Exhibit 99.1
Digital Recorders, Inc. Notes U.S. Federal Transit Funding
Signed into Law by President Bush
Order Received From Middle East
DALLAS--(BUSINESS WIRE)--Feb. 28, 2007--Digital Recorders, Inc.
(DRI) (NASDAQ: TBUS), a technology leader in transportation, law
enforcement, and security digital communications systems, noted today
that the U.S. Senate recently passed a continuing resolution, which
was signed into law by President Bush, to provide the nation's federal
transit programs with $8.975 billion for the current fiscal year --
the record-high level authorized by the Safe, Accountable, Flexible,
Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU,
P.L. 109-59).
"The Senate passed a continuing resolution on Feb. 14, which
provides federal transit programs with $8.975 billion for the current
fiscal year, the level authorized and guaranteed by SAFETEA-LU through
Sept. 30, 2007. President Bush signed the bill into law on Feb. 15,"
David L. Turney, the Company's Chairman, President, and Chief
Executive Officer, said.
According to Mr. Turney, funding provided by this legislative
action may eventually impact DRI. "This is good news because it
continues the funding increase momentum anticipated by the SAFETEA-LU
authorizing legislation, which addressed an approximately 46 percent
increase in funding over its six-year life as compared to the expired
legislation. Of course, we cannot say that DRI's revenue on the
domestic side will mirror that increase; many variables are in play
here. However, this does further strengthen the market. As I've said
before, U.S. federal transit funding increases may mean more domestic
transit market spending and additional demand for DRI's transit
communications equipment. Such a demand may help us to achieve
additional growth."
APTA is a nonprofit international association of 1,600 member
organizations including public transportation systems; planning,
design, construction and finance firms; product and service providers;
academic institutions; and state associations and departments of
transportation. APTA members serve the public interest by providing
safe, efficient and economical public transportation services and
products. APTA members serve more than 90 percent of persons using
public transportation in the U.S. and Canada. For more information,
visit www.apta.com.
INTERNATIONAL ORDER
The Company's Mobitec AB (Mobitec) business unit has received an
order valued at approximately $260,000 USD for electronic destination
sign systems for use on transit bus vehicles by the transit operating
authority in Kuwait.
"This order is strategically important because it demonstrates the
continued strengthening of our market presence in the Middle East,"
Mr. Turney said.
A premier supplier of electronic destination sign systems in the
Nordic markets, the Company's Mobitec subsidiary is highly respected
for its products, technology, service, and quality. Based in
Herrljunga, Sweden, Mobitec has business units in Australia, Brazil,
and Germany. Its acquisition by DRI in June 2001 significantly
expanded the Company's geographical reach. For more information, visit
www.mobitec.se.
ABOUT THE COMPANY
Digital Recorders, Inc. is a digital communications technology
leader in the transportation, law enforcement, and security
industries. Using proprietary hardware and software applications, our
products improve the flow and mobility of people through
transportation infrastructure, improve energy efficiency, mitigate
security threats, and enhance law enforcement agencies' surveillance
capabilities. Our transportation communications products -
TwinVision(R) and Mobitec(R) electronic destination sign systems,
Talking Bus(R) voice announcement systems, Digital Recorders(R)
Internet-based passenger information and automatic vehicle
location/monitoring systems, and VacTell(TM) video actionable
intelligence systems - enhance public transportation and mitigate
security threats worldwide. By assisting transit vehicle operators'
quest to increase ridership, our products also help reduce dependence
on fuel. Our DAC(R) electronic surveillance tools, including
microphone amplifiers and processors, countermeasures devices, speech
activity detectors, and noise cancellation equipment, help
law-enforcement agencies around the globe arrest and prosecute
criminals. For more information about DRI and its operations
worldwide, go to www.digrec.com.
FORWARD-LOOKING STATEMENTS
This press release contains "forward-looking statements" within
the meaning of the Private Securities Litigation Reform Act of 1995.
In particular, any statement, express or implied, concerning future
events or expectations, including any conclusions surmised from APTA's
statements concerning recently approved increases in federal funding
for U.S. mass transportation, perceived market trends in the U.S.
transit industry, and the potential effects on our business or future
growth, is a forward-looking statement. Use of words such as "expect,"
"fully expect," "expected," "appears," "believe," "plan,"
"anticipate," "would," "goal," "potential," "potentially," "range,"
"pursuit," "run rate," "stronger," "preliminarily," etc., is intended
to identify forward-looking statements that are subject to risks and
uncertainties, including the risks and uncertainties related to
conclusions surmised from APTA's statements concerning recently
approved increases in federal funding for U.S. mass transportation,
risks that perceived funding or market tends in the U.S. transit
industry may not materialize as well as other risks and uncertainties
set forth in our Annual Report on Form 10-K filed April 17, 2006,
particularly those identified in Risk Factors Affecting Our Business.
There can be no assurance that any expectation, express or implied, in
a forward-looking statement will prove correct or that the
contemplated event or result will occur as anticipated.
CONTACT: Veronica B. Marks
Manager, Corporate Communications
Digital Recorders, Inc.
Phone: (214) 378-4776
Fax: (214) 378-8437
E-Mail: veronicam@digrec.com