Electronics Line 3000 Announces Results for Q1 of 2008

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Recovery of Revenues to Highest Level in Twelve Months

Petach Tikva, Israel (May 5, 2008) - Electronics Line 3000 Ltd.
("EL3K" or "the Company") (XETRA: ELN), a leading global provider of
wireless security with remote management solutions announced its
financial results for the first quarter of 2008.

Financial Highlights

Revenues for the first quarter of 2008 came in at $9.4 million,
compared to $9.3 million for the comparable quarter in 2007. Revenues
have continuously increased from $8.1 million in Q3 2007 and $8.4
million in Q4 2007.

Gross margin was 39% for the first quarter of 2008, compared to 40%
for the comparable quarter in 2007.

Operating profit for the first quarter of 2008 was $65,000, compared
to $439,000 for the comparable quarter in 2007, mainly due to newly
adopted accounting policy of no longer capitalizing R&D expenses.

Net loss for the first quarter of 2008 was $285,000 compared to a net
profit of $235,000 for the first quarter of 2007.

Basic and diluted net loss per share for the first quarter of 2008
was $0.03, compared to earnings per share of $0.02 for the comparable
quarter in 2007.

Cash flow during the reported quarter, net cash provided by operating
activities was $489,000, compared to $1.9 million used in operating
activities during the comparable quarter last year. Most of the
increase in cash provided by operating activities derives from the
decrease in inventories, and decrease in trade receivables.
Overview

Revenues in Q1 of 2008 were at their highest level for the last
twelve months. This increase was mainly due to the gathering momentum
of customers and partners acquired over the last several quarters. As
a result of this, Management has witnessed Q1 2008 sales strengthen
with higher volume orders being placed with the Company.

At the same time, Electronics Line 3000 has successfully launched
iConnect, its new product line, incorporating lifestyle and design
features as well as GPRS connectivity, to great interest by the
industry, resulting in several orders, further contributing to the
revenue increase.

On the other hand, the Company experienced a reduction in operating
profit. This, however, was mainly a result of the new policy,
announced in the final quarter of 2007, to no longer capitalize R&D
expenses. Q1 2008 was the first quarter in which these costs were
expensed directly to the P&L, resulting in a lower operating profit
for the period under discussion.

Additionally, the company continued to expand its R&D department,
resulting in increased operating expenses. However, all other
operational expenses stayed at the same level, demonstrating the
Management's focus on cost control.

In addition to increased R&D expenses, a further influence on the
Company's results was the continuing devaluation of the US$ compared
to the NIS. Despite the implementation of hedging strategies which
are already in place for 2008, a negative impact was recorded.

The cash flow statement for Q1 of this year includes a final payment
of $637,500 to Metis Capital, arising from a compromise agreement,
the settlement of which was agreed in May of 2006. With this final
payment, Electronics Line 3000 has now completely settled the agreed
amount of $2,550,000 which eliminates this cash flow drain in the
future.

Mr. Amir Hayek, President and CEO of Electronics Line 3000, stated,
"We are seeing, this quarter, the fruits of our distribution channels
focus. We have been able to enter into strong partnerships, resulting
in accelerated sales from these new relationships."

"We are furthermore experiencing strong market acceptance of our new
iConnect product line, which has also resulted in new orders. We
believe that the increased traction of these products validates our
strategy of developing products that combine advanced functionality
with lifestyle and design. Furthermore, the reliability and market
relevance of our new GPRS platform has contributed to the sales
acceleration."

"Looking forward, we believe that the improvement in sales shown over
the last quarter will continue throughout 2008", Mr. Hayek concluded.

Summary financial tables are listed in the PDF document available via
the link below. Please see the Director's Report posted on our
website for more details and the accompanying notes which are an
integral part of the interim consolidated financial statements.

The Company will be hosting a conference call to discuss its Q1
earnings. It will take place at 13:30 p.m. (Frankfurt time) today.
Please use one of the following dial-in-numbers:

Germany +49 69 2222 2246
USA +1 718 354 1172
Passcode: 9236841

For more information please contact:

Electronics Line 3000 Ltd.
Shoshan Nitzan
VP Marketing
shoshan.nitzan@electronics-line.com

Schwarz Financial Communication
Frank Schwarz
Tel: +49 611 1745 398 11
schwarz@schwarzfinancial.co

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Electronics Line 3000 Ltd.
2 Granit St., P.O.B. 3253 Petah Tikva
Israel

WKN: A0B5R7; ISIN: IL0010905052; Index: CDAX, Prime All Share, TECH
All Share;
Listed: Geregelter Markt in Frankfurter Wertpapierbörse, Freiverkehr
in Börse Berlin,
Freiverkehr in Bayerische Börse München, Prime Standard in
Frankfurter Wertpapierbörse;