Icelandair Group hf. - Financial Statement Release

Profitable organic growth in Q2 2012

  -- EBITDA 28.8 million USD, increasing by USD 11.8 million between years
  -- Increase in income 15% from the corresponding quarter of last year
  -- Net cash from operations USD 72.2 million, as compared to USD 42.9 million
     in the preceding year
  -- Equity ratio was 31%

Björgólfur Jóhannsson, president and CEO

“The results from the Company operations in the second quarter was good, and
considerably better than in the same period of 2011. The quarter was
characterised by profitable organic growth, particularly in the Company's
international flight operations. The number of passengers grew significantly,
especially in the market between Europe and North America. There was also
significant growth in the tourist market to Iceland, with a resulting positive
impact on the Group's operations and on the entire tourist industry in Iceland. 

The Company's operations have never before been as extensive, and a number of
factors have to come together perfectly in order to achieve the results we are
reaping now. There is good reason to thank our close-knit and dedicated staff
for the success. 

The results of operations in the first half of the year exceeded the Company's
projections, and the prospects for the second half of the year are positive.
Based on current assumptions, we are projecting EBITDA for the year in the
range of USD 110-115 million, which exceeds our previous forecasts.” 



For further information, please contact:

Björgólfur Jóhannsson President and CEO, Icelandair Group, tel. +354-896-1455
Bogi Nils Bogason, CFO, Icelandair Group, tel. +354-665-8801

Attachments:

Pressrelease_Q2_2012.pdf

Icelandair Group hf 30 6 2012.pdf