- Date of transaction 31.8.2007

| Source: Icelandair Group hf. Icelandair Group hf. 

Name of party notifying:	
FS7 ehf.

Address of the party notifing:	
Suðurlandsbraut 18

Date of transaction:	
31.8.2007

Number of shares in transaction:	
154.990.282,-

Number of shares before the transaction:	
154.990.282,-

Number of shares after the transaction:	
0

Holdings of total nominal value before the transaction %:	
15,50%

Holdings of total nominal value after the transaction %:	
0,00%

Notification is based on:	
Art. 33 (1) of the Act no. 33/2003 point(s) no.
	
Additional information	
FS7 ehf., a company owned by Finnur Ingólfsson, chairman of the Board of
Icelandair Group hf., has sold 15,499% of the total share capital of ICEAIR, at
the nominal value of ISK 154.990.282,- FS7 ehf. does no longer own any shares
in Icelandair Group hf.