Kaupthing Bank has priced and launched a CAD 500 million, 4.7% fixed rated Maple bond issue, maturing in February 2010. It represents Kaupthing Bank's inaugural Maple bond issue. Kaupthing Bank conducted a roadshow in Canada in January and following very strong and positive feedback from Canadian Maple bond investors decided to follow it up with a transaction. The issue was sold to a broad range of Canadian institutional investors with 17 accounts participating and was oversubscribed as the final order book reached CAD 700 million. Last year one of the main focuses within the bank was the diversification of its funding sources and this transaction is an important step towards diversifying the bank's investor base even further. The intention was to raise CAD 300 million but given the order book's size, quality and the funding level the bank decided to launch a benchmark issue in the Canadian market to satisfy demand. Merrill Lynch Canada and TD Securities acted as joint lead managers and bookrunners on the transaction and HSBC Securities (Canada) Inc and RBC Capital Markets were co-managers. For further information please contact Gudni Adalsteinsson, Group Treasurer, tel. +354 856 6126