Clarity OSS Limited (ACN: 057 345 785) ASX Code: CYO

ASX Announcement 31 July 2012

(ACN: 057 345 785)

ASX Announcement
31 July 2012

Clarity OSS Limited Releases Appendix 4C for Q4 2012

Sydney, Australia: 31 July 2012 Clarity OSS Limited (Clarity or Company), the award-winning provider of unified solutions designed to simplify the operations of communication service providers, today released its Appendix 4C for the year ended 30 June 2012. During the quarter the Company borrowed $1.15 million from CPS Group Investments (CPS) to fund the ongoing working capital requirements of the business arising from the significant growth that Clarity achieved in the year ended 30 June 2012. The Company reported a net operating cash outflow of $3.7 million for the year ended 30 June 2012, which compares favourably to a net operating outflow of $13.6 million for the previous year. The Company repaid a net amount of $7.98 million to CPS during the year to 30 June 2012, including the proceeds from the sale of IMX Software and ConverterTechnology, which compares favourably to $12.8 million that was borrowed from CPS in the previous financial year. For more information contact: Jon Newbery Chief Executive Officer Clarity OSS Limited Phone: (02) 9925 4600 jnewbery@clarity.com www.clarity.com About Clarity OSS Limited Clarity OSS Limited (ASX: CYO) enables its customers to simplify their operations with a unified operational management solution. Clarity provides an integrated, modular solution to optimize and automate core operational processes to manage network build and movements, develop and sell next generation products, and deliver and assure the quality of customer services. Clarity solutions provide the lowest total cost of ownership using embedded best practices and processdriven workflow to reduce the complexity, risk and cost of operations. Clarity empowers its customers to generate and protect revenue and enhance the complete customer experience. With over 40 Telecom customers worldwide, Clarity solutions currently help companies around the world manage over 500 million subscribers. Established in 1994, Clarity has offices worldwide. For more information, please visit www.clarity.com.
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Clarity OSS Limited (ACN: 057 345 785) ASX Code: CYO

ASX Announcement 31 July 2012

Name of entity CLARITY OSS LIMITED

ABN 87 057 345 785

QUARTER ENDED 30 June 2012

Consolidated statement of cash flows

Additional Information Current Quarter $A000 1.1 1.2 Cash flows related to operating activities Receipts from customers Payments for (a) staff costs (b) advertising and marketing (c) research and development (d) leased assets (e) cost of goods sold (f) rent (g) professional fees (h) travel and accommodation 1.3 1.4 1.5 1.6 1.7 Dividends received Interest and other items of a similar nature received Interest and other costs of finance paid Income taxes refunded/(paid) Other (provide details if material) Net operating cash flows (3,985) (281) (2,440) (149) (153) (887) (700) (2,125) (19,468) (688) (10,683) (1,095) (976) (2,695) 2 (8) (406) (3,689) 6,470 Year to date (12 months) $A000 32,328

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Clarity OSS Limited (ACN: 057 345 785) ASX Code: CYO

ASX Announcement 31 July 2012

Additional Information 1.8 Net operating cash flows (carried forward) Cash flows related to investing activities Payment for acquisition of: (a) businesses (item 5) (b) equity investments (c) intellectual property (d) physical non-current assets (e) other non-current assets 1.10 Proceeds from disposal of: (a) businesses (item 5) (b) equity investments (c) intellectual property (d) physical non-current assets (e) other non-current assets 1.11 1.12 1.13 Loans to other entities Loans repaid by other entities Other (Full Year Adjustment) Net investing cash flows 1.14 Total operating and investing cash flows Cash flows related to financing activities Proceeds from issues of shares, options, etc. Proceeds from sale of forfeited shares Proceeds from borrowings Repayment of borrowings Dividends paid Other Net financing cash flows Net increase (decrease) in cash held 1.21 1.22 1.23 Cash at beginning of quarter/year Exchange rate adjustments to item 1.20 Cash at end of period

Current Quarter $A000 (2,125)

Year to date (12 months) $A000 (3,689)

1.9

(88) (88) (2,213)

(197) 8,862 8,665 4,976

1.15 1.16 1.17 1.18 1.19 1.20

1,150 1,150 (1,063) 2,165 1,102

2,450 (10,429) (7,980) (3,004) 4,106 1,102

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Clarity OSS Limited (ACN: 057 345 785) ASX Code: CYO

ASX Announcement 31 July 2012

Payments to directors of the entity and associates of the directors Payments to related entities of the entity and associates of the related entities
Current Quarter $A'000 1.24 1.25 Aggregate amount of payments to the parties included in item 1.2 Aggregate amount of loans to the parties included in item 1.11 Explanation necessary for an understanding of the transactions Directors included in 1.24 Geoff Harrington Ian Lancaster Fiona McLeod Ian Campbell Services rendered by DMA Insurance (party related to Ian Lancaster) Loan repaid to CPS Group Investments Pty Ltd as trustees for Powerlan Investment Trust ("CPS") (party related to Ian Campbell) Current Quarter $ 12,500 12,500 12,500 18,750 30,257 Year to date $ 50,000 50,000 50,000 75,000 163,583 Year to date $A'000

87 -

389 -

1.26

9,129,183

Non-cash financing and investing activities

2.1 Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows N/A 2.2 Details of outlays made by other entities to establish or increase their share in businesses in which the reporting entity has an interest N/A

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Clarity OSS Limited (ACN: 057 345 785) ASX Code: CYO

ASX Announcement 31 July 2012

Financing facilities available

Add notes as necessary for an understanding of the position. (See AASB 1026 paragraph 12.2).

Amount available $A000 3.1 3.2 Loan facilities Credit standby arrangements 22,000 -

Amount used $A000 20,560 -

Reconciliation of cash
Reconciliation of cash at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts is as follows. Current Quarter Previous Quarter

$A000 4.1 4.2 4.3 4.4 Cash on hand and at bank Deposits at call Bank overdraft Other (please specify): bank guarantee deposits Total cash at end of month (item 1.23) 735 1,102 367

$A000 1,427 738 2,165

Acquisitions and disposals of business entities

Disposals (Item 1.10(a)) $A000 5.1 5.2 5.3 5.4 5.5 Name of entity Place of incorporation or registration Consideration for acquisition or disposal Total net assets Nature of business Disposals (Item 1.10(a)) $A000

Compliance statement
1 This statement has been prepared under accounting policies which comply with accounting standards as defined in the Corporations Act (except to the extent that information is not required because of additional note 2) or other standards acceptable to ASX. This statement does /does not* give a true and fair view of the matters disclosed.

Andrew Wrigglesworth (Director/Company Secretary)

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