NVB Notion VTec Bhd : OTHERS Notion VTec Berhad ("NVB" or "the Company") - Litigation against Tokio Marine Insurans (Malaysia) Berhad ("Tokio Marine")

(Unless otherwise stated, all definitions and terms used in this announcement shall have the same meaning as defined in the announcements dated 2 January 2013, 14 January 2013, 13 September 2013, 25 November 2014, 4 September 2015, 27 July 2016, 26 August 2016 and 30 August 2016)

Reference is made to the Company's announcements made on 2 January 2013, 14 January 2013, 13 September 2013, 25 November 2014, 4 September 2015, 27 July 2016, 26 August 2016 and 30 August 2016 pertaining to the reported fire incident at the rear building of its main manufacturing plant in Klang, Selangor and subsequent insurance claims and litigation case against Tokio Marine.

The Board of Directors of the Company wishes to update on the litigation case against Tokio Marine which was fixed for hearing today. The Federal Court has decided to dismiss the Company's Application for Leave to Appeal against the decision of the Court of Appeal dated 27 July 2016 with costs of RM10,000 to be paid to Tokio Marine.

Therefore, the Board of Directors had decided not to pursue further with the case.

The aforesaid decision will not have any material and adverse effect on the financial position of NVB for the financial year ending 30 September 2017.

This announcement is dated 18 January 2017.