Fitch Ratings today announced that Kaupthing Bank's ratings were affirmed at Long-term IDR 'A', Short-term IDR 'F1', Individual 'B/C', Support '2' and Support Rating Floor 'BBB'. Fitch has changed the Outlook for Kaupthing's Long-term IDR to Negative from Stable. Fitch stated: "The change of the Outlook from Kaupthing's Long-term IDR follows the downgrade of NIBC's Long-term IDR and Fitch's view that the potential volatility of NIBC's business model has become more challenging. NIBC will become a large part of the Kaupthing group, adding potentially volatile revenues and again increasing the group's reliance on wholesale funding, although initiatives to raise customer deposits could mitigate this risk." Fitch also stated: "Nevertheless, the ratings of Kaupthing are supported by the good strategic fit of the acquisition, the improved diversification of its profits and assets, good performance and asset quality indicators and satisfactory capitalisation, despite the significant goodwill to be generated from the acquisition." See Fitch announcement: http://www.kaupthing.com/Investors/Ratings/Fitch Further information: Gudni Adalsteinsson - Chief Treasurer, + 354 444-6126 Jónas Sigurgeirsson - Chief Communications Officer, +354 444-6112