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EMRISE CORPORATION OBTAINS INTERIM WELLS FARGO DOMESTIC CREDIT FACILITY AND IS IN NEGOTIATIONS FOR A NEW 3 YEAR REPLACEMENT CREDIT FACILITY WITH WELLS FARGO RANCHO CUCAMONGA, CALIFORNIA, September 26, 2006 - EMRISE CORPORATION (NYSE ARCA:ERI), a multi-national manufacturer of defense and aerospace electronic components and communications equipment, today announced that it has obtained an interim credit facility from Wells Fargo Bank to provide working capital financing while it negotiates a new credit facility with Wells Fargo Business Credit. The interim credit facility from Wells Fargo Bank is in effect through October 1, 2006 and provides $1.5 million of credit based on an advance rate of 80% of eligible receivables with an interest rate at the prime rate. It is expected that this facility will be renewed from time to time until a new credit facility is in place. To the extent the interim facility is not renewed for any reason, EMRISE has sufficient cash to pay-off any borrowings in full. The new three-year credit facility is expected to provide at least $5 million of revolving credit, which EMRISE believes is sufficient to meet its domestic financing needs. EMRISE believes that the new credit facility will provide for a higher advance rate on both receivables and inventories than its current Wells Fargo Bank credit facility and will provide EMRISE with greater flexibility and financing for domestic acquisitions when complemented with financing support through EMRISE’s foreign credit sources in Europe. About EMRISE CORPORATION EMRISE Corporation is a multi-national manufacturer of defense and aerospace electronic components and communications equipment. EMRISE’s electronic components group, which consists of EMRISE Electronics Corporation and its international subsidiaries, provides custom power conversion, RF components and subsystems as well as digital and rotary switches to the North American, European and Asian electronic components market. These products are primarily used for defense, aerospace and industrial applications. EMRISE’s communications equipment group, consisting of CXR Larus Corporation and its subsidiary CXR Anderson Jacobson, provides network access, satellite timing and synchronization and transmission products as well as communications test equipment to the North American, European and Asian communications industry. Founded in 1983, EMRISE operates out of facilities in the United States, England, France and Japan. As of August 31, 2006 EMRISE had a total of 307 employees in its various subsidiaries and divisions. Website: www.emrise.com. Listed on NYSE Arca under the ticker symbol: ERI. Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995 With the exception of historical information, the matters discussed in this press release are forward-looking statements that involve a number of risks and uncertainties. The actual future results of EMRISE Corporation could differ from those statements. Factors that could cause or contribute to such differences include, but are not limited to, our ability to repay all borrowings under the interim credit facility with Wells Fargo Bank, our ability to successfully negotiate a replacement credit facility with Wells Fargo Business Credit or any other financial institution, the ability of the proposed credit facility and our foreign credit facilities to support future domestic acquisitions, general market and economic conditions, changes in technology and governmental regulations and policies, competitive products and services, unforeseen technical issues and those factors contained in the “Risk Factors” Section of EMRISE Corporation’s Form 10-K for the year ended December 31, 2005.
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