Caltrans Expands Traffic.com Network of Digital Traffic Sensors into San Jose and Sacramento; Agreements Mark Fourth and Fifth California Metropolitan Areas Participating in TTID Program

Traffic.com has an established history with Caltrans, beginning in2003 when Traffic.com signed its first agreement to install sensors inLos Angeles through the Federal Highway Administration's (FHWA)Transportation Technology Innovation and Demonstration (TTID) Program,originally the Intelligent Transportation Infrastructure Program(ITIP). Since then, Caltrans has continued to tap Traffic.com foradditional sensor deployments throughout the state, bringing the totalnumber of metropolitan areas covered by Traffic.com sensors to five.

"At Traffic.com we are driven to deliver a quality product to ourpartners and consumers," said David L. Jannetta, president,Traffic.com. "Caltrans' decision to extend its relationship withTraffic.com for comprehensive traffic solutions for San Jose andSacramento is a testament to our position as the national leader inproviding reliable, accurate traffic services. We are pleased to beoffering valuable, customizable traffic solutions to the 23 millionpeople that live and work in these five areas."

Traffic.com is installing the sensor system and providingcomprehensive traffic services at no cost to California State or localgovernment agencies. As part of the FHWA-funded TTID program,Traffic.com will pay for the construction, operational costs, andongoing maintenance of the sensors and will also reinvest a portion ofthe revenue to expand the system. Traffic.com plans to place thesesensors along major expressway portions of I-280, I-680 and US-101around the San Jose area and portions of CA-99, I-5, I-80 and US-50near Sacramento, with completion targeted by year-end 2007. Accordingto the 2005 Urban Mobility Report issued by the Texas TransportationInstitute, traffic congestion cost Sacramento area drivers $619million and San Jose drivers $823 million in 2003.

"Caltrans is pleased to continue to build on our successfulpartnership with Traffic.com by adding San Jose and Sacramento to themetropolitan areas covered," said Randy Iwasaki, chief deputy directorof Caltrans. "The state of California has been a pioneer in developinginnovative public-private relationships and we are pleased to be ableto expand the Traffic.com program."

Traffic.com will use the data collected by these new sensors andcombine it with data from Caltrans' Traffic Monitoring System and thePerformance Monitoring System (PeMS) to distribute digital trafficdata and incident/event information to drivers in California acrossmultiple platforms, including television, radio, Web, phone, andwireless device. This public-private partnership will supply driverswith the valuable and comprehensive traffic information they need tomanage the multitude of traffic problems they encounter each day.

About Traffic.com, Inc.

Traffic.com(R) is the leading provider of personalized trafficinformation for drivers coast to coast. Through the industry's mostcomprehensive data collection infrastructure, Traffic.com offersconsumers real-time customized traffic reports in 50 metropolitanareas. These personalized consumer reports are complete withpredictive traffic trends, vehicle speeds, congestion levels, traveltimes, and delay times delivered via web, wireless device, radio,television, and in-vehicle navigation systems. Traffic.com's abilityto distribute traffic information via specialized data feeds andacross multiple platforms creates unique, cross-platform brandingopportunities for advertisers, enabling them to expand their reach andtarget consumers with useful, relevant content multiple times per day.Traffic.com's growing list of business partners includes AOL,Microsoft, The Weather Channel(R), Comcast, Garmin International Inc.,Motorola's VIAMOTO(TM) Solutions, and XM Satellite Radio.

Forward-Looking Statement

This press release includes forward-looking statements within themeaning of the Private Securities Litigation Reform Act of 1995.Because these statements apply to future events, they are subject torisks and uncertainties that could cause actual results to differmaterially, including Traffic.com's history of operating losses, risksassociated with its recently expanded business model, the substantialcompetition it faces, its ability to maintain advertiser relationshipsand attract additional advertisers, its dependency on governmentcontracts, possible failure of its traffic information managementsystem, and failure to protect its intellectual property or to defendagainst intellectual property claims of others. These and other risksare described in greater detail in Traffic.com's filings with theSecurities and Exchange Commission. Traffic.com may not actuallyachieve the goals or plans described in its forward-lookingstatements, and investors should not place undue reliance on thesestatements. Traffic.com disclaims any intent or obligation to updateany forward-looking statements as a result of developments occurringafter the date of this press release.

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The Traffic.com logo is a trademark and Traffic.com is aregistered trademark of Traffic.com, Inc. All other product or servicenames or marks are the property of their respective owners. (C) 2006Traffic.com, Inc.