Announcement Regarding the Issuance of HFF Bonds


On July 17th 2009, the Housing Financing Fund (HFF) published a revised
forecast on lending, issuance of HFF bonds and payments for 2009. The issuance
of HFF bonds was forecasted to be in the range of ISK 7-9 billion during the
third quarter of 2009. HFF has decided not to auction HFF bonds during the
third quarter. Mortgages issued by  HFF during the third quarter have been less
than forecasted and the Fund´s liquidity position has been strong. 

A revised forecast for the Fund will be published at the end of week 41 of 2009.