- Private placement of shares

| Source: Marel hf.
Private Placement Commences Today

A meeting of the Board of Directors of Marel Food Systems hf. (Marel) on 29
November 2007 approved an increase to the company's share capital equivalent to
8% of its total issued share capital, through a private placement of shares to
a limited number of qualified investors, as defined in the Act on Securities
Transactions, No. 108/2007. The total sales value of the offering is ISK

The purpose of this offering by Marel is to finance its acquisition of Stork
Food Systems and to expand its shareholder base. The above-mentioned offering
is the first stage in obtaining financing through issuance of new share capital
totalling EUR 147 million. Once the conditions of the acquisition of Stork Food
Systems have been fulfilled, the company intends to make an additional offering
of shares in Marel to pre-emptive rightholders. 

Landsbanki Íslands hf. (Landsbanki) is co-ordinating and underwriting the
Details of the placement

   • A private placement to a limited group of qualified investors, as defined
     by the afore-mentioned Act. 

   • Marel intends to issue up to 29,800,000 new shares, representing around 8%
     of the company's total share capital. 

   • Landsbanki's Brokerage section will accept subscriptions beginning today,
     29 November 2007, and until 4:00 pm on 3 December 2007. Marel and
     Landsbanki reserve the right to close the offering earlier, however, 
     if it is oversubscribed. 

   • Marel will, in consultation with Landsbanki, allocate the new shares and
     reserves the right to reject individual subscriptions in part or in full. 

   • The results of the offering will be announced following its conclusion or
     at the latest by 10:00 am on Tuesday, 4 December 2007. 

   • Investors must make payment for their shares by 4:00 pm on Monday, 10
     December 2007. 

   • The Board of Directors will avail itself of the authorisation to increase
     share capital approved by the company's EGM on 5 July 2007, where
     shareholders also agreed to waive their pre-emptive rights to the new
   • The offer price of the new shares will be ISK 92-96.

   • The new shares are expected to be listed on OMX Nordic Exchange in Iceland
     on Thursday, 13 December 2007. 

For further information, contact: 
Hörður Arnarson, CEO of Marel Food Systems hf., tel. 354 563-8072.
Stefán Þór Bjarnason, Director of Corporate Finance, Landsbanki Íslands hf.,
tel. +354 410-7340. 
Arnar Arnarsson, Brokerage section, Landsbanki Íslands hf., tel. +354 410-7330.