Aura Smart Air Ltd

Legal Proceedings Report • Aug 21, 2022

A u r a S m a r t A i r L t d . ( t h e " C o m p a n y " )

This is an English translation of a Hebrew report of the company, that was published on August 21, 2022 (reference No. 2022- 01-105985) at the ISA reporting website (magna.isa.gov.il) (hereafter: "The Hebrew Version"). The English version is only for convenience purposes. This is not an official translation and has no binding force. The translation in any case cannot perfectly reflect the Hebrew Version. In the event of any discrepancy between the Hebrew Version and this translation, the Hebrew Version shall prevail.

August 21, 2022

Attn: Attn: www.isa.gov.il www.tase.co.il

The Securities Authority The Tel Aviv Stock Exchange Ltd.

Re: Contacts with Beth-El Industries – Follow-Up Report

Further to the company's immediate report dated August 14, 2022 (reference number: 2022-01-102652), regarding the company's negotiations with its supplier, Beth El Industries Ltd. ("Beit El" and "the first report," as the case may be) ): The company respectfully updates that on August 21, 2022, the parties reached an agreement regarding the amount the company would pay Beit El, as a condition for suspending Beit El's letter (as described in the first report) and the payment dates. The agreed-upon amount is USD 750 thousand.

It was further agreed that the parties would continue their negotiations to settle other ongoing issues brought up during the negotiations described in the first report (including the remainder of the alleged debt the company owes Beth-El Industries).

Sincerely Aura Smart Air Ltd. By: Aviad Shneiderman, CEO