Kaupþing banki hf. - Company Announcement

- Kaupthing working on resolving Kaupthing EDGE issues in Germany

Kaupthing's Resolution Committee has in recent weeks worked on an
agreement with the German government on paying deposits back to
customers of Kaupthing EDGE in Germany, and it is hoped that payments
can be made within the next few days or weeks. Representatives of
Kaupthing's Resolution Committee will meet with representatives of
the German Ministry of Finance and the German Financial Supervisory
Authority regarding this matter next week.