Íslandsbanki hf. - Company Announcement

Islandsbanki hf. : Íslandsbanki sells commercial paper

Íslandsbanki  hf. has today sold 6 month commercial paper. The total issuance in
the  series cannot exceed ISK 1.5bn in nominal terms. The auction was structured
so that bidders submitted bids at a predetermined rate (price), at a simple rate
of 6.20% (price: 96.9770).



Total  bids for a  nominal value of  ISK 1.74bn were submitted  and bids for ISK
1.5bn were accepted. Total outstanding commercial paper amounts to ISK 8.85bn.



The commercial paper was sold to a broad group of investors. Trading is expected
to commence on 12 November 2013 on the Nasdaq OMX Iceland.







For further information:



Investor Relations - Tinna Molphy, tinna.molphy@islandsbanki.is and tel:
+354 440 3187.



Media Relations - Dögg Hjaltalín, dogg.hjaltalin@islandsbanki.is and tel:
+354 440 3925.


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