Landsbanki Íslands hf. - Tender offer

Landsbanki statement regarding Close Brothers Group plc

Landsbanki advises that the announcement (Number HUG1184266) today was was an
unauthorised release - the correct version is as below. 

Landsbanki Islands hf. ("Landsbanki") notes the recent announcement from Cenkos
Securities plc regarding its intention not to make an offer for Close Brothers
Group Plc ("Close Brothers"). Landsbanki will therefore not be acquiring the
banking business of Close Brothers in an arrangement with Cenkos as outlined in
Landsbanki's announcement dated January 14 2008. 

For the purposes of Rule 2.8 of the City Code on Takeovers and Mergers (the
"City Code") Landsbanki therefore confirms that it has no present intention of
making an offer for Close Brothers Group plc. 

Pursuant to Rule 2.8 of the City Code, Landsbanki reserves the right to
announce an offer or possible offer or make and participate in an offer or
possible offer for Close Brothers and/or take any other action which would
otherwise be restricted under Rule 2.8 of the City Code within the next six
months if there is a material change in circumstances or in the event that: 

(i)            the agreement or recommendation of the board of Close Brothers
is given to an offer from Landsbanki or from a person with whom Landsbanki is
acting in concert or to a joint offer from Landsbanki and a concert party; 

(ii)           a third party makes a firm offer for Close Brothers; or

(iii)          Close Brothers announces a whitewash proposal or a reverse
takeover. 



For further information please contact:
Landsbanki's CEOs Sigurjón Th. Árnason, tel. +354 410-4009 / +354 898 0177 and
Halldór J. Kristjánsson, tel. +354 410 4015 / +354 820 6399. 
Media Relations - Andrew Walton, Financial Dynamics, tel: +44 20 7269 7204 /
mob: +44 7711 264 157. 

About Landsbanki
Landsbanki is a growing European bank with total assets of ISK 2,847 billion
(EUR 32.4 bn) at 30 September 2007 and a market capitalisation of ISK 335
billion (EUR 3.4 bn) as of 22 January 2008. Through its extensive distribution
network of 2,499 employees in 17 countries, Landsbanki is set to deliver
targeted financial services based on local expertise for mid-cap corporates in
Europe. Landsbanki provides retail and corporate banking, investment banking,
capital markets services, asset management and wealth management for private
banking clients. Landsbanki's unique product line includes access to both debt
and equity markets and its research department is among the most comprehensive
in Europe, including some 100 analysts covering close to 950 European stocks. 

The market leader in the Icelandic financial service sector, Landsbanki's
growth in recent years has been primarily organic, based upon smaller,
strategically acquired platforms in the UK, Ireland and Continental Europe.
Most recently, the bank acquired the securities broker and investment bank
Bridgewell in the UK. 

Headquartered in Reykjavik, Iceland, Landsbanki Islands hf. is traded on the
OMX Nordic Exchange Iceland under the ticker LAIS. Landsbanki is rated by
Moody's (Aa3 / P-1 / C / Stable) and Fitch (A / F1 / B/C / Stable). 





HSBC Bank plc, which is regulated in the United Kingdom by the Financial
Services Authority, is acting for Cenkos and Landsbanki and no one else in
relation to matters described in this announcement and will not be responsible
to anyone other than Cenkos and Landsbanki for providing the protections
afforded to customers of HSBC Bank plc or for providing advice on matters
described in this announcement. 

Under the provisions of Rule 8.3 of the City Code on Takeovers and Mergers (the
“Code”), if any person is, or becomes, “interested” (directly or indirectly) in
1% or more of any class of “relevant securities” of Close Brothers, all
“dealings” in any “relevant securities” of that company (including by means of
an option in respect of, or a derivative referenced to, any such “relevant
securities”) must be publicly disclosed by no later than 3.30 pm (London time)
on the London business day following the date of the relevant transaction. This
requirement will continue until the date on which the offer becomes, or is
declared, unconditional as to acceptances, lapses or is otherwise withdrawn or
on which the “offer period” otherwise ends. If two or more persons act together
pursuant to an agreement or understanding, whether formal or informal, to
acquire an “interest” in “relevant securities” of Close Brothers, they will be
deemed to be a single person for the purpose of Rule 8.3. 

Under the provisions of Rule 8.1 of the Code, all “dealings” in “relevant
securities” of Close Brothers by Close Brothers, or by any of its “associates”,
must be disclosed by no later than 12.00 noon (London time) on the London
business day following the date of the relevant transaction. 

A disclosure table, giving details of the companies in whose “relevant
securities” “dealings” should be disclosed, and the number of such securities
in issue, can be found on the Takeover Panel's website at
www.thetakeoverpanel.org.uk. 
“Interests in securities” arise, in summary, when a person has long economic
exposure, whether conditional or absolute, to changes in the price of
securities. In particular, a person will be treated as having an “interest” by
virtue of the ownership or control of securities, or by virtue of any option in
respect of, or derivative referenced to, securities. 

Terms in quotation marks are defined in the Code, which can also be found on
the Takeover Panel's website. If you are in any doubt as to whether or not you
are required to disclose a “dealing” under Rule 8, you should consult the
Takeover Panel. 
The distribution of this announcement in jurisdictions other than the United
Kingdom may be restricted by law and therefore persons into whose possession
this announcement comes should inform themselves about, and observe, such
restrictions. Any failure to comply with the restrictions may constitute a
violation of the securities laws of any such jurisdiction. This announcement
does not constitute an offer or an invitation to purchase or subscribe for any
securities or a solicitation of an offer to buy any securities pursuant to this
announcement or otherwise in any jurisdiction.