Íbúðalánasjóður - Company Announcement

Standard & Poor´s Lowers HFF´s Credit Rating - Negative Outlook.

On June 14th, 2010, Standard & Poor´s Rating Services lowered the Housing
Financing Fund´s (HFF´s) credit rating due to HFF´s decline in its CAD ratio. 
The long-term local and foreign currency ratings were changed to 'BB+' from
'BBB'. 

The short-term local and foreign currency ratings were lowered to 'B' from
'A-3'. Additionally, HFF´s rating was removed from CreditWatch but has a
negative outlook. 

For further information, please see the attachment.

Attachments:

2010_06_14 s&p rating.pdf