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Blue Square-Israel, Ltd. (BSI)
Business Summary excerpt from SEC filing dated: June 29, 2006

Blue Square-Israel Ltd. was incorporated in June 1988 as a company under the laws of the State of Israel. Blue Square's principal executive offices are located at 2 Hamal Street, Rosh Ha'ayin 48092, Israel and its telephone number is 972-3-928-2222.

We are a leading food retailer in the State of Israel. Through our supermarkets, we offer a wide range of food and beverages products and also "Non-Food" items, such as housewares, toys, small electrical appliances, computers and computer accessories, entertainment and leisure products, and "Near-Food" products, such as health and beauty aids, infants products, cosmetics and hygiene products and prescription drugs, and recently started to operate several "All for a Dollar", toy and housewares departments within most of our large stores. As of December 31, 2005, we owned and operated 168 supermarkets under the brand names Mega, Super Center and Shefa Shuk. Our activities are carried out via Blue Square and its consolidated subsidiaries, the largest of which is BSIP.


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