Market Making Agreement with Kaupthing Bank renewed

Bakkavör Group hf. and Kaupthing Bank hf. have renewed an agreement regarding market making for issued shares in Bakkavör Group hf. The agreement will take effect on 22 July 2005. The purpose of the agreement is to improve liquidity and to enhance transparent price formation in the company’s shares on the Iceland Stock Exchange. Kaupthing Bank hf. is obligated to submit daily bid and ask orders for shares in Bakkavör Group hf. (BAKK) for a minimum of 300,000 shares at a price determined by Kaupthing Bank hf.  The maximum bid/ask spread may not exceed 1.5% and the difference from the last price paid may not be greater than 3%.  Pursuant to this agreement Kaupthing Bank hf. is obligated to provide liquidity for up to ISK 150,000,000 in market value daily.  

For further information please contact:  

Hildur Árnadóttir, Finance Director of Bakkavör Group hf.

Tel: +354 550 9700