NEXT 1 INTERACTIVE, INC.





CERTIFICATE OF DESIGNATION OF PREFERENCES,


RIGHTS AND LIMITATIONS


OF


SERIES B CONVERTIBLE PREFERRED STOCK














Corporation








Board of Directors




















TERMS OF PREFERRED STOCK





Section 1. Definitions




Affiliate












Alternate Consideration




Business Day




Change of Control Transaction




Common Stock




Common Stock Equivalents




Conversion Amount




Conversion Date












Corporation Conversion Price




Conversion Shares




Exchange Act




Florida Courts




Fundamental Transaction




Holder




Junior Securities




Liquidation




Notice of Conversion




Person




Preferred Stock




Securities Act




Share Delivery Date




Stated Value




Subsidiary Common Stock




Successor Entity




Trading Day




Trading Market












Trading Price




Section 2. Designation, Amount and Par Value Preferred Stock Holder Holders Stated Value




Section 3. Dividends Accruing Dividends




Section 4. Voting Rights




Section 5. Liquidation Liquidation












Section 6. Conversion




Conversions at Option of Holder Notice of Conversion Conversion Date




Conversion Price Corporation Conversion Price Subsidiary Common Stock




Mandatory Conversion Maturity Date Variable Conversion Price












Mechanics of Conversion




Delivery of Certificate Upon Conversion Share Delivery Date




Obligation Absolute




Reservation of Shares Issuable Upon Conversion












Fractional Shares




Transfer Taxes




Section 7. Redemption




General Redemption Price




Redemption Notice Redemption Notice




























Surrender of Certificates; Payment




Rights Subsequent to Redemption




Redeemed or Otherwise Acquired Shares




Section 8. Certain Adjustments




Stock Dividends and Stock Splits












Fundamental Transaction Fundamental Transaction Alternate Consideration Successor Entity












Calculations




Notice to the Holders




Adjustment to Conversion Price




Notice to Allow Conversion by Holder












Section 9. Negative Covenants
























Section 10. Miscellaneous




Notices 1-888-693-0961












Lost or Mutilated Preferred Stock Certificate




Governing Law Florida Courts




Waiver




Severability




Next Business Day












Headings




Status of Converted or Redeemed Preferred Stock




















NEXT 1 INTERACTIVE, INC.By:William KerbyIts: Chief Executive Officer










ANNEX A














 ̈ common stock, par value $0.00001 per share (the “Common Stock”), of Next 1 Interactive, Inc., a Nevada corporation (the “Corporation”), or




 ̈ common stock, par value $0.001 per share (the “Subsidiary Common Stock”), of RealBiz Media Group, Inc., a Delaware corporation (as described in Section 6(b) of the Series B Convertible Preferred Stock Certificate of Designation),












Date to effect conversion:




Number of shares of Preferred Stock owned prior to conversion:




Number of shares of Preferred Stock to be converted:




Stated Value of shares of Preferred Stock to be converted:




Number of shares of Common Stock(or Subsidiary Common Stock) to be issued:




Applicable conversion price:




Number of shares of Preferred Stock after conversion:




Address for delivery:




[HOLDER]By:Name:Title: