Teymi hf. - Company Announcement

Competititon Authority approves the merger of Teymi and IP fjarskipti (Tal)

The Competition Authority has approved the acquisition of 51% of the shares in
IP fjarskipti ehf. (Tal) announced on 26th February 2008. Teymi has undertaken
to ensure the financial and structural separation of Tal and Og fjarskipti ehf.
(Vodafone Iceland). Tal will be consolidated in Teymi's accounts as of 1 June
2008. 

For further information contact Dóra Sif Tynes General Counsel at + 354 669
5512.