Icelandair Group hf. - Company Announcement

New Market Making Agreements

Icelandair Group hf. (the Company) has entered into agreements (the Agreements)
with Arion banki hf., Íslandsbanki hf. and Landsbankinn hf. (the Banks) whereas
the banks undertake to act as market makers for the Companies shares in
accordance with Article 116 of Act No. 108/2007 on Securities Transactions. The
Agreements will take effect on 2 May 2016 and 29 April will therefore be the
last day of the current market making agreements. The main terms of the
Agreements are as follows: 



                                           Arion banki  Íslandsbank  Landsbankin
                                                        i            n          
Minimum amount of bid and offer quotes       1.000.000    1.000.000    1.000.000
 (nominal value)                                                                
Maximum amount of total trading each day   300.000.000  300.000.000  300.000.000
 (market value)                                                                 
Maximum bid and offer spreads                     1,5%         1,5%         1,5%
Maximum deviation from last price paid              3%           3%           3%
Maximum time to place new orders in         10 minutes   10 minutes   10 minutes
 succession to prior orders getting                                             
 filled                                                                         





Further information:

Bogi Nils Bogason, CFO

bogi@icelandairgroup.is

+ 354 665 8801