Icelandair Group hf. - Financial Statement Release

Good third quarter results

  -- Profit after taxes USD 65.3 million, as compared to USD 51.4 million in the
     preceding year
  -- EBITDA was USD 102.2 million, up by USD 24.3 million from Q3 2013
  -- EBITDAR was USD 114.3 million, as compared to USD 92.7 million in the
     preceding year
  -- Total revenue increased by 17% between years
  -- Equity ratio was 40% at the end of September 2013
  -- Net cash from operating activities was USD 30.3 million, as compared to USD
     10.1 million in the preceding year



Björgólfur Jóhannsson, President and CEO:"Icelandair Group's operations have returned profitable growth in recent years.
The number of passengers on international flights is projected at 2.3 million
this year, up from 1.3 million in 2009. The number of international
destinations has increased by 14 at the same time and our aircraft are now 40,
as compared to 26 in 2009. The number of available nights in our hotels has
grown by 30%, and the number of our employees is now 2,800, up by 700 from
2009. Growth of this magnitude in such a short time can strain a company's
infrastructure, but so far we have succeeded in growing without significant
setbacks.  The Company's strategy with a clear focus on our core business and
the experience and expertise of our ambitious employees are the key to these
good results. 

Results in the third quarter were good, with profit after taxes at USD 65.3
million, as compared to USD 51.4 million last year. Our international flight
schedule this quarter was the most extensive in our history.  We carried 822
thousand passengers. The greatest increase was in the North Atlantic market, at
16%, with passengers in this market accounting for 52% of the total passenger
number. The tourist market to Iceland also increased significantly, by over 7%. 

It has been the Company's strategy since 2009 to level seasonal fluctuations
and develop Iceland as a year-round destination with a beneficial impact on the
Icelandic tourist industry in itself.  We have been at the forefront in
increasing the flow of tourists outside the peak season and we continue to see
excellent opportunities in winter tourism.  We will continue to leverage these
opportunities and develop further avenues for growth in Icelandic tourism. "



For further information, please contact:

Björgólfur Jóhannsson President and CEO, Icelandair Group, tel. +354-896-1455
Bogi Nils Bogason, CFO, Icelandair Group, tel. +354-665-8801

Attachments:

Icelandair Group hf 30 9 2013.pdf

Pressrelease Q32013.pdf