Glitnir banki - Further regarding allocation of profit and payment of dividend

Further information regarding the motion by the Board of Directors on allocation of profit and payment of dividend.

The Board of Directors of Glitnir banki hf. has resolved to propose to the Annual General Meeting of the company that a dividend be paid totalling ISK 9.4 billion to shareholders in proportion to their shareholdings, or the equivalent of 24.63% of the profit for the year 2006 and 66% of the nominal value of share capital (or ISK 0.66 per share) from the after-tax profit of the operating year 2006, which amounted to ISK 38.2 billion. Simultaneously, the Board of Directors proposes that shareholders shall have the option to receive up to half of their dividend in shares in Glitnir banki hf. at the price of 24.8 per share.
The remainder of the profit for the year, ISK 28.8 billion, shall be allocated to increase the equity of Glitnir banki hf.

Dividends shall be paid to those parties registered in the shareholders' registry at the end of 20 February 2007. Therefore, ex-date is 21 February 2007.

Payment of the dividend by the Company shall be made without interest on 13 March 2007.