- Straumur granted commercial banking licence


The Icelandic Financial Supervisory Authority (FME) has granted
Straumur-Burdarás Investment Bank hf.(“Straumur”) a commercial banking licence.
It is not expected that the new licence will make a substantial impact on the
Bank's operations. 

The Financial Supervisory Authority has granted Straumur a commercial banking
licence. 

The licence will enable the Bank to solicit deposits in its current markets,
and it intends to begin doing so immediately in Iceland and Denmark. 
Straumur's Finnish subsidiary, eQ, already has a commercial banking licence and
therefore has the authority to receive deposits, and the Bank's operations in
Finland are funded to a large degree through deposits. 

The Bank does not expect to begin offering conventional commercial banking
services to individuals and corporations; for example, through the operation of
branches. 

The commercial banking licence takes effect on August 29th 2007. 

Straumur was granted an investment banking licence in 2004. Today it is the
largest investment bank in Iceland. As a conglomerate, Straumur offers
comprehensive, integrated banking services, including capital markets,
corporate finance, debt finance, and asset management services. The Bank
currently employs a staff of over 440. 

Further information can be obtained from Haukur Hauksson
(haukur.hauksson@straumur.net), Director of Investor Relations, at +354 858
6744.