EXHIBIT 99.1


                                                     [INSIGNIA LOGO]
                                         Contact: Scott Drill, President and CEO
                                             (763) 392-6200; (800) 874-4648
FOR IMMEDIATE RELEASE
---------------------

        INSIGNIA SYSTEMS, INC. AGREES TO PRIVATE PLACEMENT OF $2,490,000;
             EXTENDS $1.5 MILLION LINE OF CREDIT THROUGH APRIL 2006

MINNEAPOLIS - DECEMBER 1, 2004 - Insignia Systems, Inc. (Nasdaq: ISIG) announced
today that the Company entered into a Purchase Agreement for the sale of
2,490,000 shares of its Common Stock in a private placement to a group of
investors at a price of $1.00 per share. The Company expects to close the
transaction on Friday, December 3, 2004. Los Angeles based T.R. Winston and
Company acted as placement agent. The cash infusion will allow the Company to
fund working capital needs.

In accordance with the terms of the Registration Rights Agreement entered into
by the Company and the investors in connection with this financing, the Company
has agreed to register these shares for resale under the Securities Act of 1933.

The Company also announced today that its $1.5 million line of credit agreement
with Itasca Business Credit, Inc. has been extended through April 2006.

Insignia President and CEO Scott Drill commented: "After completing this private
placement, our cash position will be approximately $6 million. The combination
of our bank line and cash puts us in a strong position to fund our working
capital needs for the foreseeable future. We are optimistic about our prospects
for 2005 based on continued improvement in our POPS (Point-of-Purchase Services)
business."

Insignia Systems, Inc. is an innovative developer and marketer of in-store
advertising products, programs and services to retailers and consumer goods
manufacturers. Through its Point-Of-Purchase Services (POPS) business, Insignia
is contracted with more than 12,000 chain retail supermarkets and drug stores,
including A&P, Kroger, Pathmark, Safeway and Rite Aid. Through the nationwide
POPS network, over 190 major consumer goods manufacturers, including General
Mills, Hormel Foods, Kellogg Company, Nestle, Pfizer, S.C. Johnson & Son and
Tyson Foods, have taken their brand messages to the point-of-purchase. For
additional information, contact 888-474-7677, or visit the Insignia POPS Web
site at www.insigniapops.com.


                                    - more -


    Insignia Systems, Inc. o 6470 Sycamore Court North, Maple Grove, MN 55369
                    o Phone 763-392-6200 o Fax 763-392-6222
        http://www.insigniasystems.com o email: info@insigniasystems.com






DECEMBER 1, 2004                                                         PAGE 2

         INSIGNIA SYSTEMS CLOSES ON PRIVATE PLACEMENT; EXTENDS LOC TERM

Except for the historical information contained herein, the matters discussed in
this news release are forward-looking statements. The Company's actual results
could differ materially from these forward-looking statements as a result of a
number of factors, including risks and uncertainties as described in the
Company's SEC Form 10-K for the year ended December 31, 2003 and SEC Form 10-Q
for the quarter ended September 30, 2004. The Company wishes to caution readers
not to place undue reliance upon any such forward-looking statements, which
speak only as of the date made.

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    Insignia Systems, Inc. o 6470 Sycamore Court North, Maple Grove, MN 55369
                    o Phone 763-392-6200 o Fax 763-392-6222
        http://www.insigniasystems.com o email: info@insigniasystems.com