- Icelandic Group has signed a letter of intent on sale of 81% share in Icelandic Holding Germany

Icelandic Group has signed a letter of intent on sale of 81% share in Icelandic
Holding Germany GmbH, the parent company of Pickenpack Hussmann & Hahn GmbH,
Germany and Pickenpack Gelmer SAS, France. 

The buyer of the shares is Finnbogi Baldvinsson, the CEO of Icelandic Europe.
The purpose of the sale is to sharpen the focus in Icelandic Group´s operation
and to lower debt. 

According to the letter of intent the buyer´s approx. 21% of the total
outstanding shares in Icelandic Group will be used as a payment for the 81%
share in Icelandic Holding Germany GmbH.  Icelandic Group aims to resell the
treasury shares it receives, in whole or in part, to investors. 

It is understood that the final agreements will be executed in the coming weeks
at which time further details will be disclosed concerning the impact of the
acquisition on Icelandic Group's operation and financial position. 

For further information please contact:
Björgólfur Jóhannsson CEO of Icelandic Group Tel: + 354 896 1455