The launch of the insurance activities in the Czech Republic 28/5/2007    the Company is honored to announce herewith that the DIRECT Pojisovna, a. s. Company, formerly known as “GDII Czech a. s”, is registered in the Czech Republic, and is wholly - owned by )GDI) GDII – Global Direct Insurance Investments B. V., a company registered in Holland, which is wholly - owned by the Company, is presently launching their insurance activities in the Czech Republic. This report is given further to the immediate report dated 25th April 2007, reference number 2007- 01- 370352 in which the Company reported on the announcement made by the Central Bank of the Czech Republic, regarding their resolution to grant the Company a Czech license to deal in insurance in the Czech Republic in the field of vehicle insurance, loss of property, and in additional fields of general insurance. The volume of investment that will be required for the said activities over the coming years is estimated at about 40 Million Euro (appx. NIS 214 Million). The information regarding the volume of investment that will be required for the said activities is information that is projected for the future, and actual future investment might be different from that which is presented in this report. According to announcements from the Central Bank of the Czech Republic, presently there are 34 local insurance companies operating in the Czech Republic, and 16 branches of European insurance companies, most of which deal, inter alia, with the branch of general insurance. According to publications from the Organization of Czech Insurance Companies, insurance fees in the branch of general insurance in the Czech Republic during 2006 amounted to about 5.8 Billion Dollars.