EMRISE CORPORATION SUBSIDIARY, PASCALL ELECTRONICS LTD. RECEIVES $1.2 MILLION IN MILITARY POWER SUPPLIES ORDERS

RANCHO CUCAMONGA, CALIFORNIA, May 16, 2007 - EMRISE CORPORATION (NYSE ARCA:ERI), a multi-national manufacturer of defense and aerospace electronic devices and communications equipment, today announced that one of its subsidiaries, Pascall Electronics Ltd., has received orders from a U.S. military program for power supplies worth in excess of $1.2 million for delivery throughout 2008.

Pascall produces a range of power supply products for military and commercial aerospace applications. Pascall’s power supply products are known for their small size and high output.

Commenting on the order, Carmine T. Oliva, Chairman, President and CEO, said: “Military projects remain a core strategic market for EMRISE, even while we focus our attention on what we see as the higher growth prospects of commercial in-flight entertainment and communications. This particular order comes as a result of our investment in design engineering to produce a more compact solution than those of our competitors.” He added, “We have had a long-term relationship with this U.S. customer spanning many years, and this order, coming as it does from a new military program, will further expand that relationship and hopefully lead to additional future orders. This order marks the fourth order in four months this year at or above $1 million. This is an historic achievement for us which we believe bodes well for our organic growth in 2007.”

About EMRISE CORPORATION

EMRISE Corporation is a multi-national manufacturer of defense and aerospace electronic devices and communications equipment. EMRISE’s electronic devices group, which consists of EMRISE Electronics Corporation and its international subsidiaries, provides power conversion, radio frequency devices as well as digital and rotary switches to the North American, European and Asian electronic 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 and timing and synchronization products 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 April 30, 2007, EMRISE had approximately 300 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, including without limitation, statements regarding anticipated delivery schedules, growth prospects in the military and in-flight entertainment and communications markets, expansion of customer relationships and potential future orders, 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, EMRISE’s ability to meet its working capital needs, fund existing and anticipated product development efforts, identify and successfully negotiate, fund and integrate past and future acquisitions and improve operating efficiency and realize anticipated synergies, lower costs and increased profitability due to the integration and growth of acquired or potentially acquirable businesses, the receipt and timing of contracts, orders and payments from existing and potential customers for EMRISE’s products and services, EMRISE’s ability to produce and fulfill delayed, backlog and other orders, the receipt of production materials and resale products in a timely fashion, market and economic conditions, EMRISE’s level of success in positioning itself in the market for in-flight entertainment and communication products, changes in technology, governmental regulations and policies and customer requirements, competitive products and services, unforeseen technical issues, unexpected changes in typical seasonal sales trends, and those factors contained in the “Risk Factors” Section of the company’s latest Form 10-K and Form 10-Q and other company filings.

 

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