The Leading Exchange for Small & Mid-Cap Companies

American Stock Exchange The Leading Exchange for Small & Mid-Cap Companies The Semi Annual Economic Conference Tel Aviv, Israel Equities Department November 2006

Amex: The Most Diversified US Marketplace The American Stock Exchange is the only primary exchange offering trading across three distinct business lines: • Equities • Capable, supportive ally to small and mid-cap companies seeking increased visibility and institutional ownership • Listed companies range from innovative start-ups to those in the S&P 500 • Centralized trading routed through a single specialist firm ensures a fair and orderly market with enhanced depth and liquidity • Options • One of the largest exchanges in the world for equity options trading • Exchange Traded Funds (ETFs) • Created by the American Stock Exchange in 1993, ETFs are among the highest demand investment categories in the world • Of the approximately 320 ETFs in existence, 187 trade on the Amex, representing over $235 billion in assets Source: American Stock Exchange; FactSet Data as of 7/12/06

Amex Sectors % Based on Total Number of Listed Companies 28% of all Listed Companies on the Amex represent Information Technology and Health Care Sector Source: American Stock Exchange; S&P; FactSet Research Systems Based on S&P GICS Classification System Data as of 08{/31/06}

Amex Listed Healthcare Companies • 91 Healthcare companies currently listed on Amex. • 15% of Amex companies are in the Healthcare sector. • IVAX Corp / TEVA Merger • IVAX Amex has been listed since 1987, grew to 8 billion dollar market capitalization. • Largest ever Israeli M&A, created the worlds largest generic pharmaceutical company.

Amex Listed Healthcare Companies * As of {August 31, 2006} Symbol {ANX AKN KAD BIO BVX CPD CNU COR DIL ESC FVE HTI HEB HH DMX ISV ILI IMA ILE JAV LCI MCU MDV MDF BUF NHC PRZ PTN DDD SVA YMI} Company Name {ADVENTRX Pharmaceuticals Inc. Akorn Inc. Mojave Southern Inc. Bio-Rad Laboratories Inc. Bovie Medical Corp. Caraco Pharmaceutical Laboratories Inc. Continucare Corp. Cortex Pharmaceuticals Inc. Dyadic International Inc. Emeritus Corp. Five Star Quality Care Inc. Halozyme Therapeutics Inc. Hemispherx Biopharma Inc. Hooper Holmes Inc. I-Trax Inc. InSite Vision Inc. Interleukin Genetics Inc. Inverness Medical Innovations Inc. Isolagen Inc. Javelin Pharmaceuticals Inc. Lannett Co. Inc. Medicure Inc. Medivation Inc. Metropolitan Health Networks Inc. Minrad International Inc. National Healthcare Corp. PainCare Holdings Inc. Palatin Technologies Inc. SCOLR Pharma Inc. Sinovac Biotech Ltd. YM BioSciences Inc.} Symbol {AIS BSM CVM CMD GTF DXR ELI EAR HEM IDP IMM INO IPA LRP MHA MRY MII NVD PME PMD QD QSC RGX RGN RVP LIV SGN SSY TTP TTG REX} Symbol {AXK ADH ALT ADL AMS HRT APY BPA KAL CTE CLN CTU DIO ECI IMX IOX IVD LMZ MZT MPP NEP ONI ONH PLC PRW PZZ SNT UPI VRA} Company Name {Antares Pharma Inc. BSD Medical Corp. CEL-SCI Corp. Criticare Systems Inc. Cytomedix Inc. Daxor Corp. Elite Pharmaceuticals Inc. HearUSA Inc. HemoSense Inc. Idera Pharmaceuticals Inc. Immtech Pharmaceuticals Inc. Inovio Biomedical Corp. Interpharm Holdings Inc. Lorus Therapeutics Inc. Manhattan Pharmaceuticals Inc. Memry Corp. ALD Services Inc. NovaDel Pharma Inc. PreMD Inc. Psychemedics Corp. QuadraMed Corp. Questcor Pharmaceuticals Inc. Radiologix Inc. RegeneRX Biopharmaceuticals Inc. Retractable Technologies Inc. Samaritan Pharmaceuticals Signalife Inc. SunLink Health Systems Inc. Titan Pharmaceuticals Inc. Tutogen Medical Inc. ViRexx Medical Corp.} Company Name {Accelr8 Technology Corp. Adherex Technologies Inc. Alteon Inc. AMDL Inc. AMERICAN SHARED HOSPITAL SV COM Arrhythmia Research Technology Inc. Aspyra Inc. BioSante Pharmaceuticals Inc. Callisto Pharmaceuticals Inc. Cardiotech International Inc. Celsion Corp. Chad Therapeutics Inc. Diomed Holdings Inc. Encision Inc. Implant Sciences Corp. Iomed Inc. IVAX Diagnostics Inc. LMS Medical Systems Inc. Matritech Inc. MTS Medication Technologies Inc. Nephros Inc. Oragenics Inc. Orion HealthCorp Inc. PLC Systems Inc. Pro-Pharmaceuticals Inc. Prospect Medical Holdings Inc. Senesco Technologies Inc. Uroplasty Inc. Viragen Inc.} Includes all Amex Listed HealthCare Companies. Source: American Stock Exchange; FactSet Research Systems.

Amex Listed Technology Companies* Symbol Company Name

Outperforming Major Markets & Indices Since {October 2003} the Amex Composite Index has outpaced both the NYSE Composite Index and the Nasdaq Composite Index, as well asthe major financial indices. • Amex Composite ({92.5}%) • NYSE Composite ( {50.1}%) • Nasdaq Composite ( {26.4}%) • S&P 500 ( {34.1}%) • Wilshire 5000 ( {38.3}%) • Russell 2000 ( {48.8}%) Source: American Stock Exchange Indexed price to 100 as of {9/30/03}

Advantages for Israeli Companies to List on Amex • Blue Sky Exempt – When a company is listed on Amex a National Exchange, it is exempt from registering its stock in each of the US states its securities are being offered in. This is a great advantage, as such a process can be costly and lengthy, and can be avoided by listing on Amex (unlike the NASDAQ Capital Market). • AEMI Platform – Will offer market participants a greatly expanded range of automated transaction services for equities and ETFs and will combine the speed of an electronic market with the dedicated liquidity of a specialist-auction market. • Real market intelligence - Specialist will make a point of proactively providing intelligence on the forces affecting your stock, breaking down trading into institutional, arbitrage and retail categories. They are in regular communication with their listings, giving those companies greater knowledge and therefore control over their trading profiles. • Specialist – The Company chooses the AMEX specialist, that will act as a long-term partner with the company, providing the best possible execution and price discovery. The market maker has no obligation to the company and can step away from trading the company’s stock at any time, which can cause trading imbalances and volatility. • Increased US Shareholder Ownership– Institutions and retail investors representing the majority of total equity investment in the US will only buy US listed, SEC-registered equities. The Company therefore has the opportunity to significantly increase US investor demand for its shares beyond direct investment by US international funds in the Home market.

Great Technology. Renewed Commitment. AEMI (Auction & Electronic Market Integration) combines the best features of the auction market with new capabilities only possible in an automated trading environment. With AEMI you can expect: • Reg NMS Compliance – Under Reg NMS, Amex will qualify as an automated trading center and will publish “automated” quotes by default. Incoming orders will be executed within a fraction of a second without human intervention, maintaining our competitiveness in a fast-paced trading environment. • Choice of execution method – Investors can choose to have their orders executed automatically against published bids or offers with turnaround times measured in milliseconds, or handled by floor brokers with point of sale privileges. • Immediate quote updates – Quotes will be published automatically in response to order flow, removing the need for manual updates by specialists and allowing continuous automated trading. • Automated price improvement – Incoming orders may receivesuperior execution by interacting with orders already programmed to offer price improvement in the electronic environment. • Price discovery in the auction market– The specialist auction market will continue to bring added liquidity, dampen volatility and enhance the stability of the market place • Enhanced surveillance capabilities – Automated trading rules and flexible access to trading activity will allow sophisticated surveillance and assured integrity across the market. AEMI brings together the best qualities of the electronic market and the auction market, to deliver the highest quality marketplace.

Orders trade automatically with electronic interest in the book Price improvement and added liquidity available Routed away if the best price is not matched or improved Handled in the auction market if not auto-executable Auto-ex is disabled in limited circumstances “Auction” quote published Orders may still enter the book or be cancelled Specialist gaps the quote for large imbalances Hybrid Market Structure: Best of Both Marketplaces AUTOMATED AUCTION

Amex Investment Banks Support • BB&T Capital Markets • Broadband Capital Management LLC • CIBC World Markets • Citigroup • Credit Suisse • CRT Capital Group LLC • Deutsche Bank Securities Inc. • EarlyBirdCapital, Inc. • Ferris, Baker Watts, Inc. • I-Bank Securities • Lazard Capital Markets • Ladenburg Thalmann & Co, Inc. • Lehman Brothers • Maxim Group, LLC • Merrill Lynch & Co. • Merriman Curhan Ford & Co. • Morgan Joseph & Co, Inc. • Oppenheimer & Co. Inc. • RBC Capital Markets • Rodman & Renshaw, LLC • ThinkEquity Partners LLC • UBS Investment Bank • Wedbush Morgan Securities • WR Hambrecht + Co Over the last few years a number of leading investment banks have been advising their clients from a wide variety of industries, geographies, sizes and structures that the American Stock Exchanges is the best market to meet their needs. Leading Global Investment Banks that have underwritten offerings on the Amex:

American Stock Exchange IR AllianceSM (AIRA) Amex AIRA is a proprietary and complimentary investor relations program that offers: • Dedicated Issuer Services Director • “New on the Amex” updates • AIRA “communications audit” • Conferences and Shareholder Meetings • Institutional Investor Meetings • World Investor Link • Educational Conferences/Seminars • Online Investor Relations Resources • Amex Online • Amex.com

Amex Dual Listing Initiative Amex Management intends to file a rule proposal with the SEC, whereas all Amex Initial listings fees will be waived for companies whose securities are trading on the NASDAQ or those participating in the NASDAQ Dual Listing program. The Amex believes its… specialist-auction market structure, full service investor relations support, dedicated Issuer Services director, Amex Online investor database, lower fees, blue sky exemption, and our state-of-the-art hybrid market trading system ...will make a big difference in the success of smaller companies.

Financial Guidelines for Listing Guidelines Listing Guidelines Maintenance * The applicable requirement must be satisfied in either the last fiscal year or 2 out of 3 most recent fiscal years. 1 Issuers are required to maintain $2 million in Stockholder’s Equity if the issuer has losses in 2 of the most recent 3 years; $4 million if the issuer has losses in 3 of the most recent 4 years; or $6 million of the issuer has losses in the 5 most recent fiscal years. 2 Foreign companies which do not meet the distribution guidelines outlined above may alternatively qualify with 800 round-lot public shareholders worldwide, 1,000,000 publicly held shares worldwide and a $3,000,000 market value of public float worldwide. 3 Public float is defined as shares that are not held directly or indirectly by any officer or director of the issuer or by any other person who is the beneficial owner of more than 10 percent of the total shares outstanding. 4 A company with several years of losses which is unable to satisfy the equity requirements, will not be subject to delisting if it has a market cap of $50 million or total assets and revenue of $50 million each, and complies with enhanced distribution criteria including mvpf of $15 million. 4 Standards Standard 1 Standard 2 Standard 3 Standard 4 Pretax income* $750,000 N/A N/A N/A N/A $50 million $75 million Market Capitalization OR N/A N/A N/A $75 million Total Assets* AND Total Revenue* $75 million Market Value of $3 million $15 million $15 million $20 million $1 million Public Float $2 Minimum price $3 $3 $3 N/A Operating history N/A 2 years N/A N/A N/A $2,000,000 1 Stockholders equity $4,000,000 $4,000,000 $4,000,000 N/A $4,000,000 $6,000,000 2 Distribution Guidelines Option A : 800 Public stockholders Option B: 400 300 Option C: 400 Option A: 500,000 3 Public float (shares) Option B: 1,000,000 200,000 Option C: 500,000 Average daily volume Option C: 2,000 N/A

Comparative Listing Costs for Foreign Issuers [1] The original listing fee for Amex and NYSE is based on the total number of shares listed, including all shares issued and outstanding, as well as shares reserved by the Board of Directors for a specific future issuance. The original fee for NASDAQ National Market and NASDAQ SmallCap is based on total shares outstanding and applies to all domestic issuers and only foreign issuers listing ordinary shares. Fees include one-time initial listing charges of $5,000 for Amex, $37,500 for NYSE, $5,000 for NASDAQ National Market, and $5,000 for NASDAQ SmallCap, applied for the first class of securities listed by an issuer [2] Newly listed companies are billed the annual fee on a pro-rata basis at the end of the calendar year in which they are listed [3] NYSE annual fees payable are the greater of amounts shown under a minimum fee schedule or a fee applied on a per share basis. Fee ranges shown here for 25+ million shares represent the maximum amount payable for each end of the share range shown. [4] The initial fee component of the original listings fee for common shares is capped at $250,000, including the $37,500 special charge. [5] Maximum $500,000 continuing annual listing fee applies to all securities listed by an issuer, other than derivative products, fixed income products, and closed-end funds. * Nasdaq National Market Annual Fee Schedule for ADRs ranges between $ 21,225 and $ 30,000

The Israeli Experience on the Amex • American Israeli Paper Mills Ltd (AIP) • Listed since 1959 • Teva Pharmaceutical Industries Ltd. / IVAX Corporation Merger • Ivax listed since 1987, grew to 8 Billion dollars in market capitalization • Mega Merger, creating the world's largest generic pharmaceutical company. • Gurunet Corporation • Successful IPO • XFONE, Inc. (XFN)

Case Study: Ivax Corp. • Ivax Pharmaceuticals merged with Teva creating the largest generic drug company in the world. This was the largest M&A transaction in Israeli history. • Ivax listed on the Amex in 1987 with a market capitalization of approximately $100 million and grew to almost $8 billion at the time of the merger with Teva. Ivax Corp. Amex Listing Date to Date of Acquisition

Volume Price Case Study: Answers Corp (formerly know as GuruNet) During June 2005, Answers Corp. (GRU) began trading its shares on the Nasdaq National Market after moving from the American Stock Exchange. The following case study examines the performance and trading characteristics of the stock 65 days before and after transferring. Results: Answers Corp. had experienced substantial losses in their volume, liquidity and price. Trade Spread Liquidity Source: Amex ERDB™, FactSet Research Systems, Inc. *Percent Based on Intraday Volatility

The Amex Advantage Auction Market Fosters Fairness & Growth • Centralized market structure, characterized by enhanced liquidity, narrower spreads and lower volatility is conducive to creating, safeguarding and increasing shareholder value • Trading participants compete to achieve best possible prices • Increased access to capital and growth through Blue Sky Exemption and the protection of a National Exchange listing Broad Range of Visibility-Enhancing Services • Tailored services help companies attain a heightened profile in the capital markets • Support for building relationships with analysts and investors • Frequent opportunities to bring your story to the market’s attention • Exchange professionals, including Issuers Services Directors and Specialists work together to enhance the attractiveness of listed company stocks Professional Investor Relations Guidance • Guidance from seasoned IR professionals and assistance for developing or updating an effective Investor Relations program • Educational seminars on a variety of IR topics

Contact Information: Senior Vice President—Head of Equities John McGonegal Phone: 212-306-1652 European Managing Director Robert Wotczak Phone: 212-306-2263 robert.wotczak@amex.com AMEX’s consultant in Europe and Israel Amira Bardichev Phone: +44-7956206270 amira@global-equity-ir.co.uk Account Manager Catherine Elbe Phone: 212-306-8916 catherine.elbe@amex.com

The Leading Exchange for Small & Mid-Cap Companies