Glitnir has today issued a EUR500 million 4.375% bonds due in 2010. This is the first public issue from Glitnir denominated in Euros, either in fixed or floating format, since June 2005. The issue was managed by ABN Amro and Deutsche Bank. The transaction, which was nearly twice oversubscribed, marks the next step in the Bank's funding plans for 2007 - to re-establish its name with the Euro investor base after an 18-month absence. "Again, we are encouraged by the reception this important trade has met with," says Tómas Kristjánsson, CFO at Glitnir. "With our recent US Dollar Global transaction we sought, amongst other things, to bring in a substantial part of the European investor base that had been absent from our issues last year. This new Euro fixed transaction is an important step in re-acquainting the buyers of Euro paper with both our credit, and developments in the Icelandic economy over the past year." "We will continue to focus on maintaining high levels of liquidity as a priority. Our two most recent transactions have shown a steady reduction in the negative basis against CDS at which they were issued, and have performed well in secondary trading. With significant part of this year's funding now complete in the first three weeks of January, we can afford to take a more opportunistic view of the markets in the months ahead." For further information: Tómas Kristjánsson, CFO, phone +354 440 4656, or e-mail tomas.kristjansson@glitnir.is. William Symington, Director, International Funding, phone Tel: +44 20 7710 9112, william.symington@glitnir.co.uk Bjørn Richard Johansen, Managing Director, Corporate Communication, mobile +47-47 800 100 or e-mail brj@glitnir.no.