Landsbankinn hf. - Company Announcement

Standard and Poor’s affirms Landsbankinn's rating grade

International rating agency Standard and Poor's (S&P) has affirmed its rating
of Landsbankinn.  Landsbankinn's short and long term ratings are BBB-/A-3, with
a positive outlook. 

In S&P's estimation, risk has decreased in the Icelandic banking sector, the
quality of the banks' loan portfolios has improved and the outlook is for 3%
GDP growth in the next two years. 

S&P notes that lifting capital controls without applying countermeasures could
lead to economic instability in Iceland and thus to increased risk in the
operation of the Icelandic banks. Recent statements as regards plans to lift
the capital controls indicate that measures have been taken to reduce such
risk. S&P concludes that the Icelandic authorities will continue to take
prudent steps towards lifting capital controls to avoid any significant impact
on the economy. 

S&P's reports and announcements are available on the Bank's website:
http://corporate.landsbankinn.com/investor-relations/funding/credit-rating/ 



For further information, contact:

Rúnar Pálmason, Public Relations, pr@landsbankinn.is, tel: +354 410 6263 / 899
3745 

Hanna Kristín Thoroddsen, Investor Relations, ir@landsbankinn.is, tel: +354 410
7328

Attachments:

Landsbankinn November 2015 .pdf