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2019</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>2018</b></font></td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td>
<td> </td>
<td colspan="6" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>U.S. Dollars in thousands</b></font></td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif">Open accounts:</font></td>
<td> </td>
<td colspan="2"> </td>
<td> </td>
<td> </td>
<td colspan="2"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="width: 76%"><font style="font: 10pt Times New Roman, Times, Serif">In NIS</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">8,357</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="width: 9%; text-align: right"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">6,780</p>
</td>
<td style="width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td><font style="font: 10pt Times New Roman, Times, Serif">In USD</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">14,920</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">20,814</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td> </td>
<td> </td>
<td><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">23,277</font></td>
<td> </td>
<td> </td>
<td><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">27,594</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td><font style="font: 10pt Times New Roman, Times, Serif">Checks receivable</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">80</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">23,277</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">27,674</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td><font style="font: 10pt Times New Roman, Times, Serif">Less allowance for doubtful accounts(1)</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(67</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td><font style="font: 10pt Times New Roman, Times, Serif">Total Trade receivables, net</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">23,210</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">27,674</font></td>
<td> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font-size: 7pt">  </font></p>
<table cellspacing="0" cellpadding="0" style="font: 11pt Calibri, Helvetica, Sans-Serif; width: 100%">
<tr style="vertical-align: top">
<td style="width: 0.25in"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">Allowance for doubtful accounts:</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font-size: 7pt"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 11pt Calibri, Helvetica, Sans-Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="width: 76%"><font style="font: 10pt Times New Roman, Times, Serif">December 31, 2018</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 1%"> </td>
<td style="width: 9%; text-align: right"> </td>
<td style="width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">Provision for
the year</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(67</font></td>
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"> </td>
<td style="padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="padding-bottom: 4pt"><font style="font: 10pt Times New Roman, Times, Serif">December 31, 2019</font></td>
<td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double"> </td>
<td style="border-bottom: Black 4pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(67</font></td>
<td style="padding-bottom: 4pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double"> </td>
<td style="border-bottom: Black 4pt double; text-align: right"> </td>
<td style="padding-bottom: 4pt"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font-size: 7pt"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><font style="font: 10pt Times New Roman, Times, Serif">An
analysis of past due but not impaired trade receivables with reference to reporting date:</font></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font-size: 7pt">  </font></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="26" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Past due trade receivables with aging of</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Neither past due nor impaired</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>Up to 30</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>Days</b></p></td><td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>31-60</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>Days</b></p></td><td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>61-90</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>Days</b></p></td><td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>91-120</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>Days</b></p></td><td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>Over 121</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><b>days</b></p></td><td style="padding-bottom: 1.5pt"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Total</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 16%; padding-bottom: 1.5pt">December 31, 2019</td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">22,617</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">469</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">25</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">33</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">65</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">68</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left">(1)</td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">23,277</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt">December 31, 2018</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">27,215</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">337</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">15</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">15</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">6</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">6</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">27,594</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font-size: 7pt"> <font style="font-family: Times New Roman, Times, Serif"><b> </b></font></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">$67 thousands of the over 121 days balance is provided for as
allowance for doubtful accounts.</p></td></tr></table>
110890000
143562000
27226000
30235000
1311000
2048000
138116000
173797000
452000
489000
110000
1020000
461000
589000
23569000
32739000
28000
3981000
668000
232000
787000
1269000
2171000
5739000
10409000
10425000
179147000
180819000
-3490000
-3490000
-57000
8000
34000
145000
9353000
8844000
4000
-359000
89492000
66743000
112376000
9320000
10400000
19000
-4000
-3490000
-3490000
-27000
46000
9795000
9566000
-81000
-337000
-111464000
-104563000
162671000
177874000
10409000
179147000
34000
-3490000
-57000
9353000
4000
-83024000
135319000
10425000
180819000
145000
-3490000
8000
8844000
-359000
-61073000
138116000
173797000
79559000
90784000
97696000
23266000
23685000
29491000
51335000
52796000
52425000
19402000
20201000
25025000
311000
330000
7444000
19259000
22784000
500000
830000
1146000
80000
178000
5000
-612000
602000
-651000
82000
172000
293000
6901000
22296000
6901000
22296000
22251000
22251000
-256000
340000
-388000
9000
11000
6695000
22572000
-23000
73000
-256000
6901000
38000
-103000
341000
22296000
22064000
111000
65000
-363000
22251000
0.18
0.55
0.55
0.18
0.55
0.55
-206000
284000
-23000
73000
-256000
50000
-106000
340000
-176000
143000
69000
-388000
3000
9000
3000
-712000
712000
9000
1161000
-1161000
16000
16000
1672000
-1672000
15568000
1077000
14491000
483000
948000
483000
948000
1163000
1163000
-757000
-757000
-8000
-12000
3000
1000
-11000
-32000
-4000
25000
3523000
3703000
4519000
-274000
1082000
197000
483000
948000
1163000
269000
-1955000
730000
52000
-55000
2000
166000
-16000
94000
4663000
1653000
6307000
-9967000
2311000
5117000
328000
-1336000
-214000
4524000
-8246000
-13857000
594000
235000
399000
-838000
-1116000
6259000
71000
-658000
863000
-2930000
-5256000
-283000
-8218000
-14066000
-1716000
21000
54000
243000
399000
739000
1106000
116000
22000
134000
262000
663000
729000
3608000
10546000
27571000
26501000
1070000
-11501000
-2322000
1727000
4167000
2884000
2300000
60000
30000
9000
-15608000
-5176000
-564000
3000
9000
16000
279000
-111000
-136000
-1070000
419000
460000
476000
15568000
15320000
-587000
-1530000
-460000
-1070000
-607000
629000
-908000
2713000
5412000
24569000
282000
5035000
1681000
720000
992000
4022000
4161000
4161000
3033000
989000
26000
110000
810000
920000
28000
3907000
3935000
5261000
-255000
5006000
5434000
4685000
32000
138000
4855000
688000
746000
452000
257000
688000
257000
874000
874000
-57000
-57000
1182000
226000
212000
14000
0.0315
0.0355
0.0306
0.046
50592000
10324000
18093000
22175000
73920000
2000
12832000
42662000
18413000
13000
73920000
50592000
17285000
17285000
24830000
24830000
5261000
5261000
5811000
5811000
767000
506000
227000
34000
1331000
595000
495000
209000
32000
5711000
1198000
1000000
797000
1352000
1364000
23877000
23141000
495000
209000
32000
37119000
32345000
1227000
831000
1352000
1364000
1278000
1140000
138000
5747000
746000
5001000
-1545000
-475000
-1070000
487000
81000
406000
870000
870000
-60000
-60000
1275000
136000
6337000
5583000
754000
1139000
1588000
8672000
-64000
1588000
8736000
4289000
8543000
15000
4289000
8558000
519000
-519000
642000
-642000
-21000
21000
-197000
197000
-24000
24000
-552000
552000
1140000
746000
4973000
5719000
1140000
28000
138000
2000
13000
371000
6316000
4717000
4023000
663000
31000
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"><u>Below is the Consolidated Statements of Profit
or Loss and Other Comprehensive Income impact for the year ended December 31, 2019</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="white-space: nowrap"><b> </b></td><td style="white-space: nowrap"><b> </b></td>
<td colspan="2" style="white-space: nowrap; text-align: center"><b>Expense decrease<br />
(increase)</b></td><td style="white-space: nowrap"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="white-space: nowrap; text-align: center"><b> </b></td><td style="white-space: nowrap; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; white-space: nowrap; text-align: center"><b>For the year ended on<br />
December 31,<br />
2019</b></td><td style="white-space: nowrap; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>U.S Dollars in thousands</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 88%; text-align: left">Operating lease expense</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">1,182</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt">Depreciation of  right of use assets</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(956</td><td style="padding-bottom: 1.5pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Operating income</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">226</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 1.5pt">Finance expense</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">(212</td><td style="padding-bottom: 1.5pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 4pt">Net Income (loss)</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">14</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in"></p>
<p style="font: 10pt Times New Roman, Times, Serif; text-align: left; margin-top: 0pt; margin-bottom: 0pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"><u>Below is the Consolidated Statements of cash flow
impact for the year ended December 31, 2019</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>According to the previous accounting policy</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>Difference</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>According to the current accounting policy</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-align: center"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="text-align: right"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>U.S Dollars in thousands</b></td><td style="padding-bottom: 1.5pt"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-decoration: underline">For the year ended on December 31, 2019</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 64%; text-align: left; padding-bottom: 4pt">Cash flows from operating activities</td><td style="width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">26,501</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">1,070</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">27,571</td><td style="width: 1%; padding-bottom: 4pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 4pt">Cash flows from financing activities</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(460</td><td style="padding-bottom: 4pt; text-align: left">)</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(1,070</td><td style="padding-bottom: 4pt; text-align: left">)</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(1,530</td><td style="padding-bottom: 4pt; text-align: left">)</td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 0.5in"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="width: 0in"></td><td style="width: 0.25in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"></font></td><td></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">  </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 2.85pt; text-align: center"><b>Statements
of</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 2.85pt; text-align: center"><b>financial position</b></p></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td colspan="10" style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: center"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 2.85pt; text-align: center"><b>Statements
of</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 2.85pt; text-align: center"><b>profit or loss</b></p></td><td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">Year ended December 31,</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2017</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td>
<td colspan="18" style="border-bottom: Black 1.5pt solid; font: bold 10pt Times New Roman, Times, Serif; text-align: center">U.S Dollars in thousands</td><td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt">Deferred tax liabilities:</td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td><td style="font-size: 10pt"> </td>
<td colspan="2" style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 0.125in; text-indent: -0.125in; width: 40%; font-size: 10pt; text-align: left">Financial assets measured at fair value through other comprehensive income</td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 9%; font-size: 10pt; text-align: right">(32</td><td style="width: 1%; font-size: 10pt; text-align: left">)</td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 9%; font-size: 10pt; text-align: right">(12</td><td style="width: 1%; font-size: 10pt; text-align: left">)</td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 9%; font-size: 10pt; text-align: right"> </td><td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 9%; font-size: 10pt; text-align: right"> </td><td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 9%; font-size: 10pt; text-align: right"> </td><td style="width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; padding-bottom: 1.5pt; text-indent: -8.5pt; padding-left: 8.5pt">Revaluation of derivatives</td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right">(4</td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left">)</td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-align: left; text-indent: -8.5pt; padding-left: 8.5pt">Deferred tax assets:</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-align: left; text-indent: -8.5pt; padding-left: 8.5pt">Carryforward tax losses</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">1,330</td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">2,056</td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">(726</td><td style="font-size: 10pt; text-align: left">)</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">(1,944</td><td style="font-size: 10pt; text-align: left">)</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">-</td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; text-align: left; text-indent: -8.5pt; padding-left: 8.5pt">Employee benefits</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">25</td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right">1</td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font: 10pt Times New Roman, Times, Serif; text-indent: -8.5pt; padding-left: 8.5pt">Issuance of sheers</td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; padding-bottom: 1.5pt; text-indent: -8.5pt; padding-left: 8.5pt">Revaluation of derivatives</td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right">3</td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; text-align: left; padding-bottom: 4pt; text-indent: -8.5pt; padding-left: 8.5pt">Deferred tax income (expenses)</td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">(726</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left">)</td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left"> </td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">(1,944</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left">)</td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt"> </td>
<td style="font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; text-align: right"> </td><td style="font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; text-align: left; padding-bottom: 4pt; text-indent: -8.5pt; padding-left: 8.5pt">Deferred tax assets, net</td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">1,311</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right">2,048</td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 4pt"> </td>
<td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: right"> </td><td style="padding-bottom: 4pt; font-size: 10pt; text-align: left"> </td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-size: 10pt"> </td><td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-size: 10pt; font-weight: bold; text-align: center">NIS in thousands</td><td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="width: 76%; font-size: 10pt; text-indent: -8.5pt; padding-left: 8.5pt"> </td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 9%; font-size: 10pt; text-align: right"> </td><td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 1%; font-size: 10pt"> </td>
<td style="width: 1%; font-size: 10pt; text-align: left"> </td><td style="width: 9%; font-size: 10pt; text-align: right"> </td><td style="width: 1%; font-size: 10pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="font-size: 10pt; text-align: left; padding-bottom: 1.5pt; text-indent: -8.5pt; padding-left: 8.5pt">Non-current assets</td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right">1,311</td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td><td style="font-size: 10pt; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right">2,048</td><td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left"> </td></tr>
</table>
-4678000
-356000
-105000
-352000
-12000
-32000
-4000
2056000
1330000
1000
25000
1944000
726000
3000
2048000
1311000
The agreement, upon initiation of sales of Glassia manufactured by Takeda, Takeda will pay royalties to the Company at a rate of 12% on net sales through August 2025, and at a rate of 6% thereafter until 2040, with a minimum of $5 million annually, for each of the years from 2022 to 2040.
0.74
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Basis
of presentation of financial statements</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 4.65pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">1.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">These
financial statements have been prepared in accordance with International Financial Reporting
Standards ("IFRS") as issued by the International Accounting Standard Board.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.05pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">2.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Measurement
basis:</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.5in; text-align: justify">The Company's consolidated
Financial Statements are prepared on a cost basis, except for financial instruments (including derivatives) at fair value through
profit or loss and other comprehensive income such as marketable securities financial assets.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company has elected to present profit or loss items using the "function of expense" method.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">b.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
Company's operating cycle is one year.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">c.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
consolidated financial statements comprise the financial statements of companies that
are controlled by the Company (subsidiaries). Control is achieved when the Company is
exposed, or has rights, to variable returns from its involvement with the investee and
has the ability to affect those returns through its power over the investee. The consolidation
of the financial statements commences on the date on which control is obtained and ends
when such control ceases.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
financial statements of the Company and of the subsidiaries are prepared as of the same dates and periods. The consolidated financial
statements are prepared using uniform accounting policies by all companies in the Group. Significant intercompany balances and
transactions, gains or losses resulting from intercompany transactions are eliminated in full in the consolidated financial statements.</font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">d.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Functional
currency, presentation currency and foreign currency</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 4.65pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">1.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Functional
currency and presentation currency</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
consolidated financial statements are presented in U.S. dollars, which is the Company's functional and presentation currency.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">2.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Transactions,
assets and liabilities in foreign currency</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.5in; text-align: justify">Transactions denominated in foreign
currency are recorded on initial recognition at the exchange rate at the date of the transaction. After initial recognition, monetary
assets and liabilities denominated in foreign currency are translated at the end of each reporting period into the functional currency
at the exchange rate at that date. Exchange differences are recognized in profit or loss. Non-monetary assets and liabilities measured
at cost in a foreign currency are translated at the exchange rate at the date of the transaction. Non-monetary assets and liabilities
denominated in foreign currency and measured at fair value are translated into the functional currency using the exchange rate
prevailing at the date when the fair value was determined.</p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">e.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Cash
and cash equivalents</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Cash
comprise of cash at banks and on hand. Cash equivalents are considered as highly liquid investments, including unrestricted short-term
bank deposits with an original maturity of three months or less from the date of purchase, which are subject to an insignificant
risk of changes in value.</font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.05pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">f.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Short-term
deposits</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Short-term
bank deposits with a maturity of more than three months from the deposit date but less than one year and securities measured at
fair value through other comprehensive income. The deposits are presented according to their terms of deposit.</font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">g.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Allowance
for doubtful accounts</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
allowance for doubtful accounts is determined in respect of specific debts whose collection, in the opinion of the Company's
management, is doubtful. Impaired debts are derecognized when they are assessed as uncollectible. As of December 31, 2019 the
Company recognized an allowance for doubtful accounts at an amount of $67 thousands.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company did not recognize an allowance in respect of groups of customers that are collectively assessed for impairment since it
did not identify any groups of customers which bear similar credit risks. Impaired receivables are derecognized when they are
assessed as uncollectible.</font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">h.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Inventories</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Inventories
are measured at the lower of cost and net realizable value. The cost of inventories comprises costs of purchase of raw and other
materials and costs incurred in bringing the inventories to their present location and condition. Net realizable value is the
estimated selling price in the ordinary course of business.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Cost
of inventories is determined as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<table cellspacing="0" cellpadding="0" style="font: 11pt Calibri, Helvetica, Sans-Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: top">
<td style="padding-bottom: 0; width: 1in"> </td>
<td style="padding-bottom: 0; width: 20%; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Raw materials</font></td>
<td style="padding-bottom: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">At cost using the first-in, first-out method. Fair value of raw material received at no charge is not included in the inventory value.</font></td></tr>
<tr style="vertical-align: top">
<td style="padding-bottom: 0"> </td>
<td style="padding-bottom: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 0"> </td></tr>
<tr style="vertical-align: top">
<td style="padding-bottom: 0"> </td>
<td style="padding-bottom: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Work in process</font></td>
<td style="padding-bottom: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Costs of raw materials, direct and indirect costs including labor, other materials and other indirect manufacturing costs allocated to the in process manufactured batches through the end of the reporting period. The allocation of indirect costs is accounted for on a quarterly basis by dividing the total quarterly indirect manufacturing cost to the batches manufactured during that quarter based on predetermined allocation factors.</font></td></tr>
<tr style="vertical-align: top">
<td style="padding-bottom: 0"> </td>
<td style="padding-bottom: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 0"> </td></tr>
<tr style="vertical-align: top">
<td style="padding-bottom: 0"> </td>
<td style="padding-bottom: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Finished products</font></td>
<td style="padding-bottom: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Costs of raw materials, direct and indirect costs including labor, other materials and other indirect manufacturing costs allocated to the manufactured finished products through completion of manufacturing process.</font></td></tr>
<tr style="vertical-align: top">
<td style="padding-bottom: 0"> </td>
<td style="padding-bottom: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 0; text-align: justify"> </td></tr>
<tr style="vertical-align: top">
<td style="padding-bottom: 0"> </td>
<td style="padding-bottom: 0"><font style="font: 10pt Times New Roman, Times, Serif">Purchased products</font></td>
<td style="padding-bottom: 0"><font style="font: 10pt Times New Roman, Times, Serif">At cost using the first-in, first-out method.</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
Company periodically evaluates the condition and age of inventories and accounts for impairment of inventories with a lower market
value or which are slow moving.</font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in">s<font style="font: 10pt Times New Roman, Times, Serif">.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Employee
benefit liabilities</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
Company has several employee benefit plans:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.05pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">1.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Short-term
employee benefits</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Short-term
employee benefits include salaries, paid annual leave, paid sick leave, recreation and social security contributions and are recognized
as expenses as the services are rendered. A liability in respect of a cash bonus is recognized when the Company has a legal or
constructive obligation to make such payment as a result of past service rendered by an employee and a reliable estimate of the
amount can be made.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">2.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Post-employment
benefits</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
post-employment benefits plans are normally financed by contributions to insurance companies and classified as defined contribution
plans or as defined benefit plans.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company has defined contribution plans pursuant to Section 14 to the Israeli Severance Pay Law under which the Company pays fixed
contributions to certain employees under Section 14 and will have no legal or constructive obligation to pay further contributions.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Contributions
to the defined contribution plan in respect of severance or retirement pay are recognized as an expense when contributed concurrently
with performance of the employee's services.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
addition the Company operates a defined benefit plan in respect of severance pay pursuant to the Israeli Severance Pay Law. According
to the Law, employees are entitled to severance pay upon dismissal or retirement. The liability for termination of employment
is measured using the projected unit credit method. The actuarial assumptions include expected salary increases and rates of employee's
turnover based on the estimated timing of payment. The amounts are presented based on discounted expected future cash flows using
a discount rate determined by reference to market yields at the reporting date on high quality corporate bonds that are linked
to the Consumer Price Index with a term that is consistent with the estimated term of the severance pay obligation.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
respect of its severance pay obligation to certain of its employees, the Company makes current deposits in pension funds and insurance
companies ("the plan assets"). Plan assets comprise assets held by a long-term employee benefit fund or qualifying
insurance policies. Plan assets are not available to the Company's own creditors and cannot be returned directly to the
Company.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
liability for employee benefits shown in the statement of financial position reflects the present value of the defined benefit
obligation less the fair value of the plan assets.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Re-measurements
of the net liability are recognized in other comprehensive income in the period in which they occur.</font></p>
112000
112000
<p style="font: 10pt Calibri, Helvetica, Sans-Serif; margin: 0"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b>Note
4: - Disclusure of New Standards in the Period Prior to Their Adoption</b></font></p>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0"><b><font style="font: 10pt Times New Roman, Times, Serif"><font style="font-variant: small-caps"> </font></font></b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.6in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Amendments
to IFRS 9, IFRS 7 and IAS 39:</font></p>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.6in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
September 2019, the IASB published an amendment to IFRS 9, "Financial Instruments", IFRS 7, "Financial Instruments:
Disclosures" and IAS 39," Financial Instruments: Recognition and Measurement" ("the Amendment").</font></p>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.6in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
view of global regulatory changes, numerous countries have considered introducing a reform in the benchmark Interbank Offered
Rates ("IBORs") (LIBOR, the London Interbank Offered Rate, being one of the most common examples) and switching to
a risk-free interest rate alternative ("RFRs") which extensively rely on data of specific transactions. The IBOR reform
leads to uncertainty regarding the dates and amounts to be attributed to future cash flows relating to both hedging instruments
and hedged items that rely on existing IBORs.</font></p>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.6in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">According
to the existing accounting guidance of IFRS 9 and IAS 39, entities that have entered into the above hedges are facing uncertainty
as a result of the IBOR reform which is likely to affect their ability to continue meeting the effective hedging requirements
underlying existing transactions as well as the hedging requirements of future transactions. In order to resolve this uncertainty,
the IASB issued the Amendment to offer transitional reliefs for entities that apply IBOR-based hedge accounting. The Amendment
represents phase one in the reform that will include additional amendments in the future.</font></p>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.6in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Amendment also permits certain reliefs in applying the hedge accounting effectiveness tests during the period of transition from
IBORs to RFRs. These reliefs assume that the benchmark interest underlying the hedge will not change as a result of the expected
interest reform. The reliefs will be effective indefinitely, until the occurrence of one of the events specified in the Amendment.
The Amendment also requires entities to provide specific disclosures of the application of any reliefs.</font></p>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.6in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Amendment is to be applied retrospectively for annual periods beginning on or after January 1, 2020. Early adoption is permitted.</font></p>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.6in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company believes that the adoption of the Amendment will not have an effect on its financial statements since it does not currently
enter into substantial IBOR-based hedges.</font></p>
The Company projects that total revenues from sales of Glassia to Takeda for the year 2020 will be approximately $65 million and for the year 2021 between $25 million to $50 million. See note 22a for information regarding 2019 revenues from sales to Takeda.
-23000
51000
143000
329000
-176000
92000
256000
-70000
23000
-300000
-300000
88735000
10400000
177874000
-4000
-3490000
46000
9566000
-337000
-105320000
112076000
10409000
179147000
34000
-3490000
-57000
9353000
4000
-83324000
<p style="font: 11pt Calibri, Helvetica, Sans-Serif; margin: 0 0 8pt"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b>Note
1: - General</b></font><b><font style="font: 10pt Times New Roman, Times, Serif"> </font></b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>General
description of the Company and its activity</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">Kamada Ltd. (“the Company”)
is a plasma-derived biopharmaceutical company focused on orphan indications, with an existing marketed product portfolio and a
late-stage product pipeline. The Company uses its proprietary platform technology and know-how for the extraction and purification
of proteins from human plasma to produce Alpha-1 Antitrypsin (AAT) in a highly-purified, liquid form, as well as other plasma-derived
immune globulins. The Company’s flagship product is Glassia<sup>®</sup> (“Glassia”), the first liquid, ready-to-use,
intravenous plasma-derived AAT product approved by the U.S. FDA. The Company markets Glassia in the U.S. through a strategic partnership
with Takeda Pharmaceuticals Company Limited (“Takeda”) and in other counties through local distributors. The Company’s
second leading product is KamRab<sup>®</sup>, a rabies immune globulin (Human) for post-exposure prophylaxis against rabies
infection. KamRab is FDA approved and is being marketed in the U.S. under the brand name KedRab through a strategic partnership
with Kedrion S.p.A (“Kedrion”). In addition to Glassia and KedRab, the Company has a product line of four other plasma-derived
pharmaceutical products administered by injection or infusion, that are marketed through distributors in more than 15 countries,
including Israel, Russia, Brazil, India and other countries in Latin America and Asia. The Company has late-stage products in development,
including an inhaled formulation of AAT for the treatment of AAT deficiency. In addition, the Company’s intravenous AAT is
in development for other indications, such as GvHD and prevention of lung transplant rejection. The Company leverages its expertise
and presence in the plasma-derived protein therapeutics market by distributing more than 20 complementary products in Israel that
are manufactured by third parties.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">Pursuant to the agreement with
Takeda (as detailed on Note 17) the Company will continue to produce Glassia for Takeda through 2021. Takeda is planning to complete
the technology transfer of Glassia, and pending FDA approval, will initiate its own production of Glassia for the U.S. market in
2021. Accordingly, following the transition of manufacturing to Takeda, the Company will terminate the manufacturing and sale of
Glassia to Takeda resulting in a significant reduction in revenues. Pursuant to the agreement, upon initiation of sales of Glassia
manufactured by Takeda, Takeda will pay royalties to the Company at a rate of 12% on net sales through August 2025, and at a rate
of 6% thereafter until 2040, with a minimum of $5 million annually, for each of the years from 2022 to 2040.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company’s activity is divided into two operating segments:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"> <tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Proprietary
Products</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Development,
manufacturing, sales and distribution of plasma-derived protein therapeutics.</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 20%"><font style="font: 10pt Times New Roman, Times, Serif">Distribution</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Distribute
imported drug products in Israel, which are manufactured by third parties.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">b.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
Company’s securities are listed for trading on the Tel Aviv stock exchange and
on the NASDAQ.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company has three wholly-owned subsidiaries – Kamada Inc. and Kamada Ireland limited which are not active and Kamada Biopharma
Limited. In addition the Company owns 74% of Kamada Assets Ltd (“Kamada Assets”).</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">c.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Definitions</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">In
these Financial Statements –</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: top; text-align: left">
<td style="width: 1in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 23%"><font style="font: 10pt Times New Roman, Times, Serif">The Company</font></td>
<td style="width: 2%"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">Kamada Ltd.</font></td></tr>
<tr style="vertical-align: top; text-align: left">
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">The Group </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">The Company and its subsidiaries.</font></td></tr>
<tr style="vertical-align: top; text-align: left">
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">Subsidiary</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">A company which
the Company has a control over (as defined in IFRS 10) and whose financial statements are consolidated with the Company’s
Financial Statements.</font></td></tr>
<tr style="vertical-align: top; text-align: left">
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">Related parties</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">As defined in International Accounting Standard
(“IAS”) 24.</font></td></tr>
<tr style="vertical-align: top">
<td style="width: 1in"> </td>
<td style="width: 23%"><font style="font: 10pt Times New Roman, Times, Serif">USD/$ </font></td>
<td style="width: 2%"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">U.S. dollar.</font></td></tr>
<tr style="vertical-align: top; text-align: left">
<td style="width: 1in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 23%"><font style="font: 10pt Times New Roman, Times, Serif">NIS</font></td>
<td style="width: 2%"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">New Israeli Shekel</font></td></tr>
<tr style="vertical-align: top; text-align: left">
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">EUR</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td><font style="font: 10pt Times New Roman, Times, Serif">Euro</font></td></tr></table>
<p style="font: 10pt Calibri, Helvetica, Sans-Serif; margin: 0 0 8pt"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b>Note
2: - significant accounting policies</b></font><b><font style="font: 10pt Times New Roman, Times, Serif"> </font></b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Basis
of presentation of financial statements</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 4.65pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">1.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">These
financial statements have been prepared in accordance with International Financial Reporting
Standards ("IFRS") as issued by the International Accounting Standard Board.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.05pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">2.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Measurement
basis:</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.5in; text-align: justify">The Company's consolidated
Financial Statements are prepared on a cost basis, except for financial instruments (including derivatives) at fair value through
profit or loss and other comprehensive income such as marketable securities financial assets.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company has elected to present profit or loss items using the "function of expense" method.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">b.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
Company's operating cycle is one year.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">c.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
consolidated financial statements comprise the financial statements of companies that
are controlled by the Company (subsidiaries). Control is achieved when the Company is
exposed, or has rights, to variable returns from its involvement with the investee and
has the ability to affect those returns through its power over the investee. The consolidation
of the financial statements commences on the date on which control is obtained and ends
when such control ceases.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
financial statements of the Company and of the subsidiaries are prepared as of the same dates and periods. The consolidated financial
statements are prepared using uniform accounting policies by all companies in the Group. Significant intercompany balances and
transactions, gains or losses resulting from intercompany transactions are eliminated in full in the consolidated financial statements.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">d.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Functional
currency, presentation currency and foreign currency</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 4.65pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">1.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Functional
currency and presentation currency</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
consolidated financial statements are presented in U.S. dollars, which is the Company's functional and presentation currency.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">2.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Transactions,
assets and liabilities in foreign currency</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.5in; text-align: justify">Transactions denominated in foreign
currency are recorded on initial recognition at the exchange rate at the date of the transaction. After initial recognition, monetary
assets and liabilities denominated in foreign currency are translated at the end of each reporting period into the functional currency
at the exchange rate at that date. Exchange differences are recognized in profit or loss. Non-monetary assets and liabilities measured
at cost in a foreign currency are translated at the exchange rate at the date of the transaction. Non-monetary assets and liabilities
denominated in foreign currency and measured at fair value are translated into the functional currency using the exchange rate
prevailing at the date when the fair value was determined.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">e.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Cash
and cash equivalents</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Cash
comprise of cash at banks and on hand. Cash equivalents are considered as highly liquid investments, including unrestricted short-term
bank deposits with an original maturity of three months or less from the date of purchase, which are subject to an insignificant
risk of changes in value.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.05pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">f.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Short-term
deposits</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Short-term
bank deposits with a maturity of more than three months from the deposit date but less than one year and securities measured at
fair value through other comprehensive income. The deposits are presented according to their terms of deposit.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">g.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Allowance
for doubtful accounts</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
allowance for doubtful accounts is determined in respect of specific debts whose collection, in the opinion of the Company's
management, is doubtful. Impaired debts are derecognized when they are assessed as uncollectible. As of December 31, 2019 the
Company recognized an allowance for doubtful accounts at an amount of $67 thousands.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company did not recognize an allowance in respect of groups of customers that are collectively assessed for impairment since it
did not identify any groups of customers which bear similar credit risks. Impaired receivables are derecognized when they are
assessed as uncollectible.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">h.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Inventories</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Inventories
are measured at the lower of cost and net realizable value. The cost of inventories comprises costs of purchase of raw and other
materials and costs incurred in bringing the inventories to their present location and condition. Net realizable value is the
estimated selling price in the ordinary course of business.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Cost
of inventories is determined as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<table cellspacing="0" cellpadding="0" style="font: 11pt Calibri, Helvetica, Sans-Serif; width: 100%; border-collapse: collapse">
<tr style="vertical-align: top">
<td style="padding-bottom: 0; width: 1in"> </td>
<td style="padding-bottom: 0; width: 20%; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Raw materials</font></td>
<td style="padding-bottom: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">At cost using the first-in, first-out method. Fair value of raw material received at no charge is not included in the inventory value.</font></td></tr>
<tr style="vertical-align: top">
<td style="padding-bottom: 0"> </td>
<td style="padding-bottom: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 0"> </td></tr>
<tr style="vertical-align: top">
<td style="padding-bottom: 0"> </td>
<td style="padding-bottom: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Work in process</font></td>
<td style="padding-bottom: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Costs of raw materials, direct and indirect costs including labor, other materials and other indirect manufacturing costs allocated to the in process manufactured batches through the end of the reporting period. The allocation of indirect costs is accounted for on a quarterly basis by dividing the total quarterly indirect manufacturing cost to the batches manufactured during that quarter based on predetermined allocation factors.</font></td></tr>
<tr style="vertical-align: top">
<td style="padding-bottom: 0"> </td>
<td style="padding-bottom: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 0"> </td></tr>
<tr style="vertical-align: top">
<td style="padding-bottom: 0"> </td>
<td style="padding-bottom: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Finished products</font></td>
<td style="padding-bottom: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Costs of raw materials, direct and indirect costs including labor, other materials and other indirect manufacturing costs allocated to the manufactured finished products through completion of manufacturing process.</font></td></tr>
<tr style="vertical-align: top">
<td style="padding-bottom: 0"> </td>
<td style="padding-bottom: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="padding-bottom: 0; text-align: justify"> </td></tr>
<tr style="vertical-align: top">
<td style="padding-bottom: 0"> </td>
<td style="padding-bottom: 0"><font style="font: 10pt Times New Roman, Times, Serif">Purchased products</font></td>
<td style="padding-bottom: 0"><font style="font: 10pt Times New Roman, Times, Serif">At cost using the first-in, first-out method.</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company periodically evaluates the condition and age of inventories and accounts for impairment of inventories with a lower market
value or which are slow moving.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.45pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">i.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Research
and development costs </u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Research
expenditures are recognized in profit or loss when incurred and include preclinical and clinical costs (as well as cost of materials
associated with the development of new products or existing products for new therapeutic indications). In addition, these costs
include additional product development activities with respect to approved and distributed products as well as post marketing
commitment research and development activities.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">An
intangible asset arising from a development project or from the development phase of an internal project is recognized if the
Company can demonstrate the technical feasibility of completing the intangible asset so that it will be available for use or sale;
the Company's intention to complete the intangible asset and use or sell it; the Company's ability to use or sell
the intangible asset; how the intangible asset will generate future economic benefits; the availability of adequate technical,
financial and other resources to complete the intangible asset; and the Company's ability to measure reliably the expenditure
attributable to the intangible asset during its development. Since the Company development projects are often subject to regulatory
approval procedures and other uncertainties, the conditions for the capitalization of costs incurred before receipt of approvals
are not normally satisfied and therefore, development expenditures are recognized in profit or loss when incurred.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">j.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Revenue
recognition</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
January 1, 2018, the Company initially adopted IFRS 15, "Revenue from Contracts with Customers" ("the Standard").
The Company elected to apply the provisions of the Standard using the modified retrospective method with the application of certain
practical expedients and without restatement of comparative data. The accounting policy for revenue recognition applied from January
1, 2018, is as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">The Company recognizes revenue
when the customer obtains control over the promised goods or services. Revenues are recognized at an amount that reflects the
consideration to which an entity expects to be entitled in exchange for transferring goods or services to a customer. The Company
includes variable consideration, such as milestone payments or volume rebates, in the transaction price only when it is highly
probable that its inclusion will not result in a significant revenue reversal in the future when the uncertainty has been subsequently
resolved</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
determining the amount of revenue from contracts with customers, the Company evaluates whether it is a principal or an agent in
the arrangement. The Company is a principal when the Company controls the promised goods or services before transferring them
to the customer. In these circumstances, the Company recognizes revenue for the gross amount of the consideration.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: normal 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Identifying
the contract</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
Company account for a contract with a customer only when all of the following criteria are met:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
parties to the contract have approved the contract (in writing, orally or in accordance
with other customary business practices) and are committed to perform their respective
obligations;</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">b)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company can identify each party's rights regarding the goods or services to be
transferred;</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">c)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company can identify the payment terms for the goods or services to be transferred;</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">d)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
contract has commercial substance (i.e. the risk, timing or amount of the entity's
future cash flows is expected to change as a result of the contract); and</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">e)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">It
is probable that the Company will collect the consideration to which it will be entitled
in exchange for the goods or services that will be transferred to the customer</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">For
the purpose of paragraph (e) the Company examines, inter alia, the percentage of the advance payments received and the spread
of the contractual payments, past experience with the customer and the status and existence of sufficient collateral.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: normal 10pt Times New Roman, Times, Serif">Combination
of contracts</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
Company accounts for multiple contracts as a single contract when all the contracts are signed at or near the same time with the
same customer or with related parties of the customer, and when one of the following criteria is met:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
contracts are negotiated as a package with a single commercial objective.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">b)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
amount of consideration to be paid in one contract depends on the consideration of another
contract.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">c)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
goods or services that the Company will provide according to the contracts represent
a single performance obligation for the Company.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: normal 10pt Times New Roman, Times, Serif">Identifying
performance obligations</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">On
the contract's inception date the Company assesses the goods or services promised in the contract with the customer and
identifies the performance obligations in it.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
Company identifies the performance obligations when the customer can benefit from the good or service either on its own or together
with other resources that are readily available to the customer and the Company promise to transfer the good or service to the
customer is separately identifiable from other promises in the contract.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: normal 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Determining
the transaction price</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
transaction price is the amount of the consideration that is expected to be received based on the contract terms. The Company
takes into account the effects of all the following elements when determining the transaction price:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.3pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Variable
consideration – The Company determines the transaction price separately for each
contract with a customer. When exercising this judgment, the Company evaluates the effect
of each variable amount in the contract, taking into consideration discounts, penalties,
variations, claims, and non-cash consideration. The Company includes the estimated variable
consideration in the transaction price only to the extent it is highly probable that
a significant reversal in the amount of cumulative revenue recognized will not occur
when the uncertainty is resolved. The Company updates the estimated transaction price
to represent faithfully the circumstances present at the end of the reporting period
and the changes in circumstances during the reporting period.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.3pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">b)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Existence
of a significant financing component – the Company adjusts the amount of the promised
consideration in respect of the effects of the time value of money when certain advance
payments provide the Company with a significant financing benefit. The financing component
is recognized as interest expenses over the period, which are calculated according to
the effective interest method.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.3pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">c)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Non-cash
consideration - Non-cash consideration is measured at the fair value for goods receivable
on a contract's inception.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.3pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">d)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Consideration
payable to customers- The Company accounts for payments made to a customer as a reduction
of the revenues from the customer when the Company recognizes revenue from the transfer
of goods or services to the customer or the Company pays the consideration or promises
to pay the consideration in accordance with the Company's customary business practices.
When the consideration payable to a customer is a payment for a distinct good or service
from the customer, then the Company accounts for the purchase of the good or service
in the same way it accounts for other purchases from suppliers.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: normal 10pt Times New Roman, Times, Serif">Allocating
the transaction price</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">For
contracts that consist of more than one performance obligation, at contract inception the Company allocates the contract transaction
price to each performance obligation identified in the contract on a relative stand-alone selling price basis. The stand-alone
selling price is the price at which the Company would sell the promised goods or services separately to a customer. When the stand-alone
selling price is not directly observable by reference to similar transactions with similar customers, the Company applies suitable
methods for estimating the stand-alone selling price including: the adjusted market assessment approach, the expected cost plus
a margin approach and the residual approach. The Company may also use a combination of these approaches to allocate the transaction
price in the contract.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: normal 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Satisfaction
of performance obligations</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company recognizes revenue from contracts with customers when the control over the goods or services is transferred to the customer.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">For
most contracts, revenue recognition occurs at a point in time when control of the asset is transferred to the customer, generally
on delivery of the goods. For agreements with a strategic partner, performance obligations are generally satisfied over time,
given that the customer both simultaneously receives and consumes the benefits provided by the Company, or receives assets with
no alternative use, for which the Company has an enforceable right to payment for performance completed to date. The method for
measuring the progress of performance obligations that are satisfied over time usually based upon the deliverables forming part
of performance obligations.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Contract
modifications</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">A
contract modification is a change in the scope or price (or both) of a contract that was approved by the parties to the contract.
A contract modification can be approved in writing, orally or be implied by customary business practices. A contract modification
can take place also when the parties to the contract have a disagreement regarding the scope or price (or both) of the modification
or when the parties have approved the modification in scope of the contract but have not yet agreed on the corresponding price
modification.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">When
a contract modification has not yet been approved by the parties, the Company continues to recognize revenues according to the
existing contract, while disregarding the contract modification, until the date the contract modification is approved or the contract
modification is legally enforceable.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company accounts for a contract modification as an adjustment of the existing contract since the remaining goods or services after
the contract modification are not distinct and therefore constitute a part of one performance obligation that is partially satisfied
on the date of the contract modification. The effect of the modification on the transaction price and on the rate of progress
towards full satisfaction of the performance obligation is recognized as an adjustment to revenues (increase or decrease) on the
date of the contract modification, meaning on a catch-up basis.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">When
a contract modification increases the scope of the contract as a result of adding distinct goods or services and the contract
price changes by an amount reflecting the stand-alone selling prices of the additional goods or services, the Company accounts
for the contract modification as a separate contract.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">The Company generate revenue mainly from sale of products to
strategic partners and distributors as well as from the licensing of our technology and distribution rights.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">The Company identifies the goods
and services it promises in its contracts with customers and analyzes whether each good or service promised is distinct. The Company
further groups a series of distinct goods or services to a single performance obligation.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">The Company's conclusion depends
on the specific facts and circumstances pertaining to a contract.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">In the majority of contracts, revenue
recognition occurs at a point in time when control of our product is transferred to the customer, generally on delivery of the
goods.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">With regards to certain contract
with our strategic partner the Company analyzed the following:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">The Company identified few performance
obligations which include:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.25in"></td><td style="width: 0.25in">a.</td><td style="text-align: justify">Grant of a license for distribution one of the Company's products in certain territories and the
supply of predetermined minimum quantities.</td></tr></table>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.25in"></td><td style="width: 0.25in">b.</td><td style="text-align: justify">The supply of a predetermined quantity of the Company's product for the purpose of clinical trials
performed conducted by strategic partner.</td></tr></table>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.25in"></td><td style="width: 0.25in">c.</td><td style="text-align: justify">Grant of a license for the use of the Company's knowledge and patents, and the provision of consulting
services with respect to the transfer of technology.</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> <font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">Subsequently, the Company determines
the transaction price. The transaction price is the amount of the consideration that is expected to be received based on the contract
terms. The Company takes into account the effects of all the following elements when determining the transaction price</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.25in"></td><td style="width: 0.25in">a.</td><td style="text-align: justify">Variable consideration – certain amounts of the promised consideration such as milestone
payments and volume rebates. The Company includes the estimated variable consideration in the transaction price only to the extent
it is highly probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty
is resolved.</td></tr></table>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.25in"></td><td style="width: 0.25in">b.</td><td style="text-align: justify">Significant financing component – Advance payments received provide with the benefit of financing.
Accordingly the Company adjusted the transaction price for the effects of the time value of money.</td></tr></table>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.25in"></td><td style="width: 0.25in">c.</td><td style="text-align: justify">Non-cash consideration – Raw materials provided as non-cash consideration. This consideration
is measured at fair value.</td></tr></table>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1.25in"></td><td style="width: 0.25in">d.</td><td style="text-align: justify">Consideration payable to customers- The Company accounts for payments made to a customer as a reduction
of the revenues from the customer when the Company recognizes revenue from the transfer of goods or services to the customer or
the Company pays the consideration or promises to pay the consideration in accordance with the Company's customary business
practices.</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.5in; text-align: justify">  </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">The Company allocates the transaction
price to the different performance obligation identified. This allocation is based on relative stand-alone selling price. For
certain amounts of variable consideration the Company allocated to a certain performance obligation or to a distinct goods or
services within it.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">For each performance obligation
identified, the Company recognizes revenue when (or as) it satisfies the performance obligation. The performance obligations are
satisfied over time, as the customer both simultaneously receives and consumes the benefits provided by the Company, or receives
assets with no alternative use, for which the Company has an enforceable right to payment for performance completed to date. The
method for measuring the progress in performance obligations that are satisfied over time usually based upon the deliverables
forming part of those performance obligations. </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Deferred
revenues</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Deferred
revenues include unearned amounts received from customers not yet recognized as revenues.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify">The accounting policy for revenue recognition applied until
December 31, 2017</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Revenues
are recognized in profit or loss when the revenues can be measured reliably, it is probable that the economic benefits associated
with the transaction will flow to the Company and the costs incurred or to be incurred in respect of the transaction can be measured
reliably. In cases where the Company operates as a principal supplier and it exposed to the risks and rewards associated with
the transaction, revenues are presented on a gross basis. Revenues are measured at the fair value of the consideration received
less any trade discounts, volume rebates and returns.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
specific criteria for revenue recognition for the following types of revenues are:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 15.3pt"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Revenues
from the sale of goods are recognized when all the significant risks and rewards of ownership
of the goods have passed to the buyer and the seller no longer retains continuing managerial
involvement. The delivery date is usually the date on which ownership passes.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 15.3pt"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Agreements
with multiple elements provide for varying consideration terms, such as upfront payments
and milestone payments. Revenues from such agreements that do not contain a general right
of return and that are composed of multiple elements such as distribution exclusivity,
license and services are allocated to the different elements and are recognized in respect
of each element separately. An element constitutes a separate accounting unit if and
only if it has a separate value to the customer. Revenue from the different element is
recognized when the criteria for revenue recognition have been met and only to the extent
of the consideration that is not contingent upon completion or performance of future
services in the contract.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">k.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Taxes
on income</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Taxes
on income in profit or loss comprise of current and deferred taxes. Current or deferred taxes are recognized in profit or loss,
except to the extent that the tax arises from items which are recognized directly in other comprehensive income or equity.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.05pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">1.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Current
taxes:</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
current tax liability is measured using the tax rates and tax laws that have been enacted or substantively enacted by the end
of reporting period as well as adjustments required in connection with the tax liability in respect of previous years.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">2.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Deferred
taxes:</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Deferred
taxes are computed in respect of carryforward losses and temporary differences between the carrying amounts in the financial statements
and the amounts attributed for tax purposes.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Deferred
taxes are measured at the tax rates that are expected to apply when the asset is realized or the liability is settled, based on
tax laws that have been enacted or substantively enacted by the end of the reporting period.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Deferred
tax assets are reviewed at the end of each reporting period and reduced to the extent that it is not probable that they will be
utilized. Deductible carryforward losses and temporary differences for which deferred tax assets had not been recognized are reviewed
at the end of each reporting period and a respective deferred tax asset is recognized to the extent that their utilization is
probable.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Deferred
taxes are offset in the statement of financial position if there is a legally enforceable right to offset a current tax asset
against a current tax liability and the deferred taxes relate to the same taxpayer and the same taxation authority.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">3.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">IFRIC
23, "Uncertainty over Income Tax Treatments":</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.5in; text-align: justify">In June 2017, the IASB issued
IFRIC 23, "Uncertainty over Income Tax Treatments" ("the Interpretation"). The Interpretation clarifies
the accounting for recognition and measurement of assets or liabilities in accordance with the provisions of IAS 12, "Income
Taxes", in situations of uncertainty involving income taxes. The Interpretation provides guidance on (i) considering whether
some tax treatments should be considered collectively, (ii) measurement of the effects of uncertainty involving income taxes on
the financial statements and (iii) accounting for changes in facts and circumstances in respect of the uncertainty.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">
<font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">As
of December 31, 2019 and 2018, the application of IFRIC 23 did not have a material effect on the financial statements.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">l.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Leases</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">As
of January 1, 2019 the Company initially applied IFRS 16, "Leases" ("the Standard").</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company chose to apply the provisions of the Standard using the modified retrospective approach without restatement of comparative
data.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
accounting policy for leases applied effective from January 1, 2019, is as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company accounts for a contract as a lease when the contract terms convey the right to control the use of an identified asset
for a period of time in exchange for consideration.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
the inception date of the lease, the Company determines whether the arrangement is a lease or contains a lease, while examining
if it conveys the right to control the use of an identified asset for a period of time in exchange for consideration. In its assessment
of whether an arrangement conveys the right to control the use of an identified asset, the Company assesses whether it has the
following two rights throughout the lease term:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 24.1pt"><font style="font: 10pt Times New Roman, Times, Serif">a)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
right to obtain substantially all the economic benefits from use of the identified asset;
and</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 24.15pt"><font style="font: 10pt Times New Roman, Times, Serif">b)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
right to direct the identified asset's use.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company as a lessee:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">For
leases in which the Company is the lessee, the Company recognizes on the commencement date of the lease a right-of-use asset and
a lease liability, excluding leases whose term is up to 12 months and leases for which the underlying asset is of low value. For
these excluded leases, the Company has elected to recognize the lease payments as an expense in profit or loss on a straight-line
basis over the lease term. In measuring the lease liability, the Company has elected to apply the practical expedient in the Standard
and does not separate the lease components from the non-lease components (such as management and maintenance services, etc.) included
in a single contract.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
the commencement date, the lease liability includes all unpaid lease payments discounted at the interest rate implicit in the
lease, if that rate can be readily determined, or otherwise using the Company's incremental borrowing rate. After the commencement
date, the Company measures the lease liability using the effective interest rate method.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On
the commencement date, the right-of-use asset is recognized in an amount equal to the lease liability plus lease payments already
made on or before the commencement date and initial direct costs incurred less any lease incentives received. The right-of-use
asset is measured applying the cost model and depreciated over the shorter of its useful life or the lease term. The Company tests
for impairment of the right-of-use asset whenever there are indications of impairment pursuant to the provisions of IAS 36.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Depreciation
of right-of-use asset</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">After
lease commencement, a right-of-use asset is measured on a cost basis less accumulated depreciation and accumulated impairment
losses and is adjusted for re-measurements of the lease liability. Depreciation is calculated on a straight-line basis over the
useful life or contractual lease period, whichever earlier, as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center; width: 4.2in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding: 0; width: 51pt; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>%</b></font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 10.2pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding: 0; width: 56.1pt; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Mainly %</b></font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top; background-color: #CCEEFF">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Land
and Buildings</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">10</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">10</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Vehicles</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">20-33</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">3</font>3</td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top; background-color: #CCEEFF">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">office
equipment (i.e. printing and photocopying machines)</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">20</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center">20</td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Lease
extension and termination options:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">A
non-cancellable lease term includes both the periods covered by an option to extend the lease when it is reasonably certain that
the extension option will be exercised and the periods covered by a lease termination option when it is reasonably certain that
the termination option will not be exercised.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
the event of any change in the expected exercise of the lease extension option or in the expected non-exercise of the lease termination
option, the Company re-measures the lease liability based on the revised lease term using a revised discount rate as of the date
of the change in expectations. The total change is recognized in the carrying amount of the right-of-use asset until it is reduced
to zero, and any further reductions are recognized in profit or loss.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Subleases:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
a transaction in which the Company is a lessee of an underlying asset (head lease) and the asset is subleased to a third party,
the Company assesses whether the risks and rewards incidental to ownership of the right-of-use asset have been transferred to
the sub-lessee, among others, by evaluating the sublease term with reference to the useful life of the right-of-use asset arising
from the head lease.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">When
substantially all the risks and rewards incidental to ownership of the right-of-use asset have been transferred to the sub- lessee,
the Company accounts for the sublease as a finance lease, otherwise it is accounted for as an operating lease. If the sublease
is classified as a finance lease, the leased asset is derecognized on the commencement date and a new asset, "finance lease
receivable" is recognized at an amount equivalent to the present value of the lease payments, discounted at the interest
rate implicit in the lease. Any difference between the carrying amount of the leased asset before the derecognition and the carrying
amount of the finance lease receivable is recognized in profit or loss.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">Lease modification:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">If a lease modification does
not reduce the scope of the lease and does not result in a separate lease, the Company re-measures the lease liability based
on the modified lease terms using a revised discount rate as of the modification date and records the change in the lease
liability as an adjustment to the right-of-use asset.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">If a lease modification reduces
the scope of the lease, the Company recognizes a gain or loss arising from the partial or full reduction of the carrying amount
of the right-of-use asset and the lease liability. The Company subsequently remeasures the carrying amount of the lease liability
according to the revised lease terms, at the revised discount rate as of the modification date and records the change in the lease
liability as an adjustment to the right-of-use asset.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">For
additional information regarding right-of-use assets and lease liabilities and refer to Note 14.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
accounting policy for leases applied until December 31, 2018, is as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
criteria for classifying leases as finance or operating leases depend on the substance of the agreements and are made at the inception
of the lease in accordance with the following principles as set out in IAS 17.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>The
Company as lessee:</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 4.65pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">1.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Finance
lease</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Finance
leases transfer to the Company substantially all the risks and benefits incidental to ownership of the leased asset. At the commencement
of the lease term, the leased assets are measured at the fair value of the leased asset or, if lower, at the present value of
the minimum lease payments.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
leased asset is depreciated over the shorter of the lease term and the expected life of the leased asset.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">2.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Operating
lease</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Lease
agreements are classified as an operating lease if they do not transfer substantially all the risks and benefits incidental to
ownership of the leased asset. Lease payments are recognized as an expense in profit or loss on a straight-line basis over the
lease term.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">m.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Property,
plant and equipment</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">Property, plant and equipment are
measured at cost, including directly attributable costs, less accumulated depreciation and any related investment grants and excluding
day-to-day servicing expenses. Cost includes spare parts and auxiliary equipment that can be used only in connection with the plant
and equipment.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company's assets include computer systems comprising hardware and software. Software forming an integral part of the hardware
to the extent that the hardware cannot function without the software installed on it is classified as property, plant and equipment.
In contrast, software that adds functionality to the hardware is classified as an intangible asset.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
cost of assets includes the cost of materials, direct labor costs, as well as any costs directly attributable to bringing the
asset to the location and condition necessary for it to operate in the manner intended by management.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Depreciation
is calculated on a straight-line basis over the useful life of the assets at annual rates as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td rowspan="2" style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 4.4in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding: 0; width: 56.1pt; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>%</b></font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 5.1pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding: 0; width: 56.1pt; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Mainly
%</b></font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top; background-color: #CCEEFF">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Buildings</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2.5-4</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">4</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Machinery
and equipment</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">10-20</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">15</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top; background-color: #CCEEFF">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Vehicles</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">15</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">15</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Computers,
software, equipment and office furniture</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">6-33</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">33</font></td></tr>
<tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top; background-color: #CCEEFF">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Leasehold
improvements</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">(*)</font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">10</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">(*)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Leasehold
improvements are depreciated on a straight-line basis over the shorter of the lease term
(including the extension option held by the Company and intended to be exercised) and
the expected life of the improvement.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
useful life, depreciation method and residual value of an asset are reviewed at the year-end and any changes are accounted for
prospectively as a change in accounting estimate.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Depreciation
of an asset ceases at the earlier of the date that the asset is classified as held for sale and the date that the asset is derecognized.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">n.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Impairment
of non-financial assets</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company evaluates the need to record an impairment of the carrying amount of non-financial assets whenever events or changes in
circumstances indicate that the carrying amount is not recoverable. If the carrying amount of non-financial assets exceeds their
recoverable amount, the assets are reduced to their recoverable amount.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
recoverable amount is the higher of fair value less costs of sale and value in use. In measuring value in use, the expected future
cash flows are discounted using a pre-tax discount rate that reflects the risks specific to the asset. The recoverable amount
of an asset that does not generate independent cash flows is determined for the cash-generating unit to which the asset belongs.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">An
impairment loss of an asset, is reversed only if there have been changes in the estimates used to determine the asset's
recoverable amount since the last impairment loss was recognized. Reversal of an impairment loss, as above, shall not be
increased above the lower of the carrying amount that would have been determined (net of depreciation or amortization) had no
impairment loss been recognized for the asset in prior years and its recoverable amount. The reversal of impairment loss of an
asset presented at cost is recognized in profit or loss.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">o.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Financial
instruments</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 70.9pt; text-align: justify">On January 1, 2018, the Company initially adopted
IFRS 9, "Financial Instruments" ("the Standard"). The Company elected to apply the provisions of the Standard
retrospectively without restatement of comparative data.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 70.9pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 70.9pt; text-align: justify">The accounting policy for financial instruments applied
commencing from January 1, 2018, is as follows:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 4.65pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">1.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Financial
assets</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Financial
assets are classified at initial recognition, and subsequently measured at amortized cost, fair value through other comprehensive
income (OCI), and fair value through profit or loss. The classification of financial assets at initial recognition depends on
the financial asset's contractual cash flow characteristics and the Company's business model for managing them. With
the exception of trade receivables that do not contain a significant financing component or for which the Company has applied
the practical expedient, the Company initially measures a financial asset at its fair value plus, in the case of a financial asset
not at fair value through profit or loss, transaction costs.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">After
initial recognition, the accounting treatment of financial assets is based on their classification as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Debt
financial instruments are subsequently measured at fair value through profit or loss (FVPL), amortized cost, or fair value
through other comprehensive income (FVOCI). The classification is based on two criteria: the Company's business model
for managing the assets; and whether the instruments' contractual cash flows represent 'solely payments of
principal and interest' on the principal amount outstanding (the 'SPPI criterion').</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
classification and measurement of the Company's debt financial assets are as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 112.5pt"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 18pt"><font style="font: 10pt Times New Roman, Times, Serif">a)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Debt
instruments at amortized cost for financial assets that are held within a business model
with the objective to hold the financial assets in order to collect contractual cash
flows that meet the SPPI criterion. This category includes the Company's Trade
and other receivables.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 112.5pt"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 18pt"><font style="font: 10pt Times New Roman, Times, Serif">b)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Debt
instruments at FVOCI, with gains or losses recycled to profit or loss on derecognition.
Financial assets in this category are the Company's quoted debt instruments that
meet the SPPI criterion and are held within a business model both to collect cash flows
and to sell. Interest earned whilst holding Available For Sale (AFS) financial investments
is reported as interest income using the effective interest rate method.</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Financial
assets at FVPL comprise derivative instruments unless they are designated as effective hedging instruments.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Impairment of financial
assets</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The Company evaluates at the end of each reporting
period the loss allowance for financial debt instruments which are not measured at fair value through profit or loss. The Company
distinguishes between two types of loss allowances:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 112.5pt"></td><td style="width: 18pt; text-align: left">a)</td><td style="text-align: justify">Debt instruments whose credit risk has not increased significantly
since initial recognition, or whose credit risk is low - the loss allowance recognized in respect of this debt instrument is measured
at an amount equal to the expected credit losses within 12 months from the reporting date (12-month ECLs); or</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="text-align: justify; width: 112.5pt"></td><td style="width: 18pt; text-align: justify">b)</td><td style="text-align: justify">Debt instruments whose credit risk has increased significantly
since initial recognition, and whose credit risk is not low - the loss allowance recognized is measured at an amount equal to
the expected credit losses over the instrument's remaining term (lifetime ECLs).</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 106.35pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The Company has short-term financial assets such
as trade receivables in respect of which the Company applies a simplified approach and measures the loss allowance in an amount
equal to the lifetime expected credit losses.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">An impairment loss on debt instruments measured
at amortized cost is recognized in profit or loss with a corresponding loss allowance that is offset from the carrying amount of
the financial asset, whereas the impairment loss on debt instruments measured at fair value through other comprehensive income
is recognized in profit or loss with a corresponding loss allowance that is recorded in other comprehensive income and not as a
reduction of the carrying amount of the financial asset in the statement of financial position.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The Company applies the low credit risk simplification
in the Standard, according to which the Company assumes the debt instrument's credit risk has not increased significantly since
initial recognition if on the reporting date it is determined that the instrument has a low credit risk, for example when the instrument
has an external rating of "investment grade".</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">In addition, the Company considers that when contractual payments
in respect of a debt instrument are more than 30 days past due, there has been a significant increase in credit risk, unless there
is reasonable and supportable information that demonstrates that the credit risk has not increased significantly.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The Company considers a financial asset in default when contractual
payments are more than 90 days past due. However, in certain cases, the Company considers a financial asset to be in default when
external or internal information indicates that the Company is unlikely to receive the outstanding contractual amounts in full.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The Company considers a financial asset that is not measured
at fair value through profit or loss as credit-impaired when one or more events that have a detrimental impact on the estimated
future cash flows of that financial asset have occurred. The Company takes into consideration the following events as evidence
that a financial asset is credit impaired:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 112.5pt"></td><td style="width: 18pt; text-align: left">a)</td><td>significant financial difficulty of the issuer or borrower;</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.75in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 112.5pt"></td><td style="width: 18pt; text-align: left">b)</td><td>a breach of contract, such as a default or past due event;</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.75in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 112.5pt"></td><td style="width: 18pt; text-align: left">c)</td><td>a concession granted to the borrower due to the borrower's
financial difficulties that would otherwise not be granted;</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.75in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 112.5pt"></td><td style="width: 18pt; text-align: left">d)</td><td>it is probable that the borrower will enter bankruptcy
or financial reorganization;</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.75in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 112.5pt"></td><td style="width: 18pt; text-align: left">e)</td><td>the disappearance of an active market for that financial
asset because of financial difficulties; or</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.75in; text-indent: 0; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 112.5pt"></td><td style="width: 18pt; text-align: left">f)</td><td>the purchase or origination of a financial asset at a deep
discount that reflects the incurred credit losses.</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 106.35pt"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">ECLs
are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that
the Company expects to receive. For other debt financial assets (i.e., debt securities at FVOCI), the ECL is based on the 12-month
ECL. The 12-month ECL is the portion of lifetime ECLs that results from default events on a financial instrument that are possible
within 12 months after the reporting date. As of December 31, 2019 there is no ECL allowance.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">2.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Financial
liabilities</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0">Financial liabilities within the scope of IFRS 9 are initially
measured at fair value less transaction costs that are directly attributable to the issue of the financial liability.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">After
initial recognition, the accounting treatment of financial liabilities is based on their classification as follows:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Financial
liabilities measured at amortized cost</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Loans,
including leases, are measured based on their terms at amortized cost using the effective interest method taking into account
directly attributable transaction costs.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">b)</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Financial
liabilities measured at fair value</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Derivatives
are classified as fair value through profit and loss unless they are designated as effective hedging instruments. Transaction
costs are recognized in profit or loss.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">After
initial recognition, changes in fair value are recognized either in profit or loss for non-hedge accounting derivatives or in
other comprehensive income for hedge accounting derivatives.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0">
<tr style="vertical-align: top">
<td style="width: 0.5in"> </td>
<td style="width: 0.5in; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">p.</font></td>
<td style="font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif"><u>Fair value measurement</u></font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Fair
value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market
participants at the measurement date.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Fair
value measurement is based on the assumption that the transaction will take place in the asset's or the liability's
principal market, or in the absence of a principal market, in the most advantageous market.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset
or liability, assuming that market participants act in their economic best interest.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">Fair value measurement
of a non-financial asset takes into account a market participant's ability to generate economic benefits by using the asset
in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure
fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">All
assets and liabilities for which fair value is measured or disclosed in the financial statements are categorized within the fair
value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a
whole:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 15.3pt"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Level
1 - quoted prices (unadjusted) in active markets for identical assets or liabilities.</font></td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 15.3pt"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Level
2 - inputs other than quoted prices included within Level 1 that are observable either
directly or indirectly.</font></td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 15.3pt"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Level
3 - inputs that are not based on observable market data (valuation techniques which use
inputs that are not based on observable market data).</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in">1<font style="font: 10pt Times New Roman, Times, Serif">.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Offsetting
financial instruments</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Financial
assets and financial liabilities are offset and the net amount is presented in the statement of financial position if there is
a legally enforceable right to set off the recognized amounts and there is an intention either to settle on a net basis or to
realize the asset and settle the liability simultaneously.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
right of set-off must be legally enforceable not only during the ordinary course of business of the parties to the contract but
also in the event of bankruptcy or insolvency of one of the parties. In order for the right of set-off to be currently available,
it must not be contingent on a future event, there may not be periods during which the right is not available, or there may not
be any events that will cause the right to expire.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in">2<font style="font: 10pt Times New Roman, Times, Serif">.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>De-recognition
of financial instruments</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 4.65pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Financial
assets</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 2in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Financial
assets are derecognized when the contractual rights to the cash flows from the financial asset expire or the Company has transferred
its contractual rights to receive cash flows from the financial asset or assumes an obligation to pay the cash flows in full without
material delay to a third party and has transferred substantially all the risks and rewards of the asset, or has neither transferred
nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">b.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Financial
liabilities</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 2in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">A
financial liability is derecognized when it is extinguished, that is when the obligation is discharged or cancelled or expires.
A financial liability is extinguished when the debtor (the Company) discharges the liability by paying in cash, other financial
assets, goods or services or is legally released from the liability.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in">q<font style="font: 10pt Times New Roman, Times, Serif">.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Derivative
financial instruments designated as hedges</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify">The Company enters into contracts for derivative financial instruments
such as forward currency contracts and cylinder strategy in respect of foreign currency to hedge risks associated with foreign
exchange rates fluctuations and cash flows risk. Such derivative financial instruments are carried as financial assets when the
fair value is positive and as financial liabilities when the fair value is negative.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">At
the inception of a hedge relationship, the Company formally designates and documents the hedge relationship to which the Company
wishes to apply hedge accounting and the risk management objective and strategy for undertaking the hedge. The hedge effectiveness
is assessed at the end of each reporting period.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Any
gains or losses arising from changes in the fair value of derivatives that do not qualify for hedge accounting are recorded immediately
in profit or loss.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"><u>Cash
flow hedges</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
effective portion of the gain or loss on the hedging instrument is recognized as other comprehensive income (loss), while any
ineffective portion is recognized immediately in profit or loss.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Amounts
recognized as other comprehensive income (loss) are reclassified to profit or loss when the hedged transaction affects profit
or loss, such as when the hedged income or expense is recognized or when a forecast payment occurs.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">If
the forecast transaction or firm commitment is no longer expected to occur, amounts previously recognized in other comprehensive
income are reclassified to profit or loss. If the hedging instrument expires or is sold, terminated or exercised, or if its designation
as a hedge is revoked, amounts previously recognized in other comprehensive income remain in other comprehensive income until
the forecast transaction or firm commitment occurs.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in">r<font style="font: 10pt Times New Roman, Times, Serif">.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><u>Provisions</u></p>
</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">A
provision in accordance with IAS 37 is recognized when the Company has a present (legal or constructive) obligation as a result
of a past event, it is expected to require the use of economic resources to clear the obligation and a reliable estimate can be
made of it. The expense is recognized in the statement of profit or loss net of any reimbursement.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in">s<font style="font: 10pt Times New Roman, Times, Serif">.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Employee
benefit liabilities</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
Company has several employee benefit plans:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.05pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">1.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Short-term
employee benefits</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Short-term
employee benefits include salaries, paid annual leave, paid sick leave, recreation and social security contributions and are recognized
as expenses as the services are rendered. A liability in respect of a cash bonus is recognized when the Company has a legal or
constructive obligation to make such payment as a result of past service rendered by an employee and a reliable estimate of the
amount can be made.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">2.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Post-employment
benefits</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
post-employment benefits plans are normally financed by contributions to insurance companies and classified as defined contribution
plans or as defined benefit plans.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company has defined contribution plans pursuant to Section 14 to the Israeli Severance Pay Law under which the Company pays fixed
contributions to certain employees under Section 14 and will have no legal or constructive obligation to pay further contributions.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Contributions
to the defined contribution plan in respect of severance or retirement pay are recognized as an expense when contributed concurrently
with performance of the employee's services.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
addition the Company operates a defined benefit plan in respect of severance pay pursuant to the Israeli Severance Pay Law. According
to the Law, employees are entitled to severance pay upon dismissal or retirement. The liability for termination of employment
is measured using the projected unit credit method. The actuarial assumptions include expected salary increases and rates of employee's
turnover based on the estimated timing of payment. The amounts are presented based on discounted expected future cash flows using
a discount rate determined by reference to market yields at the reporting date on high quality corporate bonds that are linked
to the Consumer Price Index with a term that is consistent with the estimated term of the severance pay obligation.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
respect of its severance pay obligation to certain of its employees, the Company makes current deposits in pension funds and insurance
companies ("the plan assets"). Plan assets comprise assets held by a long-term employee benefit fund or qualifying
insurance policies. Plan assets are not available to the Company's own creditors and cannot be returned directly to the
Company.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
liability for employee benefits shown in the statement of financial position reflects the present value of the defined benefit
obligation less the fair value of the plan assets.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Re-measurements
of the net liability are recognized in other comprehensive income in the period in which they occur.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">t.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Share-based
payment transactions</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
Company's employees and Board of Directors members are entitled to remuneration in the form of equity-settled share- based
payment transactions.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Equity-settled
transactions</u></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
cost of equity-settled transactions (options and restricted shares) with employees and Board of Directors members is measured
at the fair value of the equity instruments granted at grant date. The fair value of options is determined using a standard option
pricing model. The fair value of restricted shares is determined using the share price at the grant date.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
cost of equity-settled transactions is recognized in profit or loss together with a corresponding increase in shareholder's
equity during the period which the performance and/or service conditions are to be satisfied ending on the date on which the relevant
employees become entitled to the award ("the vesting period"). The cumulative expense recognized for equity-settled
transactions at the end of each reporting period until the vesting date reflects the extent to which the vesting period has expired
and the Company's best estimate of the number of equity instruments that will ultimately vest.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">No
expense is recognized for awards that do not ultimately vest.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
the event that the Company modifies the conditions on which equity-instruments were granted, an additional expense is calculated
and recognized over the remaining vesting period for any modification that increases the total fair value of the share-based payment
arrangement or is otherwise beneficial to the employee or director at the modification date.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b></b></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">u.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Earnings
(loss) per Share</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Earnings
(loss) per share are calculated by dividing the net income (loss) attributable to Company shareholders by the weighted number
of ordinary shares outstanding during the period. Ordinary shares underlying shares options or restricted shares are only included
in the calculation of diluted income (loss) per share when their impact dilutes the income (loss) per share. Furthermore, potential
ordinary shares converted during the period are included under diluted income (loss) per share only until the conversion date,
and from that date on are included under basic income (loss) per share.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in">v<font style="font: 10pt Times New Roman, Times, Serif">.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Reclassification
of prior years' amounts</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Certain
amounts in prior years' financial statements have been reclassified to conform to the current year's presentation.
The reclassification had no effect on previously reported net loss or shareholders' equity.  </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 42.55pt"></td><td style="width: 28pt">w.</td><td style="text-align: justify"><font style="font-size: 10pt">Changes in accounting policies - initial application of new financial
reporting and accounting standards and amendments to existing financial reporting and accounting standards:</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-indent: -28.35pt"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-indent: -28.35pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 70.5pt"></td><td><u>Initial application of IFRS 16, "Leases"</u></td></tr></table>
<p style="margin-top: 0; margin-bottom: 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">In January 2016, the IASB issued IFRS 16, "Leases"
("the Standard"), which provides guidance on the recognition, measurement, presentation and disclosure of leases and
supersedes IAS 17, "Leases" ("the old Standard"), IFRIC 4, "Determining Whether an Arrangement Contains
a Lease", and SIC-15, "Operating Leases - Incentives". According to the Standard, a lease is a contract, or part
of a contract, that conveys the right to use an asset for a period of time in exchange for consideration.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The Standard has been applied for the first time in
these financial statements. As permitted by the Standard, the Company elected to apply the provisions of the Standard using the
modified retrospective method. The Company recognized lease liabilities on the initial application date of the Standard in respect
of leases previously classified as operating leases according to IAS 17. The amount of the liability as of the date of initial
application of the Standard was measured using the Company's incremental borrowing rate of interest on the date of initial application
of the Standard.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">Certain right-of-use assets were measured as if the
Standard has been applied from the commencement date of the lease but for the purpose of calculation, the lessee's incremental
borrowing rate on the date of initial adoption was used, while the carrying amount of other right-of-use assets are identical to
the carrying amount of the lease liability. For details of the accounting policy applied from the date of initial application of
the Standard, see Note 14b.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in">  </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The main effect of the initial application of the
Standard relates to existing leases in which the Company is the lessee. According to the Standard, as explained in Note 14b, the
Company recognizes a lease liability and a corresponding right-of-use asset for each lease in which it is the lessee, excluding
certain exceptions. This accounting treatment is different than the accounting treatment applied under the old Standard according
to which the lease payments in respect of leases for which substantially all the risks and rewards incidental to ownership of the
leased asset were not transferred to the lessee were recognized as an expense in profit or loss on a straight-line basis over the
lease term.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">Following are data relating to the initial application
of the Standard as of January 1, 2019, in respect of leases existing as of that date:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.55pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">According to the previous accounting policy</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Difference</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">According to the current accounting policy</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="10" style="text-align: center"><b>U.S Dollars in thousands</b></td><td style="padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td>As of January 1, 2019</td><td> </td>
<td colspan="2" style="text-align: center"> </td><td> </td><td> </td>
<td colspan="2" style="text-align: center"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold">Non-current assets:</td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 64%; text-align: left; padding-bottom: 1.5pt">Right-of-use assets</td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">-</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">4,161</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">4,161</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-weight: bold">Liabilities</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Current maturities of leases</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">110</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">810</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">920</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td>Leases</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">28</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">3,907</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">3,935</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Other accounts payables</td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">5,261</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">(255</td><td style="text-align: left">)</td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">5,006</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-weight: bold; text-align: left">Shareholder's Equity</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 4pt">Accumulated deficit</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">112,376</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(300</td><td style="padding-bottom: 4pt; text-align: left">)</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">112,076</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.55pt"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.55pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The lease liabilities as at January 1, 2019 can be reconciled
to the operating lease commitments as of December 31, 2018 as follows:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><font style="font: 7pt Times New Roman, Times, Serif"><b>  </b></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><b> </b></td><td><b> </b></td>
<td colspan="2" style="text-align: center"><b>U.S Dollars</b></td><td><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>In thousands</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 88%; text-align: left">Future minimum payments for non-cancellable leases as per IAS 17 according to the financial statements as of December 31, 2018</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">5,434</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in">Weighted average incremental borrowing rate as at January 1, 2019
<sup>(1)</sup></td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">3.06%-4.6%</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Discounted operating lease commitment at January 1, 2019</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">4,685</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in">Add:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Leases of other equipment</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">32</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 1.5pt">Leases that were previously identified as leases under IAS 17</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">138</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt">Lease liabilities as at January 1, 2019</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,855</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; text-align: justify; margin-top: 0pt; margin-right: 0; margin-bottom: 0pt"><font style="font: 7pt Times New Roman, Times, Serif"><b> </b></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 0"></td><td style="width: 0.25in; text-align: left"><font style="font-family: Times New Roman, Times, Serif">(1)</font></td><td style="text-align: justify">The weighted average incremental borrowing rate was evaluated
based on credit risk, terms of the leases and other economic variables. The weighted average incremental borrowing rate was used
to discount future lease payments in the calculation of the lease liability on the date of initial adoption of the Standard.</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"><b></b></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">k.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Taxes
on income</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Taxes
on income in profit or loss comprise of current and deferred taxes. Current or deferred taxes are recognized in profit or loss,
except to the extent that the tax arises from items which are recognized directly in other comprehensive income or equity.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0.05pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">1.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Current
taxes:</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">The
current tax liability is measured using the tax rates and tax laws that have been enacted or substantively enacted by the end
of reporting period as well as adjustments required in connection with the tax liability in respect of previous years.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">2.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Deferred
taxes:</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Deferred
taxes are computed in respect of carryforward losses and temporary differences between the carrying amounts in the financial statements
and the amounts attributed for tax purposes.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Deferred
taxes are measured at the tax rates that are expected to apply when the asset is realized or the liability is settled, based on
tax laws that have been enacted or substantively enacted by the end of the reporting period.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Deferred
tax assets are reviewed at the end of each reporting period and reduced to the extent that it is not probable that they will be
utilized. Deductible carryforward losses and temporary differences for which deferred tax assets had not been recognized are reviewed
at the end of each reporting period and a respective deferred tax asset is recognized to the extent that their utilization is
probable.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">Deferred
taxes are offset in the statement of financial position if there is a legally enforceable right to offset a current tax asset
against a current tax liability and the deferred taxes relate to the same taxpayer and the same taxation authority.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">3.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">IFRIC
23, "Uncertainty over Income Tax Treatments":</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.5in; text-align: justify">In June 2017, the IASB issued
IFRIC 23, "Uncertainty over Income Tax Treatments" ("the Interpretation"). The Interpretation clarifies
the accounting for recognition and measurement of assets or liabilities in accordance with the provisions of IAS 12, "Income
Taxes", in situations of uncertainty involving income taxes. The Interpretation provides guidance on (i) considering whether
some tax treatments should be considered collectively, (ii) measurement of the effects of uncertainty involving income taxes on
the financial statements and (iii) accounting for changes in facts and circumstances in respect of the uncertainty.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">
<font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">As
of December 31, 2019 and 2018, the application of IFRIC 23 did not have a material effect on the financial statements.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0">
<tr style="vertical-align: top">
<td style="width: 0.5in"> </td>
<td style="width: 0.5in; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">p.</font></td>
<td style="font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif"><u>Fair value measurement</u></font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif">  </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Fair
value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market
participants at the measurement date.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Fair
value measurement is based on the assumption that the transaction will take place in the asset's or the liability's
principal market, or in the absence of a principal market, in the most advantageous market.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset
or liability, assuming that market participants act in their economic best interest.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">Fair value measurement
of a non-financial asset takes into account a market participant's ability to generate economic benefits by using the asset
in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure
fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">All
assets and liabilities for which fair value is measured or disclosed in the financial statements are categorized within the fair
value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a
whole:</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 15.3pt"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Level
1 - quoted prices (unadjusted) in active markets for identical assets or liabilities.</font></td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 15.3pt"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Level
2 - inputs other than quoted prices included within Level 1 that are observable either
directly or indirectly.</font></td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 15.3pt"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif">Level
3 - inputs that are not based on observable market data (valuation techniques which use
inputs that are not based on observable market data).</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in">1<font style="font: 10pt Times New Roman, Times, Serif">.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Offsetting
financial instruments</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Financial
assets and financial liabilities are offset and the net amount is presented in the statement of financial position if there is
a legally enforceable right to set off the recognized amounts and there is an intention either to settle on a net basis or to
realize the asset and settle the liability simultaneously.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-align: justify; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
right of set-off must be legally enforceable not only during the ordinary course of business of the parties to the contract but
also in the event of bankruptcy or insolvency of one of the parties. In order for the right of set-off to be currently available,
it must not be contingent on a future event, there may not be periods during which the right is not available, or there may not
be any events that will cause the right to expire.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in">2<font style="font: 10pt Times New Roman, Times, Serif">.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>De-recognition
of financial instruments</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 4.65pt; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Financial
assets</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 2in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Financial
assets are derecognized when the contractual rights to the cash flows from the financial asset expire or the Company has transferred
its contractual rights to receive cash flows from the financial asset or assumes an obligation to pay the cash flows in full without
material delay to a third party and has transferred substantially all the risks and rewards of the asset, or has neither transferred
nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 1.5in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">b.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding: 0"><font style="font: 10pt Times New Roman, Times, Serif"><u>Financial
liabilities</u></font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 2in; text-indent: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">A
financial liability is derecognized when it is extinguished, that is when the obligation is discharged or cancelled or expires.
A financial liability is extinguished when the debtor (the Company) discharges the liability by paying in cash, other financial
assets, goods or services or is legally released from the liability.</font></p>
<p style="font: 10pt Calibri, Helvetica, Sans-Serif; margin: 0"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b>Note
6:</b> - <b>Short-Term Investments</b></font></p>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 89%; margin-left: 0.75in">
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">December
31,</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2019</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">U.S.
Dollars in thousands</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Fair value
through other comprehensive income</font></td><td style="width: 1%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">12,832</font></td><td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="width: 1%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">10,325</p>
</td><td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">Bank
deposits in USD (1)</font></td><td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">18,413</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">22,174</p>
</td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">Total Short-Term Investments </font></td><td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">31,245</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">32,499</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 0.75in"></td><td style="width: 0.25in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td><td><font style="font: 10pt Times New Roman, Times, Serif">The
deposits bear interest of 2.5%-3.3% and 2.6%-3.5% per year, as of December 31, 2019 and 2018, respectively.</font></td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td style="font-weight: bold; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">December
31,</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2019</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">2018</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif">U.S.
Dollars in thousands</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td colspan="2"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 76%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">Fair value
through other comprehensive income</font></td><td style="width: 1%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">12,832</font></td><td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="width: 1%"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">10,325</p>
</td><td style="width: 1%; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-align: left; padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">Bank
deposits in USD (1)</font></td><td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">18,413</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">22,174</p>
</td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">Total Short-Term Investments </font></td><td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">31,245</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">32,499</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0; text-indent: 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="vertical-align: top">
<td style="width: 0.75in"></td><td style="width: 0.25in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td><td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The
deposits bear interest of 2.5%-3.3% and 2.6%-3.5% per year, as of December 31, 2019 and 2018, respectively.</font></td></tr></table>
<p style="font: small-caps 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>Note 10: - Property, Plant And Equipment</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 0.5in"></td><td style="width: 0.5in">a.</td><td>Composition and movement:</td></tr></table>
<p style="margin-top: 0; margin-bottom: 0"> </p>
<table cellpadding="0" cellspacing="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 1in"></td><td style="width: 1in"><u>2019</u></td><td></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b></b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Land and Buildings<br />
(1)</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Machinery and Equipment<br />
(1)</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Vehicles</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Computers, Software, Equipment and Office Furniture</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Leasehold Improvements</b></font></td>
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>Total</b></font></td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td colspan="22" style="border-bottom: black 1.5pt solid; text-align: center"><font style="font: 10pt Times New Roman, Times, Serif"><b>U.S. Dollars in thousands</b></font></td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Cost</font></td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td>
<td> </td>
<td colspan="2" style="text-align: center"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt; width: 28%; padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Balance at January 1, 2019</font></td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">29,167</font></td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">30,386</font></td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">85</font></td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">6,493</font></td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,141</font></td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">67,272</font></td>
<td style="padding-bottom: 1.5pt; width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Additions</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,101</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,302</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">699</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">14</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">3,116</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt; padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Sale and write-off</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(148</font></td>
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(391</font></td>
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(539</font></td>
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Balance as of December 31, 2019</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">30,268</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">31,540</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">85</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">6,801</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,155</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">69,849</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif"><u>Accumulated Depreciation</u></font></td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt; padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Balance as of January 1, 2019</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">15,076</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">21,679</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">63</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,247</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">203</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">42,268</font></td>
<td style="padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Depreciation</font></td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,232</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,575</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">636</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">115</font></td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">3,563</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 1.5pt; padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Sale and write-off</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(142</font></td>
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(390</font></td>
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">-</font></td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">(532</font></td>
<td style="padding-bottom: 1.5pt"><font style="font: 10pt Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Balance as of December 31, 2019</font></td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">16,308</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">23,112</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">68</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">5,493</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">318</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 1.5pt solid"> </td>
<td style="border-bottom: black 1.5pt solid; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">45,299</font></td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-left: 9pt; text-indent: -9pt"> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td>
<td> </td>
<td> </td>
<td style="text-align: right"> </td>
<td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-left: 9pt; text-indent: -9pt"><font style="font: 10pt Times New Roman, Times, Serif">Depreciated cost as of December 31, 2019</font></td>
<td> </td>
<td style="border-bottom: black 4.5pt double"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">13,960</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">8,428</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">17</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">1,308</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">837</font></td>
<td> </td>
<td> </td>
<td style="border-bottom: black 4.5pt double"><font style="font: 10pt Times New Roman, Times, Serif">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font: 10pt Times New Roman, Times, Serif">24,550</font></td>
<td> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 1in"></td><td style="width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">(1)</font></td><td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Including
labor costs charged in 2019 to the cost of facilities, machinery and equipment in the amount of $493 thousands.</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b>  </b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in"><u>2018</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-family: Times New Roman, Times, Serif">Land
and Buildings<br />
(1)</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-family: Times New Roman, Times, Serif">Machinery
and Equipment<br />
(1)</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-family: Times New Roman, Times, Serif">Vehicles</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-family: Times New Roman, Times, Serif">Computers,
Software, Equipment and Office Furniture</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-family: Times New Roman, Times, Serif">Leasehold
Improvements</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-family: Times New Roman, Times, Serif">Total</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="font-weight: bold; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="22" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center"><font style="font-family: Times New Roman, Times, Serif">U.S.
Dollars in thousands</font></td><td style="padding-bottom: 1.5pt; font-weight: bold"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif">Cost</font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td colspan="2" style="text-align: center"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 28%"><font style="font-family: Times New Roman, Times, Serif">Balance
at January 1, 2018</font></td><td style="width: 1%"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">28,399</font></td><td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">29,602</font></td><td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">66</font></td><td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">6,522</font></td><td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">1,273</font></td><td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">65,862</font></td><td style="width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif">Additions</font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">806</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">2,331</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">19</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">590</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">(132</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">3,614</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif">Sale
and write-off</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(38</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(1,547</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(619</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(2,204</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif">Balance
as of December 31, 2018</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">29,167</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">30,386</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">85</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">6,493</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">1,141</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">67,272</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left"><font style="font-family: Times New Roman, Times, Serif"><u>Accumulated
Depreciation</u></font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif">Balance
as of January 1, 2018</font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">13,916</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">21,430</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">59</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">5,194</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">85</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">40,684</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left"><font style="font-family: Times New Roman, Times, Serif">Depreciation
and impairment</font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">1,198</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">1,711</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">4</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">672</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">118</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif">3,703</font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif">Sale
and write-off</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(38</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(1,462</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(619</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">-</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">(2,119</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif">Balance
as of December 31, 2018</font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">15,076</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">21,679</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">63</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">5,247</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">203</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="padding-bottom: 1.5pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 1.5pt solid; text-align: right"><font style="font-family: Times New Roman, Times, Serif">42,268</font></td><td style="padding-bottom: 1.5pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: right"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 28%; padding-bottom: 4pt"><font style="font-family: Times New Roman, Times, Serif">Depreciated
cost as of December 31, 2018</font></td><td style="width: 1%; padding-bottom: 4pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">14,091</font></td><td style="width: 1%; padding-bottom: 4pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%; padding-bottom: 4pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">8,707</font></td><td style="width: 1%; padding-bottom: 4pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%; padding-bottom: 4pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">22</font></td><td style="width: 1%; padding-bottom: 4pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%; padding-bottom: 4pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">1,246</font></td><td style="width: 1%; padding-bottom: 4pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%; padding-bottom: 4pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">938</font></td><td style="width: 1%; padding-bottom: 4pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td><td style="width: 1%; padding-bottom: 4pt"><font style="font-family: Times New Roman, Times, Serif"> </font></td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left"><font style="font-family: Times New Roman, Times, Serif">$</font></td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right"><font style="font-family: Times New Roman, Times, Serif">25,004</font></td><td style="width: 1%; padding-bottom: 4pt; text-align: left"><font style="font-family: Times New Roman, Times, Serif"> </font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 1in"></td><td style="width: 0.5in; text-align: left">(1)</td><td style="text-align: left">Including labor costs charged in 2018 to the cost of facilities,
machinery and equipment in the amount of $514 thousands.</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> <b> </b></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 0.5in"></td><td style="width: 0.5in; text-align: left">b.</td><td style="text-align: justify">As for liens, refer to Note 18.</td>
</tr></table>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 0.5in"></td><td style="width: 0.5in; text-align: left">c.</td><td style="text-align: justify"><p style="margin: 0pt 0">Leasing rights of land from the Israel land administration.</p>
</td>
</tr></table>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">December 31,</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2019</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">2018</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td>
<td colspan="6" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">U.S. Dollars in thousands</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold"> </td>
<td colspan="6" style="font-weight: bold; text-align: center"> </td><td style="font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-bottom: 4pt; width: 76%; text-align: left">Under finance lease</td><td style="padding-bottom: 4pt; width: 1%"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">992</td><td style="padding-bottom: 4pt; width: 1%; text-align: left"> </td><td style="padding-bottom: 4pt; width: 1%"> </td>
<td style="border-bottom: Black 4pt double; width: 1%; text-align: left">$</td><td style="border-bottom: Black 4pt double; width: 9%; text-align: right">1,004</td><td style="padding-bottom: 4pt; width: 1%; text-align: left"> </td></tr>
</table>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">A Company’s subsidiary capitalized
leasing rights from the Israel Land Administration for an area of 16,880 m² in Beit Kama, Israel, on which the Company’s
manufacturing plant and other buildings are located. The sum attributed to capitalized rights is presented under property, plant
and equipment and is depreciated over the leasing period, which includes the option period.</p>
<p style="font: 7pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in; text-align: justify">During 2010, the Company signed an agreement
with the Israel Land Administration to consolidate its leasing rights and extend the lease period to 2058, including an extension
option for additional 49 years thereafter.</p>
<table cellpadding="0" cellspacing="0" style="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify"><td style="padding-right: 0; width: 0.75in; text-align: left"><font style="font-variant: small-caps">Note 17: -</font></td><td style="padding-right: 0; text-align: justify"><font style="font-variant: small-caps">Contingent
Liabilities and Commitments</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt"></p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: top">
<td style="width: 72px"> </td>
<td style="width: 48px; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">a.</font></td>
<td style="text-align: justify; font-size: 10pt"><font style="font: 10pt Times New Roman, Times, Serif">On August 23, 2010, the Company entered into a 30 years collaboration agreement with Baxter Healthcare Corporation (“Baxter”) with respect to obtaining the distribution rights for Glassia. During 2015, Baxter assigned all its rights under the collaboration agreement to Baxalta US Inc. (“Baxalta”) which was acquired during 2016 by Shire plc (“Shire”), which is now part of Takeda (“Takeda” and in these consolidated financial statements Baxter, Baxalta and Shire will be referred to as “Takeda”).</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify; text-indent: 0in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify; text-indent: 0in">The
collaboration agreement consists of three main agreements (1) An Exclusive Manufacturing, Supply and Distribution agreement for
Glassia in the United States, Canada, Australia and New Zealand (the “Territory” and the “Distribution Agreement”,
respectively); (2) Technology License Agreement for the use of the Company’s knowhow and patents for the production, continued
development and sale of Glassia by Takeda (the “License Agreement”) in the Territory; and (3) A Paste Supply Agreement
for the supply by Takeda of plasma derived fraction IV-1 to be used by the Company for the production of Glassia (the “Raw
Materials Supply Agreement”).</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">Pursuant to the agreements,
the Company was entitled to certain upfront and milestone payments at a total amount of $45 million, and for a minimum commitment
of Takeda to acquire Glassia produced by the Company over the first five years of the term of the Distribution Agreement. In addition,
upon initiation of sales of Glassia manufactured by Takeda the Company will be entitled to royalty payments at a rate of 12% on
net sales of Glassia through August 2025, and at a rate of 6% thereafter until 2040, with a minimum of $5 million annually (the
“Royalty Payments”).</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">As of December 31, 2019, the
Company received a total of $39.5 million on account of the agreed upfront and milestone payments from Takeda pursuant to the Distribution
and License Agreements as amended. Prior to the October 2016 amendment of the Distribution Agreement, the net proceeds on account
of the upfront the milestone payments received were recorded as deferred revenues and were recognized as revenues based on the
actual sales of Glassia on a pro-rata basis. Following October 2016, the balance of the deferred revenues was recognized on a straight
- line basis according to Takeda’s updated minimum purchase commitment through December 31, 2018, which was the term of the
supply commitment period prior to the October 2016 amendment. Non- refundable revenues due to the achievement of milestones are
recognized upon reaching the milestone. The Company is entitled to the remaining unpaid balance of the millstone payments totaling
$5.5 million which will be paid upon the achievement of such milestones.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">Between 2013 and 2019, the parties
amended the License Agreement and the Distribution Agreement to extend the supply of Glassia by the Company to Takeda and increase
Takeda’s minimum purchase commitment. Pursuant to the recent amendment of the Distribution Agreement entered into during
August 2019, the maximum commitment by the Company to manufacture and sale Glassia to Takeda and the minimum commitment of Takeda
to acquire Glassia manufactured by the Company is currently extended through the end of 2021. The Company projects that total revenues
from sales of Glassia to Takeda for the year 2020 will be approximately $65 million and for the year 2021 between $25 million to
$50 million. See note 22a for information regarding 2019 revenues from sales to Takeda.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">Takeda is planning to complete
the technology transfer of Glassia, and pending FDA approval, will initiate, during 2021 its own production of Glassia for distribution
in the U.S. market. Accordingly, following the transition of manufacturing to Takeda, the Company will terminate the manufacturing
and sale of Glassia to Takeda resulting in a significant reduction in revenues. Upon initiation of sales of Glassia manufactured
by Takeda, Takeda will pay the Company the Royalty Payments as defined above.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">Pursuant to the Distribution
Agreement, Takeda is responsible to conduct any required additional clinical studies required to obtain or maintain Glassia’s
marketing authorization in the Territory. Under certain condition, the Company will be required to participate in the funding of
these clinical studies in a total amount not to exceed $10 million.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 70.9pt; text-align: justify"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">Pursuant to the Raw Material
Supply Agreement Takeda undertook to provide the Company, free of charge, all quantities of plasma derived fraction IV-1 required
by the Company for manufacturing Glassia to be sold to Takeda for distribution in the Territory. The Company accounts for the fair
value of the plasma derived fraction IV-1 used and sold as revenues and charges the same fair value to cost of revenue. In addition,
the Company has the right to acquire from Takeda plasma derived fraction IV-1 for its continued development and for the production,
sale and distribution of Glassia by the Company outside the Territory.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in">b.</td><td style="text-align: justify; padding-right: 0">In November 2006, the Company entered into an agreement with PARI GmbH in
connection with a supply by the third party of a certain medical devise required for the development of a Company’s Inhaled
AAT product. Pursuant to the agreement, the Company was licensed to use developments made by the third party. Furthermore, the
third party will provide the Company certain quantities of devices for carrying out clinical trials, free of charge. In the event
that the development is successful and the underlining product obtains required marketing authorization, the Company will pay the
third party royalties based on sales of the devices through the later of the device patents expiration period or 15 years from
the first commercial sale of the Company’s the Inhaled AAT product.</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">On expiration of the royalty
period, the license will become non-exclusive and the Company shall be entitled to use the rights granted to it pursuant to the
agreement without paying royalties or any other compensation. In addition, and according to a mechanism set in the agreement, the
third party would be required to pay royalties to the Company of the total net sales of the device exceeding a certain amount,
through the later of the device patents expiration period or 15 years from the first commercial sale of the Company’s Inhaled
AAT product.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">In February 2008, the parties
executed an amendment to the agreement according to which the exclusive global license granted to the Company was expanded to two
additional indications. The royalties are applicable to all indications mentioned above.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">In addition, the parties
entered into a commercialization and supply agreement, which ensures long-term regular supply of the device, including spare parts.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 82.4pt; text-align: justify"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">In May 2019, the Company
signed a Clinical Study Supply Agreement (“CSSA”) with such third party for the supply of the required quantities of
controller kits and the web portal associated with the third party’s device required for Company’s continued clinical
trials with respect the its Inhaled AAT product. The CSSA is a supplement agreement to the agreement and will expire upon the expiration
or termination of the agreement.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 70.9pt; text-align: justify"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 0.75in"></td><td style="width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">c.</font></td><td style="text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">In
July 2011, the Company entered into a strategic collaboration agreement with Kedrion Biopharma for clinical development, marketing,
distribution and sales in the United States of KedRab, the Company’s rabies immune globulin (Human). The product, KedRab,
is manufactured and marketed by the Company in other countries. The Company obtained U.S marketing approval from the FDA for KedRab
in August 2017. Launch of the product in the US was initiated in the beginning of 2018.</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 85.05pt; text-align: justify; text-indent: -28.35pt"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in; text-align: justify">In October 2016 the parties
entered into an amendment to the agreement pursuant to which the parties agreed to conduct a required post-marketing-commitment
clinical study which was initiated in March 2017 and is planned to finalize in 2020. The cost of the study is equally shared between
the parties.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in">d.</td><td style="text-align: justify; padding-right: 0">In July 2019, the Company entered into a 7-year Master Clinical Services
Agreement with a third party for the provision of certain clinical research services and other tasks to be performed by such third
party, in connection with the Company’s Phase III clinical study for its inhaled AAT product.</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in">e.</td><td style="text-align: justify; padding-right: 0">In December 2019, the Company entered into a binding term sheet for a 12-year
contract manufacturing agreement with a third party to manufacture an FDA-approved and commercialized specialty hyper-immune globulin
product. Following the execution of the required technology transfer from the current manufacturer, and pending obtaining all required
FDA approvals, the Company is expected to commence commercial manufacturing of the product in early 2023.</td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in">f.</td><td style="text-align: justify; padding-right: 0">In December 2019, the Company entered into an agreement with Alvotech , a
global biopharmaceutical company, to commercialize Alvotech’s portfolio of six biosimilar product candidates in Israel, upon
receipt of regulatory approval from the Israeli Ministry of Health (“IMOH”). Pursuant to the agreement the Company
is obligated to pay Alvotech certain milestone payments to Alvotech, in advance of the launch of the six biosimilar in Israel.</td></tr></table>
5500000
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify"><td style="padding-right: 0; text-align: left; width: 0.75in"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b>Note
22: -</b></font></td><td style="padding-right: 0; text-align: justify"><font style="font: small-caps 10pt Times New Roman, Times, Serif"><b>Supplementary
Information to the Statements of Profit and Loss</b></font></td>
</tr>
</table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: -56.7pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top">
<td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 0.75in"></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; width: 0.5in"><font style="font: 10pt Times New Roman, Times, Serif">a.</font></td><td style="font: 10pt Times New Roman, Times, Serif; padding-right: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Additional
information about revenues</font></td></tr></table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: -56.7pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left">Revenues from major customers each of whom amount to 10% or more, of total revenues</td>
<td style="padding-right: 0; text-align: left"> </td>
<td style="padding-right: 0; text-align: left"> </td>
<td style="padding-right: 0; text-align: left"> </td>
<td style="padding-right: 0; text-align: left"> </td>
<td style="padding-right: 0; text-align: left"> </td>
<td style="padding-right: 0; text-align: left"> </td>
<td style="padding-right: 0; text-align: left"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; text-align: left">Customer A<sup>(1)</sup></td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">68,138</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">63,788</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">60,383</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Customer B</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">16,369</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">11,779</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">-</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Customer C</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">14,454</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">-</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">-</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left">$</td><td style="padding-right: 0; text-align: right">98,961</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left">$</td><td style="padding-right: 0; text-align: right">75,567</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left">$</td><td style="padding-right: 0; text-align: right">60,383</td><td style="padding-right: 0; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: -56.7pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="width: 0"></td><td style="width: 0.25in; text-align: left"><sup>(1)</sup></td><td style="text-align: justify">For additional information regarding the aggregate amount
of the transaction price allocated to the performance obligations that are unsatisfied, refer to note 17a.</td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: -56.7pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">b.</font></td><td style="padding-right: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Revenues
based on the location of the customers, are as follows:</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 49.65pt; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; text-align: left">U.S.A</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">84,572</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">75,331</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">60,405</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Israel</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">31,959</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">28,093</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">26,355</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Europe</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">4,701</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">3,594</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">5,348</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Latin America</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">3,792</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">3,994</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">5,248</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Asia</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,067</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">3,336</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">4,979</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Others</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">96</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">121</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">490</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; padding-bottom: 1.5pt">Total Revenue</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">127,187</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">114,469</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">102,825</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 49.65pt; text-align: justify; text-indent: 0in"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">c.</font></td><td style="padding-right: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Cost
of goods sold</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; text-align: left">Cost of materials</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">69,766</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">56,156</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">41,179</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Salary and related expenses</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">16,941</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">15,290</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">13,755</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Subcontractors</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">4,451</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">3,633</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">3,995</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Depreciation and amortization</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,991</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,859</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,504</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Energy</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,551</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,426</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,202</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Other manufacturing expenses</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">712</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">566</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">954</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; padding-bottom: 1.5pt"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">96,412</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">79,930</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">63,589</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Decrease (increase) in inventories</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">(18,962</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">(6,933</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">7,148</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; padding-bottom: 1.5pt">Total Cost of goods sold</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">77,450</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">72,997</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">70,737</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: -56.7pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">d.</font></td><td style="padding-right: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Research
and development</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; text-align: left">Salary and related expenses</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">5,897</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">5,925</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">6,537</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Subcontractors</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">5,196</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,275</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">3,392</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Materials and allocation of facility costs</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">966</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,131</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,597</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Depreciation and amortization</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">663</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">159</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">120</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Others</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">337</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">257</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">327</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; padding-bottom: 1.5pt">Total Research and development</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">13,059</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">9,747</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">11,973</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 78pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">e.</font></td><td style="padding-right: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Selling
and marketing</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; text-align: left">Salary and related expenses</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">1,467</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 9%; text-align: right">1,647</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 9%; text-align: right">1,470</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Marketing support</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">103</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">121</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">95</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Packing, shipping and delivery</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">504</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">477</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">607</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Marketing and advertising</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">788</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">424</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">627</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Registration and marketing fees</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">917</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">470</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,162</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Others</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">591</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">491</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">437</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; padding-bottom: 4pt"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0">Total Selling and marketing</p>
</td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">4,370</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">3,630</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">4,398</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: -56.7pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left"><font style="font: normal 10pt Times New Roman, Times, Serif">f.</font></td><td style="padding-right: 0; text-align: justify"><font style="font: normal 10pt Times New Roman, Times, Serif">General
and administrative</font></td>
</tr></table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: left; text-indent: -56.7pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; text-align: left">Salary and related expenses</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">3,475</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">3,085</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 9%; text-align: right">3,138</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Employees welfare</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,296</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,151</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,182</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Professional fees and public company expense</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,162</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,012</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,549</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Depreciation, amortization and impairment</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">717</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">686</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">649</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Communication and software services</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">799</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">675</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">554</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Others</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">745</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">916</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">201</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0"></p>
</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; padding-bottom: 1.5pt">Total General and administrative</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">9,194</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">8,525</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">8,273</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left"><font style="font: normal 10pt Times New Roman, Times, Serif">g.</font></td><td style="padding-right: 0; text-align: justify"><font style="font: normal 10pt Times New Roman, Times, Serif">Financial expense(income)</font></td>
</tr></table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: left; text-indent: -56.7pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left">Financial income</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; width: 64%; text-align: left">Interest income and gains from marketable securities</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">1,146</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">830</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">500</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left">Financial expense</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 1.5pt">Fees and interest paid to financial institutions</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">293</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">172</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">82</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left">Financial income and (expense)</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left">Derivatives instruments measured at fair value</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">(512</td><td style="padding-right: 0; text-align: left">)</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">504</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">(511</td><td style="padding-right: 0; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left">Translation differences of financial assets and liabilities</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">(139</td><td style="padding-right: 0; text-align: left">)</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">98</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">(101</td><td style="padding-right: 0; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 1.5pt">Bond securities measured at fair value</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">(5</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">(178</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">(80</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: 0; padding-left: 0; text-align: left; padding-bottom: 1.5pt"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0">Total Financial expense(income)</p>
</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">197</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">1,082</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">(274</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td></tr></table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: -56.7pt"><font style="font: 10pt Times New Roman, Times, Serif"></font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left">Revenues from major customers each of whom amount to 10% or more, of total revenues</td>
<td style="padding-right: 0; text-align: left"> </td>
<td style="padding-right: 0; text-align: left"> </td>
<td style="padding-right: 0; text-align: left"> </td>
<td style="padding-right: 0; text-align: left"> </td>
<td style="padding-right: 0; text-align: left"> </td>
<td style="padding-right: 0; text-align: left"> </td>
<td style="padding-right: 0; text-align: left"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; text-align: left">Customer A<sup>(1)</sup></td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">68,138</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">63,788</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">60,383</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Customer B</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">16,369</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">11,779</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">-</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Customer C</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">14,454</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">-</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">-</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left">$</td><td style="padding-right: 0; text-align: right">98,961</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left">$</td><td style="padding-right: 0; text-align: right">75,567</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left">$</td><td style="padding-right: 0; text-align: right">60,383</td><td style="padding-right: 0; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: -56.7pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top">
<td style="width: 0"></td><td style="width: 0.25in; text-align: left"><sup>(1)</sup></td><td style="text-align: justify">For additional information regarding the aggregate amount
of the transaction price allocated to the performance obligations that are unsatisfied, refer to note 17a.</td></tr></table>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"><tr style="vertical-align: bottom"><td style="padding-right: 0"><b></b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; text-align: left">Cost of materials</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">69,766</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">56,156</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">41,179</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Salary and related expenses</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">16,941</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">15,290</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">13,755</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Subcontractors</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">4,451</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">3,633</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">3,995</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Depreciation and amortization</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,991</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,859</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,504</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Energy</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,551</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,426</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,202</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Other manufacturing expenses</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">712</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">566</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">954</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; padding-bottom: 1.5pt"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">96,412</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">79,930</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">63,589</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Decrease (increase) in inventories</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">(18,962</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">(6,933</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">7,148</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; padding-bottom: 1.5pt">Total Cost of goods sold</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">77,450</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">72,997</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">70,737</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: -56.7pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">d.</font></td><td style="padding-right: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Research
and development</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; text-align: left">Salary and related expenses</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">5,897</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">5,925</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">6,537</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Subcontractors</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">5,196</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,275</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">3,392</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Materials and allocation of facility costs</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">966</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,131</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,597</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Depreciation and amortization</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">663</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">159</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">120</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Others</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">337</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">257</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">327</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; padding-bottom: 1.5pt">Total Research and development</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">13,059</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">9,747</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">11,973</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 78pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left"><font style="font: 10pt Times New Roman, Times, Serif">e.</font></td><td style="padding-right: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">Selling
and marketing</font></td>
</tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; text-align: left">Salary and related expenses</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">1,467</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 9%; text-align: right">1,647</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 9%; text-align: right">1,470</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Marketing support</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">103</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">121</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">95</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Packing, shipping and delivery</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">504</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">477</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">607</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Marketing and advertising</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">788</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">424</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">627</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Registration and marketing fees</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">917</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">470</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,162</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Others</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">591</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">491</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">437</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; padding-bottom: 4pt"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0">Total Selling and marketing</p>
</td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">4,370</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">3,630</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 4pt double; padding-right: 0; text-align: right">4,398</td><td style="padding-right: 0; padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify; text-indent: -56.7pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left"><font style="font: normal 10pt Times New Roman, Times, Serif">f.</font></td><td style="padding-right: 0; text-align: justify"><font style="font: normal 10pt Times New Roman, Times, Serif">General
and administrative</font></td>
</tr></table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: left; text-indent: -56.7pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; width: 64%; text-align: left">Salary and related expenses</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">3,475</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">3,085</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 9%; text-align: right">3,138</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Employees welfare</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,296</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,151</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,182</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Professional fees and public company expense</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,162</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">2,012</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">1,549</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left">Depreciation, amortization and impairment</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">717</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">686</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">649</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left">Communication and software services</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">799</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">675</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">554</td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-align: left; padding-bottom: 1.5pt">Others</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">745</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">916</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">201</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-align: left"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0"></p>
</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; padding-bottom: 1.5pt">Total General and administrative</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">9,194</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">8,525</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">8,273</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
</table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="padding-right: 0; width: 0.75in"></td><td style="padding-right: 0; width: 0.5in; text-align: left"><font style="font: normal 10pt Times New Roman, Times, Serif">g.</font></td><td style="padding-right: 0; text-align: justify"><font style="font: normal 10pt Times New Roman, Times, Serif">Financial expense(income)</font></td>
</tr></table>
<p style="font: small-caps bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 56.7pt; text-align: left; text-indent: -56.7pt"><font style="font: 10pt Times New Roman, Times, Serif"> </font></p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>Year Ended December 31,</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2019</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2018</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>2017</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in"><b> </b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td>
<td colspan="10" style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: center"><b>U.S. Dollars in thousands</b></td><td style="padding-right: 0; padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td><td style="padding-right: 0"> </td>
<td colspan="2" style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left">Financial income</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; width: 64%; text-align: left">Interest income and gains from marketable securities</td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">1,146</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">830</td><td style="padding-right: 0; width: 1%; text-align: left"> </td><td style="padding-right: 0; width: 1%"> </td>
<td style="padding-right: 0; width: 1%; text-align: left">$</td><td style="padding-right: 0; width: 9%; text-align: right">500</td><td style="padding-right: 0; width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left">Financial expense</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 1.5pt">Fees and interest paid to financial institutions</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">293</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">172</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">82</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left">Financial income and (expense)</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left">Derivatives instruments measured at fair value</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">(512</td><td style="padding-right: 0; text-align: left">)</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">504</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">(511</td><td style="padding-right: 0; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left">Translation differences of financial assets and liabilities</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">(139</td><td style="padding-right: 0; text-align: left">)</td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">98</td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right">(101</td><td style="padding-right: 0; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 1.5pt">Bond securities measured at fair value</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">(5</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">(178</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">(80</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="padding-right: 0; text-indent: -0.125in; padding-left: 0.125in; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0"> </td>
<td style="padding-right: 0; text-align: left"> </td><td style="padding-right: 0; text-align: right"> </td><td style="padding-right: 0; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="padding-right: 0; text-indent: 0; padding-left: 0; text-align: left; padding-bottom: 1.5pt"><p style="font: 10pt Times New Roman, Times, Serif; margin: 0">Total Financial expense(income)</p>
</td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">197</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">1,082</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left"> </td><td style="padding-right: 0; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; padding-right: 0; text-align: right">(274</td><td style="padding-right: 0; padding-bottom: 1.5pt; text-align: left">)</td></tr></table>
4022000
4
10
9
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top"><td style="width: 42.55pt"></td><td style="width: 28pt">w.</td><td style="text-align: justify"><font style="font-size: 10pt">Changes in accounting policies - initial application of new financial
reporting and accounting standards and amendments to existing financial reporting and accounting standards:</font></td></tr></table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-indent: -28.35pt"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.4pt; text-indent: -28.35pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"><tr style="vertical-align: top">
<td style="width: 70.5pt"></td><td><u>Initial application of IFRS 16, “Leases”</u></td></tr></table>
<p style="margin-top: 0; margin-bottom: 0"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">In January 2016, the IASB issued IFRS 16, “Leases”
(“the Standard”), which provides guidance on the recognition, measurement, presentation and disclosure of leases and
supersedes IAS 17, “Leases” (“the old Standard”), IFRIC 4, “Determining Whether an Arrangement Contains
a Lease”, and SIC-15, “Operating Leases - Incentives”. According to the Standard, a lease is a contract, or part
of a contract, that conveys the right to use an asset for a period of time in exchange for consideration.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The Standard has been applied for the first time in
these financial statements. As permitted by the Standard, the Company elected to apply the provisions of the Standard using the
modified retrospective method. The Company recognized lease liabilities on the initial application date of the Standard in respect
of leases previously classified as operating leases according to IAS 17. The amount of the liability as of the date of initial
application of the Standard was measured using the Company’s incremental borrowing rate of interest on the date of initial application
of the Standard.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1.25in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">Certain right-of-use assets were measured as if the
Standard has been applied from the commencement date of the lease but for the purpose of calculation, the lessee’s incremental
borrowing rate on the date of initial adoption was used, while the carrying amount of other right-of-use assets are identical to
the carrying amount of the lease liability. For details of the accounting policy applied from the date of initial application of
the Standard, see Note 14b.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in">  </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The main effect of the initial application of the
Standard relates to existing leases in which the Company is the lessee. According to the Standard, as explained in Note 14b, the
Company recognizes a lease liability and a corresponding right-of-use asset for each lease in which it is the lessee, excluding
certain exceptions. This accounting treatment is different than the accounting treatment applied under the old Standard according
to which the lease payments in respect of leases for which substantially all the risks and rewards incidental to ownership of the
leased asset were not transferred to the lessee were recognized as an expense in profit or loss on a straight-line basis over the
lease term.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 1in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">Following are data relating to the initial application
of the Standard as of January 1, 2019, in respect of leases existing as of that date:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.55pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">According to the previous accounting policy</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">Difference</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1.5pt"> </td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; font-weight: bold; text-align: center">According to the current accounting policy</td><td style="padding-bottom: 1.5pt; font-weight: bold"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td><td style="padding-bottom: 1.5pt"> </td>
<td colspan="10" style="text-align: center"><b>U.S Dollars in thousands</b></td><td style="padding-bottom: 1.5pt"> </td></tr>
<tr style="vertical-align: bottom">
<td>As of January 1, 2019</td><td> </td>
<td colspan="2" style="text-align: center"> </td><td> </td><td> </td>
<td colspan="2" style="text-align: center"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom">
<td style="font-weight: bold">Non-current assets:</td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td><td> </td>
<td colspan="2"> </td><td> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="width: 64%; text-align: left; padding-bottom: 1.5pt">Right-of-use assets</td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">-</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">4,161</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td><td style="width: 1%; padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1.5pt solid; width: 9%; text-align: right">4,161</td><td style="width: 1%; padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-weight: bold">Liabilities</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Current maturities of leases</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">110</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">810</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">920</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td>Leases</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">28</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">3,907</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">3,935</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left">Other accounts payables</td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">5,261</td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">(255</td><td style="text-align: left">)</td><td> </td>
<td style="text-align: left">$</td><td style="text-align: right">5,006</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="font-weight: bold; text-align: left">Shareholder’s Equity</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-align: left; padding-bottom: 4pt">Accumulated deficit</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">112,376</td><td style="padding-bottom: 4pt; text-align: left"> </td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">(300</td><td style="padding-bottom: 4pt; text-align: left">)</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">112,076</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.55pt"></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 113.55pt"> <font style="font: 10pt Times New Roman, Times, Serif"><b> </b></font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1.5in; text-indent: 0; text-align: justify">The lease liabilities as at January 1, 2019 can be reconciled
to the operating lease commitments as of December 31, 2018 as follows:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">  </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%">
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><b> </b></td><td><b> </b></td>
<td colspan="2" style="text-align: center"><b>U.S Dollars</b></td><td><b> </b></td></tr>
<tr style="vertical-align: bottom">
<td style="text-indent: -0.125in; padding-left: 0.125in"><b> </b></td><td style="padding-bottom: 1.5pt"><b> </b></td>
<td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center"><b>In thousands</b></td><td style="padding-bottom: 1.5pt"><b> </b></td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; width: 88%; text-align: left">Future minimum payments for non-cancellable leases as per IAS 17 according to the financial statements as of December 31, 2018</td><td style="width: 1%"> </td>
<td style="width: 1%; text-align: left">$</td><td style="width: 9%; text-align: right">5,434</td><td style="width: 1%; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in">Weighted average incremental borrowing rate as at January 1, 2019
<sup>(1)</sup></td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">3.06%-4.6%</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Discounted operating lease commitment at January 1, 2019</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">4,685</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in">Add:</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left">Leases of other equipment</td><td> </td>
<td style="text-align: left"> </td><td style="text-align: right">32</td><td style="text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: White">
<td style="text-indent: -0.125in; padding-left: 0.125in; text-align: left; padding-bottom: 1.5pt">Leases that were previously identified as leases under IAS 17</td><td style="padding-bottom: 1.5pt"> </td>
<td style="border-bottom: Black 1.5pt solid; text-align: left"> </td><td style="border-bottom: Black 1.5pt solid; text-align: right">138</td><td style="padding-bottom: 1.5pt; text-align: left"> </td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,255)">
<td style="text-indent: -0.125in; padding-left: 0.125in; padding-bottom: 4pt">Lease liabilities as at January 1, 2019</td><td style="padding-bottom: 4pt"> </td>
<td style="border-bottom: Black 4pt double; text-align: left">$</td><td style="border-bottom: Black 4pt double; text-align: right">4,855</td><td style="padding-bottom: 4pt; text-align: left"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; text-align: justify; margin-top: 0pt; margin-right: 0; margin-bottom: 0pt"> </p>
<table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><tr style="vertical-align: top; text-align: justify">
<td style="width: 0"></td><td style="width: 0.25in; text-align: left"><font style="font-family: Times New Roman, Times, Serif">(1)</font></td><td style="text-align: justify">The weighted average incremental borrowing rate was evaluated
based on credit risk, terms of the leases and other economic variables. The weighted average incremental borrowing rate was used
to discount future lease payments in the calculation of the lease liability on the date of initial adoption of the Standard.</td></tr></table>
The deposits bear interest of 2.0%-2.4% per year, as of December 31, 2019.
The deposits bear interest of 0.02% per year, as of December 31, 2019 and 0.16% per year, as of December 31, 2018.
The deposits bear interest of 2.5%-3.3% and 2.6%-3.5% per year, as of December 31, 2019 and 2018, respectively.
During 2018 and 2019 the Company entered into agreements for the distribution right of certain therapeutic products to be distributed in Israel, subject to Israeli Ministry of Health ("IL MOH") marketing approval. Pursuant to the agreements, the Company was required to make certain upfront and milestone payments. These payments are accounted for as long term assets through obtaining IL MOH marketing authorization and it will be amortized during the product's economic useful life. As of December 31, 2019 no amortization was recorded.
Following the initial application of IFRS 16, on January 1, 2019 , the Company recorded discounted operating lease commitment classified as a lease at the amount of $4,717 thousands with respect to office and storage spaces, vehicles and certain office equipment (i.e. printing and photocopying machines) at the amount of $4,023, $663 and $31 thousands, respectively.
Leasehold improvements are depreciated on a straight-line basis over the shorter of the lease term (including the extension option held by the Company and intended to be exercised) and the expected life of the improvement.
The weighted average incremental borrowing rate was evaluated based on credit risk, terms of the leases and other economic variables. The weighted average incremental borrowing rate was used to discount future lease payments in the calculation of the lease liability on the date of initial adoption of the Standard.
Following the initial application of IFRS 16, on January 1, 2019 , the Company recorded operating lease commitment classified as a lease liability at the amount of $4,717 thousands with respect to office and storage spaces, vehicles and certain office equipment (i.e. printing and photocopying machines) at the amount of $4,022, $663 and $32 thousands, respectively. Also refer to Note 2ii
In 2019, interest expenses of lease liability amounted in $212 thousands.
$67 thousands of the over 121 days balance is provided for as allowance for doubtful accounts.
For additional information regarding the aggregate amount of the transaction price allocated to the performance obligations that are unsatisfied, refer to note 17a.
Including labor costs charged in 2019 to the cost of facilities, machinery and equipment in the amount of $493 thousands.
Including labor costs charged in 2018 to the cost of facilities, machinery and equipment in the amount of $514 thousands.