Icelandair Group hf. - Company Announcement

Traffic Data May 2014

The Company carried 219 thousand passengers on international flights in May. 
The number of passengers was up by 14% as compared to May last year.  The
capacity increase in available seat kilometers was 18%. The passenger load
factor was 77.1%, decreasing by 1.6 percentage points compared to the same
month last year.  The Company cancelled 92 flights and had to reroute around 12
thousand passengers due to pilots actions in the month. 

Passengers on regional flights and Greenland flights were 24 thousand in May,
which is 5% decrease from May last year.  The capacity was decreased by 5%. 
The load factor was 70.8%, decreasing by 0.7 percentage points from last year. 
Sold block hours in charter flights decreased by 38% between years.  Cargo
transport decreased by 5% year-on-year, mainly due to pilots actions. The
number of sold room nights at our Hotels was up by 12% from previous year. The
room utilization was 80.1%, compared to 72.1% in May last year. 





INTERNATIONAL FLIGHTS     MAY 14   MAY 13    CHG (%)   YTD 14   YTD 10   CHG (%)
--------------------------------------------------------------------------------
Number of Passengers     218,743  192,434        14%  794,917  698,510       14%
Load Factor                77.1%    78.7%   -1.6 ppt    76.2%    75.8%   0.4 ppt
Available Seat KM          849.1    717.3        18%  3,085.9  2,650.6       16%
 (ASK´000,000)                                                                  
REGIONAL AND GREENLAND    MAY 14   MAY 13    CHG (%)   YTD 14   YTD 10   CHG (%)
 FLIGHTS                                                                        
--------------------------------------------------------------------------------
Number of Passengers      23,909   25,184        -5%  111,450  121,260       -8%
Load Factor                70.8%    70.1%    0.7 ppt    70.3%    70.4%  -0.1 ppt
Available Seat KM           10.7     11.3        -5%     50.8     55.0       -8%
 (ASK´000,000)                                                                  
CAPACITY                  MAY 14   MAY 13    CHG (%)   YTD 14   YTD 10   CHG (%)
--------------------------------------------------------------------------------
Fleet Utilization          88.9%   100.0%  -11.1 ppt    97.9%    87.1%  10.8 ppt
Sold Block Hours           1,486    2,400       -38%    9,067   12,009      -25%
CARGO                     MAY 14   MAY 13    CHG (%)   YTD 14   YTD 10   CHG (%)
--------------------------------------------------------------------------------
Available Tonne KM        19,471   17,418        12%   78,662   72,231        9%
 (ATK´000)                                                                      
Freight Tonne KM           8,460    8,950        -5%   40,974   39,074        5%
 (FTK´000)                                                                      
HOTELS                    MAY 14   MAY 13    CHG (%)   YTD 14   YTD 10   CHG (%)
--------------------------------------------------------------------------------
Available Hotel Room      23,485   23,264         1%  112,224  112,064        0%
 Nights                                                                         
Sold Hotel Room Nights    18,817   16,775        12%   78,965   73,514        7%
Utilization of Hotel       80.1%    72.1%    8.0 ppt    70.4%    65.6%   4.8 ppt
 Rooms                                                                          



For further detailed information please contact:

Bogi Nils Bogason, CFO, Icelandair Group tel: + 354 665-8801
Íris Hulda Þórisdóttir, Director Investor Relations, Icelandair Group tel: +
354 840-7010