Arion Bank hf. - Company Announcement

Arion Bank completes commercial papers offering

Yesterday Arion Bank completed an offering of 6-month commercial papers. Offers
totalling ISK 900 million were received and offers worth ISK 500 million were
accepted at 6.60% flat rates. 

The commercial papers are scheduled to be admitted to trading on NASDAQ OMX
Iceland at the end of the month. 

For further information please contact Haraldur Gudni Eidsson of Arion Bank's
Communications division at haraldur.eidsson@arionbanki.is, or tel. +354 856
7108.