Elbit Medical Imaging Reports Results of Its Activities for Q1 1999

Elbit Medical Imaging Ltd. (Haifa, Israel) hereby reports its consolidated results for the first quarter ending March 31. The net consolidated profit from continuing operations and from activities realized and discontinued during the first quarter of 1999 totaled $1.5 million, in comparison to a profit of $ 91.3 million recorded during the parallel period in the previous year.

The net consolidated profit from continuing operations during the first quarter of 1999 totaled $1.5 million, in comparison to a loss of $0.4 million during the parallel quarter of the previous year. During the parallel period last year, the company recorded a one-time profit of $91.2 million which derived from the proceeds of the sale of Elbit Ultrasound.

On March 31, the company completed the sale of its holdings in the diagnostic centers in India and in Hungary. On March 25, an interested party exercised options for 676,709 shares. The benefit in the amount of $2.2 million was reflected in the additional expenses for the reported quarter.

On April 13th, 1999, the company distributed a dividend in the amount of two dollars per Ordinary Share with a par value NIS 1.- each in the company. The dividend distribution was executed in accordance with a resolution of the board of directors adopted on February 25.

The basic profit per share during the quarter amounts to $0.07 per share.

Elbit Medical Imaging Ltd. Mr. Shimon Itzchaki e-mail : reuben@netvision.net.il Phone: 011-972-3-696 0111