Teymi purchases all shares in Landsteinar Strengur and HugurAx and sells about 80% of its share in Hands Holding hf.

Reykjavík, October 11th 2007


TEYMI PURCHASES ALL SHARES IN LANDSTEINAR STRENGUR EHF. AND HUGUR AX EHF. AND
SELLS ABOUT 80% OF ITS SHARES IN HANDS HOLDING HF. 

•	Recorded loss due to Hands Holding hf. ISK 1,1 billion in Q3 
•	Teymi's guarantee towards Hands Holding's liabilities decreases from ISK 7,5
billion to ISK 2,7 billion 

Teymi hf. has purchased all shares in Landsteinar Strengur ehf. and Hugur Ax
ehf. from Hands Holding hf. At the same time, Teymi has sold about 80% of its
shares in the associate Hands Holding hf. Teymi's prior shareholdings amounted
to 48,7% of the shares. Teymi holds a 14,5% share after the transaction which
is recorded at ISK 101 million. Teymi's guarantee towards Hands Holding's
liabilities decreases from ISK 7,5 billion to ISK 2,7 billion. 

The aforementioned companies' purchase price is paid with the shares in Hands
Holding hf., a loan and assumed liabilities for the amount of ISK 2,160 million
and cash at the amount of ISK 1,298 million. Further details of the purchase
will be given at the presentation of Teymi's Q3 results on October 31st. 

Along with the sale of the aforementioned companies Hands Holding has
liquidated other operational units. After these transactions the company's
interest bearing liabilities after cash amount to about ISK 3 billion. Hands
Holding hf. remains the sole share holder in Kerfi AB in Sweden and Kerfi AS in
Denmark, Hands ASA in Norway, SCS in USA and Aston Baltic in Latvia. Further
refinancing of Hands Holding is envisaged. 

Share in loss of the operations of the associate Hands Holding in Q3, sales
loss and depreciation of Teymi's share holdings in the company amounts to about
ISK 1,1 billion in total which will be recorded in Q3. 

The effects of the aforementioned transaction on Teymi's balance sheet on 30th
June 2007 are an increase of interest bearing debt after cash from ISK 16,1
billion to ISK 19,5 billion. The equity ratio decreases from 30% to 26% and the
current ratio from 1,68 to 1,44. 

Landsteinar Strengur and Hugur Ax
The employees of Landsteinar Strengur and Hugur Ax have great knowledge and
experience of sales and consultation services on business solutions such as
Microsoft Dynamics NAV and - AX (Navision and Axapta), management solutions,
web based solutions, services solutions etc. The estimated turnover of
Landsteinar Strengur and Hugur Ax amounts to about ISK 2,3 billion and
estimated EBITDA profit amounts to about ISK 350 million in 2007. The companies
employ about 200 persons. 

Landsteinar Strengur and Hugur Ax will become part of the Teymi group balance
sheet as of October 1st 2007 which is the takeover date according to the
purchase agreement. 

Árni Pétur Jónsson, CEO of Teymi
„Since Teymi's share offering in March we have declared our interest in further
external growth of the company by purchasing solid operational units.
Landsteinar Strengur and Hugur Ax are in our view good and profitable companies
with a strong group of employees. We attach high hopes to the future operations
of these companies and envisage further growth and profit in the future. The
companies are therefore a welcome addition to our strong IT segment and will
strengthen it in the pursuit of further growth of the segment as a whole. We
also believe that Teymi's interests are better served by decreasing our share
in Hands Holding as reviews of that company have at times overshadowed the
results of Teymi.” 

For further information contact: 
Árni Pétur Jónsson, CEO, tel + 354 595-5000 and
Ólafur Þór Jóhannesson, CFO, tel + 354 669-5509.