Landsvirkjun - Company Announcement

Landsvirkjun issues a 10 year bond

Today, Landsvirkjun signed a 10 year private placement amounting to USD 70
million (some 8 billion ISK). 


The bond has a 4,9% fixed rate with semi-annual interest payments with a single
principal payment in 2021. The dealer for the transaction is Islandsbanki. The
proceeds will be used for general refinancing purposes and funding of
constructions in Northeast Iceland, that is expected to start next year.
Landsvirkjun puts great emphasis on prefunding future projects in light of the
current market turmoil in international financial markets. 



Reykjavík, August 30, 2011



Further information is provided by Rafnar Lárusson, CFO, telephone 515-9010,
e-mail rafnar@lv.is.

Attachments:

110830 LV gefur út skuldabréf til tíu ára english.pdf