deCODE genetics Announces Third Quarter 2008 Financi...(October 15 interest payment on its ...)

its outstanding 3.5% Senior Convertible Notes due 2011. Failure to pay

the interest within 30 days of the due date will constitute an event of

default. If an event of default occurs and is continuing, the trustee

or the holders of at least 25% in aggregate principal amount of the

notes then outstanding may declare the notes due and payable at their

principal amount together with accrued interest.

- Nasdaq Notification. deCODE has requested a hearing before a Nasdaq

Listing Qualifications Panel to present a plan for regaining compliance

with Nasdaq Marketplace Rule 4450(b)(1)(A), which requires a minimum

market value of listed securities of $50 million. On October 31, 2008,

deCODE received a Staff Determination Letter from The Nasdaq Stock

Market LLC indicating that the Company had not regained compliance with

this rule during the time period provided by Nasdaq in a previous

notice as disclosed in the Company's press release dated October 6,

2008, and therefore its Common Stock is subject to delisting from The

Nasdaq Global Market at the opening of business on November 11.

Following the hearing request, the Company's common stock will continue

to be listed on The Nasdaq Global Market pending the conclusion of the

hearing process and during any extension period which may be granted by

the Panel. It is expected that the hearing would be held within 45

days. The Panel has discretion to grant an extension not to exceed 180

days from the date of the Staff notification for the Company to regain

compliance with applicable listing standards. There can be no assurance

that the Panel will grant the Company's request for continued listing.

About deCODE

deCODE is a bio-pharmaceutical company developing drugs and DNA-based tests to improve the tre
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