Nexus Telocation Systems Ltd. Announces Renewal of Purchase Orders in Venezuela

GIVATAYIM, Israel, Jan. 14, 2004 -- Nexus Telocation Systems Ltd. (BULLETIN BOARD: NXUS) , a leading provider of Stolen Vehicle Retrieval services, announced today that its Venezuelan customer renewed its purchase orders after approximately two years. The Company received purchase orders of over US$800,000 for the purchase of infrastructure equipment and end units. During the years 2001 and 2002, Nexus' revenues from the Venezuelan operation, exceeded $10 million.

Arik Avni, Nexus CEO, commented: "I believe these orders mark the renewal of our operations in the Venezuelan market and look forward to our continued development in Latin America."

Nexus Telocation Systems Ltd. develops, manufactures and markets low energy and cost effective wireless communications and location based information systems through the application of digital spread spectrum technologies deployed in Stolen Vehicle Retrieval applications.

This press release contains forward-looking statements with respect to the business, financial condition and results of operations of Nexus and its affiliates. These forward-looking statements are based on the current expectations of the management of Nexus, only, and are subject to risk and uncertainties relating to changes in technology and market requirements, the company's concentration on one industry in limited territories, decline in demand for the company's products and those of its affiliates, inability to timely develop and introduce new technologies, products and applications, and loss of market share and pressure on pricing resulting from competition, which could cause the actual results or performance of the company to differ materially from those contemplated in such forward-looking statements. Nexus undertakes no obligation to publicly release any revisions to these forward- looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. For a more detailed description of the risks and uncertainties affecting the company, reference is made to the company's reports filed from time to time with the Securities and Exchange Commission.