DAF Trucks Signs 5-Year Contract Extension for Iteris Lane Departure Warning Systems

July 19, 2010

SANTA ANA, Calif.--Iteris, Inc. (NYSE Amex: ITI), a leader in the traffic management market that focuses on the application and development of advanced technologies, today announced that DAF Trucks N.V. (DAF), one of the world's leading manufacturers of commercial trucks for heavy transport applications, has signed a five-year contract extension to continue to offer Iteris' Lane Departure Warning (LDW) Systems as a factory-installed option on its heavy trucks. The contract period begins immediately and extends through 2015.

“We are delighted to have received this contract extension stemming from a great vote of confidence in Iteris' technology, our engineering capabilities, and our product support capabilities. With this extension, DAF becomes the third major European OEM to choose Iteris as its LDW supplier since the beginning of the year”

This intelligent system warns the driver if the vehicle unintentionally crosses lane markings on the road. By monitoring steering wheel movement, the system can also discern between intentional lane positioning as opposed to drifting caused by inattention.

"We are delighted to have received this contract extension stemming from a great vote of confidence in Iteris' technology, our engineering capabilities, and our product support capabilities. With this extension, DAF becomes the third major European OEM to choose Iteris as its LDW supplier since the beginning of the year," commented Mr. Abbas Mohaddes, president and chief executive officer of Iteris. "I am particularly pleased that the extension with DAF extends through 2015, which will carry us though the initial phase-in of the EU mandate for active safety systems, including LDW. I believe this extension, in addition to extensions we have received from Scania and MAN, positions us as a market leader in preparation for the EU mandate of active safety for commercial vehicles in 2013 and 2015."

In addition to Iteris' LDW product, the Company offers a broad suite of vision and radar-based active safety products as well as software solutions to the commercial vehicle market. These include Iteris' Forward Collision Warning (FCW) systems and the Iteris SafetyDirect„˘ software system. The FCW scans the roadway up ahead for vehicles or other objects in your lane and provides a warning to the driver whenever the headway gap to the vehicle ahead falls below a designated safe following distance, while the Iteris SafetyDirect system analyzes real-time driver performance data captured by Iteris' LDW system and can relay this information directly to fleet operators through integration with the truck's existing fleet communications system. The SafetyDirect system can provide an immediate warning to fleet operators if their drivers are having difficulty staying in their lanes; often a first indicator of driver drowsiness or other potential problems. The combination of Iteris' active safety products and software solutions create a best-in-class suite of active safety products available to the commercial truck market worldwide.

AutoVue LDW System

Iteris' LDW system is a small, integrated unit consisting of a camera, onboard computer, and sophisticated image processing algorithms. The system's camera tracks visible lane markings and its algorithms detect when a vehicle drifts toward an unintended lane change. If this occurs, the system automatically emits a distinctive rumble strip or other audible warning, alerting the driver to make a correction. LDW is a proven, reliable technology that is well-positioned to become an integral part of any comprehensive vehicle safety solution. A pioneer in vehicle safety technology, Iteris developed the world's first production Lane Departure Warning System and is available as an OEM option in passenger cars and as an OEM and aftermarket option on heavy trucks worldwide.

About DAF

DAF Trucks N.V. is a wholly owned subsidiary of the North American corporation PACCAR Inc. DAF Trucks' core activities are focused on the development, production, marketing and sale of medium and heavy-duty commercial vehicles. In its 80 years, DAF Trucks has earned a reputation for developing, manufacturing, selling, and servicing industry leading transport equipment. The constant drive to engineer and manufacture the highest quality transport solutions has become a trademark for the company. Delivering added value to its customers has always been the cornerstone of DAF's success. In a market of about 168,000 registrations in the over 15 ton segment, DAF achieved a market share in the European Union (including Norway and Switzerland) of 14.8%. In the 6 to 15 ton segment DAF's EU market share was 9.3% in a market of almost 50,000 truck registrations.

About Iteris, Inc.

Iteris, Inc. is a leader in the traffic management market 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 infrastructure. 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 North America and in Europe and Asia. Investors are encouraged to contact us at 888-329-4483, or at www.iteris.com.