Landic Property hf. - Company Announcement

Landic Property - Strategic review

Landic Property is in the process of conducting a strategic review of the
company in light of recent developments in the global financial market. This
review focuses on the company´s current operations as well as its balance sheet
with the goal to strengthen Landic Property´s financial position. Landic
Property has retained UBS Investment Bank and Catella Corporate Finance as
advisers to the group.  Results are expected before the end of January 2009. 

Vidar Thorkelsson, CEO of Landic Property says: “After the initial discussions
with the company´s stakeholders I am optimistic that the strategic review will
be a success and Landic Property will emerge from it as a strong real-estate
company.” According to Mr. Thorkelsson, investors have shown interest in the
company. 

For further information please contact:

Vidar Thorkelsson, CEO, Landic Property
Tel: +354 669 4444

Sebastiaan van Loon, UBS Investment Bank
Tel: +44 207 568 0944 

Jesper Bo Hansen, Catella Corporate Finance
Tel: +45 3393 7593