NBS Technologies Inc.

NBS Technologies Inc.

November 28, 2006 09:23 ET

NBS Technologies Says Recent Claims Are Without Merit

TORONTO, ONTARIO--(CCNMatthews - Nov. 28, 2006) - NBS Technologies Inc. (TSX:NBS) ("NBS") today announced that a statement of claim has been filed with the offices of the American Arbitration Association against it and certain of its subsidiaries by and on behalf of former shareholders of UbiQ Incorporated ("UbiQ"). UbiQ is a software development firm dedicated to the smart card industry that was acquired by NBS in August, 2004 for US$3,060,000 in cash and 1,330,435 common shares of NBS.

The statement of claim seeks to rescind the agreement (the "UbiQ Agreement") pursuant to which NBS acquired UbiQ and is also claiming damages and injunctive relief against NBS for alleged fraudulent misrepresentation (the "Claims"). NBS believes the Claims are without merit and intends to aggressively defend itself.

NBS recently announced a going private transaction proposed by its controlling shareholder Brookfield Asset Management. The going private transaction provides for the shareholders of NBS, other than Brookfield and its affiliates, to receive, in addition to cash consideration, a non-transferable contingent entitlement ("Contingent Consideration") to share in the net proceeds received by NBS from any final adjudication or final settlement of all matters related to the claims and counterclaims of the Card Technology v. DataCard litigation involving NBS and the related proceedings in the United States Department of Justice (the "Litigation"). As the subject matter of the Litigation relates to assets acquired on the acquisition of UbiQ, shareholders would no longer be entitled to receive any payments in respect of the Contingent Consideration should the UbiQ Agreement be rescinded.

About NBS Technologies Inc.

NBS Technologies Inc. (TSX:NBS) is a leading provider of smart card manufacturing and personalization equipment, secure identity solutions and point of sale transaction services for financial institutions, governments and corporations worldwide. NBS Technologies is a global company with locations in Canada, China, France, the U.S. and the United Kingdom, along with a worldwide dealer network. For more information, please visit NBS's website at www.nbstech.com.

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