Notice of EGM

Kimberly Enterprises N.V.

("Kimberly" or the "Company")

Convening of Extraordinary General Meeting

The Board of Kimberly has been notified that Engel General Developers ("EGD"), which holds 68.35% of the issued share capital of the Company, has today written to Kimberly shareholders convening a shareholders meeting of the Company, to be held on Tuesday 17 June at 10.00 am at Amsterdam Zuidas UN Studio, 9th Floor, Parnassusweg 819, 1082 LZ Amsterdam, the Netherlands. The proposed resolutions are as follows:

1. Removing Mr G. Raveh from the Management Board of the Company

2. Removing Mr M. Naveh from the Management Board of the Company

3. Appointing Mr D. Luxenburg as a member of the Management Board of the Company

4. Appointing Mr O. Shamir as a member of the Management Board of the Company

The notice of the EGM and the resumes of the proposed directors are available on the EGD website at http://www.engel-gd.co.il.

As announced on 26 February, 2.87 million ordinary shares held by GBES Limited ("GBES") in Engel Resources and Development Limited ("ERD"), representing 53% of the voting rights and issued share capital of ERD, have been transferred to attorneys Yuri Nechustan and Eyal Neiger, who were appointed receivers to these shares which had been pledged as security under a loan agreement that GBES had entered into. ERD controls EGD, which holds 68.35% of the issued share capital of Kimberly. 

A further announcement will be made in due course.

For further information, please contact: