M.Yochananof and Sons (1988) Ltd.

Notice of Dividend Amount • Aug 21, 2025

M.YOCHANANOF AND SONS (1988) LTD

Registration Number: 511344186

To: Israel Securities Authority To: Tel Aviv Stock Exchange Ltd. Form Number: T081 (Public) Sent via MAGNA: 21/08/2025 Israel Securities Authority: www.isa.gov.il Tel Aviv Stock Exchange: www.tase.co.il Reference: 2025-01-062256

Immediate Report on Cash Dividend Distribution for Securities

Regulation 37(a) of the Securities Regulations (Periodic and Immediate Reports), 1970

• 1. We hereby report that on the date 20/08/2025, it was decided to pay a dividend.
• 1. The record date (ex-date): 28/08/2025

Payment date: 09/09/2025

• 1. Payment details:
• Dividend distributed from an Israeli resident company (see section 7a for composition of dividend sources and tax rates)
• Dividend distributed by a Real Estate Investment Trust (see section 7c for composition of dividend sources and tax rates)

Eligible Security Number	Security Name	Dividend Amount per Security	Dividend Amount Currency	Payment Currency	Representative Rate for Payment Date	Individual Tax %	Corporate Tax %
1161264	M.YOCHANANOF ordinary share	2.08	ILS	ILS		25	0

Dividend distributed from a foreign resident company (see section 7b for tax rates)

Note: The dividend amount to be paid must be specified with up to 7 decimal places when the currency is ILS, and up to 5 decimal places if in another currency.

• 1. The total amount of dividend to be paid is: 30,134,748.8 ILS.
• 1. The remaining profits of the corporation as defined in section 302 of the Companies Law, 1999, after the distribution subject of this report, are: 641,759,000 ILS.
• 1. Dividend approval process:

At the board meeting of the company held on August 20, 2025, for the approval of the company's quarterly report for Q2 2025, the board decided to distribute a dividend of 2.08 ILS per share (totaling approximately 30 million ILS) to the shareholders.

The above distribution is not subject to court approval according to section 303 of the Companies Law: No

The final dividend amount per share is subject to changes due to: _________

Note: The final dividend amount per share can be updated up to 2 trading days before the record date.

1. The following withholding tax rates are for the purpose of withholding tax by TASE members.

7a. Composition of dividend sources distributed from an Israeli resident company from shares and financial instruments, excluding REIT funds.

	% of Dividend	Individuals	Companies	Foreign Residents
Corporate taxable income (1)	100	25%	0%	25%
Income originating overseas (2)	0	25%	23%	25%
Approved/benefited enterprise income (3)	0	15%	15%	15%
Benefited Irish enterprise income until 2013 (4)	0	15%	15%	4%
Benefited Irish enterprise income from 2014 (5)	0	20%	20%	4%
Preferred income	0	20%	0%	20%
Approved tourism/agricultural enterprise income (6)	0	20%	20%	20%
Approved/benefited enterprise that submitted waiver notice (7)	0	15%	0%	15%
classified Distribution as capital gain	0	25%	23%	0%
Distribution by Participating unit	0	0	0	0
Other	0	0	0	0

Explanation:

(1) Corporate taxable income - income from profit distribution or dividend originating from income produced or accrued in Israel, received directly or indirectly from another entity subject to corporate tax.

(2) Income originating overseas is income produced or accrued abroad and not taxed in Israel.

(3) Including income from a benefited tourism enterprise with the selection/operation year up to 2013.

(4) Benefited Irish enterprise with selection year up to 2013.

(5) Benefited Irish enterprise with selection year from 2014 onwards.

(6) Including income from a benefited tourism enterprise with the selection/operation year from 2014 onwards.

(7) Approved or benefited enterprise that submitted a waiver notice by 30.6.2015, after corporate tax was deducted.

Other financing source: _________

7b. Dividend distributed from a foreign resident company

	Individuals	Companies	Foreign Residents
Dividend from foreign resident company	25%	23%	0%

7c. Dividend distributed by a Real Estate Investment Trust

	% of Dividend	Individuals (1)	Companies	Foreign Resident Companies	Exempt Trust Fund	Pension Fund (2)
From real estate appreciation, capital gain, and depreciation (3)	___	25%	23%	23%	0%	0%
Other taxable income (e.g., rent)	___	47%	23%	23%	23%	0%
From income producing real estate for rental housing	___	20%	20%	20%	0%	0%
Income taxed by the fund (4)	___	25%	0%	25%	0%	0%
Extraordinary income	___	70%	70%	70%	60%	70%
Other	___	___	___	___	___	___
Weighted withholding tax %	100%	___	___	___	___	___

Explanation:

(1) Individuals - including taxable trust fund income, foreign resident individuals.

(2) Pension fund for pension, provident, or compensation as defined in the Income Tax Ordinance, as well as a foreign pension fund resident in a reciprocating country.

(3) From real estate appreciation or capital gain, except from the sale of real estate held for a short period, and from income in the amount of depreciation expenses.

(4) Distribution from income taxed by the fund according to section 64A4(e).

Other sources: _________

• 1. Number of dormant securities of the corporation not entitled to dividend payment and for which a waiver letter must be provided to receive the dividend payment: 11,901
• 1. Effect of the dividend distribution on convertible securities:
• The company has no convertible securities
• The dividend distribution has no effect on convertible securities
• The effect of the dividend distribution on convertible securities is as follows: _________

Security Name	Security Number	Remarks
___	___	___

1. Recommendations and decisions of the directors regarding the dividend distribution according to Regulation 37(a)(1) of the Securities Regulations (Periodic and Immediate Reports), 1970:

The company's dividend distribution policy adopted by the board is to distribute at least 30% of the period's profit, subject to the distribution tests set by the Companies Law, and therefore decided on such a distribution. Existence of the 'profit test': According to the company's consolidated financial statements for Q2 2025, the company's profit for the period attributable to its shareholders for this quarter amounted to approximately 55 million ILS, and together with the retained earnings accumulated in the company's equity, the balance of retained earnings in the company's equity as of June 30, 2025, stands at approximately 672 million ILS. The retained earnings constitute the distributable profits and exceed the distribution amount. On August 20, 2025, the board decided to distribute approximately 30 million ILS to the company's shareholders - this dividend amount constitutes about 4.5% of the company's equity surplus, which after the distribution will stand at about 642 million ILS. Thus, the board confirmed that the distribution meets the 'profit test' as set in section 302 of the Companies Law. Existence of the 'solvency test': The board reviewed the consolidated financial statements for Q2 2025, the company's business status as of the date of the distribution decision, and the company's ability to meet its current and expected cash needs, based on a review and explanations received from management. The board also reviewed the company's compliance with financial covenants to banking corporations or bondholders (Series 1), and received a review of the company's liquidity. Accordingly, the board is satisfied that there is no reasonable concern that the above dividend distribution will prevent the company from meeting its existing and expected obligations as they become due, and therefore approved that the distribution also meets the solvency test. It is emphasized that, in the board's assessment, the distribution will not result in a breach of financial covenants to banking corporations or bondholders (Series 1), and the distribution will not have negative consequences or effects on the company's current operations or on the company's investment plans in new planned retail stores.

Authorized signatories on behalf of the corporation:

#	Name	Position
1	Eitan Yochananof	CEO and Director
2	Oz Yosef	CFO

Note: According to Regulation 5 of the Periodic and Immediate Reports Regulations (1970), a report submitted under these regulations must be signed by those authorized to sign on behalf of the corporation. Staff position on the matter can be found on the Authority's website: Click here.

The corporation's securities are listed for trading on the Tel Aviv Stock Exchange

Form structure update date: 15/07/2025

Short name: M.YOCHANANOF

Address: KIND (WOODIMPORT) LTD., 10, Rehovot, 7638519 Phone: 076-8175717, Fax: 08-9448179

Email: Hezi@yochananof.co.il Company website: www.yochananof.co.il

Previous names of the reporting entity:

Electronic reporter name: Hezi Sidon Position: Legal Advisor and Company Secretary Employer company name:

Address: KIND (WOODIMPORT) LTD., 10, Rehovot, 7638519 Phone: 076-8175717, Fax: 08-9448179 Email: hezi@yochananof.co.il