EMRISE CORPORATION RECEIVES INITIAL PRODUCTION ORDER FOR POWER SUPPLY PRODUCTS TO BE USED IN NEW INTERNATIONAL MILITARY AIRCRAFT

Follows Recent Completion of $850,000 Development Contract for Multi-Year, Multi-Million Dollar Production Program

RANCHO CUCAMONGA, CALIFORNIA, April 17, 2008 - EMRISE CORPORATION (NYSE Arca: ERI), a designer, manufacturer and marketer of proprietary electronic devices and communications equipment for aerospace, defense, industrial, and communications applications, today announced it has received an initial $300,000 production order from a military systems integrator for power supplies and control system sub-assemblies for use in a new international, fixed-wing, military aircraft program. The company anticipates receiving multiple follow-on production orders associated with this project which could span multiple years and could provide millions of dollars of additional business for EMRISE.

This initial production order, which is for immediate delivery, is a direct follow-on order from an $850,000 development contract awarded in mid-2007 to the Company’s Pascall Electronics Ltd. (“Pascall”) subsidiary in England.

Carmine T. Oliva, President and CEO of EMRISE, commented, “Our Pascall subsidiary has had significant success in recent months in expanding its primary commercial business from In-Flight Entertainment and Communications (IFC&E) products into the harsh environment, military market for custom and commercial ‘off the shelf’ power supplies and control sub- assemblies.

“In 2007, we implemented our strategy of extending Pascall’s commercial expertise into custom military programs that were more typical of our Xcel Power Systems, Ltd. (“XPS”) subsidiary in England, whose business is predominantly military especially for the Eurofighter Typhoon aircraft,” Oliva added. “We believe the award of this production order is continuing evidence of the synergy between XPS and Pascall and it clearly demonstrates Pascall’s ability to meet challenging military development requirements within tight time frames and to ultimately be awarded follow-on production orders for potential multi-year, multi-million dollar programs.

Pascall and XPS continue to capitalize on their long standing presence in the fixed and rotary wing aircraft market. Recent orders show the penetration that Pascall and XPS, and EMRISE’s U.S.-based power supply subsidiary RO Associates, are achieving by capturing business in the larger programs for land-based military vehicles, including the High Mobility Multipurpose Wheeled Vehicle (HMMWV or Humvee), tracked vehicles, and tanks.

Pascall Electronics Ltd., located in England, offers a range of innovative power conversion products. Its products and systems are comprised of a number of custom, semi-custom and standard power supply products including high and low voltage, high-specification, high-reliability custom power supplies for hostile environments predominantly for the commercial and military markets.

About EMRISE Corporation

EMRISE designs, manufactures and markets electronic devices, sub-systems and equipment for aerospace, defense, industrial and communications markets. EMRISE products perform key functions such as power supply and power conversion; RF and microwave transmission; digital and rotary switching; network access and timing and synchronization of communications networks. Primary growth driver applications for EMRISE products include commercial avionic “In-Flight Entertainment and Communications” products and communications “Network Timing and Synchronization” equipment. EMRISE serves customers in North America, Europe and Asia through operations in the United States, England, France and Japan. The Company has built a worldwide base of customers including all of the Fortune 100 in the U.S. that do business in markets served by EMRISE and many similar-size companies in Europe and Asia. For more information go to www.emrise.com

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 EMRISE’s ability to obtain multiple follow-on production orders for this or any other new order, ability for this project to span multiple years, ability to obtain millions of dollars of new business as a result of this or any other new projects, ability to deliver this order in the immediate or near future, ability to expand Pascall’s business in harsh environment / military markets, ability to achieve synergistic results between various operational units of EMRISE, ability for subsidiaries of EMRISE to meet challenging military development requirements and/or ability to deliver within tight time frames, ability to be awarded follow-on production orders, potential for multi-year, multi-million dollar programs, and the ability for EMRISE subsidiaries to penetrate and capture business in larger land-based military vehicles, are all 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, unforeseen technical issues, failure to deliver on time or to meet required specifications on initial of subsequent orders, changes in customer actual or anticipated requirements, vendor and/or production delays, quality issues, poor performance of EMRISE products in the intended applications, unforeseen marketing and/or sales setbacks in the harsh environment / military markets, and those factors contained in the “Risk Factors” Section of the Company’s Form 10-K for the year ended December 31, 2007, and other Company filings.

 

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