General Announcement

Company Name	:	NEXTNATION COMMUNICATION BERHAD (ACE Market)
Stock Name	:	NEXTNAT
Date Announced	:	15/12/2011

Type

Reply to query

Reply to Bursa Malaysia's Query Letter - Reference ID

NM-111214-57299

Subject

- NOTICE OF DEMAND RECEIVED BY USAPE NELSON WIRELESS SDN BHD ("USAPE"), A WHOLLY-OWNED SUBSIDARY OF NEXTNATION COMMUNICATION BERHAD ("NEXTNATION") ("NOTICE")

Description

Reference is made to the Company’s announcement made on 13 December 2011 pertaining to the above matter.

The Board of Directors of NEXTNATION wishes to furnish the following additional information of the abovementioned matter.

1. The interest rate on the amount claimed for is at 4% per annum, calculated from 14 April 2011 until 5 December 2011 (236 days) which amounts to RM9,441.43.

2. The Notice of Demand dated 5 December 2011 was served on USAPE on 13 December 2011.

3. The Claim arose from an Order of the Bill of Costs dated 23 August 2011, which was unattended by the Solicitors of USAPE, i.e. Messrs. L.Y Lu & Co.

4. USAPE is a wholly-owned subsidiary of Nextnation Nextwork Sdn. Bhd., which in turn is a wholly-owned subsidiary of NEXTNATION.

5. The total cost of investment in USAPE is RM2.

6. The financial and operational impact of the Notice on the NEXTNATION Group is minimal.

7. Should Marco Kiosk Berhad succeed in their winding-up petition and are adjudicated by the Court, an administrator would be appointed to administer the affairs of USAPE.

Concurrently, the Board of Directors of the Company and USAPE are seeking legal advice from its solicitors on its next course of action.

The Board of Directors will make the necessary announcement on further development in due course.

This announcement is dated 15 December 2011.

Query Letter
content

We refer to your announcement dated 13 December 2011 in respect of the above
matter.

In this connection, kindly furnish the Exchange immediately with the following
information for public release:-

The interest rate on the amount claimed for;
The date on which the Notice was served on USAPE;
The details of the default or circumstances leading to the filing of the Notice
against USAPE;
Whether USAPE is a major subsidiary of Nextnation;
The total cost of investment in USAPE;
The financial and operational impact of the Notice on the Nextnation group; and
The expected losses, if any, arising from the Notice.

Yours faithfully

TAN YEW ENG
Head, Issuers
Listing Division
Regulation

TYE/NMA
c.c:- Head, Market Surveillance Department, Market Supervision Division,
Securities Commission (via fax)