Kaupthing Edge continues to lead savings market with fixed-term accounts

• Instant Access Savings Account
• 6.5% AER (6.31% gross)
• Rate guaranteed to be at least 0.3% above base rate until 1st February 2012
• Min balance upon which interest is paid: £100
• Max balance: £2 million (across all accounts)
• No tie ins or charges
• 24-hour online access

• Fixed Term Deposit Accounts
• 6 month term account: 6.97% AER (6.85% gross)
• 12 month term account: 7.15% AER (7.15% gross)
• 36 month term account: 7.15% AER (7.67% gross)
• 24-hour online access
• Min balance upon which interest is paid: £1,000

Savers will be able to open a Kaupthing Edge instant access account online with a minimum investment of £1 (with the minimum balance upon which interest is paid being £100), offering access to their money with no tie-ins or fees. Once customers have opened a Kaupthing Edge savings account, they have the option to maximise their returns by locking all or part of their savings in a fixed period deposit account, with interest of up to 7.15% AER.

Kaupthing Edge offers savers peace of mind with its guarantee currently at least 0.3% above base rate until 1st February 2012 for its instant access savings account.

Ashley Whittaker, Head of Retail Savings at Kaupthing Edge comments: "Kaupthing Edge's savings products are designed to offer savers competitive returns on their money and we are continuously reviewing our range of savings vehicles to make sure that we are doing exactly that. This latest rate rise is part of our commitment to ensure that people can rely on us for competitive rates in the long-term."

Ends

Notes to Editors:

*AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded once each year.

1. Kaupthing Edge is the online retail financial services offering of Kaupthing Bank and its UK subsidiary, Kaupthing Singer and Friedlander
2. Kaupthing Edge's internet access savings account and fixed term deposit accounts are available at www.kaupthing-edge.co.uk. See account details below.
3. Kaupthing Edge deposits are currently held by Kaupthing Singer and Friedlander Ltd and are protected under the UK Financial Services Compensation Scheme. Under the UK Financial Services Compensation Scheme, financial protection is limited to 100% of the first £35k of all deposits with KSF Ltd.
4. Kaupthing Edge is a global brand operating in the UK, Isle of Man, Germany, Norway, Sweden, Finland, Denmark, Switzerland, Belgium and Luxembourg.
5. Kaupthing Bank is Iceland's largest bank and offers comprehensive commercial and investment banking services to individuals, companies and institutional investors. Kaupthing Bank operates in thirteen countries with its headquarters located in Reykjavík, Iceland.
6. Kaupthing Singer and Friedlander Ltd offers integrated financial services, including Corporate Banking, Investment Banking, Asset Management, Treasury, Asset Finance and comprehensive wealth management for Private Banking clients.

Registered Office:

For further information, please contact:

Kaupthing Edge Savings Product: please contact Lansons Communications

Anna Schirmer: 0207 294 3605 or 07765 567842

Jennifer Comerford: 0207 294 3678 or 07977 473045

For Kaupthing Bank – corporate: please contact Brunswick Communications

Anita Scott / Nigel Prideaux 00 44 207 404 5959