Landsbanki Íslands hf. has concluded new stock option agreements with key employees of the bank and its subsidiaries, in accordance with the bank's compensation policy. The agreements are call options for 540 million shares, which holders can exercise during a 120-day period commencing 1 December each year from 2009-2011, in the proportions 60% (1 December 2009 - 30 March 2010), 20% (1 December 2010 - 30 March 2011) and 20% (1 December 2011 - 30 March 2012) of the total option, provided the holder concerned is still employed by Landsbanki. The strike price provided for in the agreements shall in all instances be the market price on the date of the agreement, and the closing price of Landsbanki's shares on OMX Nordic Exchange in Iceland today is 32,0. Landsbanki has concurrently granted new stock options to Sigurjón Þ. Árnason amounting to 30 million shares in the bank. The option purchase price in the agreement is 32.0. The terms and conditions of exercise of these options are comparable to that of the call options granted to key employees as referred to above. Sigurjón Þ. Árnason currently has no shares in the bank, but holds options on 110 million shares. Parties financially connected with him do not hold options on shares in the bank.