Nexia Closes on $1,000,000 Refinancing
Nexia Holdings Inc. (OTCBB: NEXH) announced that its subsidiary, Wasatch Capital Corp., the owner of the Wallace Bennett Building located on 100 South in downtown Salt Lake City, has closed on a $1,000,000 mortgage secured by the Wallace Bennett Building. The terms of the loan include a total loan in the sum of $1,000,000; a term of 10 years, with an interest rate of 7.125% fixed for 10 years and would provide for monthly payments based upon a 30 year amortization. Proceeds from the new financing were used to retire the prior loan secured by the building and included a cash payment to the owner of the building.
� The terms set forth above reclassify the loan held by Wasatch Capital from short-term debt to long-term debt which has substantially increased Nexia's working capital, from the $971,535 reported as of June 30, 2006 to an estimated $1,921,535.
� Richard Surber, Nexia's president, commented that: "Wasatch has not only obtained the benefit of long-term financing based upon a 30 year amortization, but has received in excess of $140,000 in cash which will be used in part for further improvements to the property.
Nexia's recent developments indicate to me that we are moving the company in a positive direction." � Nexia strongly encourages the public to read the above information in conjunction with its Form 10-KSB for Dec. 31, 2005 and the Form 10-QSB for June 30, 2006. Nexia's disclosures can be viewed at www.nexiaholdings.com or www.sec.gov. This press release is not a solicitation to buy or sell any securities. Nexia strongly encourages investors to only invest monies that they can afford to lose. Nexia is a high-risk security known as a penny stock.
� This press release may contain forward-looking statements that are based on a number of assumptions, including the financial treatment of the successful completion of the refinancing of the Wallace Bennett building. Although Nexia Holdings believes these assumptions are reasonable, no assurance can be given that they will prove correct.
These forward-looking statements involve a number of risks and uncertainties, including the completion of the due diligence by lenders on the Wallace Bennett building and obtaining sufficient financing for the property. The actual results that Nexia Holdings may achieve could differ materially from any forward-looking statements due to such risks and uncertainties.
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