Red Flags Detected

• ⚠ The Notes Are Issued By Three Special-purpose Finance Subsidiaries of Teva, Not By Teva Itself. These Subsidiaries Have No Assets or Operations Beyond This Offering and Prior Debt Offerings, Meaning Investors Rely Solely On Teva's Guarantee For Repayment. (new) — Investors are exposed to the credit risk of Teva through a guarantee, but the issuing entities are shell companies with no independent assets, which may complicate enforcement and recovery in bankruptcy.
• ⚠ The Guarantees Will Be Effectively Subordinated to Any Existing and Future Secured Indebtedness Teva May Have Up to the Value of the Collateral Securing That Indebtedness and Structurally Subordinated to Any Existing and Future Liabilities and Other Indebtedness of Our Subsidiaries With Respect to the Assets of Those Subsidiaries. (new) — The notes are unsecured and rank below secured debt and subsidiary liabilities, meaning noteholders may recover less in a default scenario.
• ⚠ The Notes Are New Issues of Securities For Which There Are Currently No Trading Markets. (new) — Lack of an established trading market may make it difficult for investors to sell the notes at attractive prices or at all, especially since the USD notes will not be listed on any exchange.
• ⚠ Teva Is Organized Under the Laws of Israel and Certain of Teva’s Directors and Officers Reside Outside of the United States. As a Result, Service of Process On Them May Be Difficult or Impossible to Effect In the United States. (new) — Enforcing U.S. court judgments against Teva or its directors may be difficult due to foreign jurisdiction and lack of treaty for automatic recognition of judgments.