Estimate

Principal assumptions

Possible effects

Reference

Assessment of probability

of contingent liabilities

Whether it is more likely than not that an outflow of economic resources will be required in respect of legal claims pending against the Company and its investees

Reversal or creation of a provision for a claim

For information on the Company’s exposure to claims see Note 13B regarding contingent liabilities

Recoverability of intangible assets

The discounted cash flows method includes assumptions such as future expenses, future revenues, successes rate (in respect of transition between phases of the R&D of the clinical trials until reaching regulatory approval and marketing) and discount rate.

Impairment of the in-process research and development in profit or loss

See Note 5 regarding subsidiaries