Reykjavik, Iceland, 19 November 2007, FL Group (OMX: FL), the international investment company, today announced that it has divested 11.7% of its direct and indirect holdings in Finnair. The divestment is in line with FL Group's strategy to lower exposure to the aviation sector and increase its overall focus on private equity investments as well as its core holdings in the financial and property sector. Prior to the sale, which was managed by Danske Markets in Helsinki, the two largest shareholders of Finnair, the Finish government and FL Group, owned more than 80% of the outstanding shares. Following the transaction, Finnair's shareholder base has been substantially diversified. Finnair has shown strong operational performance during 2007, and recently the company increased its earning guidance for 2007 from EUR 70 million to EUR 90 million. FL Group remains Finnair's second largest shareholder, with a 12.7% shareholding and continues to support Finnair's ambitious growth strategy. Financial impact During the fourth quarter, the company's share price has decreased, in line with other airline stocks during the period. Total realised loss resulting from the sale is approximately ISK 2.8 billion (EUR 30 million) in the quarter. For further information: FL Group Halldor Kristmannsson Managing Director of Corporate Communications and IR Tel: (+354) 591 4400 E-mail: halldor@flgroup.is Website: www.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