Lánamál ríkisins - Company Announcement

Announcement of expanded Treasury issuance on the domestic bond market

At the beginning of 2009, the intention to issue Treasury notes for
approximately 145 b.kr. during the year was announced. Treasury note sales have
been brisk, and the goal for the year was reached in August. In view of market
demand for non-indexed securities, it has been decided to expand the issue by
up to 60 b.kr. this year, if market conditions permit. The proceeds of the
issue will be used to increase the Treasury's balance with the Central Bank of
Iceland. 

Further information can be obtained from Björgvin Sighvatsson, International
and Market Operations Department, Central Bank of Iceland, at +354 569 9600.

Attachments:

announcement_of_expanded_treasury_issuance_090929.pdf