Exhibit 99.1

ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES

ITURAN LOCATION AND CONTROL LTD.

PRESENTS RESULTS FOR THE SECOND QUARTER OF 2010

Revenues reach $35 million, growing 23% YoY;

AZOUR, Israel – August 25, 2010 – Ituran Location and Control Ltd. (NASDAQ: ITRN, TASE: ITRN), today announced its consolidated financial results for the second quarter ended June 30, 2010.

Highlights of the Quarter

● An 12,000 increase in net subscribers to a record of 587,000 as of June 30, 2010;

● Gross margin at 49.5% and operating margin at 21%;

● EBITDA of $11.1 million or 31.8% of revenues;

● Generated $6.6 million in operating cash flow; ended the quarter with $50 million in net cash (including marketable securities and deposits for short and long term);

Second Quarter 2010 Results

Revenues for the second quarter of 2010 reached US$35.0 million, representing 23% growth over revenues of US$28.4 million in the second quarter of 2010. 75% of revenues were from location based service subscription fees and 25% from product revenues.

Revenues from subscription fees grew by 22% over the same period last year. The increase in subscription fees was mainly due to the increase in the subscriber base, which grew to 587,000 as of June 30, 2010, as compared with 533,000 at the end of June 30, 2009. Product revenues grew 26% compared with the same period last year, driven primarily by increased sales of products in Israel.

Gross profit for the second quarter of 2010 was US$ 17.3 million (49.5% of revenues) compared with US$14.3 million (50.3% of revenues) in the second quarter of last year.

Operating profit for the second quarter of 2010 was US$7.3 million (21.0% of revenues) compared with an operating profit of US$6.0 million (21.1% of revenues) in the second quarter of 2009.

Financial income for the second quarter of 2010 was US$0.2 million compared with a financial expense of US$2.5 million in the second quarter of 2009.

EBITDA for the quarter was $11.1 million (31.8% of revenues) compared to an EBITDA of $8.9 million (31.2% of revenues) in the second quarter of last year.

Net profit was US$4.8 million in the second quarter of 2010 (13.6% of revenues), compared with a net profit of US$2.4 million (8.6% of revenues), as reported in the second quarter of 2009. Fully diluted EPS in the second quarter of 2010 was US$0.23, compared with fully diluted EPS of US$0.12 in the second quarter of 2009.

Cash flow from operations during the quarter was $6.6 million.

As of June 30, 2010, the Company had net cash, including marketable securities and deposits for short and long term, of US$50 million or $2.38 per share. This is compared with US$81.5 million or $3.89 per share as on March 31, 2010, and US$78.1 million as of December 31, 2009.

ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES

Ituran distributed a dividend to shareholders in the amount of $31.6 million or $1.50 per share during the second quarter.

Eyal Sheratzky, Co-CEO of Ituran said, “The second quarter was another solid of growth and expansion in our subscriber base, particularly in Brazil, as well as a strong level revenues and profitability. We continue to generate a strong level of cash flow, enabling us to share the long-term fruits of efforts with our shareholders through our continued dividend distribution. We continue to build our business globally, while realizing the rewards of our past efforts.”

Conference Call Information

The Company will also be hosting a conference call later today, August 25, 2010 at 10am 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 a few 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: 1 888 668 9141

CANADA Dial-in Number: 1 866 485 2399

ISRAEL Dial-in Number: 03 918 0685

INTERNATIONAL Dial-in Number: +972 3 918 0685

At: 10am Eastern Time, 7am Pacific Time, 5pm 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.

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.

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ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES

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 587,000 subscribers distributed globally. Established in 1995, Ituran has over 1,400 employees worldwide, provides its location based services and has a market leading position in Israel, Brazil, Argentina and the United States.

Company Contact	International Investor Relations
Udi Mizrahi udi_m@ituran.com VP Finance, Ituran (Israel) +972 3 557 1348	Ehud Helft & Kenny Green ituran@ccgisrael.com CCG Investor Relations (US) +1 646 201 9246

* Financial Tables to Follow **

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ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES

Consolidated Interim Financial Statements

as of June 30, 2010

ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES

Consolidated Interim Financial Statements

as of June 30, 2010

Table of Contents

	Page
Consolidated InterimFinancial Statements:
Balance Sheets	2 – 3
Statements of Income	4
Statements of Cash Flows	5

ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES

CONSOLIDATED INTERIMBALANCE SHEETS

	US dollars
	June 30,		December 31,
(in thousands)	2010		2009
Current assets
Cash and cash equivalents		35,773		60,813
Deposit in escrow		5,230		5,227
Investments in trading marketable securities		1,359		4,213
Accounts receivable (net of allowance for doubtful accounts)		28,301		24,906
Other current assets		6,944		6,136
Inventories		10,440		11,096
		88,047		112,391
Long-term investments and other assets
Deposit in Escrow		7,846		7,840
Investments in affiliated companies		203		205
Investments in other companies		79		80
Other assets		1,874		1,742
Loan to former employee		558		558
Deferred income taxes		5,117		5,653
Funds in respect of employee rights upon retirement		3,859		3,606
		19,536		19,684
Property and equipment, net		39,744		39,090
Intangible assets, net		4,384		5,064
Goodwill		9,327		9,639
Total assets		161,038		185,868

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ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES

CONSOLIDATED INTERIM BALANCE SHEETS

	US dollars
	June 30,		December 31,
(in thousands)	2010		2009
Current liabilities
Credit from banking institutions		214		6
Accounts payable		13,585		13,459
Deferred revenues		4,878		5,486
Other current liabilities		15,868		17,443
		34,545		36,394
Long-term liabilities
Long term Loans		139		-
Liability for employee rights upon retirement		5,758		5,457
Provision for contingencies		3,515		3,071
Deferred income taxes		1,051		1,209
		10,463		9,737
Capital Notes		5,894		5,894
Shareholders’ equity		105,877		130,126
Non- controlling interests		4,259		3,717
Total equity		110,136		133,843
Total liabilities and shareholders’ equity		161,038		185,868

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ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES

CONSOLIDATED INTERIM STATEMENTS OF INCOME

	Six month						Three month
(in thousands	Period ended June 30 ,						Period ended June 30 ,
except per share data)	2010			2009			2010			2009
Revenues:
Location-based services		51,866			41,528			26,142			21,394
Wireless communications products		18,138			14,148			8,869			7,030
		70,004			55,676			35,011			28,424
Cost of revenues:
Location-based services		19,397			15,158	(*)		9,762			7,789	(*)
Wireless communications products		16,103			12,685			7,915			6,337
		35,500			27,843			17,677			14,126
Gross profit		34,504			27,833			17,334			14,298
Research and development expenses		222			180			116			90
Selling and marketing expenses		4,295			3,537			2,078			1,833
General and administrative expenses		15,382			12,673			7,808			6,162
Other expenses (income), net		3			444	(*)		-			227	(*)
Operating income		14,602			10,999			7,332			5,986
Other  expenses		(81	)		-			(17	)		-
Financing income (expenses) , net		71			1,610			198			(2,544	)
Income before taxes on income		14,592			12,609			7,513			3,442
Taxes on income		(4,441	)		(4,306	)		(2,512	)		(944	)
Share in gains (losses) of affiliated companies, net		(2	)		15			(14	)		15
Net income for the period		10,149			8,318			4,987			2,513
Less :Net income attributable to Non-controlling interest		(600	)		(285	)		(238	)		(75	)
Net income attributable to company shareholders		9,549			8,033			4,749			2,438
Earnings per share attributable to company shareholders
Basic		0.46			0.38			0.23			0.12
Diluted		0.46			0.38			0.23			0.12
Weighted average number of shares outstanding (in thousands):
Basic		20,968			20,968			20,968			20,968
Diluted		20,977			20,977			20,977			20,977

(*) Reclassified

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ITURAN LOCATION AND CONTROL LTD. AND ITS SUBSIDIARIES

CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS

	US dollars						US dollars
	Six months period ended June 30 ,						Three months period ended June 30 ,
(in thousands)	2010			2009			2010			2009
Cash flows from operating activities
Net income for the period		10,149			8,318			4,987			2,513
Adjustments to reconcile net income to net cash from operating activities:
Depreciation and amortization and impairment of Goodwill		7,515			5,545			3,792			2,908
Exchange differences on principal of deposit and loan, net		(364	)		(448	)		(589	)		(397	)
Losses (gain) in respect of trading marketable securities		-			(908	)		14			980
Increase in liability for employee rights upon retirement		442			297			276			220
Share in losses (gains) of affiliated companies, net		2			(15	)		14			(15	)
Deferred income taxes		242			(556	)		68			(241	)
Capital loses (gains) on sale of property and equipment, net		21			(10	)		18			-
Decrease (increase) in accounts receivable		(2,693	)		1,932			(788	)		2,178
Increase in other current assets		(967	)		(481	)		(257	)		(705	)
Decrease (increase) in inventories and contracts in process, net		370			(2,335	)		(288	)		(938	)
Increase (decrease) in accounts payable		473			1,745			226			(356	)
Increase (decrease) in deferred revenues		(466	)		416			(499	)		(96	)
Decrease in other current liabilities and provision for contingencies		(603	)		(730	)		(378	)		(967	)
Net cash provided by operating activities		14,121			12,770			6,596			5,084
Cash flows from investing activities
Increase in funds in respect of employee rights upon retirement, net of withdrawals		(346	)		(352	)		(229	)		(236	)
Capital expenditures		(9,304	)		(5,752	)		(4,051	)		(3,261	)
Deposit		(32	)		(261	)		(297	)		(98	)
Proceeds from sale of property and equipment		479			37			484			11
Investment in marketable securities		(1,326	)		(30,490	)		-			(14,993	)
Sale of marketable securities		4,214			45,600			-			15,500
Net cash used in investment activities		(6,315	)		8,782			(4,093	)		(3,077	)
Cash flows from financing activities
Short-term credit from banking institutions, net		182			42			(326	)		(71	)
Receipt of  long term loans from baking institutions		165			-			165			-
Dividend paid		(31,621	)		(3,566	)		(31,621	)		(3,566	)
Dividend paid to non-controlling interest		-			(169	)		-			(169	)
Net cash used in financing activities		(31,274	)		(3,693	)		(31,782	)		(3,806	)
Effect of exchange rate changes on cash and cash equivalents		(1,572	)		(374	)		(2,467	)		2,002
Net increase (decrease) in cash and cash equivalents		(25,040	)		17,485			(31,746	)		203
Balance of cash and cash equivalents at beginning of period		60,813			12,511			67,519			29,793
Balance of cash and cash equivalents at end of period		35,773			29,996			35,773			29,996

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