EMRISE Corporation Extends Short Term Forbearance
Agreement with Lender Through January 25, 2010
January 15, 2010 04:03 PM Eastern Time
EATONTOWN, N.J.--(EON: Enhanced Online News)--EMRISE CORPORATION (NYSE Arca: ERI) today announced th
an existing short term forbearance agreement with its lender through January 25, 2010.
On December 30, 2009, EMRISE and certain of its subsidiaries entered into a short-term forbearance agreement with its lender, w
agreed, among other things, to not exercise remedies with respect to any default of the financial covenants as currently in effect unde
agreement until and through January 15, 2010, which date, via this extension, is now modified to January 25, 2010. Under the term
30, 2009 agreement, the lender agreed to accept a reduced monthly principal payment from the Company under the credit agreeme
$150,000 (reduced from $287,000) for the month of January 2010, which EMRISE has subsequently paid. The short-term forbear
extension to that agreement is contingent upon no additional events of default occurring under the credit agreement. The parties have
will continue to negotiate the terms of a longer forbearance period. There can be no assurance that the parties will reach a satisfacto
About EMRISE Corporation
EMRISE designs, manufactures and markets electronic devices, sub-systems and equipment for aerospace, defense, industrial and
markets. EMRISE products perform key functions such as power supply and power conversion; radio frequency (RF) and microw
processing; and network access and timing and synchronization of communications networks. Primary growth driver applications fo
products include the use of its RF devices in radio-controlled improvised explosive device (RCIED) jamming systems, and the use
Timing and Synchronization products in edge networks. EMRISE serves customers in North America, Europe and Asia through op
United States, England and France. The Company has built a worldwide base of customers including a majority of the Fortune 100
business in mar