Dépêches

EMRISE Receives Approval From FAA to Ship First $850,000 of Communications Test Equipment

Dépèche transmise le 1 octobre 2009 par Business Wire

EATONTOWN, N.J.--(BUSINESS WIRE)--EMRISE CORPORATION (NYSE Arca: ERI), a multi-national manufacturer of defense and aerospace electronic devices and communications equipment, today announced that it recently received approval from the Federal Aviation Administration (FAA) to ship the first $850,000 of communications test equipment under the terms of a three-year agreement with the FAA, previously announced in January of this year, which allows the FAA to order up to $2.6 million of communications test equipment. A small number of units were shipped at the end of this year’s third quarter with the balance of the $850,000 in shipments scheduled to occur during the fourth quarter of this year. The communications test equipment is being used in a multi-year, multi-billion dollar FAA program to upgrade communications technology in the nation’s commercial and military aviation control networks.

EMRISE Chairman and Chief Executive Officer Carmine T. Oliva said the approval to start shipping was received following the successful completion of extensive design reviews and acceptance tests of a custom featured version of the Company’s Halcyon Universal Data Test Set (Halcyon Units) to meet specific FAA requirements.

“In addition to these shipments, we also expect to receive subsequent releases for future deliveries of additional Halcyon Units to be delivered for this important application over the remaining two years of our three-year agreement with the FAA,” Oliva added.

The first shipment of communications test equipment under the Company’s agreement with the FAA was originally expected to occur in this year’s second quarter. However, due to changes requested by the FAA to add additional features and acceptance testing requirements, delivery of the first few units was rescheduled to begin near the end of this year’s third quarter with the balance to be shipped within during the fourth quarter.

The agreement with the FAA was received by the Company’s CXR Larus Corporation (CXR Larus) subsidiary located in San Jose, CA, which develops and supplies communications equipment, including network timing and synchronization products, other network access equipment and test equipment for both public and private networks.

“The FAA is one of our significant and long standing customers. We are proud to have been selected to provide test equipment that will be vital to the successful maintenance of our nation’s critically important aviation control networks,” Oliva said. “We believe receiving approval to ship $850,000 of Halcyon Units to the FAA demonstrates the continued confidence and value that the FAA places in CXR Larus products.”

In addition to the Halcyon Units that make up this contract with the FAA, EMRISE also sells a number of other communications products to major systems integrators who incorporate them into the systems they install in various communication networks, including aviation control networks as part of the FAA upgrade program.

About the Halcyon Universal Data Test Set

The Halcyon 704A is a “Three Personality” test system offering TIMS, Digital Data (DDS) or T1 test capability singularly or all three combined into a single unit. Model 704A-NTS1/FAA/SS contains all three test capabilities, replacing up to a dozen legacy FAA test sets, allowing technicians to carry a single instrument to local or remote circuit access locations. With up to 4 hours of battery life, the 704A comes complete with all cables required for standard test access. Since all capabilities are built-in, there are no modules to swap, so technicians can instantly make changes without power-cycling the unit. The 704A may also be managed by remote control software via a graphical user interface (standard on model 704A-NTS1/FAA/SS), allowing automated setup, capture and storage of test results, and periodic results capture for long-term circuit analysis.

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; radio frequency (RF) and microwave signal processing; and network access and timing and synchronization of communications networks. Primary growth driver applications for EMRISE products include the use of its RF devices in radio-controlled improvised explosive device (RCIED) jamming systems, and the use of its Network Timing and Synchronization products in edge networks. EMRISE serves customers in North America, Europe and Asia through operations in the United States, England and France. The Company has built a worldwide base of customers including a majority 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 complete shipments of the products described in this release during the fourth quarter, and the expectation of subsequent releases for future deliveries of additional Halcyon Units 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 changes in customer demand, unforeseen delays in receipt of materials from our vendors, inability of our products to meet customer specifications, changes in the economic, industry or political climate that may negatively impact demand for our future products, and those factors contained in the “Risk Factors” Section of the Company’s Form 10-K for the year ended December 31, 2008, and other Company filings.