Agreement to Perform a Clinical Trial in Alzheimer’s Patients Signed with the “Ichilov” Medical Center

“Ichilov” Medical Center, ISrael

2 November, 2008

Agreement to Perform a Clinical Trial in Alzheimer's Patients Signed with the "Ichilov" Medical Center

Brainsway Ltd. (the "Company") announces that today, November 2nd 2008, it has entered into an agreement with the Medical Research Fund at the Tel-Aviv Sourasky Medical Center ("Ichilov") to perform a clinical trial in Alzheimer's disease patients.

Under the agreement, Ichilov has undertaken to perform a clinical research trial to explore the efficacy of the Company's Deep TMS device for the treatment of elderly persons with Alzheimer's disease. The principal investigator conducting the clinical trial will be Dr. Veronica Vachapov.

The trial will be funded by Brainsway Ltd.

Performance of the trial has been approved by Ichilov's Helsinki committee.

40 patients are expected to participate in the trial, which will be double-blinded and sham-controlled.

This will be the first time that the Company's device is used to administer treatment for Alzheimer's disease in a proper clinical trial setting. The Company has previously performed a compassion treatment on one female Alzheimer's patient, which was well tolerated, as described in the Company's prospectus.

The Company considers Deep TMS therapy for Alzheimer's disease a potential future application of its device, beyond its initial indication as a treatment for depression. The said trial is part of the Company's strategy to perform clinical trials in human subjects to explore the efficacy of the Company's device in treating various disorders besides depression, including Alzheimer's disease, cannabis addiction, Parkinson's disease, and others disorders, as reported by the Company.