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<P ALIGN=RIGHT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Registration No.
333-________ </FONT></P>



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As filed with the Securities and Exchange Commission on December 20, 2006</FONT><HR WIDTH=100% SIZE=2 COLOR=BLACK NOSHADE></TH></TR>
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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>UNITED STATES<BR>
SECURITIES AND EXCHANGE COMMISSION </B><BR>
WASHINGTON, D.C. 20549 </FONT> </P>
<BR>

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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2><B>FORM S-8 </B><BR>
REGISTRATION STATEMENT<BR>
UNDER THE SECURITIES ACT OF 1933  </FONT></P>

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     <P ALIGN=CENTER>_________________ </P>

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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>ELBIT SYSTEMS LTD.</B><BR>
(Exact name of registrant as specified in its charter) </FONT> </P>

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     <TH><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TH></TR>
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     <TD WIDTH="50%" ALIGN="CENTER"><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>Israel</B> </FONT></TD>
     <TD WIDTH="50%" ALIGN="CENTER"><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>N/A</B> </FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN="CENTER" WIDTH="50%"><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(State or other jurisdiction of</FONT></TD>
     <TD ALIGN="CENTER" WIDTH="50%"><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(I.R.S. Employer</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN="CENTER" WIDTH="50%"><FONT FACE="Times New Roman, Times, Serif" SIZE=2>incorporation or organization)</FONT></TD>
     <TD ALIGN="CENTER" WIDTH="50%"><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Identification No.)</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN="CENTER" WIDTH="50%"><FONT FACE="Times New Roman, Times, Serif" SIZE=2><BR></FONT></TD></TR>
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     <TD ALIGN="CENTER" WIDTH="50%"><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>Advanced Technology Center</B> </FONT></TD>
     <TD ALIGN="CENTER" WIDTH="50%"><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
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     <TD ALIGN="CENTER" WIDTH="50%"><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>P.O.B. 539</B> </FONT></TD>
     <TD ALIGN="CENTER" WIDTH="50%"><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN="CENTER" WIDTH="50%"><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>Haifa, Israel</B> </FONT></TD>
     <TD ALIGN="CENTER" WIDTH="50%"><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>31053</B> </FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN="CENTER" WIDTH="50%"><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(Address of Principal Executive Offices)</FONT></TD>
     <TD ALIGN="CENTER" WIDTH="50%"><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(Zip Code)</FONT></TD></TR>
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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>2007 STOCK OPTION PLAN</B><BR>
(Full title of the plan) </FONT> </P>

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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>EFW Inc. <BR>
4700 Marine Creek Parkway <BR>
Fort Worth, Texas 76136</B><BR>
(Name and address of agent for service) </FONT> </P>

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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>(817) 234-6600 </B><BR>
(Telephone number, including area code, of agent for service) </FONT> </P>

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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>With a copy to: <BR>
<BR>
Henry I. Rothman, Esq. <BR>
Troutman Sanders LLP <BR>
405 Lexington Avenue <BR>
New York, New York 10174 <BR>
(212) 704-6000 </FONT></H1>

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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>CALCULATION OF
REGISTRATION FEE </FONT></H1>


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<TR VALIGN=Bottom>
     <TD ALIGN="CENTER"><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Title of Securities<BR>
to be Registered</FONT></TD>
     <TD ALIGN="CENTER"><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Amount to<BR>
be<BR>
Registered(1)</FONT></TD>
     <TD ALIGN="CENTER"><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Proposed Maximum<BR>
Offering Price<BR>
per Share (2)</FONT></TD>
     <TD ALIGN="CENTER"><FONT FACE="Times New Roman, Times, Serif" SIZE=2><BR>
Proposed Maximum<BR>
Aggregate Offering Price<BR>
</FONT></TD>
     <TD ALIGN="CENTER"><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Amount of<BR>
Registration Fee<BR>
</FONT></TD></TR>
<TR>
     <TD COLSPAN=5><HR NOSHADE COLOR=#000000 SIZE=1></TD></TR>
<TR VALIGN=Bottom>
     <TD WIDTH=21% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Ordinary Shares, par</FONT></TD>
     <TD WIDTH=22% ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=20% ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=20% ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=17% ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; NIS 1.0 per share</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>2,500,000</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>$             33.905</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>$         84,762,500</FONT></TD>
     <TD ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>$           9,069.59</FONT></TD></TR>
<TR>
     <TD COLSPAN=5><HR NOSHADE COLOR=#000000 SIZE=1></TD></TR>
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     <P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(1)&nbsp;&nbsp;&nbsp;&nbsp;
          Pursuant to Rule 416(b), there shall also be deemed covered hereby such
          additional securities as may result from anti-dilution adjustments under the
          2007 Stock Option Plan. </FONT></P>

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     <P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(2)&nbsp;&nbsp;&nbsp;&nbsp;
          Calculated pursuant to Rule 457(c) and (h) based on the average of the high and
          low sales prices of the Company&#146;s ordinary shares reported in the
          consolidated reporting system on the Nasdaq National Market, as reported on
          December 13, 2006. </FONT></P>

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     <P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(3)&nbsp;&nbsp;&nbsp;&nbsp;
          Ordinary shares underlying options to be granted under the 2007 Stock Option
          Plan. </FONT></P>

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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>PART I </FONT></H1>

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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>INFORMATION REQUIRED
IN THE SECTION 10(a) PROSPECTUS </FONT></H1>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
documents constituting Part I of this Registration Statement on Form S-8 (this
&#147;Registration Statement&#148;) will be sent or given to participants in the 2007
Stock Option Plan (the &#147;Plan&#148;) as provided by Rule 428(b)(1) under the
Securities Act of 1933, as amended (the &#147;Securities Act&#148;). Such documents are
not required to be, and are not being, filed by Elbit Systems Ltd. with the Securities and
Exchange Commission (the &#147;Commission&#148;), either as part of this Registration
Statement or as prospectuses or prospectus supplements pursuant to Rule 424 under the
Securities Act. Such documents, together with the documents incorporated by reference
herein pursuant to Item 3 of Part II of this Registration Statement, constitute a
prospectus that meets the requirements of Section 10(a) of the Securities Act. </FONT></P>

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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>PART II </FONT></H1>

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<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>INFORMATION REQUIRED
IN THE REGISTRATION STATEMENT </FONT></H1>

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<H1 ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Item 3.&nbsp;&nbsp; Incorporation of Documents
by Reference </FONT></H1>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
following documents heretofore filed by Elbit Systems Ltd. (the &#147;Company&#148; or the
&#147;Registrant&#148;) with the Securities and Exchange Commission (File No. 0-28998)
pursuant to Section 13(a) of the Securities Exchange Act of 1934, as amended (the
&#147;Exchange Act&#148;), are incorporated herein by reference: </FONT></P>

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               <TD ALIGN=RIGHT WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(a) </FONT></TD>
               <TD ALIGN=LEFT WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
               <TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
               the Company&#146;s Annual Report on Form 20-F for the fiscal year ended December
               31, 2005; </FONT></P></TD>
               </TR>
               </TABLE>
               <BR>

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               <TD ALIGN=RIGHT WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(b) </FONT></TD>
               <TD ALIGN=LEFT WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
               <TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
               the Company&#146;s Reports on Form 6-K dated (1) January 2006 filed on January
               5, 2006, (2) January 2006 filed on January 25, 2006, (3) February 2006 filed on
               February 6, 2006, (4) February 2006 filed on February 7, 2006, (5) February 2006
               filed on February 14, 2006, (6) February 2006 filed on February 16, 2006, (7)
               March 2006 filed on March 16, 2006, (8) March 2006 filed on March 21, 2006, (9)
               March 2006 filed on March 21, 2006, (10) April 2006 filed on May 1, 2006, (11)
               May 2006 filed on May 18, 2006, (12) May 2006 filed on May 23, 2006, (13) May
               2006 filed on May 31, 2006, (14) July 2006 filed on July 10, 2006, (15) July
               2006 filed on July 10, 2006, (16) July 2006 filed on July 11, 2006, (17) July
               2006 filed on July 11, 2006, (18) July 2006 filed on July 12, 2006, (19) July
               2006 filed on July 14, 2006, (20) July 2006 filed on July 27, 2006, (21) August
               2006 filed on August 10, 2006, (22) August 2006 filed on August 21, 2006, (23)
               August 2006 filed on August 23, 2006, (24) September 2006 filed on September 12,
               2006, (25) September 2006 filed on September 20, 2006, (26) September 2006 filed
               on September 21, 2006, (27) September 2006 filed on September 21, 2006, (28)
               October 2006 filed on October 25, 2006, (29) October 2006 filed on October 31,
               2006, (30) November 2006 filed on November 7, 2006, (31) November 2006 filed on
               November 16, 2006, (32) November 2006 filed on November 20, 2006, (33) November
               2006 filed on December 4, 2006, (34) December 2006 filed on December 5, 2006,
               (35) December 2006 filed on December 7, 2006 and (36) December 2006 filed on
               December 7, 2006; and </FONT></P></TD>
               </TR>
               </TABLE>
               <BR>

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               <TD ALIGN=RIGHT WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(c) </FONT></TD>
               <TD ALIGN=LEFT WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
               <TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
               the description of the Company&#146;s ordinary shares contained in the
               Company&#146;s Registration Statement on Form 20-F filed with the Commission on
               November 22, 1996 under the 1934 Act, including any amendment or report filed
               for the purpose of updating such description. </FONT></P></TD>
               </TR>
               </TABLE>
               <BR>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All
documents subsequently filed by the Company or the Plan pursuant to Section 13(a), 13(c),
14 or 15(d) of the Exchange Act, prior to the filing of a post-effective amendment which
indicates that all securities offered have been sold or which deregisters all securities
then remaining unsold, shall be </FONT></P>

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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>II-1 </FONT></P>


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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>deemed to be incorporated by
reference in this Registration Statement and to be a part hereof from the date of the
filing of such documents. Any statement contained in a document incorporated or deemed to
be incorporated herein by reference shall be deemed to be modified or superseded for
purposes of this Registration Statement to the extent that a statement contained herein or
in any other subsequently filed document which also is or is deemed to be&#146;
incorporated by reference herein modifies or supersedes such statement. </FONT></P>

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<P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>Item 4.&nbsp;&nbsp; Description of
Securities</B> </FONT> </P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Not
applicable.  </FONT></P>

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<P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>Item 5.&nbsp;&nbsp; Interests of
Named Experts and Counsel</B> </FONT> </P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
validity of securities that may be offered under the 2007 Stock Option Plan has been
passed upon for the Company by David Block Temin. Mr. Block Temin, who is the Corporate Vice President and
General Counsel to the Company.</FONT></P>

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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>II-2 </FONT></P>


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<H1 ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>Item 6.&nbsp;&nbsp; Indemnification
of Directors and Officers</B> </FONT> </H1>

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<P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><U>Exemption, Insurance and
Indemnification under the Companies Law</U> </FONT> </P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under
the Israel Companies Law &#151; 1999 (the &#147;Companies Law&#148;), an Israeli company may not exempt an Office Holder from
liability with respect to a breach of his or her duty of loyalty, but may exempt in
advance an Office Holder from his or her liability to the company, in whole or in part,
with respect to a breach of his or her duty of care. However, a company may not exempt in
advance a director from his or her liability to the company with respect to a breach of
duty of care in connection with a distribution made by the company. </FONT></P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Companies Law permits a company to obtain an insurance policy covering liabilities of
Office Holders resulting from a breach of the Office Holder&#146;s duty of care to the
company or to another person. This includes liabilities from the breach of his or her
fiduciary duty to the company, to the extent that the Office Holder acted in good faith
and had reasonable cause to believe that the act would not prejudice the interests of the
company. It also covers monetary liabilities charged against an Office Holder while
serving the company. </FONT></P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under
the Companies Law, a company may indemnify an Office Holder against any monetary liability
incurred in his or her capacity as an Office Holder whether imposed on him or her in favor
of another person pursuant to a judgment, a settlement, or an arbitrator&#146;s award
approved by court. A company also can indemnify an Office Holder against reasonable
litigation expenses, including attorneys&#146; fees incurred by him or her in his or her
capacity as an Office Holder, in a proceeding instituted against him or her by the
company, on its behalf or by a third party, in connection with criminal proceedings in
which the Office Holder was acquitted, as a result of a conviction for a crime that does
not require proof of criminal intent, or in which an indictment was not brought against
the Office Holder. </FONT></P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Following
the March 2005 Amendment to the Companies Law, a company also may indemnify an Office
Holder against reasonable litigation expenses, including attorneys&#146; fees, incurred by
him or her in his or her capacity as an Office Holder, in an investigation or proceeding
in which no indictment was filed and no monetary payments in lieu of criminal proceedings
were imposed against the Office Holder, or monetary payments in lieu of criminal
proceedings were imposed on him or her provided that the alleged criminal offense does not
require proof of criminal intent. </FONT></P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under
the Companies Law, a company may indemnify an Office Holder in respect of certain
liabilities, either in advance of an event or following an event. If a company undertakes
to indemnify an Office Holder in advance of an event, the indemnification, other than
litigation expenses, must be limited to foreseeable events in light of the company&#146;s
actual activities at the time the company undertook such indemnification and also limited
to reasonable amounts or standards, as determined by the board of directors. </FONT></P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A
company may not indemnify an Office Holder or enter into an insurance contract that would
provide coverage for any monetary liability incurred as a result of the following: </FONT></P>

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<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(1)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=1%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>a
breach of fiduciary duty, except for a breach of a fiduciary duty to the
                    company while acting in good faith and having reasonable cause to
assume that                     such act would not prejudice the interests of the
company;  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(2)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=1%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>a
willful breach of the duty of care or reckless disregard for the
                    circumstances or to the consequences of a breach of the duty of care
other than                     mere negligence;  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(3)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=1%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>an
act done with the intent to unlawfully realize a personal gain; or  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(4)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=1%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>a
fine or monetary penalty imposed for an offense.  </FONT></P></TD>
</TR>
</TABLE>
<BR>


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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>II-3 </FONT></P>


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<P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><U>Insurance and
Indemnification under the Articles of Association</U> </FONT> </P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Company&#146;s Articles of Association allows for directors and officers liability
insurance, subject to the provisions of the Companies Law. This insurance may cover: </FONT></P>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(1)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=1%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>a
breach of his or her duty of care to the Company or to another person;  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(2)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=1%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>a
breach of his or her fiduciary duty to the Company, provided that the
                    director or officer acted in good faith and had reasonable cause to
assume that                     his or her act would not harm the interests of the
Company; or  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(3)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=1%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>any
other event for which insurance of a director or officer is permitted.  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In
&nbsp;addition, the Company&#146;s Articles of Association (as amended in November 2005 to
be consistent with the March 2005 Amendment to the Companies Law) permit indemnification,
retroactively or in advance, of a director or officer against: </FONT></P>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(1)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=1%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>a
monetary liability imposed on the director of officer or paid by him or her
                    in favor of a third party under a judgment, including a judgment by
way of                     compromise or a judgment of an arbitrator approved by a court;
however, such                     undertaking will be limited to events which, in the
opinion of the Company's board of directors (the &#147;Board&#148;), are foreseeable in light of the Company&#146;s
actual activities at the time of                     granting the obligation to
indemnify, and to a sum or criteria as the Board                     deems reasonable
under the circumstances, and the undertaking to indemnify will
                    specify the aforementioned events and sum or criteria.  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(2)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=1%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>reasonable
legal fees incurred by a director or officer in an investigation or
                    proceeding conducted against him or her by an authority authorized to
conduct such                     investigation or procedure, provided that such
investigation or procedure (i)                     concludes without the filing of an
indictment against the director or officer                     and without imposition of
monetary payment in lieu of criminal proceedings, or                     (ii) concludes
with imposing on the director or officer monetary payment in lieu                     of
criminal proceedings, provided that the alleged criminal offense in question
                    does not require proof of criminal intent.  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(3)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=1%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>reasonable
expenses of the proceedings, including lawyers fees, expended by the
                    director or officer or imposed on him or her by the court for:  </FONT></P></TD>
</TR>
</TABLE>
<BR>


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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=4%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>a.  </FONT></TD>
<TD ALIGN=LEFT WIDTH=1%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=91%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>proceedings
                    issued against him or her by or on the Company&#146;s behalf or by a
third                     party;  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=4%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>b.  </FONT></TD>
<TD ALIGN=LEFT WIDTH=1%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=91%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>criminal
proceedings from which the director or officer was acquitted;                     or  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=4%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>c.  </FONT></TD>
<TD ALIGN=LEFT WIDTH=1%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=91%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>criminal
proceedings in which he or she was convicted but that do not                     require
proof of criminal intent; or  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(4)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=1%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>any
other liability or expense for which it is or may be permissible to
                    indemnify a director or an officer.  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;However,
any indemnification so granted by the Company may not exceed 25% of the Company&#146;s
consolidated equity as reflected in the Company's last consolidated annual financial statements
published prior to the payment of such indemnification. </FONT></P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Articles of Association permit the grant of similar indemnification to any person acting
as a director or officer of another company in which the Company is directly or indirectly
a shareholder or has any interest. </FONT></P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Company&#146;s shareholders approved the grant to members of the Board of indemnification
letters reflecting the above conditions and limitations. Similar letters were also
approved by the Board for grant to officers of the Company. </FONT></P>

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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>II-4 </FONT></P>


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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In
2004, at a general meeting of the Company&#146;s shareholders, the shareholders approved a framework
resolution that allows the Company to purchase directors and officers (D&amp; O) liability
insurance that meets the framework resolution&#146;s terms. The framework resolution
covers a five-year period beginning in August 2004, and allows for an aggregate increase
of insurance coverage of up to $45 million (from the then current level of $30 million)
for any year covered by the policy. As of November 30, 2006, the level of D&amp;O insurance
coverage was $40 million. The framework resolution also allows for an increase of up to
25% per year in the D&amp; O insurance premium up to a maximum aggregate of 125% of the
then current annual premium ($660,000). The Audit Committee and the Board must approve
that any purchase of D&amp;O insurance falls within the terms of the framework resolution. </FONT></P>

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<H1 ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2><B>Item 7.&nbsp;&nbsp; Exemption from
Registration Claimed</B> </FONT> </H1>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Not
applicable.</FONT></P>

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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>II-5 </FONT></P>


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<H1 ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2><B>Item 8.&nbsp;&nbsp; Exhibits</B> </FONT> </H1>


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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=left WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE="2">Exhibit<BR><U>Number</U> </FONT></TD>
<TD ALIGN=LEFT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=99%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><BR>&nbsp;<U>Description</U> </FONT> </P></TD>
</TR>
</TABLE>
<BR>





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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=left WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(1)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=4%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>4.1</FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
     Restated Memorandum of Association of the Company.  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=left WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(2)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=4%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>4.2</FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
       Restated Articles of Association of the Company.  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=left WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(3)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=4%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>4.3</FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
       2007 Stock Option Plan.  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=left WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>*  </FONT></TD>
<TD ALIGN=LEFT WIDTH=4%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>5.1</FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
       Opinion and consent of David Block Temin, General Counsel to the Company, as to
the legality of the securities being offered.  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=left WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>*  </FONT></TD>
<TD ALIGN=LEFT WIDTH=4%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>23.1</FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
      Consent of Kost Forer Gabbay &amp; Kasierer.  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=left WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>*  </FONT></TD>
<TD ALIGN=LEFT WIDTH=4%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>23.2</FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
      Consent of Somekh Chaikin.  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=left WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>*  </FONT></TD>
<TD ALIGN=LEFT WIDTH=4%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>23.3</FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
      Consent of Brightman Almagor &amp; Co. (Tadiran Systems). </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=left WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>*  </FONT></TD>
<TD ALIGN=LEFT WIDTH=4%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>23.4</FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
      Consent of Brightman Almagor  &amp; Co.(Tadiran Spectralink). </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=left WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>*  </FONT></TD>
<TD ALIGN=LEFT WIDTH=4%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>23.5</FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
      Consent of Hoberman, Miller, Goldstein  &amp; Lesser, P.C. </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=left WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>*  </FONT></TD>
<TD ALIGN=LEFT WIDTH=4%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>24.1 </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>
      Power of Attorney of certain officers and directors of the Company (included as
part of the signature page). </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<P>_________________ </P>


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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>     *  </FONT></TD>
<TD ALIGN=LEFT WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Filed
herewith. </FONT></P></TD>
</TR>
</TABLE>
<BR>


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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(1)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Filed
as an exhibit to the Registrant&#146;s Annual Report on Form 20-F for the
                    year ended December 31, 2000 filed with the Commission on April 5,
2001 (File                     No. 0-28998) and incorporated herein by reference.  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(2)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Filed
as an exhibit to the Registrant&#146;s Report on Form 6-K for November
                    2005, which was filed by with the Commission on December 1, 2005
(File No.                     0-28998), and incorporated herein by reference.  </FONT></P></TD>
</TR>
</TABLE>
<BR>

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<TABLE WIDTH=100% CELLPADDING=0 CELLSPACING=0>
<TR VALIGN=TOP>
<TD ALIGN=RIGHT WIDTH=2%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(3)  </FONT></TD>
<TD ALIGN=LEFT WIDTH=3%><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp; </FONT></TD>
<TD WIDTH=94%><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Filed
as an exhibit to the Registrant&#146;s Report on Form 6-K for December
                    2006, which was filed by with the Commission on December 7, 2006
(File No.                     0-28998), and incorporated herein by reference.  </FONT></P></TD>
</TR>
</TABLE>
<BR>

<!-- MARKER FORMAT-SHEET="Head Left" FSL="Default" -->
<P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>Item 9.&nbsp;&nbsp; Undertakings</B> </FONT> </P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
undersigned Registrant hereby undertakes: </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;          To
file, during any period in which offers or sales are being made pursuant to
          this Registration Statement, a post-effective amendment to this Registration
          Statement:  </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To
include any prospectus required by Section&nbsp;10(a)(3) of the Securities           Act;  </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To
reflect in the prospectus any facts or events arising after the effective           date
of this Registration Statement (or the most recent post-effective amendment
          thereof) which, individually or in aggregate, represent a fundamental change in
          the information set forth in this Registration Statement. Notwithstanding the
          foregoing, any increase or decrease in the volume of securities offered (if the
          total dollar value of securities offered would not exceed that which is
          registered) and any deviation from the low or high end of the estimated maximum
          range may be reflected in the form of prospectus filed with the Commission
          pursuant to Rule 424(b) if, in the aggregate, the changes in volume and price
          represent no more than a 20&nbsp;percent change in the maximum aggregate offering
          price set forth in &#147;Calculation of  </FONT></P>

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<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>II-6 </FONT></P>


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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Registration Fee&#148; table in the
effective registration statement; </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;          To
include any material information with respect to the plan of distribution not
          previously disclosed in this Registration Statement or any material change to
          such information in this Registration Statement;  </FONT></P>

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<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;provided,
however, that paragraphs (i)&nbsp;and (ii)&nbsp;above do not apply if the information
required to be included in a post-effective amendment by those paragraphs is contained in
periodic reports filed by the Registrant pursuant to Section&nbsp;13 or 15(d) of the
Exchange Act that are incorporated by reference in this Registration Statement. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;          That,
for the purpose of determining any liability under the Securities Act,           each
such post-effective amendment shall be deemed to be a new registration
          statement relating to the securities offered therein, and the offering of such
          securities at that time shall be deemed to be the initial bona fide offering
          thereof.  </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;          To
remove from registration by means of a post-effective amendment any of the
          securities being registered which remain unsold at the termination of the
          offering.  </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
undersigned Registrant hereby undertakes that, for purposes of determining any liability
under the Securities Act, each filing of the Registrant&#146;s annual report pursuant to
Section 13(a) or Section 15(d) of the Exchange Act (and, where applicable, each filing of
an employee benefit plan&#146;s annual report pursuant to Section 15(d) of the Exchange
Act) that is incorporated by reference in the Registration Statement shall be deemed to be
a new registration statement relating to the securities offered therein, and the offering
of such securities at that time shall be deemed to be the initial bona fide offering
thereof. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Insofar
as indemnification for liabilities arising under the Securities Act may be permitted to
directors, officers and controlling persons of the Registrant pursuant to the provisions
described under &#147;Item&nbsp;6&#151;Indemnification of Directors and Officers&#148;, or
otherwise, the Registrant has been advised that in the opinion of the Commission such
indemnification is against public policy as expressed in the Securities Act and is,
therefore, unenforceable. In the event that a claim for indemnification against such
liabilities (other than the payment by the Registrant of expenses incurred or paid by a
director, officer or controlling person of the Registrant in the successful defense of any
action, suit or proceeding) is asserted by such director, officer or controlling person in
connection with the securities being registered, the Registrant will, unless in the
opinion of its counsel the matter has been settled by controlling precedent, submit to a
court of appropriate jurisdiction the question whether such indemnification by it is
against public policy as expressed in the Securities Act and will be governed by the final
adjudication of such issue. </FONT></P>

<!-- MARKER FORMAT-SHEET="Head Minor Center" FSL="Default" -->
<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>II-7 </FONT></P>


<!-- MARKER PAGE="sheet: 9; page: 9" -->
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<!-- MARKER FORMAT-SHEET="Head Major Center Bold" FSL="Default" -->
<H1 ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>SIGNATURES </FONT></H1>

<!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant
to the requirements of the Securities Act of 1933, as amended, the Registrant certifies
that it has reasonable grounds to believe that it meets all of the requirements for filing
on Form S-8 and has duly caused this Registration Statement to be signed on its behalf by
the undersigned, thereunto duly authorized, in the City of Haifa, Israel on this 20th day
of December 2006. </FONT></P>


<TABLE CELLPADDING=0 CELLSPACING=0 BORDER=0 WIDTH=100%>
<TR VALIGN=Bottom>
     <TH COLSPAN="3" WIDTH="50%"><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TH>
     <TH COLSPAN="3" WIDTH="50%"><FONT FACE="Times New Roman, Times, Serif" SIZE=2></FONT></TH></TR>
<TR VALIGN=Bottom>
     <TD WIDTH=51% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=1% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=2% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=44% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><B>ELBIT SYSTEMS LTD.</B> </FONT></TD>
     <TD WIDTH=1% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=1% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2><BR></FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2><BR></FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>By:&nbsp;<U>/s/&nbsp;Joseph Ackerman&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</U></FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Name:&nbsp;Joseph Ackerman</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Title:&nbsp;&nbsp; President and Chief Executive Officer</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
</TABLE>


<!-- MARKER PAGE="sheet: 10; page: 10" -->
<HR SIZE=5 COLOR=GRAY NOSHADE>


<!-- MARKER FORMAT-SHEET="Head Minor Center" FSL="Default" -->
<P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE=2>POWER OF ATTORNEY </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Know
all persons by these presents, that each individual whose signature appears below
constitutes and appoints Joseph Ackerman or Joseph Gaspar or Ilan Pacholder, his or her
 true and lawful attorney-in-fact and agent,
with full power of substitution and resubstitution, for him or her and in his or her name, place and
stead, in any and all capacities, to sign any and all amendments (including post-effective
amendments) to this Registration Statement and to file the same with all exhibits thereto,
and all documents in connection therewith, with the Securities and Exchange Commission,
granting unto said attorney-in-fact and agent, and each of them, full power and authority
to do and perform each and every act and thing requisite and necessary to be done in and
about the premises, as fully to all intents and purposes as he or she might or could do in
person, hereby ratifying and confirming all that said attorney-in-fact and agent or his or her
substitute or substitutes, may lawfully do or cause to be done by virtue hereof. </FONT></P>

<!-- MARKER FORMAT-SHEET="Para Indent" FSL="Default" -->
<P><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant
to the requirements of the Securities Act of 1933, this Registration Statement has been
signed by the following persons in the capacities and on the dates indicated: </FONT></P>


<TABLE CELLPADDING=0 CELLSPACING=0 BORDER=0 WIDTH=100%>
<TR VALIGN=Bottom>
     <TH COLSPAN="3" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2"><U>Signature</U> </FONT></TH>
     <TH COLSPAN="3" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Title</U> </FONT></TH>
     <TH COLSPAN="3" ALIGN="LEFT"><FONT FACE="Times New Roman, Times, Serif" SIZE="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>Date</U> </FONT></TH></TR>
<TR>
     <TD COLSPAN=9><BR></TD></TR>
<TR VALIGN=Bottom>
     <TD WIDTH=29% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>/s/&nbsp;Michael Federmann<HR SIZE="1" WIDTH="60%" COLOR="Black" ALIGN="Left">Michael Federmann</FONT></TD>
     <TD WIDTH=1% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=2% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=45% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Chairman of the Board of Directors</FONT></TD>
     <TD WIDTH=1% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=2% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=18% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>December 20, 2006</FONT></TD>
     <TD WIDTH=1% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD WIDTH=1% ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN=9><BR></TD></TR>

<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>/s/&nbsp;Joseph Ackerman<HR SIZE="1" WIDTH="60%" COLOR="Black" ALIGN="Left">Joseph Ackerman</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>(Principal Executive Officer)</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>December 20, 2006</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN=9><BR></TD></TR>

<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>/s/&nbsp;Joseph Gaspar<HR SIZE="1" WIDTH="60%" COLOR="Black" ALIGN="Left">Joseph Gaspar</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Chief Financial Officer<BR>(Principal Financial and Accounting officer)</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>December 20, 2006</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN=9><BR></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>/s/&nbsp;Moshe Arad<HR SIZE="1" WIDTH="60%" COLOR="Black" ALIGN="Left">Moshe Arad</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Director</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>December 20, 2006</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN=9><BR></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>/s/&nbsp;Avraham Asheri<HR SIZE="1" WIDTH="60%" COLOR="Black" ALIGN="Left">Avraham Asheri</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Director</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>December 20, 2006</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN=9><BR></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>/s/&nbsp;Rina Baum<HR SIZE="1" WIDTH="60%" COLOR="Black" ALIGN="Left">Rina Baum</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Director</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>December 20, 2006</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN=9><BR></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>/s/&nbsp;Yigal Ne'eman<HR SIZE="1" WIDTH="60%" COLOR="Black" ALIGN="Left">Yigal Ne'eman</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Director</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>December 20, 2006</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN=9><BR></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>/s/&nbsp;Yaacov Lifshitz<HR SIZE="1" WIDTH="60%" COLOR="Black" ALIGN="Left">Yaacov Lifshitz</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Director</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>December 20, 2006</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN=9><BR></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>/s/&nbsp;Dov Ninveh<HR SIZE="1" WIDTH="60%" COLOR="Black" ALIGN="Left">Dov Ninveh</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Director</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>December 20, 2006</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
<TR>
     <TD COLSPAN=9><BR></TD></TR>
<TR VALIGN=Bottom>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2><HR SIZE="1" WIDTH="60%" COLOR="Black" ALIGN="Left">Nathan Sharony</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>Director</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD>
     <TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>December 20, 2006</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD><TD ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=2>&nbsp;</FONT></TD></TR>
</TABLE>



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{"company-data": {"conformed-name": "ELBIT SYSTEMS LTD", "cik": "0001027664", "assigned-sic": "3728", "irs-number": "000000000", "state-of-incorporation": "L3", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "S-8", "act": "33", "file-number": "333-139512", "film-number": "061289546"}, "business-address": {"street1": "ADVANCED TECHNOLOGY CENTER", "street2": "PO BOX 539", "city": "HAIFA, ISRAEL", "state": "L3", "zip": "31053", "phone": "01197248316626"}, "mail-address": {"street1": "ADVANCED TECHNOLOGY CENTER", "street2": "PO BOX 539", "city": "HAIFA, ISRAEL", "state": "L3", "zip": "31053"}}
Registration No.
333-________
As filed with the Securities and Exchange Commission on December 20, 2006
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM S-8
REGISTRATION STATEMENT
UNDER THE SECURITIES ACT OF 1933
_________________
ELBIT SYSTEMS LTD.
(Exact name of registrant as specified in its charter)
Israel
N/A
(State or other jurisdiction of
(I.R.S. Employer
incorporation or organization)
Identification No.)
Advanced Technology Center
P.O.B. 539
Haifa, Israel
31053
(Address of Principal Executive Offices)
(Zip Code)
2007 STOCK OPTION PLAN
(Full title of the plan)
EFW Inc.
4700 Marine Creek Parkway
Fort Worth, Texas 76136
(Name and address of agent for service)
(817) 234-6600
(Telephone number, including area code, of agent for service)
With a copy to:
Henry I. Rothman, Esq.
Troutman Sanders LLP
405 Lexington Avenue
New York, New York 10174
(212) 704-6000
CALCULATION OF
REGISTRATION FEE
Title of Securities
to be Registered
Amount to
be
Registered(1)
Proposed Maximum
Offering Price
per Share (2)
Proposed Maximum
Aggregate Offering Price
Amount of
Registration Fee
Ordinary Shares, par
NIS 1.0 per share
2,500,000
$             33.905
$         84,762,500
$           9,069.59
(1)    
          Pursuant to Rule 416(b), there shall also be deemed covered hereby such
          additional securities as may result from anti-dilution adjustments under the
          2007 Stock Option Plan.
(2)    
          Calculated pursuant to Rule 457(c) and (h) based on the average of the high and
          low sales prices of the Company's ordinary shares reported in the
          consolidated reporting system on the Nasdaq National Market, as reported on
          December 13, 2006.
(3)    
          Ordinary shares underlying options to be granted under the 2007 Stock Option
          Plan.
PART I
INFORMATION REQUIRED
IN THE SECTION 10(a) PROSPECTUS
The
documents constituting Part I of this Registration Statement on Form S-8 (this
"Registration Statement") will be sent or given to participants in the 2007
Stock Option Plan (the "Plan") as provided by Rule 428(b)(1) under the
Securities Act of 1933, as amended (the "Securities Act"). Such documents are
not required to be, and are not being, filed by Elbit Systems Ltd. with the Securities and
Exchange Commission (the "Commission"), either as part of this Registration
Statement or as prospectuses or prospectus supplements pursuant to Rule 424 under the
Securities Act. Such documents, together with the documents incorporated by reference
herein pursuant to Item 3 of Part II of this Registration Statement, constitute a
prospectus that meets the requirements of Section 10(a) of the Securities Act.
PART II
INFORMATION REQUIRED
IN THE REGISTRATION STATEMENT
Item 3.   Incorporation of Documents
by Reference
The
following documents heretofore filed by Elbit Systems Ltd. (the "Company" or the
"Registrant") with the Securities and Exchange Commission (File No. 0-28998)
pursuant to Section 13(a) of the Securities Exchange Act of 1934, as amended (the
"Exchange Act"), are incorporated herein by reference:
(a)
the Company's Annual Report on Form 20-F for the fiscal year ended December
               31, 2005;
(b)
the Company's Reports on Form 6-K dated (1) January 2006 filed on January
               5, 2006, (2) January 2006 filed on January 25, 2006, (3) February 2006 filed on
               February 6, 2006, (4) February 2006 filed on February 7, 2006, (5) February 2006
               filed on February 14, 2006, (6) February 2006 filed on February 16, 2006, (7)
               March 2006 filed on March 16, 2006, (8) March 2006 filed on March 21, 2006, (9)
               March 2006 filed on March 21, 2006, (10) April 2006 filed on May 1, 2006, (11)
               May 2006 filed on May 18, 2006, (12) May 2006 filed on May 23, 2006, (13) May
               2006 filed on May 31, 2006, (14) July 2006 filed on July 10, 2006, (15) July
               2006 filed on July 10, 2006, (16) July 2006 filed on July 11, 2006, (17) July
               2006 filed on July 11, 2006, (18) July 2006 filed on July 12, 2006, (19) July
               2006 filed on July 14, 2006, (20) July 2006 filed on July 27, 2006, (21) August
               2006 filed on August 10, 2006, (22) August 2006 filed on August 21, 2006, (23)
               August 2006 filed on August 23, 2006, (24) September 2006 filed on September 12,
               2006, (25) September 2006 filed on September 20, 2006, (26) September 2006 filed
               on September 21, 2006, (27) September 2006 filed on September 21, 2006, (28)
               October 2006 filed on October 25, 2006, (29) October 2006 filed on October 31,
               2006, (30) November 2006 filed on November 7, 2006, (31) November 2006 filed on
               November 16, 2006, (32) November 2006 filed on November 20, 2006, (33) November
               2006 filed on December 4, 2006, (34) December 2006 filed on December 5, 2006,
               (35) December 2006 filed on December 7, 2006 and (36) December 2006 filed on
               December 7, 2006; and
(c)
the description of the Company's ordinary shares contained in the
               Company's Registration Statement on Form 20-F filed with the Commission on
               November 22, 1996 under the 1934 Act, including any amendment or report filed
               for the purpose of updating such description.
All
documents subsequently filed by the Company or the Plan pursuant to Section 13(a), 13(c),
14 or 15(d) of the Exchange Act, prior to the filing of a post-effective amendment which
indicates that all securities offered have been sold or which deregisters all securities
then remaining unsold, shall be
II-1
deemed to be incorporated by
reference in this Registration Statement and to be a part hereof from the date of the
filing of such documents. Any statement contained in a document incorporated or deemed to
be incorporated herein by reference shall be deemed to be modified or superseded for
purposes of this Registration Statement to the extent that a statement contained herein or
in any other subsequently filed document which also is or is deemed to be'
incorporated by reference herein modifies or supersedes such statement.
Item 4.   Description of
Securities
Not
applicable.
Item 5.   Interests of
Named Experts and Counsel
The
validity of securities that may be offered under the 2007 Stock Option Plan has been
passed upon for the Company by David Block Temin. Mr. Block Temin, who is the Corporate Vice President and
General Counsel to the Company.
II-2
Item 6.   Indemnification
of Directors and Officers
Exemption, Insurance and
Indemnification under the Companies Law
Under
the Israel Companies Law — 1999 (the "Companies Law"), an Israeli company may not exempt an Office Holder from
liability with respect to a breach of his or her duty of loyalty, but may exempt in
advance an Office Holder from his or her liability to the company, in whole or in part,
with respect to a breach of his or her duty of care. However, a company may not exempt in
advance a director from his or her liability to the company with respect to a breach of
duty of care in connection with a distribution made by the company.
The
Companies Law permits a company to obtain an insurance policy covering liabilities of
Office Holders resulting from a breach of the Office Holder's duty of care to the
company or to another person. This includes liabilities from the breach of his or her
fiduciary duty to the company, to the extent that the Office Holder acted in good faith
and had reasonable cause to believe that the act would not prejudice the interests of the
company. It also covers monetary liabilities charged against an Office Holder while
serving the company.
Under
the Companies Law, a company may indemnify an Office Holder against any monetary liability
incurred in his or her capacity as an Office Holder whether imposed on him or her in favor
of another person pursuant to a judgment, a settlement, or an arbitrator's award
approved by court. A company also can indemnify an Office Holder against reasonable
litigation expenses, including attorneys' fees incurred by him or her in his or her
capacity as an Office Holder, in a proceeding instituted against him or her by the
company, on its behalf or by a third party, in connection with criminal proceedings in
which the Office Holder was acquitted, as a result of a conviction for a crime that does
not require proof of criminal intent, or in which an indictment was not brought against
the Office Holder.
Following
the March 2005 Amendment to the Companies Law, a company also may indemnify an Office
Holder against reasonable litigation expenses, including attorneys' fees, incurred by
him or her in his or her capacity as an Office Holder, in an investigation or proceeding
in which no indictment was filed and no monetary payments in lieu of criminal proceedings
were imposed against the Office Holder, or monetary payments in lieu of criminal
proceedings were imposed on him or her provided that the alleged criminal offense does not
require proof of criminal intent.
Under
the Companies Law, a company may indemnify an Office Holder in respect of certain
liabilities, either in advance of an event or following an event. If a company undertakes
to indemnify an Office Holder in advance of an event, the indemnification, other than
litigation expenses, must be limited to foreseeable events in light of the company's
actual activities at the time the company undertook such indemnification and also limited
to reasonable amounts or standards, as determined by the board of directors.
A
company may not indemnify an Office Holder or enter into an insurance contract that would
provide coverage for any monetary liability incurred as a result of the following:
(1)
a
breach of fiduciary duty, except for a breach of a fiduciary duty to the
                    company while acting in good faith and having reasonable cause to
assume that                     such act would not prejudice the interests of the
company;
(2)
a
willful breach of the duty of care or reckless disregard for the
                    circumstances or to the consequences of a breach of the duty of care
other than                     mere negligence;
(3)
an
act done with the intent to unlawfully realize a personal gain; or
(4)
a
fine or monetary penalty imposed for an offense.
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Insurance and
Indemnification under the Articles of Association
The
Company's Articles of Association allows for directors and officers liability
insurance, subject to the provisions of the Companies Law. This insurance may cover:
(1)
a
breach of his or her duty of care to the Company or to another person;
(2)
a
breach of his or her fiduciary duty to the Company, provided that the
                    director or officer acted in good faith and had reasonable cause to
assume that                     his or her act would not harm the interests of the
Company; or
(3)
any
other event for which insurance of a director or officer is permitted.
In
 addition, the Company's Articles of Association (as amended in November 2005 to
be consistent with the March 2005 Amendment to the Companies Law) permit indemnification,
retroactively or in advance, of a director or officer against:
(1)
a
monetary liability imposed on the director of officer or paid by him or her
                    in favor of a third party under a judgment, including a judgment by
way of                     compromise or a judgment of an arbitrator approved by a court;
however, such                     undertaking will be limited to events which, in the
opinion of the Company's board of directors (the "Board"), are foreseeable in light of the Company's
actual activities at the time of                     granting the obligation to
indemnify, and to a sum or criteria as the Board                     deems reasonable
under the circumstances, and the undertaking to indemnify will
                    specify the aforementioned events and sum or criteria.
(2)
reasonable
legal fees incurred by a director or officer in an investigation or
                    proceeding conducted against him or her by an authority authorized to
conduct such                     investigation or procedure, provided that such
investigation or procedure (i)                     concludes without the filing of an
indictment against the director or officer                     and without imposition of
monetary payment in lieu of criminal proceedings, or                     (ii) concludes
with imposing on the director or officer monetary payment in lieu                     of
criminal proceedings, provided that the alleged criminal offense in question
                    does not require proof of criminal intent.
(3)
reasonable
expenses of the proceedings, including lawyers fees, expended by the
                    director or officer or imposed on him or her by the court for:
a.
proceedings
                    issued against him or her by or on the Company's behalf or by a
third                     party;
b.
criminal
proceedings from which the director or officer was acquitted;                     or
c.
criminal
proceedings in which he or she was convicted but that do not                     require
proof of criminal intent; or
(4)
any
other liability or expense for which it is or may be permissible to
                    indemnify a director or an officer.
However,
any indemnification so granted by the Company may not exceed 25% of the Company's
consolidated equity as reflected in the Company's last consolidated annual financial statements
published prior to the payment of such indemnification.
The
Articles of Association permit the grant of similar indemnification to any person acting
as a director or officer of another company in which the Company is directly or indirectly
a shareholder or has any interest.
The
Company's shareholders approved the grant to members of the Board of indemnification
letters reflecting the above conditions and limitations. Similar letters were also
approved by the Board for grant to officers of the Company.
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In
2004, at a general meeting of the Company's shareholders, the shareholders approved a framework
resolution that allows the Company to purchase directors and officers (D& O) liability
insurance that meets the framework resolution's terms. The framework resolution
covers a five-year period beginning in August 2004, and allows for an aggregate increase
of insurance coverage of up to $45 million (from the then current level of $30 million)
for any year covered by the policy. As of November 30, 2006, the level of D&O insurance
coverage was $40 million. The framework resolution also allows for an increase of up to
25% per year in the D& O insurance premium up to a maximum aggregate of 125% of the
then current annual premium ($660,000). The Audit Committee and the Board must approve
that any purchase of D&O insurance falls within the terms of the framework resolution.
Item 7.   Exemption from
Registration Claimed
Not
applicable.
II-5
Item 8.   Exhibits
Exhibit
Number
Description
(1)
4.1
Restated Memorandum of Association of the Company.
(2)
4.2
Restated Articles of Association of the Company.
(3)
4.3
2007 Stock Option Plan.
*
5.1
Opinion and consent of David Block Temin, General Counsel to the Company, as to
the legality of the securities being offered.
*
23.1
Consent of Kost Forer Gabbay & Kasierer.
*
23.2
Consent of Somekh Chaikin.
*
23.3
Consent of Brightman Almagor & Co. (Tadiran Systems).
*
23.4
Consent of Brightman Almagor  & Co.(Tadiran Spectralink).
*
23.5
Consent of Hoberman, Miller, Goldstein  & Lesser, P.C.
*
24.1
Power of Attorney of certain officers and directors of the Company (included as
part of the signature page).
_________________
*
Filed
herewith.
(1)
Filed
as an exhibit to the Registrant's Annual Report on Form 20-F for the
                    year ended December 31, 2000 filed with the Commission on April 5,
2001 (File                     No. 0-28998) and incorporated herein by reference.
(2)
Filed
as an exhibit to the Registrant's Report on Form 6-K for November
                    2005, which was filed by with the Commission on December 1, 2005
(File No.                     0-28998), and incorporated herein by reference.
(3)
Filed
as an exhibit to the Registrant's Report on Form 6-K for December
                    2006, which was filed by with the Commission on December 7, 2006
(File No.                     0-28998), and incorporated herein by reference.
Item 9.   Undertakings
The
undersigned Registrant hereby undertakes:
(1)                 To
file, during any period in which offers or sales are being made pursuant to
          this Registration Statement, a post-effective amendment to this Registration
          Statement:
(i)       To
include any prospectus required by Section 10(a)(3) of the Securities           Act;
(ii)      To
reflect in the prospectus any facts or events arising after the effective           date
of this Registration Statement (or the most recent post-effective amendment
          thereof) which, individually or in aggregate, represent a fundamental change in
          the information set forth in this Registration Statement. Notwithstanding the
          foregoing, any increase or decrease in the volume of securities offered (if the
          total dollar value of securities offered would not exceed that which is
          registered) and any deviation from the low or high end of the estimated maximum
          range may be reflected in the form of prospectus filed with the Commission
          pursuant to Rule 424(b) if, in the aggregate, the changes in volume and price
          represent no more than a 20 percent change in the maximum aggregate offering
          price set forth in "Calculation of
II-6
Registration Fee" table in the
effective registration statement;
(iii)                 To
include any material information with respect to the plan of distribution not
          previously disclosed in this Registration Statement or any material change to
          such information in this Registration Statement;
provided,
however, that paragraphs (i) and (ii) above do not apply if the information
required to be included in a post-effective amendment by those paragraphs is contained in
periodic reports filed by the Registrant pursuant to Section 13 or 15(d) of the
Exchange Act that are incorporated by reference in this Registration Statement.
(2)                 That,
for the purpose of determining any liability under the Securities Act,           each
such post-effective amendment shall be deemed to be a new registration
          statement relating to the securities offered therein, and the offering of such
          securities at that time shall be deemed to be the initial bona fide offering
          thereof.
(3)                 To
remove from registration by means of a post-effective amendment any of the
          securities being registered which remain unsold at the termination of the
          offering.
The
undersigned Registrant hereby undertakes that, for purposes of determining any liability
under the Securities Act, each filing of the Registrant's annual report pursuant to
Section 13(a) or Section 15(d) of the Exchange Act (and, where applicable, each filing of
an employee benefit plan's annual report pursuant to Section 15(d) of the Exchange
Act) that is incorporated by reference in the Registration Statement shall be deemed to be
a new registration statement relating to the securities offered therein, and the offering
of such securities at that time shall be deemed to be the initial bona fide offering
thereof.
Insofar
as indemnification for liabilities arising under the Securities Act may be permitted to
directors, officers and controlling persons of the Registrant pursuant to the provisions
described under "Item 6—Indemnification of Directors and Officers", or
otherwise, the Registrant has been advised that in the opinion of the Commission such
indemnification is against public policy as expressed in the Securities Act and is,
therefore, unenforceable. In the event that a claim for indemnification against such
liabilities (other than the payment by the Registrant of expenses incurred or paid by a
director, officer or controlling person of the Registrant in the successful defense of any
action, suit or proceeding) is asserted by such director, officer or controlling person in
connection with the securities being registered, the Registrant will, unless in the
opinion of its counsel the matter has been settled by controlling precedent, submit to a
court of appropriate jurisdiction the question whether such indemnification by it is
against public policy as expressed in the Securities Act and will be governed by the final
adjudication of such issue.
II-7
SIGNATURES
Pursuant
to the requirements of the Securities Act of 1933, as amended, the Registrant certifies
that it has reasonable grounds to believe that it meets all of the requirements for filing
on Form S-8 and has duly caused this Registration Statement to be signed on its behalf by
the undersigned, thereunto duly authorized, in the City of Haifa, Israel on this 20th day
of December 2006.
ELBIT SYSTEMS LTD.
By:
/s/ Joseph Ackerman
Name: Joseph Ackerman
Title:   President and Chief Executive Officer
POWER OF ATTORNEY
Know
all persons by these presents, that each individual whose signature appears below
constitutes and appoints Joseph Ackerman or Joseph Gaspar or Ilan Pacholder, his or her
 true and lawful attorney-in-fact and agent,
with full power of substitution and resubstitution, for him or her and in his or her name, place and
stead, in any and all capacities, to sign any and all amendments (including post-effective
amendments) to this Registration Statement and to file the same with all exhibits thereto,
and all documents in connection therewith, with the Securities and Exchange Commission,
granting unto said attorney-in-fact and agent, and each of them, full power and authority
to do and perform each and every act and thing requisite and necessary to be done in and
about the premises, as fully to all intents and purposes as he or she might or could do in
person, hereby ratifying and confirming all that said attorney-in-fact and agent or his or her
substitute or substitutes, may lawfully do or cause to be done by virtue hereof.
Pursuant
to the requirements of the Securities Act of 1933, this Registration Statement has been
signed by the following persons in the capacities and on the dates indicated:
Signature
Title
Date
/s/ Michael Federmann
Michael Federmann
Chairman of the Board of Directors
December 20, 2006
/s/ Joseph Ackerman
Joseph Ackerman
(Principal Executive Officer)
December 20, 2006
/s/ Joseph Gaspar
Joseph Gaspar
Chief Financial Officer
(Principal Financial and Accounting officer)
December 20, 2006
/s/ Moshe Arad
Moshe Arad
Director
December 20, 2006
/s/ Avraham Asheri
Avraham Asheri
Director
December 20, 2006
/s/ Rina Baum
Rina Baum
Director
December 20, 2006
/s/ Yigal Ne'eman
Yigal Ne'eman
Director
December 20, 2006
/s/ Yaacov Lifshitz
Yaacov Lifshitz
Director
December 20, 2006
/s/ Dov Ninveh
Dov Ninveh
Director
December 20, 2006
Nathan Sharony
Director
December 20, 2006