Pre-close trading statement and notice of results

30 September 2010

Nasstar plc

("Nasstar" or the "Company")

Pre-close trading statement and notice of results

Nasstar, which provides Hosted Desktop cloud computing, is pleased to provide a pre-close trading statement ahead of the announcement of its full year results for the year to 30 September 2010.

Nasstar has made solid progress and has traded ahead of market expectations. The Company expects to report positive EBITDA, before share based payments, in the region of £0.3m, with turnover of approximately £2.34m.

During the year the Company has focussed on further development of its Hosted Desktop product, whilst delivering sales growth through its partner programme. Nasstar's target of 50 partners by the end of the year has been reached. The number of live Hosted Desktop subscribers has risen by over 40% since 30 September 2009 to over 1,600. Additional subscribers under contract for delivery take the total number of sold subscribers to over 2,000.

Hosted Desktop version 7 has been released during the year, delivering the benefits of Windows 7, Microsoft Office Professional 2010 and other applications in the cloud. Hosted Desktop can be delivered in many languages which has resulted in sales to some overseas customers and a number of new opportunities in the pipeline for companies wishing to adopt a hosted desktop solution for a multi-national subscriber base.

Charles Black, CEO of Nasstar, said:

"We've had a positive year. We have focussed on a simple strategy of developing both Hosted Desktop and the partner route to market. Such a strategy does take time to produce results especially in what is still a new market. This strategy is now beginning to work with the performance in the second half of the year being stronger than the first. Recent sales momentum has been particularly encouraging and our distribution agreement with intY, announced recently, combined with our partner network put us in a strong position to deliver sales of Hosted Desktop in 2011 and 2012."

Notice of results

Nasstar expects to report its preliminary results for the year ended 30 September 2010 on Wednesday, 30 November 2010.

About Nasstar plc

Nasstar (www.nasstar.com) provides Hosted Desktop, a cloud computing service that enables subscribers to access their desktop, applications and data in the cloud rather than using local hard drives. Hosted Desktop is a highly scalable service that provides benefits including anywhere access to computing, a standardised corporate desktop solution that can be accessed globally and in multiple languages and cost savings when compared to the traditional IT ownership model, replacing capital expenditure with a simple usage based payment model.

Nasstar was founded in 1998 by Charles Black. Nasstar plc was admitted to trading on the London Stock Exchange Alternative Investment Market in December 2005 (AIM: NASA).