TACT - Tel Aviv Computerized Trading System

Handling orders at the pre-opening phase

Each regular order submitted at the pre-opening phase will be recorded in the "Order book" and its priority will be determined according to price limit and time stamping.

Announcing theoretical prices and theoretical trading volume

During the pre-opening phase the TASE will publish "theoretical prices" and "theoretical trading volume", the total orders submitted at each of the three best supply and demand prices and the total amount of ATO and MKT orders, separately for supply and demand. The "theoretical price" and "theoretical trading volume" will be identical to the opening price and opening trading volume, if the opening trading is executed at the time of calculation.

The announcement of such information, will enable investors to learn of the expected trends in the market before trading itself commences.

Minimal order size

• In shares - one share.

• In warrants - one trading unit of warrants.

• In convertible bonds - NIS 1 par value.

Maximum price limit

• In shares and convertible bonds - ± 10% from the base price.

• In warrants - ± 10% from the base price of the exercise share, multiplied by the exercise ratio.

Opening Trading

In the opening phase multilateral trading will be executed and the opening price will be calculated, separately for each security, in accordance with the orders submitted by the members at the pre-opening phase.

Timetable

10:00 am

Orders’ execution priority

LMT buy orders whose price limit are higher than the opening price will have priority over MKT and ATO buy orders.

LMT sell orders whose price limit are lower thant the opening price will have priority over MKT and ATO sell orders.

LMT buy orders whose price limit is high will have priority over LMT buy orders at a lower price limit.

LMT sell orders whose price limit is low will have pirority over LMT sell orders at a higher price limit.

LMT orders with the same price limit will be prioritized according to their order of submission to the TACT (their time stamping).

MKT, ATO and LMT orders limited at the opening price will be prioritized according to their order of submission to the TACT (their time stamping).

The TASE will calculate and announce the opening price and trading volume at this price. Orders which will not be executed in the opening stage will automatically be traded in the continuous trading stage, except ATO orders which will be cancelled.

Maximum price fluctuation

• In shares and convertible bond - ± 10% from the base price.

• In warrants - ± 10% form the base price of the exercise share, multiplied by the exercise price.

• Price fluctuation will be unlimited on special occasions such as: on the day a security is first traded, following a prolonged trade suspension; in a security prior to expiration; on an ex-rights day, etc.

Continuous Trading

During this phase transactions will be executed continuously and simultaneously between buyers and sellers, in all securities and in accordance with the members’ orders.

Timetable

10:00 am-3:30 pm

Types of orders

• LMT-Limit

• MKT-Market

Each regular order submitted at the continuous trading phase will be checked in its turn against the orders in the book for potential transactions.

An order submitted, but which has not been matched, wholly or partially, with another order, will be written in the order book, according to its priority.

The matching of two orders creates a transaction.

The transaction’s price will be identical to the price limit of the order in the book.

Two counter orders which have created a transaction are erased from the order book and the transaction is recorded in the database of transactions.

Minimum Order Size

A minimum-size order for the continuous trading phase will be a unit of shares whose financial value is no less than NIS 10,000.

Orders need not be in multiples of the minimum size, but may not be less than the minimum size (Mixed Lot).

There will also be trading of orders of lower financial value, which are transferred from the opening phase, or "remainders" from a bigger-size order.

Minimum price fluctuation

Price fluctuation during the continuous trading stage will be unlimited.

At the end of the continuous trading phase, the system will calculate a closing price for each security.

At the Closing Price Trading

Transactions between buyers and sellers will be carried out at the closing price only, simultaneously and continuously, in all securities and in accordance with the orders submitted by the members to be executed at the closing price.

Timetable

3:30 pm - 3:45 pm

Types of Orders

ATC - At the closing price.

There will also be trading of LMT orders which have not been executed in the continuous trading stage, providing they are buy orders at a price equal to or higher than the closing price or sell orders at a price lower than or equal to the closing price.

Minimum Order Size

• In shares - one share

• In warrants - one trading unit of warrants.

• In convertible bonds - NIS 1 par value.

An ATC order will be matched with a counter order of the same type or with an LMT type counter order at a price limit equal to or better than the closing price.

Orders which are not executed in the closing price trading stage, will be cancelled.

Real-time trading data will be disseminated on an on-going basis via the TASE data dissemination terminals.