EMRISE CORPORATION Subsidiary, Pascall Electronics Ltd., Receives Follow-On Orders...

EMRISE CORPORATION Subsidiary, Pascall Electronics Ltd., Receives Follow-On Orders in Excess of $2 Million for Its In-Flight Entertainment Products

RANCHO CUCAMONGA, Calif.--(Business Wire)--EMRISE CORPORATION (NYSE Arca: ERI), a multi-national manufacturer
of defense and aerospace electronic devices and communications
equipment, today announced that its subsidiary, Pascall Electronics
Ltd., has received additional orders in excess of $2 million for its
In-Flight Entertainment ("IFE") electronic devices from several of the
world's leading suppliers of IFE equipment and systems to the
international commercial airline industry. Deliveries are expected to
begin in the first quarter of 2008 and be completed by the end of
2008.

EMRISE President and Chief Executive, Carmine T. Oliva, said,
"These new orders, and the more than $8 million in orders received by
EMRISE for In-Flight Entertainment and Communications ("IFE&C")
devices and sub-systems in 2007, are indicative of the Company's
increasing strategic focus and growing position in this market, which
is expected to be an important driver of revenue growth in 2008 and
beyond. We have a broad, installed base of traditional IFE products
with many longstanding customers and are pleased that we continue to
be successful on these established platforms."

Based on available industry data, the Company believes the newer
IFE&C systems market will grow even more substantially over the next
five years as single-aisle aircraft, which have historically been
largely ignored for newer IFE&C systems, are included for upgrades
with IFE&C systems. This trend is evidenced by airlines such as Virgin
America, which now offers customers movies, live TV, games, Google
Maps and a large selection of MP3 music through an interactive
entertainment system at each seatback on all domestic U.S. flights,
all on single-aisle aircraft. Other domestic U.S. carriers such as
Delta, American and Jet Blue are all responding accordingly and are
testing and installing next generation IFE&C systems. Further, in
nearly all cases, most domestic U.S. carriers have announced plans to
upgrade their fleets with some form of next-generation IFE&C products.

In 2007 EMRISE booked approximately $4 million in the IFE segment,
predominantly for discrete IFE device products such as stand-alone
power supplies. The company expects to see continued growth in this
discrete devices segment, especially since it is entering 2008 already
with more than $2 million in new orders.

"Perhaps of even greater significance, we booked approximately $4
million in 2007 for newer next-generation sub-system assemblies for
enhanced IFE&C products," Oliva added. "We have attracted new
customers especially by addressing this rapidly growing and even
larger market segment for In Flight Entertainment & Communications.
Accordingly, we feel that our IFE&C sub-system business is truly
flourishing as we broaden both our product offering and customer base
and as more airlines move toward this technology."

Oliva also commented that "the Company's latest products provide
an enhanced feature sub-system that not only generates much greater
revenue per transaction for EMRISE but also provides our customers
greater value than if they purchased only discreet IFE devices
separately. As a result EMRISE believes revenue will increase even
more as the market expands."

Our Pascall Electronics Ltd. subsidiary provides a range of power
systems, RF devices and integrated sub-systems for multimedia IFE&C
systems for commercial aircraft including products that support
"drop-down" entertainment systems as well as personalized seatback
IFE&C units.

About EMRISE Corporation

EMRISE designs, manufactures and markets electronic devices,
sub-systems and equipment for aerospace, defense, industrial and
telecommunications markets. EMRISE products perform key functions such
as power supply and power conversion; digital and rotary switching; RF
and microwave transmission; network access and network timing and
synchronization of communications networks; including voice, data and
video. Primary growth driver applications for EMRISE products include
commercial avionic "In-Flight Entertainment and Communications"
products and broad based 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. 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 deliver new or existing IFE orders in the first
quarter or throughout 2008, ability to grow its market position in the
new IFE&C segment, ability to grow product sales for either discrete
or next generation IFE&C products, ability to successfully provide
enhanced features or expanded product offerings on current or future
IFE&C products, and its optimistic outlook for IFE&C products are all
forward-looking statements that involve a number of risks and
uncertainties. Actual future events could differ from those statements
due to uncertainties such as unforeseen technical difficulties in
manufacturing or installing such products by EMRISE, its vendors or
its customers, failure on the part of EMRISE's customers to accept
delivery of such products according to expected timelines, failure of
the commercial airline industry to accept new IFE&C technology or
failure to implement such technology as rapidly as expected, failure
of commercial airline industry to perceive higher value in enhanced
features and sub-systems provided by EMRISE, failure of commercial
carriers to upgrade their fleets as expected or to make such upgrades
at a slower pace than is expected, lack of profitability, the
inability for the Company to successfully grow either its IFE&C
businesses, and other risks as contained in the Company's public
statements and its periodic reports and other filings with the
Securities and Exchange Commission.

EMRISE CORPORATION
John Donovan
VP Finance & Administration
909-987-9220 ext. 3201
or
Allen & Caron Inc
Rene Caron (investors) Len Hall (media)
949-474-4300
Rene@allencaron.com
Len@allencaron.com

Copyright Business Wire 2008