Iteris Delivers Its 50,000th Vantage(R) Camera for Vehicle Detection

ANAHEIM, Calif.--Sept. 19, 2006--Iteris, Inc. (AMEX:ITI), a leader in vision-based technologies and Intelligent Transportation Systems that optimize traffic flow and enhance driver safety, today announced that it has delivered a total of 50,000 Vantage cameras to its traffic management industry customers. Vantage vehicle detection systems are used in a variety of traffic control applications, such as improving traffic signal timing and detecting incidents on highways. Camera number 50,000 was delivered to Iteris distributor Phoenix Highway Products for deployment in the Southwestern U.S.

"Our Roadway Sensors team is very proud of reaching this significant delivery milestone," said Greg McKhann, Sr. Vice President of Iteris. "We have worked hard to reach a market leadership position by offering our customers high performance, easy to use products supported by excellent service. We would like to thank our customers for selecting Iteris and recognize the outstanding work of our associates and distribution partners in helping Iteris reach this milestone."

Video-based vehicle detection continues to offer traffic managers significant benefits when compared to in-pavement detection technologies. With fuel prices escalating, Iteris anticipates increased future demand for technologies such as Vantage that enable traffic managers to reduce congestion.

"Phoenix Highway Products is proud of our long association with Iteris, and would like to congratulate the Iteris associates who work so hard to provide our industry with great detection products," commented Donna Mathews, founder and President of Phoenix Highway Products. "As a distributor, we understand that our business is only as good as the performance and quality of the products we represent. We enjoy providing our customers with innovative Vantage solutions that keep traffic moving."

Vantage systems have been deployed by hundreds of agencies in 49 states in the U.S.A., as well as Asia, Latin America, Europe and the Middle East. Vantage is sold primarily through a network of independent dealers.

About Iteris, Inc.

Iteris, Inc. is a leading provider of outdoor vision systems and sensors that optimize the flow of traffic and enhance driver safety. Iteris combines outdoor image processing, traffic engineering, and information technology to offer a broad range of transportation and safety solutions. Iteris, Inc. is headquartered in Anaheim, California. Investors are encouraged to contact us at 714.774.5000, 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" "could," 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. These statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict. Therefore, our actual results could differ materially and adversely from those expressed in any forward-looking statements as a result of various factors.

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 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).