|
EMRISE CORPORATION RECEIVES FOLLOW ON ORDER FOR CUSTOM MILITARY POWER SUPPLIES Follows Recent Completion of Initial Development and Pre-Production Contract for Multi-Year Military Aircraft Program RANCHO CUCAMONGA, CALIFORNIA, April 22, 2008 - EMRISE CORPORATION (NYSE ARCA:ERI), a multi-national manufacturer of defense and aerospace electronic devices and communications equipment for aerospace, defense, industrial and communications applications, today announced it has received an initial production order valued at approximately $600,000, for custom military power supplies as part of a multi-year production program for a military aircraft. Deliveries are expected to be complete in 2008. EMRISE Chairman, President and CEO Carmine Oliva said the initial production order is a direct follow on from a development and pre-production contract awarded in 2007, which was only recently completed. The order was received by the company’s Xcel Power Systems, Ltd. (“Xcel”) subsidiary located in England. . “This is a key military aircraft program for one of our major international customers, and the initial production order is the first of what we believe will be a number of orders for this program going forward,” Oliva added. . “This order is indicative of how Xcel secures most of its business, which typically starts with a customer-funded development program for custom product,” Oliva said. “If the development program succeeds, it is often followed by a multi-year production program, which can result in orders to us valued at several million dollars over the life of the program. . “An excellent example of this can be seen in another military aircraft program that was previously won by Xcel,” Oliva added. “Under that program, Xcel booked the company’s largest multi-year program, which was for the Eurofighter Typhoon aircraft. To date, the Eurofighter program has provided in excess of $10 million in orders for Xcel and the program is likely to continue for another decade or more with major additional orders expected for the Eurofighter in 2008.” Xcel’s business is predominantly military, but they are expanding into the “harsh environment” commercial business. This is in contrast to the predominant business of the company’s Pascall Electronics Ltd. (“Pascall”) subsidiary, also located in England, whose business is primarily commercial but with an expanding military business (see press release dated April 17, 2008). 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 ship this initial production order of $600,000 during 2008, ability to obtain additional orders for this or any other military program, ability to obtain a multi-year or multi-million production program from this or any other development program or from this or any other initial production order, ability to obtain future orders for the Eurofighter Typhoon aircraft, ability for Xcel to expand into the “harsh environment” commercial business, and the ability for Pascall to expand into the military business 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, unforeseen customer or vendor delays affecting timing and/or quantity of scheduled shipments, unforeseen quality issues, failure of the designated product to perform the specified function, unforeseen economic or political or budgetary issues, decreases in demand for Eurofighter or other military equipment, failure for Xcel or Pascall to penetrate new 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.
|
