EMRISE Corporation Receives Initial Production Order for Power Supply Products to...
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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, Calif.--(Business Wire)--
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.
EMRISE Corporation
John Donovan
Vice President Finance and Administration
909-987-9220 ext. 3201
JDonovan@emrise.com
or
Allen & Caron Inc
Dan Matsui (investors) Len Hall (media)
949-474-4300
D.Matsui@allencaron.com
Len@allencaron.com
Copyright Business Wire 2008
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