Sjova's restructuring about to finish

• Company operations are solid
• New company to be founded surrounding Sjóvá's insurance business, which will continue to operate under the same name
• Sjóvá's investment business will be separated from the insurance end.
• No effect on daily operations

Over the past few months, Glitnir's Resolution Committee, the Sjóvá Board of Directors, and Íslandsbanki's Corporate Finance have been working on the restructuring of Sjóvá. The work is expected to be completed in the next few days. The goal of the restructuring is to ensure the best interests of Sjóvá's customers, and to maximise the company value.

Sjóvá's investment operations are expected to be separated from the insurance end. This means that a new company will be founded to handle the insurance operations under the name of Sjóvá. An application for a licence to operate has already been sent to the Financial Supervisory Authority in Iceland.

Sjóvá's insurance business is sound and well run. Following the restructuring, the company's balance sheet will be strong and the insurance operations solid. The restructuring will not affect the company's daily operations which will continue to provide its customers with quality service.

Dr. Hörður Arnarson, former CEO of Marel Food Systems, has been recruited as the company's new CEO. The current CEO, Mr. Þór Sigfússon, has asked to be released from his duties, but will remain in an advisory capacity at first.

Dr. Hörður Arnarson, CEO:
„This is a very interesting challenge. Sjóvá has a long and prosperous history, and now that the financial restructuring is finished the future of the company is secure. I look forward to working alongside the employees to ensure the company's continued success in the Icelandic insurance market.“