Iteris Acquires Assets of Mil-Lektron

    ANAHEIM, Calif.--Feb. 8, 2002--Iteris Inc., a subsidiary of Odetics Inc. , today announced that it has acquired the assets of Mil-Lektron, including product designs, inventory, intellectual property and the Mil-Lektron brand name.
    "Iteris has found the Mil-Lektron products to be highly complementary to our existing Vantage video detection and video surveillance offerings, and we expect the addition of the Mil-Lektron product line to help accelerate Vantage sales," said Greg McKhann, Iteris vice president of roadway video systems.
    As part of the transaction, Mil-Lektron founder Boyd Chaney will continue working with Iteris on a consulting basis.
    Mil-Lektron offers a variety of video transmission and isolation products that are used to transport live video signals on twisted pair cabling over several miles, thus providing traffic engineers with a very cost-effective way to send video over their existing communication infrastructure.
    Key products being acquired by Iteris include the ML928 Video Hardwire System and the ML108A Video Isolation System. The ML928 system is a high quality, analog, full motion video driver/equalizer system that allows sending and receiving of standard baseband video signals over twisted pair copper wire or coax cables. The ML108A system is designed to correct the ground loop problems and signal losses that can be associated with long lengths of coaxial cable between cameras and switchers or monitors.
    "Many Vantage users want to bring live video from the roadway to the desktop but have insufficient funding to install a fiber optic infrastructure for video transmission," said McKhann.
    "This acquisition positions us to satisfy that user need in a very cost-effective way, with the Mil-Lektron video hardwire system enabling them to send video over their existing traffic signal interconnection cable. We are very excited to have added these products to our solution set. And we are very pleased to have Boyd Chaney, the founder of Mil-Lektron, working with us as a consultant."
    "I am pleased that Iteris will be continuing the legacy of service in the future that Mil-Lektron customers have enjoyed in the past," said Chaney. "I'm looking forward to working with Iteris and its distribution partners to bring new solutions to our industry."

    About Iteris Inc.

    Iteris, a subsidiary of Odetics, is a leading provider of advanced information, software and sensor technologies that improve the efficiency and safety of surface transportation. Iteris has combined information technology, system integration and applied sensors to offer a broad range of telematics and transportation solutions. For more information, see the Iteris Web site at http://www.iteris.com.

    About Odetics

    Odetics provides products and systems that employ information technology to control the use of public roadways, secure ingress and egress of public and private facilities, and secure the delivery of digital communications. Odetics has headquarters in Anaheim, and may be contacted at 714/774-5000 or Odetics and the Web sites of each of its subsidiaries at www.odetics.com.

    Important Notice

    This news release contains statements that may be deemed to be forward-looking. These forward-looking statements may include statements about revenue growth, profit margins, the effect of cost reduction measures, and other statements relating to the operating results of Odetics or its subsidiaries. Actual results could differ materially from those projected in the forward-looking statements as a result of risk factors such as: short product lives, technological shifts, current technical issues that cannot be resolved on a timely basis, component availability, competition (including new and directly competitive products from others), pricing pressures, incorrect assumptions regarding market demand, the significant uncertainty of market acceptance of new products by both distributors and end-user customers, unanticipated capital requirements, retention of key personnel, general economic conditions, the inability of the company to execute its strategy including the completion of both private and public equity financings of its subsidiaries and other factors identified in the Odetics' Annual Report on Form 10-K and Quarterly Report on Form 10-Q.
    Investors are strongly encouraged to review the risk factors set forth in the Odetics most recent SEC filings.