Nestor, Inc. (NASDAQ: NEST), the parent of
Nestor Traffic Systems, Inc., a leading provider of advanced traffic
enforcement solutions, is pleased to announce that on November 18, 2005,
the City Council of Los Angeles, California, approved a 3-year contract
with Nestor Traffic Systems for the installation, maintenance, and
operation of CrossingGuard®, Nestor's patented video-based automated red
light camera system. The contract provides for CrossingGuard red light
camera systems at up to 64 approaches. Nestor Traffic Systems was selected
for the Los Angeles program in November of 2004, subject to City Council
approval of a contract.

Nestor Traffic Systems (NTS) provides automated traffic enforcement
solutions to state and municipal governments. Our goal is to deliver
effective solutions for intersection and roadway safety. We currently
offer CrossingGuard®, a turnkey solution which helps customers reduce red
light running and intersection collisions through automated enforcement,
and PoliscanSpeed, a laser-based photo speed enforcement system designed to
reduce the number of speeding vehicles on public roadways, including school
zones and construction zones.

Our CrossingGuard system uses multiple, time-synchronized videos to capture
comprehensive evidence of red light violations. CrossingGuard is the only
available system that delivers synchronized front and rear videos,
providing officials with the full context of each violation, enabling
accurate, objective decisions. Additionally, CrossingGuard offers
customers a unique Collision Avoidance™ safety feature that can help
prevent intersection collisions. Our CrossingGuard services include:
intersection evaluation, equipment installation, user training and support,
citation issuance and payment processing, and account management.

We are the exclusive North American distributor for Vitronic's
PoliscanSpeed, the industry's only scanning LIDAR, capable of tracking
multiple vehicles in multiple lanes, simultaneously. An industry first,
the scanning LIDAR mobile speed enforcement system is an innovative
solution for digital speed detection and image recording. The scanning
capability of the PoliscanSpeed system minimizes the ambiguity and
measuring errors associated with conventional photo speed enforcement
systems.

CrossingGuard® is a registered trademark of Nestor Traffic Systems, Inc.
PoliscanSpeed is a trademark of Vitronic. For more information, call (401)
434-5522 or visit www.nestor.com.

Statements in this press release about future expectations, plans and
prospects for Nestor, including statements containing the words "expects,"
"will," and similar expressions, constitute forward-looking statements
within the meaning of Section 21E of the Securities Exchange Act of 1934.
We may not achieve the plans, intentions or expectations disclosed in our
forward-looking statements and investors should not place undue reliance on
our forward-looking statements. Actual results may differ materially from
those indicated by such forward-looking statements as a result of various
factors, including: market acceptance of our products, competition, patent
protection of our technology, and other factors discussed in Risk Factors
That May Affect Our Results in our most recent Quarterly Report on Form
10-Q filed with the SEC. Investors are advised to read Nestor's Annual
Report on Form 10-K and quarterly reports on Form
10-Q. The forward-looking statements included in this press release
represent our current views and we specifically disclaim any obligation to
update these forward-looking statements in the future.

CONTACT:
Nigel P. Hebborn,
Executive Vice President
(866) 434-5522 ext. 714
www.nestor.com
SOURCE: Nestor, Inc.