Document:

Exhibit 10.20

ITRON

KNOWLEDGE TO SHAPE YOUR FUTURE

LONG-TERM PERFORMANCE PLAN
SPECIFICATIONS & GUIDELINES

ITRON, INC.

AMENDED BY THE
COMPENSATION COMMITTEE OF
THE BOARD OF DIRECTORS ON
FEBRUARY 16, 2005, AUGUST 1, 2005
AND FEBRUARY 15, 2006

This document constitutes part of a prospectus for securities that have been
registered under the Securities Exchange Act of 1933, as amended, and
supplements a Plan Summary dated May 28, 2004 for the Itron, Inc. Amended and
Restated 2000 Stock Incentive Plan.

<PAGE>

Purpose

Long-term incentives serve to align, motivate and reward executives for their
contributions to the long-term financial success and growth of the Company. The
objectives for the Long-Term Performance Plan (or LTPP) are to:

o    Provide  a  greater  long-term  orientation  and  competitiveness  to total
     compensation  for Itron  executives,  by  establishing a  performance-based
     component, paid out in Itron restricted stock;

o    Align individual  executive rewards with shareholder value over a long-term
     period,  based on the achievement of predetermined  annual objectives whose
     achievement will be rewarded with Itron restricted stock to be vested after
     a three-year waiting period; and

o    Enable Itron to meet competitive total compensation needs in attracting and
     retaining critical executive talent.

Overview

The Long-Term Performance Plan provides performance awards that are contingent
on the attainment of annual performance goals. The length of each performance
period will be one year, unless the Compensation Committee of the Board of
Directors provides otherwise. At the beginning of the performance period, goals
are established which are designed to measure the degree of business success
over the timeframe. The Compensation Committee reviews and approves goals that
are recommended by management. At the end of the period, performance against the
goals is assessed and payouts are determined.

Business results for Itron will be measured over the performance period. Payouts
will be in restricted Itron shares and, unless the Compensation Committee
determines otherwise in its sole discretion with respect to an award granted to
a particular participant, awards will vest at the end of a three-year period.
This vesting period will both serve as an executive retention tool and tie
executive performance to shareholder value.

Eligibility

Eligibility for the plan will include senior management and key executives who
impact organization-wide results. Actual participation will be based on
recommendation by the Chief Executive Officer and approval by the Compensation
Committee. Current plan participants are recapped in the attached appendix.
Other executives may be eligible for future awards, upon recommendation of the
Chief Executive Officer and approval by the Compensation Committee.

Participation in the Long-Term Performance Plan for a given period will not be
construed to confer a right to participate in the plan in any subsequent period,
or the right to continue in the Company's employment.

Award Opportunities

Award opportunities will be established for each executive at the beginning of
the performance period. Awards will be calculated as a percentage of base salary
that is in existence on the last day of the performance period and expressed as
a dollar amount. Award opportunities will increase or decrease as performances
goes beyond or falls short of the performance objectives for that performance
period.

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<PAGE>

In addition, threshold and maximum award levels will be established as a percent
of the LTPP Target.

Annually, Itron establishes a Target Annual Plan (TAP) for the coming year.
Goals, financial and otherwise, as established in the TAP do not necessarily
reflect the same goals that will be used for the LTPP.

Performance Measurement

At the beginning of each performance period, the Chief Executive Officer will
recommend and communicate the specific range of performance objectives for the
Company to the Compensation Committee. The goals and the key performance factors
will be reviewed and approved by the Compensation Committee.

     Performance Measures

     Performance  objectives will be set on the basis of corporate plans for the
     following  performance  period,  condition  of  the  utility  industry  and
     competitive  performance in the market place. In the process of determining
     appropriate   LTPP   goals,   consideration   will  be  given  to  proposed
     acquisitions,  financing  and other major  issues that could have  material
     impact on the financial  performance  of the Company.  Typical  performance
     measures  may  include but are not limited  to:  Revenue  Growth,  Earnings
     Growth,  Cash Flow, Return on Capital Employed,  Net Operating Profit after
     Tax, Normalized Earnings per Share or a combination of measures.

     Performance Weighting

     Corporate  performance  will  determine  100% of the  award  for  all  plan
     participants.  Performance for other  organization  levels,  i.e.  business
     unit, product group, etc., may be included in future performance periods.

     Performance/Payout Relationship

     A range of  performance  levels -- including  threshold,  LTPP Target,  and
     maximum -- and  associated  payouts will be established at the beginning of
     the  performance  period.  As well, in any performance  period  performance
     hurdles  could  be  established.  At the  end of each  performance  period,
     Itron's  actual   performance   against  the  goals  established  for  that
     performance period will be assessed and the resulting payouts determined.

     Performance and payout opportunity will be expressed as a percentage of the
     LTPP Target Award.  For example,  achieving 100% of the  performance  goals
     would result in participants receiving 100% of the LTPP Target Award.

     Payouts will be linearly  interpolated for performance  achievement between
     the indicated levels. The Compensation  Committee may use discretion to set
     threshold levels and determine final award payouts.

     Pro forma Results

     In calculating performance attainment,  pro forma results will generally be
     used.  Pro forma  results,  as defined,  will be GAAP numbers  adjusted for
     IPR&D,  amortization  of  intangibles,   restructuring  charges  and  other
     extraordinary  events subject to approval by the Compensation  Committee of
     the Board. Adjustments to GAAP for the purpose of pro forma results will be
     discussed  with the  Compensation  Committee  at the time of the  event and
     confirmed by the Compensation Committee at its next scheduled meeting.

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<PAGE>

Payouts

Payouts will be announced as soon after the end of the performance period as
practical, and be in the form of restricted stock with a three-year cliff
vesting period. The number of shares of restricted stock to be paid out to
participants will be determined by dividing the dollar amount of the award
payout by the fair market value of Itron common stock on the date the
Compensation Committee approves the payout.

The dollar amount of the award payout will be a percentage of the eligible
employee's base pay as shown below in one of three tiers. Base pay will be the
employee's annual salary as of the last day of the performance period. The tier
structure can be changed at the recommendation of the Chief Executive Officer
and the approval of the Compensation Committee of the Board of Directors.

                                                                  % OF BASE
      TIER                       POSITION                            SALARY
      ----------------------------------------------------------------------
        Tier I   Chairman & Chief Executive Officer                  75%
                 President & Chief Operating Officer                 75%
      ----------------------------------------------------------------------

      ----------------------------------------------------------------------
        Tier II  Sr. Vice President and Chief Financial Officer      50%
                 Sr. Vice President and General Counsel              50%
                 Sr. Vice President Hardware                         50%
                 Sr. Vice President Software                         50%
                 Vice President Competitive Resources                50%
                 Vice President Investor Relations                   50%
                 Vice President International                        50%
                 Vice President Marketing                            50%
                 Vice President  Itron Electric Metering             50%

       Tier III  Others as Defined                                   25%

      ----------------------------------------------------------------------

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<PAGE>

New Participants

An employee hired into an eligible position during a performance period may
begin participation in the subsequent performance period or, at the
recommendation of the Chief Executive Officer and approval by the Compensation
Committee, in the ongoing performance period. New participants permitted to join
an ongoing performance period will be eligible to receive a prorate payout based
on the number of full months worked during the performance period. New
participants in the plan will be nominated by the Chief Executive Officer and
approved by the Compensation Committee.

Changes in Employment

Participants who terminate employment during a performance period for any reason
including termination for Cause (as defined in the Company's Amended and
Restated 2000 Stock Incentive Plan), voluntary termination, discharge by the
Company, death, disability, or retirement will forfeit their award payment for
that performance period.

Unless the Compensation Committee determines otherwise in its sole discretion
with respect to an award granted to a particular participant, participants who,
during a vesting period for restricted stock issued in connection with a prior
performance period, terminate employment for any reason, including termination
for Cause, voluntary termination, discharge by the Company, death, disability,
or retirement, will forfeit their entire unvested award payment(s).

Change-of-Control

All outstanding awards will be accelerated and paid out at maximum levels
immediately prior to a change-of-control of the Company and payout will be in
the form of fully vested shares of Itron common stock. In addition, any
outstanding unvested restricted stock issued in connection with a prior
performance period will accelerate in full immediately prior to a
change-of-control of the Company. "Change-of-control" will be consistent with
the language in the Company's standard change of control agreements in effect at
the time.

Tax Consequences

Participants will not be deemed to receive income at the time an award is
granted. Likewise, participants will not be deemed to receive income at the time
an award is paid in shares of restricted stock. However, participants will
generally recognize taxable ordinary income when the restricted stock ceases to
be subject to restrictions in an amount equal to the excess of the fair market
value of the shares at such time over the amount, if any, paid for the shares.
Within 30 days after a participant receives the restricted stock, the
participant may elect (83(b) Election) under Section 83(b) of the Internal
Revenue Code of 1986 (Code) to recognize taxable ordinary income in an amount
equal to the excess of the fair market value of the restricted stock at the time
of receipt over the amount, if any, paid for the shares. If a participant makes
an 83(b) Election, when the restrictions on the restricted stock lapse, the
participant will not have to recognize any additional income at that time.
However, if a participant has to forfeit the restricted stock to Itron (e.g.,
upon termination prior to expiration of the restriction period), the participant
may not deduct the income recognized at the time of receipt of the restricted
stock, and the participant will have a capital loss equal to the amount, if any,
paid for the shares.

The Company will be entitled to a deduction at the same time and in the same
amount as a participant recognizes ordinary income, subject to certain
limitations on deductions for compensation under Section 162(m) of the Code.

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<PAGE>

This is only a brief summary of the U.S. federal income tax laws and regulations
that apply to an award under the plan. Participants should not rely on this
summary for a complete statement of such laws and regulations. The tax laws and
regulations are complex and are subject to legislative changes. In addition,
circumstances peculiar to certain individuals may change the usual income tax
results. FOR THESE REASONS, PARTICIPANTS SHOULD CONSULT A TAX ADVISOR TO
DETERMINE THE INCOME TAX CONSEQUENCES OF AN AWARD UNDER THE PLAN.

Governance

Senior management and the Compensation Committee will be responsible for the
administration and governance of the plan. The decisions of the Committee shall
be conclusive and binding on all participants.

Amendment, Modification, or Termination of the Plan

Itron, by action of its Board of Directors and/or Compensation Committee,
reserves the right to amend, modify, or terminate the plan at any time.

Rest of page intentionally left blank

--------------------------------------------------------------------------------ITRON, INC.

                        NOTICE OF RESTRICTED STOCK AWARD
                 AMENDED AND RESTATED 2000 STOCK INCENTIVE PLAN

Date:    _______ __, 2006

To:      _______________

         You have been granted an award of restricted stock (the "Restricted
Stock Award") by Itron, Inc. (the "Company") in connection with a payout under
the Company's Long-Term Performance Plan. This Restricted Stock Award is subject
to the terms of the enclosed Restricted Stock Award Agreement and the Company's
Amended and Restated 2000 Stock Incentive Plan (the "Plan"). Except as expressly
provided otherwise in the Restricted Stock Award Agreement, the Restricted Stock
Award is limited by and subject to the express terms and conditions of the Plan.
Defined terms in the Plan have the same meanings in this Notice of Restricted
Stock Award, except where the context otherwise requires. By accepting this
Restricted Stock Award, you accept it subject to the terms of this Notice of
Restricted Stock Award and the enclosed Restricted Stock Award Agreement.

         The basic terms of the Restricted Stock Award are summarized as
follows:

1.       Number of Shares:  _________

2.       Grant Date:  __________

3.       Fair Market Value Per Share (Informational, for tax purposes):  _______

4.       Vesting:

         The shares subject to the Restricted Stock Award vest three years from
the Grant Date. Prior to such vesting date, the shares are considered unvested
shares and will be forfeited to the Company if you terminate employment for any
reason prior to expiration of the three-year vesting period, except as otherwise
provided in Section 5 of the Restricted Stock Award Agreement.

                                      -1-

<PAGE>

                                   ITRON, INC.

                        RESTRICTED STOCK AWARD AGREEMENT

         In connection with a payout under the Itron, Inc. (the "Company")
Long-Term Performance Plan (the "LTPP") and pursuant to your Notice of
Restricted Stock Award (the "Grant Notice"), the Company has granted you an
award of restricted stock (the "Restricted Stock Award") under its Amended and
Restated 2000 Stock Incentive Plan (the "Plan") for the number of shares of the
Company's Common Stock indicated in your Grant Notice. The Grant Notice, the
Plan and this Restricted Stock Award Agreement (this "Agreement") govern the
terms of the award. Capitalized terms not explicitly defined in this Agreement
but defined in the Plan have the same definitions as in the Plan.

1.       Vesting

         Shares that have vested and are no longer subject to forfeiture
according to the vesting schedule set forth in the Grant Notice are referred to
herein as "Vested Shares." Shares that are not vested and remain subject to
forfeiture under the preceding schedule are referred to herein as "Unvested
Shares." The Unvested Shares will vest (and to the extent so vested cease to be
Unvested Shares remaining subject to forfeiture) in accordance with the vesting
schedule set forth in the Grant Notice. Collectively, the Unvested Shares and
the Vested Shares are referred to herein as the "Shares."

2.       Transfer Restrictions

         Any sale, transfer, assignment, encumbrance, pledge, hypothecation,
conveyance in trust, gift, transfer by bequest, devise or descent, or other
transfer or disposition of any kind, whether voluntary or by operation of law,
directly or indirectly, of Unvested Shares will be strictly prohibited and void;
provided, however, that such restrictions on transfer will not apply to a
gratuitous transfer of the Shares provided that you obtain the Company's prior
written consent to such transfer.

3.       Status of Participant

         You will be recorded as a shareholder of the Company with respect to
the Shares.

4.       Securities Law Compliance

         4.1 You represent and warrant that you (a) have been furnished with all
information which you deem necessary to evaluate the merits and risks of receipt
of the Shares, (b) have had the opportunity to ask questions and receive answers
concerning the information received about the Shares and the Company, and (c)
have been given the opportunity to obtain any additional information you deem
necessary to verify the accuracy of any information obtained concerning the
Shares and the Company.
<PAGE>

         4.2 You hereby agree that you will in no event sell or distribute all
or any part of the Shares unless (a) there is an effective registration
statement under the Securities Act of 1933, as amended (the "Securities Act"),
and applicable state securities laws covering any such transaction involving the
Shares or (b) the Company receives an opinion of your legal counsel (concurred
in by legal counsel for the Company) stating that such transaction is exempt
from registration or the Company otherwise satisfies itself that such
transaction is exempt from registration. You understand that the Company has no
obligation to you to register the Shares with the Securities and Exchange
Commission and has not represented to you that it will so register the Shares.

         4.3 You confirm that you have been advised, prior to your receipt of
the Shares, that neither the offering of the Shares nor any offering materials
have been reviewed by any administrator under the Securities Act or any other
applicable securities act.

         4.4 You hereby agree to indemnify the Company and hold it harmless from
and against any loss, claim or liability, including attorneys' fees or legal
expenses, incurred by the Company as a result of any breach by you of, or any
inaccuracy in, any representation, warranty or statement made by you in this
Agreement or the breach by you of any terms or conditions of this Agreement.

5.       Termination of Employment; Change of Control

         5.1      Termination of Employment

         Except as provided in Section 5.2 below, if your employment terminates
during the Shares' three-year vesting period for any reason, including
termination by reason of voluntary termination, discharge by the Company, death,
Disability, Retirement or for Cause, the Unvested Shares will be forfeited to
the Company.

         5.2      Change of Control

         Upon a Change of Control (as defined in the Company's standard Change
of Control Agreement in effect at the time), any Unvested Shares will accelerate
in vesting and no longer be subject to forfeiture.

6.       Section 83(b) Election for Restricted Stock Award; Independent
         Tax Advice

         You understand that under Section 83(a) of the Internal Revenue Code of
1986 (the "Code"), the fair market value of the Unvested Shares on the date the
forfeiture restrictions lapse will be taxed, on the date such forfeiture
restrictions lapse, as ordinary income subject to payroll and withholding tax
and tax reporting, as applicable. For this purpose, the term "forfeiture
restrictions" means the right of the Company to receive back any Unvested Shares
upon termination of your employment with the Company. You understand that you
may elect under Section 83(b) of the Code to be taxed at ordinary income rates
on the fair market value of the Unvested Shares at the time they are acquired,
rather than when and as the Unvested Shares cease to be subject to the
forfeiture restrictions. Such election (an "83(b) Election") must be filed with
the Internal Revenue Service within 30 days from the grant date of the
Restricted Stock Award.
<PAGE>

         You understand that there are significant risks associated with the
decision to make an 83(b) Election. If you make an 83(b) Election and the
Unvested Shares are subsequently forfeited to the Company, you will not be
entitled to a deduction for any ordinary income previously recognized as a
result of the 83(b) Election. If you make an 83(b) Election and the value of the
Unvested Shares subsequently declines, the 83(b) Election may cause you to
recognize more compensation income than you would have otherwise recognized. On
the other hand, if the value of the Unvested Shares increases and you have not
made an 83(b) Election, you may recognize more compensation income than you
would have if you had made the election.

         THE FORM FOR MAKING AN 83(b) ELECTION IS ATTACHED TO THIS AGREEMENT AS
EXHIBIT B. YOU UNDERSTAND THAT, IF YOU DECIDE TO MAKE AN 83(b) ELECTION, IT IS
YOUR RESPONSIBILITY TO FILE SUCH AN ELECTION WITH THE INTERNAL REVENUE SERVICE
AND THAT FAILURE TO FILE SUCH AN ELECTION WITHIN THE 30-DAY PERIOD MAY RESULT IN
THE RECOGNITION OF ORDINARY INCOME BY YOU AS THE FORFEITURE RESTRICTIONS LAPSE.
You further understand that an additional copy of such election form should be
filed with your federal income tax return for the calendar year in which the
date of this Agreement falls. You acknowledge that the foregoing is only a
summary of the federal income tax laws that apply to the award of the Shares
under this Agreement and does not purport to be complete. YOU FURTHER
ACKNOWLEDGE THAT THE COMPANY HAS DIRECTED YOU TO SEEK INDEPENDENT ADVICE
REGARDING THE APPLICABLE PROVISIONS OF THE CODE AND THE INCOME TAX LAWS OF ANY
MUNICIPALITY, STATE OR FOREIGN COUNTRY IN WHICH YOU MAY RESIDE.

         You agree to execute and deliver to the Company with this Agreement a
copy of the Acknowledgment and Statement of Decision Regarding Section 83(b)
Election (the "Acknowledgment") attached hereto as Exhibit A. You further agree
that if you choose to make an 83(b) Election with the Internal Revenue Service,
you will also deliver to the Company with this signed Agreement a signed copy of
the 83(b) Election.

         You acknowledge that determining the actual tax consequences to you of
receiving or disposing of the Shares may be complicated. These tax consequences
will depend, in part, on your specific situation and may also depend on the
resolution of currently uncertain tax law and other variables not within the
control of the Company. You are aware that you should consult a competent and
independent tax advisor for a full understanding of the specific tax
consequences to you of receiving or disposing of the Shares. Prior to executing
this Agreement, you either have consulted with a competent tax advisor
independent of the Company to obtain tax advice concerning the Shares in light
of your specific situation or have had the opportunity to consult with such a
tax advisor but have chosen not to do so.
<PAGE>

7.       Book Entry Registration of the Shares

         The Company will issue the Shares by registering the Shares in book
entry form with the Company's transfer agent in your name and the applicable
restrictions will be noted in the records of the Company's transfer agent and in
the book entry system. No certificate(s) representing all or a part of the
Shares will be issued until the Shares become Vested Shares.

8.       Stop-Transfer Notices

         You understand and agree that, in order to ensure compliance with the
restrictions referred to in this Agreement, the Company may issue appropriate
"stop-transfer" instructions to its transfer agent, if any, and that, if the
Company transfers its own securities, it may make appropriate notations to the
same effect in its own records. The Company will not be required to (a) transfer
on its books any Shares that have been sold or transferred in violation of the
provisions of this Agreement or (b) treat as the owner of the Shares, or
otherwise accord voting, dividend or liquidation rights to, any transferee to
whom the Shares have been transferred in contravention of this Agreement.

9.       Tax Withholding

         As a condition to the removal of restrictions from your Vested Shares
registered in book entry form with the Company's transfer agent, you agree to
make arrangements satisfactory to the Company for the payment of any federal,
state, local or foreign withholding tax obligations that arise either upon
receipt of the Shares or as the forfeiture restrictions on any Shares lapse. You
may satisfy such withholding obligations by any of the following means or a
combination thereof: (a) paying cash; (b) electing to have the Company withhold
shares of Common Stock (up to the employer's minimum tax withholding rate); or
(c) transferring to the Company shares of Common Stock (already owned by you for
the period necessary to avoid a charge to the Company's earnings for financial
reporting purposes). Notwithstanding the previous sentence, you acknowledge and
agree that the Company and any Related Corporation has the right to deduct from
payments of any kind otherwise due to you any federal, state, local or foreign
taxes of any kind required by law to be withheld with respect to the Restricted
Stock Award.

10.      General Provisions

         10.1     Notices

         Whenever any notice is required or permitted hereunder, such notice
must be in writing and personally delivered or sent by mail. Any notice required
or permitted to be delivered hereunder will be deemed to be delivered on the
date on which it is personally delivered, or, whether actually received or not,
on the third business day after it is deposited in the United States mail,
certified or registered, postage prepaid, addressed to the person who is to
receive it at the address that such person has theretofore specified by written
notice delivered in accordance herewith. You or the Company may change, by
written notice to the other, the address previously specified for receiving
notices. Notices delivered to the Company should be addressed as follows:

          Company:                  Itron, Inc.
                                    Attn:  General Counsel
                                    2818 N. Sullivan Road
                                    Spokane, WA 99216
<PAGE>

         10.2     No Waiver

         No waiver of any provision of this Agreement will be valid unless in
writing and signed by the person against whom such waiver is sought to be
enforced, nor will failure to enforce any right hereunder constitute a
continuing waiver of the same or a waiver of any other right hereunder.

         10.3     Undertaking

         You hereby agree to take whatever additional action and execute
whatever additional documents the Company may deem necessary or advisable in
order to carry out or effect one or more of the obligations or restrictions
imposed on either you or the Shares pursuant to the express provisions of this
Agreement.

         10.4     Entire Contract

         This Agreement, the LTPP, the Grant Notice and the Plan constitute the
entire contract between the parties hereto with regard to the subject matter
hereof and supersede all prior oral or written agreements on the subject. This
Agreement is made pursuant to the provisions of the Plan and will in all
respects be construed in conformity with the express terms and provisions of the
Plan.

         10.5     Successors and Assigns

         The provisions of this Agreement will inure to the benefit of, and be
binding on, the Company and its successors and assigns and you and your legal
representatives, heirs, legatees, distributees, assigns and transferees by
operation of law, whether or not any such person will have become a party to
this Agreement and agreed in writing to join herein and be bound by the terms
and conditions hereof.

         10.6     Counterparts

         This Agreement may be executed in two or more counterparts, each of
which will be deemed an original, but which, upon execution, will constitute one
and the same instrument.

         10.7     Governing Law

         The provisions of the Grant Notice and this Agreement will be governed
by the laws of the state of Washington, without giving effect to principles of
conflicts of law.

         IN WITNESS WHEREOF, the parties have executed this
Agreement dated as of __________, 200__.
<PAGE>

                                 ITRON, INC.

                                 By:
                                      -------------------------------------
                                 Name:
                                        -----------------------------------
                                 Title:
                                         ----------------------------------

                                 [NAME OF EMPLOYEE]

                                 ------------------------------------------
                                 Recipient's Signature

<PAGE>

                                    EXHIBIT A

    ACKNOWLEDGMENT AND STATEMENT OF DECISION REGARDING SECTION 83(b) ELECTION

         The undersigned, a recipient of _______ shares of common stock of
Itron, Inc., a Washington corporation (the "Company"), pursuant to a restricted
stock award granted under the Company's Amended and Restated 2000 Stock
Incentive Plan (the "Plan"), hereby states as follows:

         1. The undersigned acknowledges receipt of a copy of the Restricted
Stock Award Agreement and the Plan relating to the offering of such shares. The
undersigned has carefully reviewed the Plan and the Restricted Stock Award
Agreement pursuant to which the award was granted.

         2. The undersigned either (check and complete as applicable)

                  (a)      has consulted, and has been fully advised by, the
                           undersigned's own tax advisor,
                           ________________________, whose business address is
                           _________________________, regarding the federal,
                           state and local tax consequences of receiving shares
                           under the Plan, and particularly regarding the
                           advisability of making an election pursuant to
                           Section 83(b) of the Internal Revenue Code of 1986,
                           as amended (the "Code"), and pursuant to the
                           corresponding provisions, if any, of applicable state
                           law, or

                  (b)      has knowingly chosen not to consult such a tax
                           advisor.

         3. The undersigned hereby states that the undersigned has decided
(check as applicable)

                  (a)      to make an election pursuant to Section 83(b) of the
                           Code, and is submitting to the Company, together with
                           the undersigned's executed Restricted Stock Award
                           Agreement, an executed form entitled "Election Under
                           Section 83(b) of the Internal Revenue Code of 1986",
                           or

                  (b)      not to make an election pursuant to Section 83(b) of
                           the Code.

         4. Neither the Company nor any subsidiary or representative of the
Company has made any warranty or representation to the undersigned with respect
to the tax consequences of the undersigned's acquisition of shares under the
Plan or of the making or failure to make an election pursuant to Section 83(b)
of the Code or the corresponding provisions, if any, of applicable state law.

Dated:  _______________                  ___________________________________
                                         Recipient

                                         ___________________________________
                                         Print Name

<PAGE>

                                    EXHIBIT B

                          ELECTION UNDER SECTION 83(b)
                      OF THE INTERNAL REVENUE CODE OF 1986

         The undersigned taxpayer hereby elects, pursuant to Section 83(b) of
the Internal Revenue Code, to include in taxpayer's gross income for the current
taxable year the amount of any compensation taxable to taxpayer in connection
with taxpayer's receipt of the property described below:

1. The name, address, taxpayer identification number and taxable year of the
undersigned are as follows:

         NAME OF TAXPAYER:
                            -------------------------------------------------
         ADDRESS:
                         ----------------------------------------------------

         IDENTIFICATION NO. OF TAXPAYER:
                                          -----------------------------------
         TAXABLE YEAR:  ___________

2.       The property with respect to which the election is made is described as
         follows: _______________ shares of the Common Stock of Itron, Inc., a
         Washington corporation (the "Company").

3.       The date on which the property was transferred is:
         __________________________

4.       The property is subject to the following restrictions:

         The property is subject to a forfeiture right pursuant to which the
         Company can reacquire the Shares if for any reason taxpayer's services
         with the Company are terminated. The Company's right to receive back
         the shares lapses as follows: _____________________.

5.       The aggregate fair market value at the time of transfer, determined
         without regard to any restriction other than a restriction which by its
         terms will never lapse, of such property is: $____________

6.       The amount (if any) paid for such property is: $___________

         The undersigned has submitted a copy of this statement to the person
for whom the services were performed in connection with the undersigned's
receipt of the above-described property. The undersigned is the person
performing the services in connection with the transfer of said property.

         The undersigned understands that the foregoing election may not be
revoked except with the consent of the Commissioner of Internal Revenue.

Dated:  _______________             __________________________________________
                                    Taxpayer

<PAGE>

DISTRIBUTION OF EXHIBIT B COPIES

1.       File original with the Internal Revenue Service Center where the
         taxpayer's income tax return will be filed. Filing must be made by no
         later than 30 days after the date of grant.

2.       Attach one copy to the taxpayer's income tax return for the taxable
         year in which the property was transferred.

3.       Mail one copy to the Company at the following address:

         Itron, Inc.
         2818 N. Sullivan Road
         Spokane, WA 99216

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00097-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00097-of-00352.parquet"}]]