Negotiation on further extension on Standstill Agreement and interest payment 1st of April 2009

On the 25th of March, Atorka Group hf. (Atorka) announced extension
on standstill agreement until 31st of March 2009.  Atorka is currently working
in good cooperation with its main lenders on further extension. Atorka will use
that extension period on financial restructuring of the company. 

Tomorrow 1st of April 2009 due interest payments of the bond issue JRDB 05 1 
will not paid. Atorka has in the past few days had constructive discussions
with 94% with the objective to participate in the standstill agreement. 
 
Further information is available from Arnar Mar Johannesson, CFO,  tel. +354
540-6200.