In light of the recent interest rate decision of the Central Bank of Iceland, the following changes will be made to Landsbankinn’s interest rate tariff. Interest rate changes also have regard for market rates and other financing terms of Landsbankinn. The main changes are as follows:

The first meeting in Landsbankinn’s Financial Forum series was held in Stúdentakjallarinn at the University of Iceland on Wednesday, in collaboration with the University’s Student Council. This first Financial Forum focused on the finances of young people, the real estate market and first-time buyers.

Landsbankinn’s website has been nominated for the Icelandic Web Awards in the large company category. The awards are hosted annually by the Icelandic Web Industry Association (SVEF), an organisation of professionals in the field.

On 17 March, Landsbankinn concluded an auction of two series of tier 2 bonds.

The annual general meeting of Landsbankinn, held on 23 March 2023, agreed to pay a dividend amounting to ISK 8,504 million to shareholders. The AGM approved a proposal to change the Bank’s address from Austurstræti 11 to Reykjastræti 6.

Lively discussion followed a well-attended meeting co-hosted by Landsbankinn and the Icelandic Organization of the Visually Impaired. The focus was on cybersecurity on the one hand and on access to self-service solutions on the other.

Electronic ID is now required in the confirmation process of payments made with payment cards on ecommerce platforms. Such payments were previously confirmed by entering a code texted to the customer’s phone.

AB-Fasteignir have received Landsbankinn’s Sustainable Financing Label for the production of renewable energy. Landsbankinn’s Sustainable Financing Label is awarded to businesses who meet the sustainability criteria of the Bank’s Sustainable Finance Framework and fulfil strict ESG requirements.

Today, Landsbankinn concluded a sale of European Covered Bonds (Premium) in euros. The bonds are in the amount of EUR 300 million, with a 5-year tenor and have a fixed coupon of 4.25%. The bonds were sold at terms equivalent to 90 basis point spread over mid-swap market rate.

Landsbankinn has launched its own merchant acquiring service. Merchants who bank with us can now concentrate all their payment service in one place, resulting in increased efficiency and a better overview of operations.

The Board of Directors of Eimskip University Fund (Ice. Háskólasjóður H/f Eimskipafélags Íslands) has announced its intention to allocate ISK 127.5 million to grants to doctoral students at the University of Iceland in 2023.

Following the interest rate decision, variable interest rates on non-indexed housing mortgages increase by 0.50 percentage points (pp), to 8.00%. Interest on savings accounts created in the app (Save in App) increase by 0.50 pp, to 6.00%.

Landsbankinn’s Annual & Sustainability Report for 2022 reviews highlights in the Bank’s operation last year, new solutions and changes to service, continued work on sustainable development, funding, risk management and more.

The business idea Better Sex won the innovation competition of Klak - Icelandic Startups, Gulleggið 2023. Better Sex is a streaming service for adults that shares professional and interesting knowledge about sex. Sigga Dögg and Sævar Eyjólfsson form the team behind the idea.

On Tuesday, 7 February 2023, the Reykjavík District Court ruled in a case concerning the terms that applied to interest rate changes in consumer loans from Landsbankinn. Following the adoption of a new Act on Consumer Loans in 2013, amendments were made to the terms and consumer loans taken out with Landsbankinn after that do not fall under the scope of the ruling.

The net profit of Landsbankinn in 2022 was ISK 17.0 billion (2021: ISK 28.9 billion). After-tax return on equity for 2022 was 6.3% (2021: 10.8%).

Landsbankinn’s opening hours in Skagaströnd will change as of 30 January. The outlet will after that be open on Mondays, Wednesdays and Fridays from 12-15.

Earlier today, Alvotech announced the completion of a private placement in the equivalent amount of ISK 19.5 billion (USD 137 million). The shares were sold at a purchase price of ISK 1,650 per share (equivalent of USD 11,57 per share) to a group of domestic professional investors and eligible counterparties. The private placement was initiated on 19 January 2023 and completed on 22 January 2023. Closing and settlement is expected to take place on 10 February 2023. Alvotech intends to use the proceeds for general operations and other business purposes. Landsbankinn Corporate Finance and ACRO Securities acted as advisors to Alvotech in the private placement.

Fixed rates on new non-indexed 36-month housing mortgages increase by 0.25 percentage points (pp) and fixed rates on new non-indexed 60-month housing mortgages by 0.10 pp. The changes enter into effect as at 19 January. These changes apply to new housing mortgages only and do not impact existing loans.

In Iceland, all wage earners aged 16 to 70 are obligated to pay a percentage of their wages toward mandatory pension savings.

We want to warn our customers against cybercrime activity, especially attempts perpetrated through social media and messaging apps, which have been rampant of late.

Landsbankinn was ranked highest by banking customers in the Icelandic Performance Satisfaction Index 2022. This is the fourth year in a row that the Bank receives this recognition.

Landsbankinn has signed an agreement with the Nordic Investment Bank (NIB) providing for a 15-year USD 40 million (ISK 5.8 billion) loan in connection with the Bank’s new headquarters at Austurbakki, Reykjavík. The building is expected to achieve BREEAM Excellent certification and the loan is eligible for funding from NIB’s environmental bond proceeds.

Einar Pétursson and Thorbjörg Kristjánsdóttir have joined Landsbankinn Corporate Finance.

Our branches will be closed on the second day of christmas, Monday 26 December. Otherwise we will be open as usual. Of course, the app and online banking are accessible anytime and anywhere.

Landsbankinn has become a member of the Partnership for Biodiversity Accounting Financials (PBAF), an association working to enable financial institutions to assess and disclose impact and dependencies on biodiversity of loans and investments. In total 47 financial institutions around the world have joined PBAF, with Landsbankinn as the first Icelandic actor to join. PBAF is an affiliate of Partnership for Carbon Accounting Financials (PCAF) which created a methodology that enables financial institutions to measure and analyse emissions from their credit and asset portfolios.

The verification process for domestic transfers from bank accounts in personal online banking now requires strong customer authentication (SCA). Previously, a security number sufficed.

We can’t overemphasise the importance of being careful when shopping and authorising payments online. It’s just as important to not react impulsively to messages received through various digital channels, such as by responding to information in text messages.

Landsbankinn’s interest rates change as of 12 December 2022. This interest rate decision follows the decision of the Central Bank of Iceland on 23 November, when the CBI raised rates by 0.25 percentage points (pp). Interest rate changes also have regard for market rates and other financing terms of Landsbankinn.

Ragnar Einarsson has been hired for the new position of Head of Acquiring at Landsbankinn. The Bank will offer corporate acquiring services in the coming year, both for in-store and online commerce.