El Al Israel Airlines Ltd.

Investor Presentation • May 29, 2024

Investor Presentation

May 2024

Legal Comments

This presentation has been prepared by EL AL Israel Airlines Ltd. (the Company) for the sole purpose of providing information about the Company, its operations and financial results.

The information contained in the presentation is provided for convenience only and does not constitute a basis for making investment decisions nor does it constitute a substitute for data collection and analysis. Moreover, this presentation does not constitute a recommendation, offer, or solicitation for the purchase or sale of shares or other securities in the Company, nor does it constitute a substitute for independent judgment or independent collection and analysis of data by each investor.

The information and figures provided in the presentation are partial and presented in a condensed form for convenience only. This information should be read along with all details, descriptions, clarifications, assumptions, qualifications, and assessments as well as the description of the risk factors included in the Company's 2023 Periodic Report ("Risk Factors"), which was published on February 29, 2024 ("Periodic Report"). In any event of inconsistency between the information contained in the presentation and the information included in the Periodic Report of the Company, the information included in the Periodic Report will prevail.

The data contained in this presentation consist of forecasts and/or assessments and/or assumptions based on data available to the Company as of the date hereof, as well as estimations and expectations of the Company, all of which constitute forward-looking statements within the meaning defined in the Israeli Securities Law, 5728-1968. The Company has no assurance that such forecasts and/or assessments and/or assumptions will fully or partially materialize, as they depend on external and macroeconomic factors on which the Company has no or little influence, such as changes in market and environmental conditions, regulatory changes or the realization of any of the Risk Factors. The Company is not obliged to update or change such forecasts and/or assessments and/or assumptions in order to reflect events or circumstances occurring after the date of this presentation.

The presentation also includes estimates and other statistical data based on external sources which have not been independently verified by the Company, and the Company is therefore not responsible for their correctness.

Aviation sector's recovery from COVID lags as supply struggles to meet rising demand

Post-Covid market Growth

Sources: IATA

Only 7-8% of the requirements are fulfilled

Type	Backlog (2023 Gross order)	2023 Deliveries
Total Wide Body	3,029 (811)	228
Total Narrow Body	15,402 (2,964)	1,035

Sources: Boeing, AIRBUS

Aircraft shortage Total accumulated loss

Net profit of airlines worldwide 2019-2023

Source(s): IATA; ICAO; Airfinance Journal (Airline Analyst); Refinitiv; S&P Global Platts; ID 232513

Since October 7th, the Israeli aviation industry has been facing significant instability & uncertainty

Foreign airlines' cancellation and instability

Change in consumer behavior

Change in destinations mix - North America, Europe (hubs)

Israelis trust Israeli companies

Supply falling short of demand: Market Imbalance

4

Market changes had a significant impact on demand | Q1 2024 Results

* Based on company estimation.

5

Market changes had a significant impact on demand | Q1 2024 Results

* Based on company estimation.

EL AL 's Management Challenge:

Balancing Capacity & Pricing in Uncertain Situations

The American method – The first seat is the cheapest and the last seat it the most expensive

Responsible capacity management – flexibility during an unstable situation

The dynamic changes in foreign airlines directly affect EL AL's market share

The number of airlines operating in Ben Gurion

EL AL & Sundor market share

Source: IAA data

Instability cycle effect

RRPK [Cents]

When demand exceeds supply - Low Cost becomes high cost

Source: Ynet

EL AL Q1 2024

50% of economy class passengers paid less than 2023 average

Q1 2024

Profit before tax

Strategic Plan Updates

Agreement with Boeing for the purchase of 3 Dreamliner 787 aircraft with an option for up to 6 additional 787 aircraft

Adding 2 ACMI (wet lease) aircraft to meet demand

Raising 140 million dollars and entering the Tel Aviv 125 index for the first time

capital raising reflects strong investor & public confidence

Q1 2024 strong demand continues to Q2 2024 [EST]

Q2 2024 vs Q1 2024

+11% ASK [EST]

+4% RASK [EST]

Market campaign to present the benefits in early bookings to achieve attractive prices

Q1/2024 Revenues & EBITDAR

Booking Trend (\$M)*

We are promoting early bookings to align with normal consumer behavior

1,087

*Booking in terms of sales - do not constitute revenue, but bookings that have been ticketed and will be recognized as revenue after the flight. The figures are the forecast gross sales data, including port taxes attributed thereto, and including sales of vouchers, credits and frequent flyer points. In certain cases the sales of flight tickets can be changed by the customers as a change/credit. Sales for future months means part of booking sold in the relevant period for flights which will occur after it.

Q1/2024 Cash flow from operating activities

Working capital build up

Q1/2024 Net profit

-34.4

21

Equity \$M

PAX Cont. – bridge Q1 2024 vs Q4 2023