eMagin Files Form 10K for 2005

On March 27, 2006 eMagin Corporation (AMEX:EMA)
announced preliminary results for the fiscal year ended December 31,
2005 and during its earnings call acknowledged that it would complete
a 12b-25 filing, stating that the company would need additional time
to file its Annual Report. The filing was completed on April 17, 2006
and is deemed timely. The audited results contained no material
differences between preliminary figures and eMagin reconfirms its
comfort with revenue projections of $1.5 million to $1.9 million for
the first quarter ended March 31, 2006.
   In addition, in compliance with American Stock Exchange Company
Guide Section 610(b), the company would like to highlight that its
independent registered public accounting firm included a going concern
explanatory paragraph in its report on eMagin's consolidated financial
statements as of and for the year ended December 31, 2005 due to its
prior losses and expected cash requirements. eMagin is targeting
revenue of approximately $20 million for its current fiscal year,
which represents an increase of over 400% as compared to 2005. To
accomplish this growth will require approximately $9 million of
working capital to support projected higher accounts receivable and
inventory levels; additional amounts may also be required for
operations or capital equipment purchases. At December 31, 2005 eMagin
had negligible long term debt and a cash balance of $6.8 million.
Management's intent is to address the company's additional funding
requirement through the addition of debt as well as improved operating
efficiencies or lower expenses if required.

   About eMagin Corporation

   A leader in OLED microdisplay and virtual imaging technologies,
eMagin integrates high-resolution OLED microdisplays, magnifying
optics, and systems technologies to create a virtual image that
appears comparable to that of a computer monitor or a large-screen
television. eMagin's OLED displays have broad market reach and are
incorporated into a variety of near-to-eye imaging products by
military, industrial, medical and consumer OEMs who choose eMagin's
award-winning technology as a core component for their solutions.
eMagin has recently introduced its first direct-to-consumer system,
the Z800 3DVisor, which provides superb 3D stereovision and
headtracking for PC gaming, training and simulation, and business
applications. eMagin's microdisplay manufacturing and R&D operations
are co-located with IBM on its campus in East Fishkill, New York.
System design facilities and sales and marketing are located in
Bellevue, Washington. A sales office is located in Tokyo, Japan. For
additional information, please visit www.emagin.com and
www.3dvisor.com.

   Note: eMagin is a trademark of eMagin Corporation.

   Forward Looking Statements

   This press release contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and Section 21E
of the Securities Exchange Act of 1934, including those regarding
eMagin Corporation and its subsidiaries' expectations, intentions,
strategies and beliefs pertaining to future events or future financial
performance. All statements contained herein are based upon
information available to eMagin's management as of the date hereof,
and actual results may vary based upon future events, both within and
without eMagin management's control. In some cases, you can identify
forward-looking statements by terminology such as "may," "will,"
"should," "expect," "plan," "anticipate," "believe," "estimate,"
"predict," "potential" or "continue," the negative of such terms, or
other comparable terminology. These statements are only predictions.
Actual events or results may differ materially from those in the
forward-looking statements as a result of various important factors,
including those described in the Company's most recent filings with
the SEC. Although we believe that the expectations reflected in the
forward-looking statements are reasonable, such statements should not
be regarded as a representation by the Company, or any other person,
that such forward-looking statements will be achieved. The business
and operations of the Company are subject to substantial risks which
increase the uncertainty inherent in forward-looking statements. We
undertake no duty to update any of the forward-looking statements,
whether as a result of new information, future events or otherwise. In
light of the foregoing, readers are cautioned not to place undue
reliance on such forward-looking statements.