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: 0 Number of shares after the transaction: 154.990.282 Holdings of total nominal value before the transaction %: 0,00% Holdings of total nominal value after the transaction %: 15,50% 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 aquired 15,499% of the total share capital of ICEAIR, at the nominal value of ISK 154.990.282,- FS7 ehf. did not own any shares in the company before this transaction, but it did however own an indirect share in the company through the ownership of Langflug ehf., but that share has now been mostly transfered ower to Langflug ehf. itself.