Icelandair Group hf.

New Market Making Agreement

Icelandair Group hf. has entered into a new market making agreement with Íslandsbanki hf., whereas the bank undertakes to act as market makers for the Company’s shares in accordance with Article 116 of Act No. 108/2007 on Securities Transactions. The Agreement will become effective when new shares will be issued following the Company’s offering of shares and will replace the Company’s current market making agreements with Íslandsbanki. The main terms of the agreements are as follows:

Minimum amount of bid and offer quotes (nominal value)	5,000,000
Maximum amount of total trading each day (nominal value)	40,000,000
Maximum bid and offer spreads	1.5%
Maximum deviation from last price paid	3%
Maximum time to place new orders in succession to prior orders getting filled	10 minutes

Further information:
Eva Sóley Guðbjörnsdóttir, CFO
[e-mail]