Tilkynning frá OMX | 5.12.

Islandsbanki hf.: Tender Offer

Íslandsbanki has today announced an invitation to holders of its EUR
300,000,000 2.875 per cent notes due 27 July 2018 (ISIN XS1266140984) to tender
their notes for purchase by the Bank against a cash payment. The tender offer is
subject to the terms and conditions outlined in the Tender Offer Memorandum
dated 5 December 2017. The offer is part of Íslandsbanki's continuing efforts to
maintain a strong balance sheet position while efficiently applying surplus

Further information on the tender offer is available in the announcement made
public on the Irish Stock Exchange (www.ise.ie) where the bonds are listed.
Subject to certain distribution restrictions, a Tender Offer Memorandum can be
obtained from the tender agent: Citi Agency & Trust (e-mail:
citiexchanges@citi.com, tel: +44 (0) 20 7508 3867).

For further information:

 * Investor Relations - Gunnar S. Magnússon, ir@islandsbanki.is and tel:
 +354 440 4665.

This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Islandsbanki hf. via GlobeNewswire