REG-Islandsbanki hf FRN Variable Rate Fix

* Reuters is not responsible for the content in this press release.

Tue May 20, 2008 5:09am EDT 

LONDON--(Business Wire)--


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As Agent Bank, please be advised of the following rate determined on: 15-May-2008
Issue              ¦ Islandsbanki hf - Series 231
                     CZK 600,000,000.00 FRN Due 19 Aug 2010
ISIN Number        ¦ XS0227324471
Common Code / 144A ¦ 22732447
 ISIN
Issue Nomin CZK    ¦ 600,000,000.00
Period             ¦ 19-May-2008 to 18-Aug-2008            Payment Date 18-Aug-2008
Number of Days     ¦ 91
Rate               ¦ 4.285
Denomination CZK   ¦ 10,000,000.00         ¦ 600,000,000.00

Amount Payable per ¦ 109,505.56            ¦ 6,570,333.33
 Denomination

Bank of New York
Rate Fix Desk                              Telephone       ¦ 44 1202 689580
Corporate Trust Services                   Facsimile       ¦ 44 1202 689601
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Islandsbanki hf

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