Further to the immediate report of Koor Industries Ltd. ("the Company") on 26 April, 2007 concerning the closing of a transaction whereby the Company sold its holdings (56.5%) in Sheraton Moriah (Israel) to Azorim Tourism Ltd. (a company which is controlled, to the best of the Company's knowledge, by Azorim Investments & Development Construction Co. Ltd. (75%) and Boymelgreen Capital Ltd. (25%)), the Company hereby gives notice that today the Company received from Azorim Tourism Ltd. the balance of the consideration in respect of the aforementioned transaction, in the amount of about NIS 35.560,000.