COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

Our ratio of earnings to fixed charges in accordance with Israeli GAAP for the periods presented are as follows:

	2005

	Dollars in thousands


Losses:

Losses before income taxes		(203,082	)	(137,768	)	(114,261	)	(51,402	)	(38,522	)

Amortization of capitalized interest (a)		4,206		3,557		954		-		-

Interest capitalized (d)		(2,793	)	-		(14,042	)	(12,300	)	(10,994	)



		(201,669	)	(134,211	)	(127,349	)	(63,702	)	(49,516	)

Fixed Charges :

Amortization of expenses related
to indebtedness (b)		523		524		271		-		-

Interest expenses (c)		32,362		26,582		7,891		708		1,568

Interest capitalized (d)		2,793		-		14,042		12,300		10,994


Total Fixed Charges		35,678		27,106		22,204		13,008		12,562



Losses as adjusted		(165,991	)	(107,105	)	(105,145	)	(50,694	)	(36,954	)

Ratio of earnings to fixed charges		-	⁽¹⁾	-	⁽²⁾	-	⁽³⁾	-	⁽⁴⁾	-	⁽⁵⁾

(1) Earnings as adjusted were inadequate to cover fixed charges by $201.7 million in 2005.

(2) Earnings as adjusted were inadequate to cover fixed charges by $134.2 million in 2004.

(3) Earnings as adjusted were inadequate to cover fixed charges by $127.3 million in 2003.

(4) Earnings as adjusted were inadequate to cover fixed charges by $63.7 million in 2002.

(5) Earnings as adjusted were inadequate to cover fixed charges by $49.5 million in 2001.

(a)	Includes amortization of deferred financing charges in connection with obtaining long-term bank loans which are comprised mainly of stock-based compensation related to warrants issued to banks.

(b)	Includes amortization of convertible debentures discount and deferred issuance expenses.

(c)	Includes, mainly, the effective interest of long-term loans based on their terms and the effect of hedge agreements with knock-out and knock-in features and interest expenses in relation to convertible debentures.

(d)

Includes, mainly, the effective capitalized interest of long-term loans based on their terms and the effect of hedge agreements with a knock-out feature, capitalized interest in relation to convertible debentures and deferred financing charges in connection with obtaining long-term bank loans which are comprised mainly of stock-based compensation related to warrants issued to banks.