2008-02-13 20:00:16 CET

2008-02-13 20:01:16 CET


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English Islandic
FL GROUP hf. - Company Announcement

FL Group divests its holdings in Geysir Green Energy

Reykjavik, Iceland, 4 February 2008, FL Group (OMX: FL), the international
investment company, announces that it has divested its 43.1% share in Geysir
Green Energy to a newly founded investment fund, Glacier Renewable Energy Fund.
 The total value of the transaction amounts to ISK 10.5 billion which
represents FL Group's book value of Geysir Green Energy in the end of 2007 and
therefore has negligble effect on the company's results in 1Q 2008. 

Glacier Renewable Energy is a “green” investmentfund, run by Glitnir Sjóðir
hf., and its goal is to invest in projects related to self-sufficient energy

Geysir Green Energy is an investment fund which seeks leading market
opportunities in the harnessing of geothermal energy. The company invests in
the development and construction of geothermal plants, acquires geothermal
plants currently owned by power utilities and participates in the privatization
of energy companies all over the world. 

Jón Sigurdsson, CEO FL Group:
“The divestment of our stake in Geysir Green Energy is consistent to the
restructuring of our non-core investment portfolio.  FL Group has played a
leading role in the growth of Geysir Green Energy since the company's
establishment in 2007 and in this time, Geysir has achieved tremendous success
and generated good return on investment for FL Group. 

Geysir Green Energy's future is bright, and we are convinced that Glitnir bank
and Atorka Group will be able to utilize their extensive knowledge in the field
of self-sufficient energy to continue to grow the company.  Through FL Group's
32% shareholding in Glitnir bank, the company will have direct benefit from
Geysir Green Energy operations.” 

For further information:

FL Group
Julius Thorfinnsson
Corporate Communications	
Tel:  (+354) 591 4400 / 896 6612
E-mail: julius@flgroup.is
Website: www.flgroup.is
About FL Group 
FL Group is an international investment company focusing on three areas of
investment, Financial and Insurance (FIG), Private Equity and Capital Markets. 
FIG is a special investment function responsible for strategic investments in
banking, insurance and other financials.  Private Equity oversees FL Group‘s
private equity holdings in addition to some listed positions that fit specific
investment criteria.  The company's Capital Markets function oversees
investments in listed securities as well as derivatives and other alternative
trading for hedging or investment purposes. 
With head office in Reykjavik and an office in London, FL Group invests in
companies worldwide.  The Company is listed on the OMX Nordic Exchange in
Reykjavik, Iceland (OMX: FL), with over 4,000 shareholders. 

More information on www.flgroup.is