Neologic Animation Inc. to Take Advantage of Boom in China's Afterschool Education Market Which Was Estimated to Have Reached 189 Billion RMB (29.65 Billion USD) in 2009 While Growing at a Rate of 18.7% from 2009-2012

http://shifeng371.blog.163.com

HANGZHOU, China, July 12, 2012 /CNW/ - Neologic Animation Inc. (OTCBB:NANI),- (The Company), an educational software company in the People's Republic of China, is executing its business plan to take advantage of the boom in after school education.

The growth of the Chinese market, especially the explosive growth of their middle class has created enormous opportunities for the afterschool education market.  The Chinese educational system is one of the best and the most competitive in the World.

Children face difficult entrance exams as early as primary school to determine if they meet the academic standards of the top middle schools. These entrance tests continue for their entire academic lives. Chinese families pour enormous resources into each child's education to ensure their success.  This has caused a boom in the afterschool education market.

Close to 70% of middle class urban children at present take some sort of after school educational courses to help them stand the best possible chance of entry into the highly sought after, but very limited, amount of spots available at top schools.

As indicated on the Schools Tutoring Market Network, http://shifeng371.blog.163.com, it states in the Education and Training Industry Report that, "the annual compound growth rate of the education and training market in China will reach 12%, of which private education the compound annual growth rate will reach 16%. IResearch Consulting statistics show that Chinese primary and secondary school tutoring market has increased from $19.4 billion (123.8 billion yuan) in 2007 to $29.65 billion (189.7 billion yuan) in 2009, the compound annual growth rate of 23.8%. 2009 to 2014 compound annual growth rate of 18.7%."

This market is experiencing a huge growth curve because the middle class in China is growing so rapidly.

As evidenced on the following link, http://bbs1.people.com.cn/postDetail.do?id=119393847, "by 2030 it is projected that 80% of the entire population of the country will belong to the middle class, the main consumers of afterschool education."

Current players in the market utilize antiquated teaching modalities that are only moderately effective.   We believe that a huge opportunity exists for a player in this market that has a differentiated, fresh, scientifically tested and validated teaching method to both take market share from the legacy players as well as capture a large segment of the growing urban middle class market.

About Neologic Animation Inc. (the "Company")

The Company is an educational software development and marketing company; currently developing a website to be marketed as "Naniya World" for primary school students in China.  The website's goal is to educate children how to develop and hone their creative skills through interactive educational games that incorporate Adobe Flash. The games incorporate a curriculum that has been developed by some of China's top professors and child psychology experts. It sets itself apart from other after school programs in China because it deviates from the traditional methods of Chinese education.  The Company's mission is to inspire every child in China to become the best student they can possibly be by showing them that learning is fun.

For more information about the Company please visit our website at www.neologicanimation.com

Further information on the Company and its filings can be found at www.sec.gov

For further information, please contact:

Investor relations: Morningstar Corporate Communications
USA toll free 1(888) 603-3330 or NY local 1(646) 224-6902 [email protected]

Forward Looking Statements

Some information in this document constitutes forward-looking statements or statements which may be deemed or construed to be forward-looking statements, such as the closing of the share exchange agreement.  The words "plan", "forecast", "anticipates", "estimate", "project", "intend", "expect", "should", "believe", and similar expressions are intended to identify forward-looking statements.  These forward-looking statements involve, and are subject to known and unknown risks, uncertainties and other factors which could cause the Company's actual results, performance (financial or operating) or achievements to differ from the future results, performance (financial or operating) or achievements expressed or implied by such forward-looking statements.  The risks, uncertainties and other factors are more fully discussed in the Company's filings with the U.S. Securities and Exchange Commission.  All forward-looking statements attributable to Neologic Animation Inc., herein are expressly qualified in their entirety by the above-mentioned cautionary statement.  Neologic Animation Inc., disclaims any obligation to update forward-looking statements contained in this estimate, except as may be required by law.

Investor relations: Morningstar Corporate Communications
USA toll free 1(888) 603-3330 or NY local 1(646) 224-6902 [email protected]