Iteris Awarded $900,000 Contract by the City of Los Angeles Department of Planning to Conduct Restudy of the Warner Center Specific Plan

-- Iteris to lead multi-disciplinary consulting team comprised of prominent urban planners and designers, economists, architects and environmental specialists --

Santa Ana, Calif. ? Iteris, Inc., a leader in the traffic management market that focuses on the application and development of advanced technologies today announced it has been selected by the City of Los Angeles Department of City Planning to conduct a restudy of the Warner Center Specific Plan. The primary objective of the new Warner Center Specific Plan is to reestablish a compelling vision of Warner Center in 2035 ? a vision that reinforces its role as a prominent destination in the greater Los Angeles area. Work on this project is currently underway and is expected to last between six and twelve months.

Located in the western San Fernando Valley, encompassing approximately 1.65 square miles, Warner Center is one of the largest multi-use activity centers in the City of Los Angeles. It is a late 20th century community consisting of a variety of uses including office, retail, research and development, industrial and residential land use. Warner Center is currently home to over 16 million square feet of office, retail and light industrial uses, three major public transit hubs, and approximately 4,000 existing residential units with another 3,000 additional units either under construction or entitled. The current Specific Plan has been regulating development since its adoption by the City Council in 1993 and strives to achieve its primary goal of improving Warner Center?s transportation conditions through the Specific Plan?s Transportation Improvement and Mitigation Program (TIMP).

?Iteris is pleased to have the opportunity to help the City of Los Angeles develop a comprehensive transportation plan for Warner Center?, said Abbas Mohaddes, Iteris? president and chief executive officer. ?We will be utilizing innovative strategies such as Bus Rapid Transit, Transit-Oriented Development, and Intelligent Transportation Systems through a multi-disciplinary process which will be fully integrated with state-of-the-art urban design and land use planning efforts.?

To achieve the City?s goal for the study, over the next six to twelve months the Iteris consulting team and City staff must seamlessly integrate urban design, land use planning, and mobility in a collaborative process which is guided and shaped by the Warner Center Citizen?s Advisory Committee; property owners; developers; residents and other stakeholders. This new contract expands Iteris? on-going Warner Center transportation element project to a total value of almost $1.4 million.

About Iteris, Inc.
Iteris, Inc. is a leader in the traffic management market. Iteris is focused on the development and application of advanced technologies that reduce traffic congestion, minimize the environmental impact of traffic congestion and improve the safety of surface transportation systems. Combining outdoor image processing, traffic engineering and information technology, Iteris offers a broad range of Intelligent Transportation Systems and driver safety solutions to customers worldwide. Iteris is headquartered in Santa Ana, California with offices throughout the United States, Europe, and Asia. Investors are encouraged to contact us at 888-329-4483, or at www.iteris.com.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This release may contain forward-looking statements, which speak only as of the date hereof and are based upon our current expectations and the information available to us at this time. Words such as "believes," "anticipates," "expects," "intends," "plans," "seeks," "estimates," "may," "will," ?can? and variations of these words or similar expressions are intended to identify forward-looking statements. These statements include, but are not limited to, statements about the success and timing of this project and our future prospects.

Important factors that may cause such a difference include, but are not limited to our ability to specify, develop and complete our technologies in a timely manner; budget constraints and changing governmental priorities; the timing and successful completion of this contract; the potential unforeseen impact of product offerings from competitors and other competitive or governmental pressures; and the general economic and political conditions and specific conditions in the markets we address. Further information on Iteris, Inc., including additional risk factors that may affect our forward looking statements, is contained in our Annual Report on Form 10-K, our Quarterly Reports on Form 10-Q, our Current Reports on Form 8-K and our other SEC filings that are available through the SEC's website (www.sec.gov).

# # #