Nexia Holdings Reports Strong Revenue Increases in the Second Quarter.

Three- and Six-Month Sales Increase 103% and 119%, Respectively

SALT LAKE CITY -- Nexia Holdings, Inc. (OTCBB: NEXA), a diversified holding company with operations in the fashion retail industry, health & beauty and real estate, announced today its financial results for the three- and six-month periods ended June 30, 2007. The Company's second quarter results will be filed on Form 10Q-SB at http://www.sec.gov.

Gross revenues for the three- and six-month periods ended June 30, 2007 were $739,610 and $1,478,384, respectively, as compared to $365,107 and $676,552 for the same periods in 2006. The increase in three- and six-months revenues of 103% and 119%, respectively, is due to inclusion of sales revenue from the operation of the Landis Salon in the sum of $899,999, an increase of $312,012 or 53% over Landis revenue from the first six months of 2006, and the inclusion of $486,055 in revenue from the Black Chandelier operations of Gold Fusion Laboratories, Inc., which was acquired subsequent to the second quarter of 2006.

Nexia recorded net losses of $868,384 and $2,068,832 for the three- and six-month periods ended June 30, 2007, as compared to net income of $1,589,303 and $1,278,098 for the comparable periods in 2006. The increase in the three- and six-month net losses compared to the same periods in 2006 were primarily attributable to a one-time gain recognized on the sale of marketable securities of $2,306,950 in 2006, which was not realized in 2007. Other factors affecting the change were operating expenses recognized from the Landis Salon operations, the addition of the Gold Fusion Laboratories, Inc. operations, and other expenses relating to operation and growth of each entity.

During the second quarter of 2007, Gold Fusion established relationships with China and India-based manufacturers that offer flexible and scalable production facilities to deliver inventory to Gold Fusion into the foreseeable future. Richard Surber, CEO of Nexia, commented, "These types of relationships are key to Gold Fusion being able to ramp-up operations upon obtaining additional funding to fuel our aggressive retail expansion plans."

Surber continued, "I am anticipating a substantial increase in revenues as we prepare and head into the holiday sales season. I am currently working on obtaining a business line of credit that will allow Nexia's Gold Fusion to purchase and/or manufacture upwards of $750,000 (retail value) in additional inventory."

"Subsequent to the second quarter of 2007, Nexia acquired the second of many existing salons in the U.S. that exclusively sell and adhere to AVEDA[TM] operational guidelines, an early pioneer in eco-friendly practices. We believe the environmentally conscious consumer is the wave of the future, and the roll-up of AVEDA salons prepares us to capitalize on one of the fastest growing trends in the world's health and beauty industries," said Surber. "Anthony Newby, our newly appointed Marketing Director; Sean Pasinsky, Director of Business Development; Matthew Landis, Founder and Senior Stylist of Landis Salons, and myself are strategically laying the groundwork to acquire existing as well as new salon locations in the U.S."

"It is possible that Nexia will acquire three or more additional locations before year's end. Our goal is to generate upwards of $10 million in gross revenues by the end of 2008, if we are able to successfully acquire the salon locations that we are currently in preliminary negotiations with by December 31, 2008," added Surber. "I would venture to say that Nexia Holdings is the best sub-penny opportunity on the OTCBB, despite my obvious bias."

To review key milestones year-to-date, please see Nexia's press release issued on August 14, 2007 at http://www.nexiaholdings.com.

About Nexia Holdings Inc.

Nexia Holdings Inc. (OTCBB: NEXA), headquartered in Salt Lake City, Utah, is a diversified holdings company with operations in fashion retail, health & beauty, and real estate. Nexia owns a majority interest in Landis Lifestyle Salon, http://www.landissalon.com, a hair salon built around the world-class AVEDA(TM) product line. Through its Gold Fusion Laboratories subsidiary, Nexia owns the innovative retail and design firm Black Chandelier and its related brands. Black Chandelier has nationwide expansion plans, and currently operates four retail locations and online operations at www.blackchandelier.com. For more information, visit http://www.nexiaholdings.com.

Nexia strongly encourages the public to read the above information in conjunction with its Form 10-KSB for December 31, 2006 and its Form 10-QSB for the quarter ended June 30, 2007. Nexia's Disclosures can be viewed at www.nexiaholdings.com and www.sec.gov.

This press release reports information reported in the Form 10-QSB for the three and six months ended June 30, 2007 filed with the SEC by Nexia Holdings, Inc. This press release also contains forward-looking statements that are based on a number of assumptions, including the successful completion of the marketing plans and expansion of Gold Fusion Laboratories, Inc. operations in a short period of time. The above statements further assume that Nexia can obtain sufficient capital to execute expansion plans through outside investments including but not limited to obtaining significant leasehold improvements and sufficient lines of credit to fund the opening of additional Gold Fusion Laboratories, Inc. locations. There are no assurances that such assumptions will prove correct. These forward-looking statements involve a number of risks and uncertainties, including an expectation of substantial increase in sales. The actual results that Nexia Holdings may achieve could differ materially from any forward-looking statements due to such risks and uncertainties.