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2016-03-11

Islandsbanki hf. : Transfer of ownership approved

As already announced, Glitnir has delivered the estate's 95% stake in
Íslandsbanki to the Central Bank of Iceland and the Icelandic Government as
part of its stability contribution this autumn. The Government previously
owned a 5% share in Íslandsbanki. TheCompetition Authorityhas approved the
transaction and Íslandsbanki is now wholly state-owned as a result.

The change in ownership will not affect the day-to-day operations of
Íslandsbanki, and the Bank's customers and employees will not notice any
change as a result of the transaction.

At the request of its owners, the Bank's Annual General Meeting has been
postponed until 19 April 2016.

For further information:

* Investor Relations - Tinna Molphy,tinna.molphy@islandsbanki.is, tel +354
440 3187.
* Media Relations - Edda Hermannsdottir, edda.hermannsdottir@islandsbanki.is
and tel: +354 440 4005.

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This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Islandsbanki hf. via Globenewswire

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