Landsbankinn hf. - Other information disclosed according to the rules of the Exchange

Landsbankinn hf.: Covered bond offering results

Today,  Landsbankinn concluded  a covered  bond auction  where three series were
offered for sale.

In  total, 21 bids  were received  in the  auction for  the total  amount of ISK
2,340m.

A  total  of  8 bids  for  ISK  580m were  received in the series LBANK CB 21 at
5.49%-5.65% yield. Bids for the amount of ISK 440m were accepted at 5.50% yield.
Following  the tap issuance, the  total amount issued in  the series will be ISK
2,100m.

A  total of  4 bids for  ISK 780m were  received in  the series  LBANK CBI 22 at
3.29%-3.30% yield. Bids for the amount of ISK 600m were accepted at 3.29% yield.
Following  the tap issuance, the  total amount issued in  the series will be ISK
19,340m.

A  total of  9 bids for  ISK 980m were  received in  the series  LBANK CBI 28 at
3.05%-3.09% yield. Bids for the amount of ISK 400m were accepted at 3.05% yield.
Following  the tap issuance, the  total amount issued in  the series will be ISK
3,740m.

The  bonds are  scheduled to  be admitted  to trading  on Nasdaq  Iceland on 17
January  2017. Arion  banki,  Islandsbanki  and  Kvika  act as market makers for
covered bonds issued by Landsbankinn.

The covered bonds are issued in accordance with a license from the Financial
Supervisory Authority (FME), with reference to act. no. 11/2008 and FME's rules
no. 528/2008. Further information on the bonds and the cover pool is available
on Landsbankinn's website, www.landsbankinn.is/covered-bonds 

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