Ituran Location and Control Ltd. Prices its Initial Public Offering

AZOR, Israel, September 28 -- Ituran Location and Control Ltd. announced the pricing of its initial public offering on Nasdaq of 4,800,000 of its ordinary shares at $13.00 per share. Of the shares offered, 3,840,000 ordinary shares are being issued and sold by the Company and 960,000 ordinary shares are being sold by selling shareholders. In addition, the company and selling shareholders have granted the underwriters a 30-day option to purchase up to an additional 720,000 ordinary shares to cover over-allotments, if any. The closing of the offering is expected to take place on October 3, 2005.

The shares are scheduled to begin trading today on The Nasdaq Stock Market under the trading symbol "ITRN."

UBS Investment Bank is acting as the sole book-running manager of the offering and JPMorgan is acting as joint lead manager. William Blair & Company and C.E. Unterberg, Towbin are co-managers.

Copies of the final prospectus relating to the offering may be obtained, when available, from UBS Securities LLC, Prospectus Department, 299 Park Avenue, New York, NY 10171.

A registration statement relating to these securities has been filed with and declared effective by the Securities and Exchange Commission. The public offering is being made solely by means of a prospectus which is included as a part of that registration statement. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

Certain statements in this press release are "forward-looking statements" within the meaning of the Securities Act of 1933, as amended. These forward-looking statements include, but are not limited to, our plans, objectives, expectations and intentions and other statements contained in this report that are not historical facts as well as statements identified by words such as "expects", "anticipates", "intends", "plans", "believes", "seeks", "estimates" or words of similar meaning. These statements are based on our current beliefs or expectations and are inherently subject to significant uncertainties and changes in circumstances, many of which are beyond our control. The proposed IPO is subject to a number of conditions and approvals and there can be no assurance that an offering will be completed as described or within the time periods outlined above. Actual results may differ materially from these expectations due to changes in global political, economic, business, competitive, market and regulatory factors.

Eyal Sheratzky, Co-CEO, Tel: +972-3-5571777, eyal_s@ituran.com