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I don't think I had seen any other bikes in Iceland until arriving in Höfn but I've several people riding them in the last few minutes. I suppose it's because the town is on flat ground and too big to quickly walk across.
UTC Time: 18:45, Thursday 30 August 2012
Local Time: 18:45, Thursday 30 August 2012
Estimate of longitude: 15° 12' 24.80" W = -15.206890°
Estimate of latitude: 64° 15' 32.76" N = 64.259100°
Possible error on position estimate: 5 metres