EMRISE FRENCH SUBSIDIARY ENTERS INTO ACCOUNTS RECEIVABLE FINANCING ARRANGEMENT FOR 1.35 MILLION EUROS ($1.8 MILLION) TO HELP FUND GROWTHCombined with Recent Line of Credit in the UK, New Funding Sources Approach $6 MillionDURHAM, NC - November 3, 2010 - EMRISE CORPORATION (NYSE Arca: ERI), a multi-national manufacturer of defense, aerospace and industrial electronic devices and communications equipment, today announced that its French subsidiary has entered into an accounts receivable financing arrangement with Factocic SA in France, a subsidiary of CIC Group, to provide the Company's French subsidiary 1.35 million Euros ($1.8 million) to help fund its expansion and growth. EMRISE Corporation Chairman and Chief Executive Officer Carmine T. Oliva said including the $4 million revolving line of credit secured in September of this year from Lloyds TBS Commercial Financing to help fund the operations and growth of its U.K. subsidiaries, new funding sources secured in the last two months now total nearly $6 million. He also said that EMRISE is working on securing a new source of credit to help fund the growth of its U.S. subsidiary. The financing arrangement with Factocic carries an interest rate of the 3-month EURIBOR rate plus 1.4 percent on the financed accounts receivable balance. "I am very pleased we have been successful in taking the next step in our efforts to reach our goal of securing a number of new sources of funding with attractive interest rates from established and well respected financial institutions," Oliva added. "In addition to these new sources of funding providing additional working capital to help fund growth, their substantially lower interest rates will significantly reduce our borrowing costs from the levels of the last few years. Combined with other operating expense reductions, these reduced interest costs will have a positive impact on our profitability going forward." About EMRISE Corporation Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
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