Question-and-Answer Session
Operator
Thank you. (Operator Instructions) The first question is from Daniel Meron of RBC Capital Markets; please go ahead.
Daniel Meron - RBC Capital Markets
Thank you. Congratulation for the ongoing execution; and Tal, good luck with your new role. It was a pleasure working with you and good luck Yaacov on your position. My first question relates to the outlook as you look ahead into the back half of the year. How should we think about the trends in the third quarter? Are we back to normal seasonality by now? Do you think that the macro headwinds are completely out of the way by now?
Amos Shapira
It seems our legal counselor is in the room. I can’t respond to your question. It seems I can’t give you any information about the future, so I apologize.
Tal Raz
I just want to add something more which relates maybe to the trend that we are really seeing in this industry in the second half of the year. Usually we know that from the seasonality sector, we know that the third quarter is usually the highest or the strongest quarter of the year. The fourth quarter is usually the lowest quarter of the year and it is because of the Jewish holiday.
Even though in this year we will have a slight shift, because some of Jewish holidays will be falling in the third quarter, so there will be some shift between the third and the fourth quarter. Other than that, I think that Amos mentioned the roaming before; we don’t see any change to this trend at that stage. This goes in hand with the allowance for doubtful accounts. Other than that we cannot give of course any upcoming forecast.
Daniel Meron - RBC Capital Markets
Okay understood. Can you give us a sense on the CapEx funds that you have ahead of you and any change to working capital in the respect of the iPhone launch that is expected in the next few months?
Tal Raz
Well, we will stick to our guidance, that CapEx will be less than 10% of our total revenues. Since we are not seeing any new incoming, new technology, we know that forward deal, the LTE [ph] is way ahead of us, we are not changing this guidance.
On the iPhone subsidy, it’s not just the iPhone, its other Smartphones. We don’t know yet when they will be launch and we cannot give that space, the effect to a level of subsidy that will be related to the launch of iPhone or the other Smartphones in Cellcom.
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