Further re Settlement

Orad Hi-Tec Systems
16 December 2003

                                                                16 December 2003


                     ORAD Hi-Tec Systems Ltd. (the Company)

                              Update re settlement


Orad is pleased to announce that on 12 December 2003 CRESTCo Limited published
an operational bulletin regarding the ability of CREST members to hold and
transfer interests in Orad shares using the CREST system.  From 12 December
2003, CREST members will be able to hold and transfer their interests in the
Company within CREST through entitlements to co-ownership interests in global
certificates of the Company.  The practical effect of this facility is that
CREST members will be able to hold and transfer interests in Orad in a similar
way to any other share in a UK Listed or AIM traded company.

The full text of the operational bulletin is set out below.

Operational Bulletin No. 839

With effect from Friday, 12 December 2003 CREST members will be able to hold and
transfer interests in entitlements (ISIN number IL0010838071) to co-ownership
interests in global share certificates (the 'Shares') of Orad Hi-Tec Systems
Ltd. ('Orad').  Orad is incorporated in Israel with registered number
52-004439-7.  The Shares, which are issued under the laws of the State of
Israel, are dual listed on the Deutsche Boerse Prime Standard in Germany and the
Alternative Investment Market of the London Stock Exchange Plc.  Clearstream
Banking AG ('Clearstream') is the registered holder of the Shares and
co-ownership interests arise under German law ('Entitlements') to represent
them.  The Entitlements are held and settled in Clearstream.  The holding in
Clearstream is in the name of Deutsche Bank AG but in an account held for Capita
IRG Trustees Limited (the 'Issuer').

The Entitlements will not themselves be admitted to CREST; rather Orad has
arranged for the Issuer to issue depositary interests (the 'Depository
Interests') in respect of the Entitlements.  These Depository Interests may be
held and transferred within CREST.  The Depository Interests will be created and
issued pursuant to a Deed Poll executed by the Issuer under English law, copies
of which are available from it, and the provisions of the Deed Poll are
expressed to bind all holders, future and present.  In CREST, the Depository
Interests will carry the same ISIN as the Entitlements.

If CREST members wish to avail themselves of this facility, they can do so by
transferring their existing stock by Clearstream settlement on a free of payment
basis into the Issuer's Clearstream account with Deutsche Bank AG in Germany,
account number 100 9641093 00.  A completed transfer to the Issuer's Clearstream
account will be deemed to constitute a transfer of Entitlements to the Issuer,
who will then issue corresponding Depository Interests in CREST to the
depositing member/transferee.

Stock withdrawals will be switched off within CREST.  If a CREST member wishes
to undertake a stock withdrawal they should telephone Capita Registrars on 020
8639 2274.  The CREST member will then be advised as to the Issuer's CREST
account that the stock should be transferred to and also issued with a form
requesting the details of the Clearstream account that the stock is to be
credited to.  The CREST member will also be advised of the likely timescale for
the transfer of the equivalent amount of stock to the member's specified
Clearstream account. Once the Depositary Interests have been transferred to the
Issuer's specified CREST account it will then be amended using a Negative
Registrar's Adjustment Instruction and as soon as practical the equivalent
amount of stock will be credited to the specified member's Clearstream account.

We have been advised by the Issuer that the Depository Interests will not be
subject to SDRT.  This is because the Depository Interests meet all the criteria
set out for the SDRT exemption granted in Statutory Instrument 1999 No. 2383 (as
amended) (The Stamp Duty Reserve Tax (UK Depositary Interests in Foreign
Securities) Regulations 1999).


About ORAD

Founded in 1993, ORAD is a world leader in TV production technology and is
rapidly increasing it's position in the Vissim (visual simulation) industry.
ORAD's lines of products include virtual sets, on-air graphics systems, virtual
advertising, sports production solutions and hardware for the Vissim industry.
ORAD has received extensive worldwide recognition for its systems at a
wide-range of events including the 1999/2000 Emmy Award for the 'Implementation
of Real Time Virtual Imaging for Live Events on Television'. ORAD is a publicly
traded company on Frankfurt's Prime Standard and the Alternative Investment
Market of the London Stock Exchange Plc (symbol OHT).

www.orad.tv


For more information please contact:

ORAD Hi-Tec Systems
Avi Sharir                                            Tel: + 972 976 768 62
                                                       E-mail : [e-mail]

Shore Capital
Jonathan Nelson                                      Tel: + 44 20 7408 4090


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