Bakkavör Group announces reorganisation of its UK businesses

REYKJAVIK, 28 November 2005. Bakkavör Group (ICEX: BAKK) today announced redundancies across its businesses in the UK. This is a part of the Group’s reorganisation following the acquisition of Geest Ltd. in May this year. These changes affect around 100 roles primarily at the Group’s offices in Lincolnshire. This initiative is part of the company’s continuing drive to improve efficiencies and ensure further profitability of the Group.

Further information:

Ágúst Gudmundsson, Executive Chairman

Tel: +354 550 9700

Lýdur Gudmundsson, CEO

Tel: +354 550 9700