S&P downgrades Glitnir Bank

Reykjavik 9 October 2008

Standard & Poor's Rating Services announced today that it is lowering
its counterparty credit ratings on Glitnir Bank to 'D' from 'CCC/C'.

Further Information:

Sigrun Hjartardottir, Head of Investor Relations, sihj@glitnir.is  or
mobile +354 844 4748