Landsbankinn hf. - Other information disclosed according to the rules of the Exchange

Landsbankinn hf. : Landsbankinn issues bonds in euros

Landsbankinn hf. has today issued €300 million of senior unsecured bonds,
equivalent to around ISK 34 billion. The bonds have a 5 year maturity with a
fixed 1.375% coupon and were priced at terms equivalent to 130 basis point
spread above mid-swaps in euros.

The bonds were sold to institutional investors in the UK, Continental Europe,
Scandinavia and Asia. The final order book amounted to approximately €700
million, more than two times oversubscribed, from over 80 investors. The bonds
are issued under Landsbankinn's Medium Term Note (EMTN) Programme and will be
listed on the Irish Stock Exchange on the 14th of March.

Landsbankinn will use the proceeds to pre-pay a part of the bank's existing
funding in addition to strengthening the bank's liquidity further.

Joint lead managers on the transaction were: Bank of America, Barclays,
Citigroup and JP Morgan.

Hreiðar Bjarnason, Landsbankinn's CFO

"Today's issuance is particularly enjoyable. Firstly, it offers better terms
than Icelandic banks have previously seen in international markets in recent
years, secondly it continues to diversify the ban's investor base and finally it
represents an extension to the bank's credit curve.

Improved terms and strong interest reflect increased confidence among
international investors in Landsbankinn and the Icelandic economy and continue
to enable Landsbankinn to stay at the forefront in supporting Icelandic
businesses."

Detailed information about Landsbankinn for investors and others stakeholders
are available at: http://corporate.landsbankinn.com/investor-relations/

Further information:

Investor Relations:  Hanna Kristin Thoroddsen; ir@landsbankinn.is; Tel:
+354 410 7100


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