Keflavik Savings Bank, Byr Savings Bank and Reykjavik Savings Bank continue merger discussions

Keflavik Savings Bank, Byr Savings Bank and Reykjavik Savings Bank entered
merger discussions in the beginning of December with a study taking place on
whether grounds exist for a merger of the savings banks. The discussions have
progressed well and will continue after the savings banks have completed their
annual accounts. 

The timeframe that was prepared at the beginning of the discussions will not be
realized due to the economic conditions in Iceland but a conclusion was hoped
for during the first weeks of the New Year.  No dates have been set about the
continuation, however all parties aim towards reaching a conclusion as quickly
as possible. 

For further information please contact: 

Geirmundur Kristinsson, CEO of Keflavik Savings Bank, tel: +354 421 6605
Ragnar Z. Guðjónsson, CEO of Byr Savings Bank, tel: +354 575 4000
Guðmundur Hauksson, CEO of Reykjavík Savings Bank, tel: +354 550 1213