Opening Statement from Israel Ronn, General Manager of Cellocator Products Division, Pointer Telocation Dear Friends, To our dear friends, Welcome to the Pointer Telocation newsletter for the 4th Quarter of 2008. Pointer Telocation has had a very good year. We are closing the year in a very strong position - led by the growth of our products division Cellocator, which you can read in more detail later in the newsletter, but also from an operational perspective, we have been able to develop enough to grow, yet still fulfill the diverse needs of our customers. At the start of the year, we saw the successful merger between Cellocator and Pointer Telocation, a merger that belongs right at the top of the list of our successes. The merger went smoothly, overcoming every possible challenge that it faced. Combining the SVR and Fleet service expertise of Pointer Telocation with the incredibly innovative GPS/GPRS-based products of Cellocator, the merger has strengthened everyone involved. We now find ourselves at the start of a global economic crisis, yet we feel very strong going into it. The fact that we are currently in a strong financial position, combined with the growing concern companies across world share about possible financial losses, it presents great opportunity to our industry as a whole, for us and all our partners, to offer enterprises - large, medium and small - products and services that are focused on cost reduction and return on investment. In addition, after a full year of extensive R&D building and product development, we are set to introduce soon our newest asset tracking product to the market, which is a product of high quality, complete with extensive features that provide for the most complete and high technology unit. We are also planning to introduce some more vertical market products during the coming year, enhancing our offering to various applications in the market. We are looking forward to continue operating closely with our partners, and we are sure that this will lead us to only further and greater achievements. By working together, we will come out of the current financial crisis only stronger and more successful.  Sincerely, Israel Ronn General Manager Cellocator Division