diff --git a/ui/jsp/instance.jsp b/ui/jsp/instance.jsp
index e0a69e2f652..18060798963 100644
--- a/ui/jsp/instance.jsp
+++ b/ui/jsp/instance.jsp
@@ -638,77 +638,79 @@
                         </div>
                     </div>
                     <div class="vmpopup_offeringpanel" style="position:relative;">
-                        <div class="vmpopup_offeringbox" id="network_virtual_container" style="display:none">
-                            <input type="checkbox" id="network_virtual" name="network_virtual_checkbox" class="radio" checked="checked" />
-                            <label class="label" id="network_virtual_name">Virtual Network</label>
-                            <div class="vmpopup_offdescriptionbox">
-                                <div class="vmpopup_offdescriptionbox_top">
-                                </div>
-                                <div class="vmpopup_offdescriptionbox_bot">
-                                    <p id="network_virtual_desc">
-                                        A dedicated virtualized network for your account.  The broadcast domain is contrained within a VLAN and all public network access is routed out by a virtual router.
-                                    </p>
-                                </div>
-                            </div>
-                        </div>
-						<div id="network_direct_container"></div>
-						<!--
-						<div class="vmpopup_offeringbox">
-                            <input type="radio" name="radiogroup" class="radio" selected />
-                            <label class="label">
-                                My Virtual Network with Guest CIDR support.  Specify guest CIDR: 
-							</label>
-							<input type="text" name="disksize" class="text" />
-                            <div class="vmpopup_offdescriptionbox">
-                                <div class="vmpopup_offdescriptionbox_top">
-                                </div>
-                                <div class="vmpopup_offdescriptionbox_bot">
-                                    <p>
-                                        A virtual private network that is fronted by a virtual router.  An optional guest CIDR can be specified.
-                                    </p>
-                                </div>
-                            </div>
-                        </div>
-                        <div class="vmpopup_offeringbox" style="margin-top: 15px;">
-                            <input type="radio" name="radiogroup" class="radio" />
-                            <label class="label">
-                                My Direct Network:</label>
-                            <div class="vmpopup_offdescriptionbox">
-                                <div class="vmpopup_offdescriptionbox_top">
-                                </div>
-                                <div class="vmpopup_offdescriptionbox_bot">
-                                    <p>
-                                       A network where the virtual instance is directly assigned an IP from.
-									</p>
-                                </div>
-                            </div>
-                        </div>
-						<div class="vmpopup_offeringbox" style="margin-top: 15px;">
-                            <input type="radio" name="radiogroup" class="radio" />
-                            <label class="label">
-                                My Direct Shared Network: </label>
-                            <select class="select">
-							  <option>VLAN 100</option>
-							  <option>VLAN 101</option>
-							  <option>VLAN 102</option>
-							</select>
-                            <div class="vmpopup_offdescriptionbox">
-                                <div class="vmpopup_offdescriptionbox_top">
-                                </div>
-                                <div class="vmpopup_offdescriptionbox_bot">
-                                    <p>
-                                       A network where the virtual instance is directly assigned an IP from.  A VLAN must be selected.
-									</p>
-                                </div>
-                            </div>
-                        </div>
-						-->
-						
-						<div id="for_basic_zone" style="display: none">		
-						    <h3>Security Groups</h3>						    
-						    <ol>						        
+                        <div id="for_advanced_zone" style="display: none;">
+	                        <div class="vmpopup_offeringbox" id="network_virtual_container" style="display:none">
+	                            <input type="checkbox" id="network_virtual" name="network_virtual_checkbox" class="radio" checked="checked" />
+	                            <label class="label" id="network_virtual_name">Virtual Network</label>
+	                            <div class="vmpopup_offdescriptionbox">
+	                                <div class="vmpopup_offdescriptionbox_top">
+	                                </div>
+	                                <div class="vmpopup_offdescriptionbox_bot">
+	                                    <p id="network_virtual_desc">
+	                                        A dedicated virtualized network for your account.  The broadcast domain is contrained within a VLAN and all public network access is routed out by a virtual router.
+	                                    </p>
+	                                </div>
+	                            </div>
+	                        </div>
+							<div id="network_direct_container"></div>
+							<!--
+							<div class="vmpopup_offeringbox">
+	                            <input type="radio" name="radiogroup" class="radio" selected />
+	                            <label class="label">
+	                                My Virtual Network with Guest CIDR support.  Specify guest CIDR: 
+								</label>
+								<input type="text" name="disksize" class="text" />
+	                            <div class="vmpopup_offdescriptionbox">
+	                                <div class="vmpopup_offdescriptionbox_top">
+	                                </div>
+	                                <div class="vmpopup_offdescriptionbox_bot">
+	                                    <p>
+	                                        A virtual private network that is fronted by a virtual router.  An optional guest CIDR can be specified.
+	                                    </p>
+	                                </div>
+	                            </div>
+	                        </div>
+	                        <div class="vmpopup_offeringbox" style="margin-top: 15px;">
+	                            <input type="radio" name="radiogroup" class="radio" />
+	                            <label class="label">
+	                                My Direct Network:</label>
+	                            <div class="vmpopup_offdescriptionbox">
+	                                <div class="vmpopup_offdescriptionbox_top">
+	                                </div>
+	                                <div class="vmpopup_offdescriptionbox_bot">
+	                                    <p>
+	                                       A network where the virtual instance is directly assigned an IP from.
+										</p>
+	                                </div>
+	                            </div>
+	                        </div>
+							<div class="vmpopup_offeringbox" style="margin-top: 15px;">
+	                            <input type="radio" name="radiogroup" class="radio" />
+	                            <label class="label">
+	                                My Direct Shared Network: </label>
+	                            <select class="select">
+								  <option>VLAN 100</option>
+								  <option>VLAN 101</option>
+								  <option>VLAN 102</option>
+								</select>
+	                            <div class="vmpopup_offdescriptionbox">
+	                                <div class="vmpopup_offdescriptionbox_top">
+	                                </div>
+	                                <div class="vmpopup_offdescriptionbox_bot">
+	                                    <p>
+	                                       A network where the virtual instance is directly assigned an IP from.  A VLAN must be selected.
+										</p>
+	                                </div>
+	                            </div>
+	                        </div>
+							-->
+						</div>
+						<div id="for_basic_zone" style="display:none">		
+						    <h3>Security Groups</h3>		
+						    <span id="not_available_message" style="display:none">security group is currently not available</span>				    
+						    <ol id="security_group_section" style="display:none">						        
 						        <li>
-						            <select id="wizard_security_groups" class="multiple" multiple="multiple" size="15">
+						            <select id="security_group_dropdown" class="multiple" multiple="multiple" size="15">
 									</select>
 						        </li>
 						        <li>						            
diff --git a/ui/scripts/cloud.core.instance.js b/ui/scripts/cloud.core.instance.js
index bb72b39b4d1..ad89a1a4fad 100644
--- a/ui/scripts/cloud.core.instance.js
+++ b/ui/scripts/cloud.core.instance.js
@@ -391,10 +391,10 @@ function initVMWizard() {
 			dataType: "json",
 			success: function(json) {			    		
 				var items = json.listsecuritygroupsresponse.securitygroup;					
-				var $securityGroupSelect = $vmPopup.find("#wizard_security_groups").empty();	
+				var $securityGroupDropdown = $vmPopup.find("#security_group_dropdown").empty();	
 				if (items != null && items.length > 0) {
 					for (var i = 0; i < items.length; i++) {
-					    $securityGroupSelect.append("<option value='" + fromdb(items[i].name) + "'>" + fromdb(items[i].name) + "</option>"); 
+					    $securityGroupDropdown.append("<option value='" + fromdb(items[i].name) + "'>" + fromdb(items[i].name) + "</option>"); 
 					}
 				}					    
 			}
@@ -834,8 +834,10 @@ function initVMWizard() {
 			
 			//Setup Networking before showing it.  This only applies to zones with Advanced Networking support.
 			var zoneObj = $thisPopup.find("#wizard_zone option:selected").data("zoneObj");
-			if (zoneObj.networktype == "Advanced") {
-			    $thisPopup.find("#step4").find("#for_basic_zone").hide();			    
+			if (zoneObj.networktype == "Advanced") {			    
+			    $thisPopup.find("#step4").find("#for_advanced_zone").show();
+			    $thisPopup.find("#step4").find("#for_basic_zone").hide();	
+			    		    
 				var networkName = "Virtual Network";
 				var networkDesc = "A dedicated virtualized network for your account.  The broadcast domain is contrained within a VLAN and all public network access is routed out by a virtual router.";
 				$.ajax({
@@ -939,12 +941,20 @@ function initVMWizard() {
 						}
 					}
 				});
-				$thisPopup.find("#wizard_review_network").text(networkName);
+				$thisPopup.find("#step5").find("#wizard_review_network").text(networkName);
 			} 
 			else {  // Basic Network
-			    if(getDirectAttachSecurityGroupsEnabled() == "true" && $selectedVmWizardTemplate.data("hypervisor") != "VmWare" ) {
-			        $thisPopup.find("#step4").find("#for_basic_zone").show();				
-				    $thisPopup.find("#wizard_review_network").text("Basic Network");
+			    $thisPopup.find("#step4").find("#for_basic_zone").show();			    
+			    $thisPopup.find("#step4").find("#for_advanced_zone").hide();	
+			    if(getDirectAttachSecurityGroupsEnabled() == "true" && $selectedVmWizardTemplate.data("hypervisor") != "VmWare" ) {			        
+			        $thisPopup.find("#step4").find("#security_group_section").show();
+			        $thisPopup.find("#step4").find("#not_available_message").hide();	
+				    $thisPopup.find("#step5").find("#wizard_review_network").text("Basic Network");
+				}
+				else {
+				    $thisPopup.find("#step4").find("#not_available_message").show();		
+			        $thisPopup.find("#step4").find("#security_group_section").hide();	
+			        $thisPopup.find("#step5").find("#wizard_review_network").text("");			   
 				}
 			}
 	    }	
@@ -1033,9 +1043,9 @@ function initVMWizard() {
 				moreCriteria.push("&networkIds="+networkIds);
 			} 
 			else {  //Basic zone
-			    if($thisPopup.find("#step4").find("#for_basic_zone").css("style") != "none") {
-				    if($thisPopup.find("#wizard_security_groups").val() != null && $thisPopup.find("#wizard_security_groups").val().length > 0) {
-			            var securityGroupList = $thisPopup.find("#wizard_security_groups").val().join(",");
+			    if($thisPopup.find("#step4").find("#security_group_section").css("display") != "none") {
+				    if($thisPopup.find("#security_group_dropdown").val() != null && $thisPopup.find("#security_group_dropdown").val().length > 0) {
+			            var securityGroupList = $thisPopup.find("#security_group_dropdown").val().join(",");
 			            moreCriteria.push("&securitygrouplist="+encodeURIComponent(securityGroupList));	
 			        }		
 			    }