Orion Energy Systems Inc. (NYSE Amex: OESX), a leading power technology enterprise that designs, manufacturers and deploys energy management solutions for the commercial and industrial sectors, announced today that it has received a commitment for an additional tranche of financing for an Orion Throughput Agreement (OTA) project.

Orion has received a commitment for an additional $1.4 million tranche of financing from First Business Bank, headquartered in Madison, WI. The financing will provide funding to support the equipment and purchases underlying a specific OTA contract with a key customer, involving the retrofitting of Orion’s Compact Modular lighting system and the new installation of InteLite ® wireless controls. The debt agreement will bear interest at 6.75% with a five-year term, and is expected to close in early 2011. The additional OTA-related financing follows the previously-announced initial $2.4 million financing agreement in September 2010 with First Business Bank relating to several other OTA customer contracts.

Neal Verfuerth, Chief Executive Officer of Orion commented, “The commitment from First Business Bank for an additional tranche of OTA-related funding further validates our ability to obtain ongoing financing at a reasonable cost of capital in order to continue to grow our customer finance programs. As was the case with the initial funding in September, the $1.4 million follow-on tranche will enable the Company to be net cash flow positive for this specific OTA project at its inception.”

“Orion is pursuing a growing pipeline of debt financing alternatives in order to scale its portfolio of OTA projects. Management continues to remain focused in obtaining this financing at attractive rates," continued Mr. Verfuerth. “We’re receiving encouraging feedback from regional financial institutions on their interest in funding our OTA projects due to the compelling economic value proposition it offers to all parties involved.”

Orion Energy Systems Inc . (NYSE Amex: OESX) is a leading power technology enterprise that designs, manufactures and deploys energy management systems – consisting primarily of high-performance, energy efficient lighting systems and controls and related services for commercial and industrial customers – without compromising their quantity or quality of light. For more information, visit www.oesx.com.

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