Icelandic Financial Supervisory Authority rejects FL Group´s and Jotun Holdings' application for qualified holdings in Glitnir Bank -FL Group retains its authorisation to hold up to 33% shares in Glitnir Bank- - FL Group remains a long-term strategic investor in the Bank- Reykjavik, Iceland, 13 December, 2007 - FL Group (OMX: FL), the international investment company today announced that the Icelandic Supervisory Authority (“FME”) has rejected FL Group´s and Jotun Holdings' application to jointly hold up to 39.9% shares in Glitnir Bank. On 1 June 2007, the companies applied to the FME for the authorization to hold up to 39.9% in the Bank. FL Group's authorisation to hold up to 33% of the share capital in Glitnir remains intact and the ruling does not change FL Group´s objective to be a long-term strategic investor in the Bank. FL Group started investing in Glitnir in 2005 and has been continuously adding to its stake, which currently stands at 31.97%. FL Group's involvement in the Board of Glitnir Bank remains unchanged. Jotunn Holding sent a statement to FL Group today, in which it confirms that it has waived its voting rights in Glitnir and will without any involvement from FL Group discuss next steps with the FME, including a possible divestment of part of its holdings in Glitnir. Simultaneously, Jotunn Holding will explore ways to transfer the Company's share in Glitnir to its shareholders, which will not affect their waiver of voting rights. Shareholders in Jotun Holding are Baugur Group, Fons and Coast Capital. Jotunn Holding´s current holding in Glitnir bank is 6.85%. The statement from Jotunn Holding to FL Group is attached to this press release. For further information: Halldor Kristmannsson Managing Director of Corporate Communications and IR Tel: (+354) 591 4400 E-mail: halldor@flgroup.is About FL Group FL Group is an international investment company focusing on three areas of investment, Financial and Insurance (FIG), Private Equity and Capital Markets. FIG is a special investment function responsible for strategic investments in banking, insurance and other financials. Private Equity oversees FL Group‘s private equity holdings in addition to some listed positions that fit specific investment criteria. The company's Capital Markets function oversees investments in listed securities as well as derivatives and other alternative trading for hedging or investment purposes. With head office in Reykjavik and an office in London, FL Group invests in companies worldwide. The Company is listed on the OMX Nordic Exchange in Reykjavik, Iceland (OMX: FL), with over 4,000 shareholders. More information on www.flgroup.is
Icelandic Financial Supervisory Authority rejects FL Group´s and Jotun Holdings' application for qualified holdings in Glitnir Bank
| Source: FL GROUP hf.