EMRISE’s Subsidiary, Pascall Electronics Ltd., Receives Power Supply Order Totaling $850,000 for a Military Avionic Application

RANCHO CUCAMONGA, CALIFORNIA, July 19, 2007 - EMRISE CORPORATION (NYSE Arca: ERI), a multi-national manufacturer of defense, aerospace and industrial electronic devices and communications equipment, today announced that its UK subsidiary, Pascall Electronics Ltd. (“Pascall”) has received an initial order from an international aerospace systems manufacturer. The order, totaling $850,000, includes the design and prototypes for a military avionic application. The initial contract is expected to be completed by year end 2007 with the expectation that the customer program will be qualified and in production in 2008 thereby providing the opportunity for Pascall to obtain future production orders.

Commenting on the order, EMRISE Chairman, President and CEO, Carmine T. Oliva, stated: “While Pascall continues to build backlog with a number of million dollar commercial aircraft contracts, especially for ’In-flight Entertainment and Communications’ products, announced over the past six months, their military business and that of our XCEL Power Systems Ltd. subsidiary continues to build. Both of these business units will be major contributors to the 18% organic growth we expect to achieve in 2007 totaling $55 million in revenues as compared to the $46.4 million achieved in 2006.”

He stated further: “In our press release dated July 17, 2007 regarding follow-on orders received by our French subsidiary, CXR Anderson Jacobson, for multi-service multiplexers for a European electric utility, the total of all orders received from this customer and related timing of delivery of August 2007 was correct. However, the follow-on order announced on July 17, 2007 merely re-confirmed the $900,000 in orders previously announced on June 26, 2007 and increased that by approximately $200,000 bringing the total, including the original order announced on November 10, 2006, to a total of $1.5 million.”

About EMRISE CORPORATION

EMRISE Corporation is a multi-national manufacturer of defense, aerospace and industrial electronic devices and communications equipment. EMRISE’s electronic devices group, which consists of EMRISE Electronics Corporation and its international subsidiaries, provides power conversion, RF devices as well as digital and rotary switches to the North American, European and Asian electronic market. 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 June 30, 2007, EMRISE had a total of 304 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, including the Company’s ability to obtain follow-on orders for military power supplies and its ability to achieve $55 million in sales for 2007. 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, the ability of EMRISE Corporation to produce and deliver new orders in a timely manner; the ability to deliver the orders referenced in this press release to the customer before year end 2007; the ability to obtain new business or to build upon existing business with new or existing customers; unforeseen technical issues and those factors contained in the “Risk Factors” Section of the Company’s Form 10-K for the year ended December 31, 2006 and other Company filings.

 

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