Exhibit 99.1

ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES

ITURAN LOCATION AND CONTROL LTD.
PRESENTS RESULTS FOR THE FIRST QUARTER OF 2009

AZOUR, Israel – May 18, 2009 – Ituran Location and Control Ltd. (NASDAQ: ITRN, TASE: ITRN), today announced its consolidated financial results for the first quarter ended March 31, 2009.

Highlights of the Quarter

— Strong year over year growth in net income

— Improved year over year gross, Ebitda and net margins

— A 10,000 net subscriber increase to a record of 521,000 as of March 31st, 2009

First quarter Results
Revenues for the first quarter of 2009 reached US$27.3 million. This is 17% below revenues of US$32.8 million in the first quarter of 2008. Since Ituran generates revenues in local currencies, but report financial results in US dollars, revenue levels were primarily affected by the strength of the US dollar versus the Brazilian Real, the Israeli shekel and the Argentinean pessos compared with the level in the first quarter of last year.

Operating profit for the first quarter of 2009 was US$5 million (18.4% of revenues) compared with an operating profit of US$6.3 million (19.1% of revenues) in the first quarter of 2008. Again, the operating profit was negatively affected by the increase in the value of the dollar against the other currencies in which Ituran operates.

EBITDA for the quarter was $7.7 million (28.1% of revenues) compared to an EBITDA of $8.5 million (25.9% of revenues) in the first quarter of last year.

A financial gain of US$4.2 million was recorded as a result of the strong 10% appreciation of the US dollar against the Israeli shekel during the quarter, compared with the prior quarter. This, as previously explained, is due to the fact that most of the Company’s cash is held in US dollars for strategic purposes, while Ituran’s functional currency in Israel is the Israeli Shekel. In the first quarter of 2008, Ituran had a financial expense of $4.4 million.

Net profit was US$5.6 million in the first quarter of 2009 (20.5% of revenues), compared with a a net profit of US$863 thousand (2.6% of revenues), as reported in the first quarter of 2008. Fully diluted EPS in the first quarter of 2009 was US$0.27, compared with fully diluted EPS of US$0.04 in the first quarter of 2008.

Cash flow from operations during the quarter generated US$7.7 million.

As of March 31st, 2009 the company had a net cash position (including marketable securities) of US$58 million compared with US$55.3 million on December 31st, 2008.

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ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES

Eyal Sheratzky, Co-CEO of Ituran said, “Our bottom line results again prove the defensive nature of our business demonstrated by continued strong margins. Our business in Brazil continues to perform well, remaining a stable growth engine for Ituran. This business has enabled us to continue to grow our subscriber base despite the global recession.”

“Our positive business performance in all market climates, capitalizes on our firmly established customer base through its recurring revenue stream and generation of cash. As we move through 2009, and even as the extent of the global downturn is becoming clearer, we expect to continue to grow in our subscriber base,” concluded Mr. Sheratzky.

Conference Call Information

The Company will also be hosting a conference call later today, May 18th, 2009 at 10:00am ET. On the call, management will review and discuss the results, and will be available to answer investor questions.

To participate, please call one of the following teleconferencing numbers. Please begin placing your calls at least 10 minutes before the conference call commences. If you are unable to connect using the toll-free numbers, please try the international dial-in number.

US Dial-in Number: 1-888-723-3163
CANADA Dial-in Number: 1-866-958-6867
ISRAEL Dial-in Number: 03-918-0664
INTERNATIONAL Dial-in Number: +972-3-918-0664

At: 10:00am Eastern Time, 7:00am Pacific Time, 5:00pm Israel Time

For those unable to listen to the live call, a replay of the call will be available from the day after the call in the investor relations section of Ituran’s website, at: http://www.ituran.com

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ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES

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. Actual results may differ materially from these expectations due to changes in global political, economic, business, competitive, market and regulatory factors.

About Ituran

Ituran provides location-based services, consisting predominantly of stolen vehicle recovery and tracking services, as well as wireless communications products used in connection with its location-based services and various other applications. Ituran offers mobile asset location, Stolen Vehicle Recovery, management & control services for vehicles, cargo and personal security. Ituran’s subscriber base has been growing significantly since the Company’s inception to over 521,000 subscribers distributed globally. Established in 1995, Ituran has approximately 1200 employees worldwide, provides its location based services and has a market leading position in Israel, Brazil, Argentina and the United States.

Company Contact

Udi Mizrahi (udi_m@ituran.com)
VP Finance, Ituran
(Israel) +972 3 557 1348

International Investor Relations

Ehud Helft
Kenny Green
info@gkir.com
GK Investor Relations
(US) +1 646 201 9246

Investor Relations in Israel

Oded Ben Chorin (oded@km-ir.co.il)
KM Investor Relations
(Israel) +972 3 5167620

** FINANCIAL TABLES TO FOLLOW **

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ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES

Consolidated Interim Financial Statements
as of March 31, 2009

ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES

Consolidated Interim Financial Statements
as of March 31, 2009

Table of Contents

	Page
Consolidated Interim Financial Statements:
Balance Sheets	2 - 3
Statements of Income	4
Statements of Cash Flows	5

ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES
CONSOLIDATED INTERIM BALANCE SHEETS

	US dollars
	March 31,		December 31,
(in thousands)	2009		2008
Current assets
Cash and cash equivalents		29,793		12,511
Cash deposit in escrow		13,023		12,998
Investments in trading marketable securities		15,548		30,159
Accounts receivable (net of allowance for doubtful accounts)		23,634		26,729
Other current assets		5,485		5,487
Inventories		11,981		11,659
		99,464		99,543
Long-term investments and debit balances
Investments in affiliated companies		163		180
Investments in other companies		73		80
Available for sale securities		3,285		2,988
Other current assets		1,286		1,139
Loan to former employee		558		558
Deposit		439		304
Deferred income taxes		6,502		6,544
Funds in respect of employee rights upon retirement		2,651		2,792
		14,957		14,585
Property and equipment, net		26,697		27,074
Intangible assets, net		5,918		6,967
Goodwill		8,871		9,730
Total assets		155,907		157,899

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ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES
CONSOLIDATED INTERIM BALANCE SHEETS

	US dollars
	March 31,		December 31,
(in thousands)	2009		2008
Current liabilities
Credit from banking institutions		404		320
Accounts payable		12,670		11,642
Deferred revenues		4,889		4,821
Other current liabilities		15,387		16,333
		33,350		33,116
Long-term liabilities
Liability for employee rights upon retirement		4,386		4,747
Deferred income taxes		1,268		1,463
		5,654		6,210
Minority interest		2,917		3,124
Capital Notes		5,894		5,894
Total shareholders' equity		108,092		109,555
Total liabilities and shareholders' equity		155,907		157,899

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ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES
CONSOLIDATED INTERIM STATEMENTS OF INCOME

	Three months period ended March 31 ,
(in thousands except per share data)	2009			2008
Revenues:
Location-based services		20,134			19,828
Wireless communications products		7,118			12,986
		27,252			32,814
Cost of revenues:
Location-based services		7,596			7,191
Wireless communications products		6,348			10,482
		13,944			17,673
Gross profit		13,308			15,141
Research and development expenses		90			106
Selling and marketing expenses		1,704			2,641
General and administrative expenses		6,511			6,082
Other (income) expenses, net		(10	)		35
Operating income		5,013			6,277
Financing income (expenses),net		4,154			(4,371	)
Income before taxes on income		9,167			1,906
Taxes on income		(3,362	)		(781	)
		5,805			1,125
Share in losses of affiliated companies, net		-			(16	)
Minority interests in income of subsidiaries		(210	)		(247	)
Net income for the period		5,595			862
Earnings per share:
Basic		0.27			0.04
Diluted		0.27			0.04
Weighted average number of shares outstanding (in thousands):
Basic		20,968			22,107
Diluted		20,976			22,116

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ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES
CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS

	US dollars
	Three months period ended March 31 ,
(in thousands)	2009			2008
Cash flows from operating activities
Net income for the period		5,595			862
Adjustments to reconcile net income to net cash from operating activities:
Depreciation and amortization		2,637			2,219
Exchange differences on principal of deposit and loan, net		(51	)		48
Exchange differences on principal of trading marketable securities		(1,888	)		(43	)
Increase in liability for employee rights upon retirement		77			111
Share in losses of affiliated companies, net		-			16
Deferred income taxes		(315	)		(579	)
Capital loses (gains) on sale of property and equipment, net		(10	)		33
Minority interests in profits of subsidiaries, net		210			247
Increase in accounts receivable		(246	)		(3,633	)
Decrease (increase) in other current assets		224			(199	)
Increase in inventories		(1,397	)		(946	)
Increase in accounts payable		2,101			1,953
Increase in deferred revenues		512			311
Increase in other current liabilities		237			1,393
Net cash provided by operating activities		7,686			1,793
Cash flows from investing activities
Increase in funds in respect of employee rights upon retirement, net of
withdrawals		(116	)		(67	)
Capital expenditures		(2,491	)		(2,751	)
Proceeds from sale of property and equipment		26			132
Deposit		(163	)		-
Investment in trading marketable securities		(15,497	)		(1,673	)
Sale of marketable securities		30,100			1,652
Proceeds from sale of subsidiary		-			58,720
Net cash provided by investment activities		11,859			56,013
Cash flows from financing activities
Short-term credit from banking institutions, net		113			10,817
Purchase of shares from treasury		-			(13,212	)
Net cash provided by (used in) financing activities		113			(2,395	)
Effect of exchange rate changes on cash and cash equivalents		(2,351	)		2,364
Net increase in cash and cash equivalents		17,307			57,775
Balance of cash and cash equivalents at beginning of period		25,509			28,669
Balance of cash and cash equivalents at end of period		42,816			86,444

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