Icelandic Group hf. - Company Announcement

- Icelandic Group hf. intends to investigate possible delisting

The Board of Icelandic Group hf. has advertised that its AGM will be held at
4:00 pm on 18 April, in the Súlnasalur meeting room of Radisson SAS Hotel Saga
in Reykjavík. Among the motions from the Board of Icelandic Group hf. to be
submitted to the AGM is a motion that shareholders authorise the company's
Board to request that its shares be delisted from the Nasdaq OMX Nordic
Exchange in Iceland. 

In the estimation of the company's Board of Directors, Icelandic Group hf. has
not managed to avail itself of the benefits of being a listed company in recent
years. Trading the company's shares has been limited and price formation
ineffective, in addition to which the distribution of the company's share
capital is narrow and below the reference criteria of Nasdaq OMX Nordic
Exchange in Iceland. 

Work on financial restructuring and cost reduction in Icelandic Group's
operations has been underway for some time and is expected to continue. The
proposed issuance of a convertible bond is part of this financial
restructuring, enabling the company to continue working towards its objectives.
In consideration of the fact that an official stock exchange listing can be
burdensome, for instance, due to disclosure obligations which can prejudice the
company's position vis-à-vis competitors, and that Icelandic Group hf. is not
properly benefiting from the advantages of listing, the company's Board of
Directors regards this move to be practical and realistic, and in the best
interest of the company and its shareholders.

For further information: 
Finnbogi A. Baldvinsson CEO of Icelandic Group tel: +49 1723 198 727