Íbúðalánasjóður - Company Announcement

Press release from HFF on 29. November 2012

No decision has been made to discontinue issuance of HFF bonds series

In an interview with the news website www.mbl.is on Wednesday November 28th.,
the chairman of HFF is quoted as saying that the board of HFF has made a
decision not to issue any more HFF bonds in the current series. The board of
the Housing Financing Fund has in fact not made a decision to discontinue the
issuance of HFF bonds. 

Due to its strong cash position the HFF has, however, not issued any new bonds
under the current series since January 2012. As a rule, bond series are not
retired before new series have been introduced and listed on an exchange. No
decision has been made to do so. 

Preparations for the issuance of new bond series are underway. The new series
are expected to be callable. Therefore the new series will serve to strengthen
the Fund's risk management. 



For further information please contact Sigurdur Erlingsson CEO on telephone
+354 569 6900.