FORM 6 – K

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Report on Foreign Issuer

Pursuant to Rule 13a – 16 or 15d – 16
of the Securities Exchange Act of 1934

For the Month of August, 2017

Gilat Satellite Networks Ltd.
(Translation of Registrant’s Name into English)

Gilat House, Yegia Kapayim Street
Daniv Park, Kiryat Arye, Petah Tikva, Israel
(Address of Principal Corporate Offices)

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.

Form 20-F ☒          Form 40-F ☐

Indicate by check mark whether the registrant by furnishing the information contained in this form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes ☐          No ☒

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):   N/A

Attached hereto is Registrant’s press release dated August 8, 2017, announcing Gilat’s second quarter 2017 results.
 
We consent to the incorporation by reference of the GAAP financial information included herein, in the Registration Statements on  Form S-8 (Registration Nos.   333-180552, 333-187021, 333-204867 and 333-210820).
 
Signature

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned, thereunto duly authorized.
 
  Gilat Satellite Networks Ltd.  
 
(Registrant)
  
       
Dated August 8, 2017
 By:
/s/ Yael Shofar
  
   
Yael Shofar
  
   
General Counsel
  

2
 
Gilat Reports Continued Improvement in Profitability in Q2 2017 and
Raises 2017 Adjusted EBITDA Objective to $22 to $26 Million
 
Company achieves GAAP net income of $2.1 million and Adjusted EBITDA of $5.9 million

Petah Tikva, Israel – August 8, 2017 – Gilat Satellite Networks Ltd. (NASDAQ, TASE: GILT), a worldwide leader in satellite networking technology, solutions and services, today reported its results for the second quarter ended June 30, 2017.

Key Financial Highlights:
·
Revenues for Q2 2017 were $66.2 million compared with $63.9 million in Q1 2017 and $67.9 million in Q2 2016.
 
·
Profitability showed significant improvement, both quarter-over-quarter and year-over-year:
 
o
GAAP operating profit improved substantially to $1.9 million in Q2 2017 from $18 thousand in Q1 2017, and compared with an operating loss of $2.5 million in Q2 2016.
 
o
Non-GAAP operating income grew to $4.1 million from $2.5 million in Q1 2017 and $0.5 million in Q2 2016.
 
o
The Company achieved GAAP net income of $2.1 million, or $0.04 per diluted share in Q2 2017, compared with a loss of $0.8 million, or $0.01 per diluted share, in Q1 2017, and a loss of $3.7 million, or $0.07 per diluted share, in Q2 2016.
 
o
Non-GAAP net income reached $4.6 million, or $0.08 per diluted share, compared with $1.7 million, or $0.03 per diluted share in Q1 2017, and a non-GAAP loss of $0.6 million, or $0.01 per diluted share, in Q2 2016.
 
o
Adjusted EBITDA increased to $5.9 million, or 8.9% of revenues, compared with $4.2 million, or 6.6% of revenues, in Q1 2017, and $2.4 million, or 3.5% of revenues, in Q2 2016.
 
·
Updated management objectives for 2017: revenue range narrowed to between $280 to $290 million, GAAP operating income raised to between $7 and $11 million, and Adjusted EBITDA raised to between $22 and $26 million.
 
Yona Ovadia, CEO of Gilat, commented: “I am very pleased to report another quarter of strong progress for Gilat. The Gilat management team has maintained an ongoing focus on improving profitability and optimizing our growth engines. That has resulted in significant improvement in our profitability in the second quarter with a substantial step-up in our operating income as well as the achievement of GAAP net income, along with a major increase in our Adjusted EBITDA, which increased 39% from the first quarter of 2017 and 149% from the second quarter last year.

3
“With our increased profitability and the growing traction of our new strategy, I am pleased to say that we have raised our profitability objectives for 2017, including moving up the range for Adjusted EBITDA to $22 to $26 million from the previous range of $20 to $24 million.”

“The principal drivers of this profitability improvement in the second quarter were a substantial increase in revenues from our mobility growth engine, mainly our solutions for In-Flight Connectivity (IFC). This demonstrates the earnings power and potential of our strategic growth engines, which also include our cellular backhaul over satellite solutions for the mobile market.

“In the second quarter, we continued to see progress with our growth engines. In Mobility, we are pleased that Gogo is now installing our modems in an accelerated fashion on commercial flights with a plan to reach over 1,800 aircrafts across more than 13 airlines. In addition, we continue to mature other opportunities in this market.
 
“We are also pleased to see a growing market for consumer broadband in Russia/CIS that is enabled by our innovative technology, the Scorpio VSAT, which was selected by the leading Russian DTH providers, now NTV-Plus in addition to Tricolor.
 
“Furthermore, in the Mobile growth engine, we continue to develop our telco strategy of providing leading LTE over satellite cellular backhaul solutions to the industry. We are optimistic that opportunities in our pipeline will soon mature.
 
“Lastly, the win of a significant deal with Telebras in Brazil points to the start of a potential turnaround in our business in LATAM, and we are focused on accelerating this trend.
 
Mr. Ovadia concluded: “We are pleased to report the continued strong progress of Gilat in the second quarter as we continue to focus on improving profitability while developing our Mobile and Mobility growth engines. As our management objectives for full year 2017 indicate, we are optimistic about the rest of the year.”

Key Recent Announcements:
·
Gilat Propels the Russian DTH Market into Broadband Services
 
·
Telebras, Brazil Awards Gilat Contract of Over USD 11 Million
 
·
Intelsat and Gilat Unveil Mobile Reach Solar 3G Solution for Mobile Network Operators that Need to Expand in Remote Areas
 
4
Conference Call and Webcast Details:

Gilat management will host a conference call today, Tuesday, August 8, to discuss the second quarter results.  The details are as follows:
 
Conference Call and Webcast
 
Date:
Tuesday, August 8, 2017
Start:
09:30 AM EDT / 16:30 IDT
Dial-in:
US: 1-888-407-2553
 
International: (972) 3-918-0610
 
A simultaneous Webcast of the conference call will be available on the Gilat website at www.gilat.com and through this link: http://veidan-stream.com/gilatq2-2017.html

The webcast will also be archived for a period of 30 days on the Company’s website and through the link above.
 
Conference Call Replay
 
Start:
August 8, 2017 at 12:00 PM EDT / 19:00 IDT
End:
August 11, 2017 at 12:00 PM EDT / 19:00 IDT
Dial-in:
US: 1-888-782-4291
 
International: (972) 3-925-5918
 
Non-GAAP Measures
 The attached summary unaudited financial statements were prepared in accordance with U.S. Generally Accepted Accounting Principles (GAAP). To supplement the consolidated financial statements presented in accordance with GAAP, the Company presents Non-GAAP presentations of net income, operating income, Adjusted EBITDA and earnings per share. The adjustments to the Company’s GAAP results are made with the intent of providing both management and investors a more complete understanding of the Company’s underlying operational results, trends and performance.

Adjusted EBITDA (operating income before depreciation, amortization, non-cash stock option expenses, costs related to acquisition transactions, restructuring cost, goodwill impairment, impairment of long lived assets, trade secrets litigation expenses and tax expenses under amnesty program) is presented to compare the Company’s performance to that of prior periods and evaluate the Company’s financial and operating results on a consistent basis from period to period. The Company also believes this measure, when viewed in combination with the Company’s financial results prepared in accordance with GAAP, provides useful information to investors to evaluate ongoing operating results and trends. Adjusted EBITDA, however, should not be considered as an alternative to operating income or net income for the period and may not be indicative of the historic operating results of the Company; nor is it meant to be predictive of potential future results. Adjusted EBITDA is not a measure of financial performance under GAAP and may not be comparable to other similarly titled measures for other companies. Reconciliation between the Company's Operating income and Adjusted EBITDA is presented in the attached summary financial statements.

This news release also contains a forward-looking estimate of Adjusted EBITDA projected to be generated by Gilat in 2017. A forward-looking estimate of net income and reconciliations of the forward-looking estimates of Adjusted EBITDA to net income are not provided because the items necessary to estimate net income are not estimable at this time. Non-GAAP presentations of net income, operating income, Adjusted EBITDA and earnings per share should not be considered in isolation or as a substitute for any of the consolidated statements of operations prepared in accordance with GAAP, or as an indication of Gilat’s operating performance or liquidity.

5

About Gilat
Gilat Satellite Networks Ltd. (NASDAQ: GILT, TASE: GILT) is a leading global provider of satellite-based broadband communications. With 30 years of experience, we design and manufacture cutting-edge ground segment equipment, and provide comprehensive solutions and end-to-end services, powered by our innovative technology. Delivering high value competitive solutions, our portfolio comprises of a cloud based VSAT network platform, high-speed modems, high performance on-the-move antennas and high efficiency, high power Solid State Amplifiers (SSPA) and Block Upconverters (BUC).

Gilat’s comprehensive solutions support multiple applications with a full portfolio of products to address key applications including broadband access, cellular backhaul, enterprise, in-flight connectivity, maritime, trains, defense and public safety, all while meeting the most stringent service level requirements.  Gilat controlling shareholders are the FIMI Private Equity Funds. For more information, please visit: www.gilat.com

Certain statements made herein that are not historical are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. The words "estimate", "project", "intend", "expect", "believe" and similar expressions are intended to identify forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties. Many factors could cause the actual results, performance or achievements of Gilat to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements, including, among others, changes in general economic and business conditions, inability to maintain market acceptance to Gilat's products, inability to timely develop and introduce new technologies, products and applications, rapid changes in the market for Gilat's products, loss of market share and pressure on prices resulting from competition, introduction of competing products by other companies, inability to manage growth and expansion, loss of key OEM partners, inability to attract and retain qualified personnel, inability to protect the Company's proprietary technology and risks associated with Gilat's international operations and its location in Israel. We undertake no obligation to update or revise any forward-looking statements for any reason. For additional information regarding these and other risks and uncertainties associated with Gilat's business, reference is made to Gilat's reports filed from time to time with the Securities and Exchange Commission.

Contact:
Gilat Satellite Networks
Doreet Oren
DoreetO@gilat.com

Comm-Partners LLC
June Filingeri, President
203-972-0186
junefil@optonline.net

6

GILAT SATELLITE NETWORKS LTD.
                            
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                            
U.S. dollars in thousands (except share and per share data)
                            
 
    Six months ended
June 30,
   
Three months ended
June 30,
 
   
2017
    
2016
    
2017
    
2016
  
   
Unaudited
    
Unaudited
  
                         
Revenues
  
$
130,168
    
$
120,563
    
$
66,237
    
$
67,898
  
Cost of revenues
    
93,258
      
92,984
      
46,668
      
52,717
  
                                 
Gross profit
    
36,910
      
27,579
      
19,569
      
15,181
  
                                 
Research and development expenses
    
13,467
      
12,593
      
6,712
      
6,705
  
Less - grants
    
523
      
638
      
476
      
552
  
Research and development, net
    
12,944
      
11,955
      
6,236
      
6,153
  
Selling and marketing expenses
    
11,350
      
10,976
      
5,555
      
5,853
  
General and administrative expenses
    
10,723
      
10,152
      
5,903
      
5,714
  
                                 
Total operating expenses
    
35,017
      
33,083
      
17,694
      
17,720
  
                                 
Operating income (loss)
    
1,893
      
(5,504
)
    
1,875
      
(2,539
)
                                 
Financial expenses, net
    
(2,046
)
    
(1,603
)
    
(1,242
)
    
(860
)
                                 
Income (loss) before taxes on income
    
(153
)
    
(7,107
)
    
633
      
(3,399
)
                                 
Taxes on income (tax benefit)
    
(1,501
)
    
569
      
(1,499
)
    
251
  
                                 
Net income (loss)
  
$
1,348
    
$
(7,676
)
  
$
2,132
    
$
(3,650
)
                                 
Earnings (loss) per share (basic and diluted)
  
$
0.02
    
$
(0.16
)
  
$
0.04
    
$
(0.07
)
                                 
Weighted average number of shares used in
                                
computing earnings (loss) per share
                                
Basic
    
54,649,863
      
49,383,450
      
54,676,042
      
54,384,521
  
Diluted
    
54,690,930
      
49,383,450
      
54,701,316
      
54,384,521
  
 
7
 
GILAT SATELLITE NETWORKS LTD.
                                    
RECONCILIATION BETWEEN GAAP AND NON-GAAP STATEMENTS OF OPERATIONS
                          
FOR COMPARATIVE PURPOSES
                                    
U.S. dollars in thousands (except share and per share data)
                                    
 
   
Three months ended
    
Three months ended
  
   
June 30, 2017
    
June 30, 2016
  
   
GAAP
    
Adjustments (1)
    
Non-GAAP
    
GAAP
    
Adjustments (1)
    
Non-GAAP
  
   
Unaudited
    
Unaudited
  
                                     
Gross profit
  
$
19,569
      
1,205
    
$
20,774
    
$
15,181
      
1,225
    
$
16,406
  
Operating expenses
    
17,694
      
(1,049
)
    
16,645
      
17,720
      
(1,839
)
    
15,881
  
Operating income (loss)
    
1,875
      
2,254
      
4,129
      
(2,539
)
    
3,064
      
525
  
Income (loss) before taxes on income
    
633
      
2,491
      
3,124
      
(3,399
)
    
3,064
      
(335
)
Net income (loss)
  
$
2,132
      
2,491
    
$
4,623
    
$
(3,650
)
    
3,064
    
$
(586
)
                                                 
Income (loss) per share (basic and diluted)
  
$
0.04
      
0.04
    
$
0.08
    
$
(0.07
)
    
0.06
    
$
(0.01
)
                                                 
Weighted average number of shares used in
                                                
   computing income (loss) per share
                                                
    Basic
    
54,676,042
              
54,676,042
      
54,384,521
              
54,384,521
  
    Diluted
    
54,701,316
              
54,735,130
      
54,384,521
              
54,384,521
  
 
(1)
Adjustments reflect the effect of non-cash stock-based compensation as per ASC 718, amortization of intangible assets related to shares acquisition transactions, trade secrets litigation expenses and tax expenses under amnesty program.
 
           
Three months ended
                    
Three months ended
          
           
June 30, 2017
                    
June 30, 2016
          
           
Unaudited
                    
Unaudited
          
                                                 
GAAP net income (loss)
          
$
2,132
                    
$
(3,650
)
        
Gross profit
                                                
Non-cash stock-based compensation expenses
            
11
                      
32
          
Amortization of intangible assets related to acquisition transactions
            
1,194
                      
1,193
          
             
1,205
                      
1,225
          
Operating expenses
                                                
Non-cash stock-based compensation expenses
            
203
                      
270
          
Amortization of intangible assets related to acquisition transactions
            
193
                      
195
          
Trade secrets litigation expenses
            
25
                      
1,374
          
Tax expenses under amnesty program
            
628
                      
-
          
             
1,049
                      
1,839
          
                                                 
Finance and taxes on income
                                                
Tax expenses under amnesty program
            
237
                      
-
          
                                                 
Non GAAP income (loss)
          
$
4,623
                    
$
(586
)
        
 
8
GILAT SATELLITE NETWORKS LTD.
                                    
RECONCILIATION BETWEEN GAAP AND NON-GAAP STATEMENTS OF OPERATIONS
                          
FOR COMPARATIVE PURPOSES
                                    
U.S. dollars in thousands (except share and per share data)
                                    
 
   
Six months ended
30 June 2017   		    
Six months ended
30 June 2016   		  
   
GAAP
    
Adjustments (1)
    
Non-GAAP
    
GAAP
    
Adjustments (1)
    
Non-GAAP
  
   
Unaudited
    
Unaudited
  
                                     
Gross profit
  
$
36,910
      
2,410
    
$
39,320
    
$
27,579
      
2,409
    
$
29,988
  
Operating expenses
    
35,017
      
(2,285
)
    
32,732
      
33,083
      
(2,470
)
    
30,613
  
Operating income (loss)
    
1,893
      
4,695
      
6,588
      
(5,504
)
    
4,879
      
(625
)
Income (loss) before taxes on income
    
(153
)
    
4,932
      
4,779
      
(7,107
)
    
4,879
      
(2,228
)
Net income (loss)
  
$
1,348
      
4,932
    
$
6,280
    
$
(7,676
)
    
4,879
    
$
(2,797
)
                                                 
Income (loss) per share (basic and diluted)
  
$
0.02
      
0.09
    
$
0.11
    
$
(0.16
)
    
0.10
    
$
(0.06
)
                                                 
Weighted average number of shares used in
                                                
   computing net income (loss) per share
                                                
    Basic
    
54,649,863
              
54,649,863
      
49,383,450
              
49,383,450
  
    Diluted
    
54,690,930
              
54,785,783
      
49,383,450
              
49,383,450
  
 
(1)
Adjustments reflect the effect of non-cash stock-based compensation as per ASC 718, amortization of intangible assets related to shares acquisition transactions, trade secrets litigation expenses and tax expenses under amnesty program.
 
           
Six months ended
                    
Six months ended
          
           
30 June 2017
                    
30 June 2016
          
           
Unaudited
                    
Unaudited
          
                                                 
GAAP net income (loss)
          
$
1,348
                    
$
(7,676
)
        
Gross profit
                                                
Non-cash stock-based compensation expenses
            
22
                      
21
          
Amortization of intangible assets related to acquisition transactions
            
2,388
                      
2,388
          
             
2,410
                      
2,409
          
Operating expenses
                                                
Non-cash stock-based compensation expenses
            
396
                      
482
          
Amortization of intangible assets related to acquisition transactions:
            
388
                      
388
          
Trade secrets litigation expenses
            
873
                      
1,600
          
Tax expenses under amnesty program
            
628
                      
-
          
             
2,285
                      
2,470
          
                                                 
Finance and taxes on income
                                                
Tax expenses under amnesty program
            
237
                      
-
          
                                                 
Non GAAP income (loss)
          
$
6,280
                    
$
(2,797
)
        
 
9
GILAT SATELLITE NETWORKS LTD.
                            
CONDENSED ADJUSTED EBITDA
                            
U.S. dollars in thousands
                            
 
   
Six months ended
June 30,   
    
Three months ended
June 30,   
  
   
2017
    
2016
    
2017
    
2016
  
   
Unaudited
    
Unaudited
  
                         
GAAP operating income (loss)
  
$
1,893
    
$
(5,504
)
  
$
1,875
    
$
(2,539
)
Add:
                                
Non-cash stock-based compensation expenses
    
418
      
503
      
214
      
302
  
Trade secrets litigation expenses
    
873
      
1,600
      
25
      
1,374
  
Tax expenses under amnesty program
    
628
      
-
      
628
      
-
  
Depreciation and amortization
    
6,304
      
6,525
      
3,139
      
3,224
  
                                 
Adjusted EBITDA
  
$
10,116
    
$
3,124
    
$
5,881
    
$
2,361
  
 
10
 
GILAT SATELLITE NETWORKS LTD.
            
CONDENSED CONSOLIDATED BALANCE SHEET
            
U.S. dollars in thousands
            
 
   
June 30,
    
December 31,
  
   
2017
    
2016
  
   
Unaudited
    
Audited
  
             
ASSETS
            
             
CURRENT ASSETS:
            
Cash and cash equivalents
  
$
78,831
    
$
40,133
  
Restricted cash
    
24,379
      
62,229
  
Restricted cash held by trustees
    
6,110
      
9,058
  
Trade receivables, net
    
84,219
      
89,377
  
Inventories
    
24,471
      
21,469
  
Other current assets
    
24,371
      
17,017
  
                 
   Total current assets
    
242,381
      
239,283
  
                 
LONG-TERM INVESTMENTS:
                
Severance pay funds
    
8,346
      
7,791
  
Other long term receivables
    
394
      
436
  
                 
Total long-term investments and receivables
    
8,740
      
8,227
  
                 
PROPERTY AND EQUIPMENT, NET
    
80,048
      
80,837
  
                 
INTANGIBLE ASSETS, NET
    
8,497
      
11,383
  
                 
GOODWILL
    
43,468
      
43,468
  
                 
TOTAL ASSETS
  
$
383,134
    
$
383,198
  
11
 
 
GILAT SATELLITE NETWORKS LTD.
                
CONDENSED CONSOLIDATED BALANCE SHEET
                
U.S. dollars in thousands
                
 
   
June 30,
    
December 31,
  
    2017    
2016
  
   
Unaudited
    
Audited
  
                 
LIABILITIES AND EQUITY
                
                 
CURRENT LIABILITIES:
                
Current maturities of long-term loans
    
4,496
      
4,617
  
Trade payables
    
30,197
      
29,625
  
Accrued expenses
    
64,648
      
53,429
  
Advances from customers and deferred revenues
    
29,294
      
37,659
  
Advances from customers, held by trustees
    
4,188
      
7,498
  
Other current liabilities
    
16,228
      
13,846
  
                 
   Total current liabilities
    
149,051
      
146,674
  
                 
LONG-TERM LIABILITIES:
                
Accrued severance pay
    
8,146
      
7,485
  
Long-term loans, net of current maturities
    
12,782
      
16,932
  
Other long-term liabilities
    
494
      
2,281
  
                 
   Total long-term liabilities
    
21,422
      
26,698
  
                 
EQUITY:
                
Share capital - ordinary shares of NIS 0.2 par value
    
2,598
      
2,593
  
Additional paid-in capital
    
921,123
      
920,162
  
Accumulated other comprehensive loss
    
(2,648
)
    
(3,224
)
Accumulated deficit
    
(708,412
)
    
(709,705
)
                 
Total equity
    
212,661
      
209,826
  
                 
TOTAL LIABILITIES AND EQUITY
  
$
383,134
    
$
383,198
  

12
 
GILAT SATELLITE NETWORKS LTD.
                            
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                            
U.S. dollars in thousands
                            
 
   
Six months ended
June 30,   
    
Three months ended
June 30,   
  
   
2017
    
2016
    
2017
    
2016
  
   
Unaudited
    
Unaudited
  
Cash flows from operating activities:
                        
Net income (loss)
  
$
1,348
    
$
(7,676
)
  
$
2,132
    
$
(3,650
)
Adjustments required to reconcile net income (loss)
                                
 to net cash provided by (used in) operating activities:
                                
Depreciation and amortization
    
6,304
      
6,525
      
3,139
      
3,224
  
Stock-based compensation of options and RSU's
    
418
      
503
      
214
      
302
  
Accrued severance pay, net
    
106
      
(97
)
    
167
      
26
  
Accrued interest and exchange rate differences on
                                
   short and long-term restricted cash, net
    
10
      
(1,560
)
    
151
      
(1,151
)
Exchange rate differences on long-term loans
    
113
      
48
      
88
      
(42
)
Deferred income taxes, net
    
(159
)
    
-
      
(143
)
    
-
  
Decrease in trade receivables, net
    
5,048
      
3,994
      
12,003
      
5,388
  
Decrease (increase) in other assets (including short-term, long-term
                                
   and deferred charges)
    
(6,519
)
    
(1,072
)
    
(3,265
)
    
1,082
  
Decrease (increase) in inventories
    
(3,558
)
    
(2,459
)
    
(246
)
    
226
  
Decrease in restricted cash directly related to operating activities, net
    
37,979
      
21,574
      
100
      
15,270
  
Increase (decrease) in trade payables
    
537
      
3,192
      
929
      
(897
)
Increase in accrued expenses
    
11,418
      
14,483
      
3,925
      
7,075
  
Decrease in advances from customers
    
(5,710
)
    
(36,285
)
    
(2,612
)
    
(24,462
)
Increase (decrease) in advances from customers, held
                                
   by trustees
    
(3,342
)
    
(2,012
)
    
1,070
      
2,051
  
Increase (decrease) in other current liabilities and other long term liabilities
    
(1,904
)
    
697
      
434
      
(524
)
Net cash provided by (used in) operating activities
    
42,089
      
(145
)
    
18,086
      
3,918
  
                                 
Cash flows from investing activities:
                                
Purchase of property and equipment
    
(2,173
)
    
(2,032
)
    
(961
)
    
(928
)
Investment in restricted cash held by trustees
    
(5,309
)
    
(5,428
)
    
(5,309
)
    
(5,428
)
Proceeds from restricted cash held by trustees
    
8,000
      
8,158
      
2,644
      
4,483
  
Investment in restricted cash (including long-term)
    
(646
)
    
(186
)
    
(621
)
    
(7
)
Proceeds from restricted cash (including long-term)
    
667
      
7,426
      
-
      
79
  
Net cash provided by (used in) investing activities
    
539
      
7,938
      
(4,247
)
    
(1,801
)
                                 
Cash flows from financing activities:
                                
Capital lease payments
    
-
      
(307
)
    
-
      
(256
)
Issuance of shares in a rights offering
    
-
      
35,095
      
-
      
19,852
  
Issuance of restricted stock units and exercise of stock options
    
493
      
346
      
227
      
10
  
Short term bank credit, net
    
-
      
(7,000
)
    
-
      
(4,250
)
Repayment of long-term loans
    
(4,383
)
    
(4,277
)
    
(142
)
    
(138
)
Net cash provided by (used in) financing activities
    
(3,890
)
    
23,857
      
85
      
15,218
  
                                 
Effect of exchange rate changes on cash and cash equivalents
    
(40
)
    
675
      
(169
)
    
265
  
                                 
Increase in cash and cash equivalents
    
38,698
      
32,325
      
13,755
      
17,600
  
                                 
Cash and cash equivalents at the beginning of the period
    
40,133
      
18,435
      
65,076
      
33,160
  
                                 
Cash and cash equivalents at the end of the period
  
$
78,831
    
$
50,760
    
$
78,831
    
$
50,760
  
 
13