Iteris Announces First Production Shipments of Lane Departure Warning Technology to Asia-Based Heavy Truck Manufacturer

ANAHEIM, Calif.--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 received orders for initial production shipments of its award-winning Lane Departure Warning (LDW) technology as part of a development agreement with a large Asian heavy truck Original Equipment Manufacturer (OEM). The LDW units will be installed on the OEM’s line of heavy duty trucks used for long-haulage, construction haulage and goods distribution.

Initial shipments of LDW systems are scheduled to begin next month and Iteris anticipates demand for 400 units during the current quarter. The manufacturer has indicated its intention to make the Iteris LDW system a standard feature on one of its heavy duty truck models with volumes estimated at approximately 5,000 units in the coming year.

“Securing our first major LDW deployment in commercial trucks in Asia is a major win for us,” said Jack Johnson, Chief Executive Officer for Iteris. “Iteris’ goal has always been to see our crash avoidance technology offered in all major trucks worldwide and this is another important step toward reaching that goal. We value this relationship and look forward to helping make the roadways safer throughout Asia and the rest of the world.”

Shipments of LDW units to this manufacturer culminates a mutli-year development effort which has seen Iteris become the only qualified supplier for heavy truck OEMs that include: Mercedes-Benz, MAN, Iveco, Scania, DAF, Freightliner and International as well as Neoplan and MAN luxury bus and coach lines. The Iteris LDW system is also available for aftermarket installation on Sterling, Volvo, Kenworth, Peterbilt and Mack heavy trucks. Since 2000 Iteris has sold over 25,000 LDW systems to the heavy truck market in the U.S. and Europe representing an estimated billion miles traveled per year. In the U.S., there are currently 39 fleets specifying Iteris’ LDW system with a combined fleet size of nearly 19,000 trucks and another 65 fleets with approximately 134,000 trucks conducting field tests.

Iteris developed its vision-based LDW technology to help address the problem of vehicle-related highway fatalities – unintended lane changes caused by distracted, inattentive or fatigued drivers. Iteris’ LDW system was the first-of-its-kind to be deployed in the commercial truck and passenger car markets and it still remains the only vision-based system in mass production in the U.S. and Europe.

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 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” 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 planned purchases and roll-out of trucks incorporating our LDW units, and the performance and expected benefits of our technology and LDW systems, commercial vehicle and automotive standards and our future prospects. These statements are subject to change and we undertake no obligation to revise or update publicly any forward-looking statements for any reason. 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 the market acceptance of our LDW technologies and of the trucks that incorporate our technologies, our customers’ production schedules and agendas; the timing and successful completion of customer qualification of our products and the risks of non-qualification; our ability to specify, develop, complete, introduce, market and transition our products and technologies to volume production in a timely manner; the potential unforeseen impact of product offerings from competitors and other competitive pressures; and the general economic and political conditions and specific conditions in the markets we address, including the general economic slowdown and volatility in the automotive sector. 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).