Icelandair Group- a statement regarding the effect of the changes in the financial markets in Iceland.

Upon request from the Icelandic Financial Supervisory Authority to all issuers
of securites on the Iceland stock exchange regarding the publishing of a
statement about the situation the companies due to the unusual circumstances
Icelandair Group wants to state the following: 

Icelandair Group published on October 12th 2008 the following statement about
the company‘s results, operations and future outlook. 

Attached is the press release from October 12th

Further information: 
Björgólfur Jóhannsson, CEO of Icelandair Group 		tel: 354-896-1455
Bogi Nils Bogason CFO of Icelandair Group 			tel: 354-665-8001