National Grid and Itron Team Up for Smart Grid Innovation

The two companies join forces to demonstrate multi application capabilities of the Itron solution including distribution automation and consumer energy management

LIBERTY LAKE, Wash. and WESTBOROUGH, Mass.—February 15, 2012—Itron, Inc. (NASDAQ: ITRI) and National Grid announced today that they are collaborating on a project to build and evaluate an advanced smart grid in Massachusetts utilizing a new generation of standards-based network technology.

The two companies will collaborate to field test the multi-application capabilities of the new Itron-Cisco IPv6 based smart grid solution, including advanced metering, home area networking (HAN) and distribution automation (DA). By leveraging the Cisco GridBlocks™ Architecture, the solution will deliver these applications over a common network infrastructure designed to eliminate the need for proprietary or vendor-specific integration of applications and devices.

As part of the project, Itron and National Grid will thoroughly test system functionality and demonstrate the interoperability advantages of the Itron-Cisco IPv6 based solution by working in concert with third-party HAN and DA devices. National Grid will utilize the system to evaluate advanced metering; demand response; time-based pricing; in-home devices and web tools; network monitoring; meter data management and presentment; and advanced analytics.

"By collaborating with Itron and Cisco, we hope to be able to assess firsthand the foundational elements of an intelligent grid that can evolve with us over time," said Cheri Warren, vice president, Asset Management for National Grid. "We're taking this opportunity to test how we can build a flexible and intelligent grid that will optimize the flow of distributed energy resources, enhance the performance of electricity distribution systems, and provide our customers with choice and control over how they manage their energy use."

National Grid's involvement with this technology trial also supports their vision for joining with industry and policy leaders to provide communities and customers the best options for conservation and energy management.

"Our collaboration with National Grid represents a significant milestone in Itron's efforts to evolve smart grid communications from proprietary systems to true, multi-application networks built on open standards," said Russ Vanos, Itron vice president Smart Grid Solutions. "By working with global leaders such as National Grid and Cisco, we are bringing to market a solution that will fundamentally transform and simplify the way utilities execute to their smart grid strategies."

About National Grid
National Grid (LSE: NG; NYSE:NGG) is an electricity and gas company that connects consumers to energy sources through its networks. The company is at the heart of one of the greatest challenges facing our society — to create new, sustainable energy solutions for the future and developing an energy system that underpins economic prosperity in the 21st century. National Grid holds a vital position at the center of the energy system and it ‘joins everything up’.

In the northeast US, we connect more than seven million gas and electric customers to vital energy sources, essential for our modern lifestyles. In Great Britain, we run the gas and electricity systems that our society is built on, delivering gas and electricity across the country.

National Grid delivers electricity to approximately 3.3 million customers in Massachusetts, New Hampshire, New York and Rhode Island. It manages the electricity network on Long Island under an agreement with the Long Island Power Authority (LIPA), and owns over 4,000 megawatts of contracted electricity generation, providing power to over one million LIPA customers. It is the largest distributor of natural gas in northeastern U.S., serving approximately 3.4 million customers in New York, Massachusetts, New Hampshire and Rhode Island.

For more information please visit our website http://www.nationalgridus.com or Outage Central http://www1.nationalgridus.com/OutageCentral
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About Itron

Itron is a proven global leader in energy, water, smart city, IIoT and intelligent infrastructure services. For utilities, cities and society, we build innovative systems, create new efficiencies, connect communities, encourage conservation and increase resourcefulness. By safeguarding our invaluable natural resources today and tomorrow, we improve the quality of life for people around the world. Join us: www.itron.com.

Itron® is a registered trademark of Itron, Inc. All third-party trademarks are property of their respective owners and any usage herein does not suggest or imply any relationship between Itron and the third party unless expressly stated.

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