30 DECEMBER 2009

Claim against Kaupthing hf

We can confirm that the Joint Liquidators have lodged a claim with the Winding up Committee of Kaupthing hf. The claim takes account of balances held with Kaupthing hf and amounts considered to be due under the parental guarantee. We understand that, under Icelandic law, the Winding up Committee is required to accept or reject all claims by 22 January 2010, however it may apply for an extension of time. Given the volume of claims which have been received by the Winding up Committee, it is realistic to expect that an extension will be applied for and that it may be several months before our claim is agreed.

As we fully expect the amount claimed to be subject to review, potential challenge and negotiation by the Khf Winding up Committee in Reykjavik, and although we will share the amount and basis for its calculation with the Committee of Inspection, we hope that the general body of creditors will understand why we consider it would be imprudent to share this information on a wider basis as it could prejudice our negotiating position with the Khf Winding up Committee. However, we will include an update on the agreement of the claim with the Khf Winding up Committee as part of our regular updates following our meetings with the Committee of Inspection. We will post details of our claim on the website as soon as it has been agreed by the Winding up Committee.


The best way to make contact is to write to the bank or email branch@singers.co.im. If you need to telephone the bank, please use the main switchboard number +44 1624 699222. Please note that the office will be closed for the public holiday on 1 January 2010.


Mike Simpson

Joint Liquidator