Related Party Trading

| Source: Kaupþing banki hf. Kaupþing banki hf. 

Kaupthing Bank hf. - Related Party Trading

Norvest ehf.,  a  company  which is  financially  related  to  Brynja
Halldórsdóttir, a member of the Board of Directors of Kaupthing  Bank
hf., has today, 26 February 2007,  purchased 1,000,000 shares in  the
Bank at a price of 1,025 ISK per share.

Furthermore, Norvest  ehf., has  today  extended a  forward  contract
dated November 23, 2006, on the  purchase of 1,300,000 shares in  the
Bank, cf. a notice published on  November 23, 2006. The price in  the
transaction is 111.75 SEK plus  interest and cost. The maturity  date
of the contract is now August 27, 2007.

Brynja  Halldórsdóttir  owns  9,206  shares  in  the  bank.   Parties
financially  related  to  Brynja   Halldórsdóttir  own  a  total   of
14,112,048 shares in the Bank following the transaction.  Furthermore
parties financially related  to Brynja  Halldórsdóttir own  4,817,500
shares in the Bank according to forward contracts.