Eyrir Invest ehf. - Company Announcement

Eyrir Invest secures 150 million Euros of long term financing and issues new class of bonds

Eyrir Invest has made an agreement with Arion bank and Landsbankinn to extend
Eyrir´s loans until May 15th 2014 with interest payments every six months,
first interest payment is due May 15th 2011. The extended loans are
multicurrency loans with interest terms of EURIBOR/LIBOR + 400 bps. The total
amount is close to 150 million Euros. 

Furthermore, Eyrir Invest has decided to issue a new class of bonds of up to 4
billion ISK (26 m Euros). Sale of bonds amounting to 1 billion ISK (6.5 m
Euros) has already been secured. The new bonds mature on May 15th 2014 and
carry interest payments every 12 months, with the first interest payment on May
15th 2012. The new bonds are with interest terms of REIBOR +500 bps and
covenants of a minimum equity ratio of 25% as well as a limit on dividend
payments to maximum of 50% of net profits. Eyrir will apply for a listing of
the new bonds in addition to its currently listed bonds EYRI 05 1 on Nasdaq OMX
Iceland. H.F. Securities is the arranger of the sale and issue of the new
bonds. 

Eyrir Invests core assets are 32% share in Marel, 14% share in Össur and 17%
share in Stork BV which owns and operated Fokker Technologies and Stork
Technical Services. Eyrir Invest has also has a portfolio of venture capital
investments. 

Eyrir Invests financials are sound and the operational results of 2010 are
good. Total assets are 420-430 million Euros with an estimated equity ratio of
42-46%.