I was just catching up on +30 pages of posts and just wanted to chime in on the "frey" or "fray" (I can never remember) issue, because I think this may be discouraging to a lot of new owners and breeders of the Icelandic Settlement Chicken that are getting introduced to the breed through this thread. I am, myself, a newcomer and this was certainly an issue for me and was part of the reason I decided to get hatching eggs directly from Iceland to establish my homestead flock.
As I have perhaps mentioned before (sorry if I repeat myself), I've looked through a fair amount of pictures from owners and breeders of flocks in Iceland and not seen anything like the pictures posted here of "frey" birds. I have also searched through message boards and comments (in Icelandic, I am a native speaker) looking for feathering issues and not seen any mention of it, and I have also asked the largest breeder (in Iceland) about it and he said most feather issues he has seen have had external causes (pecking, temperature, health, nutrition etc.) and was not familiar with any genetic "frey" feather issue such as described here. Surely, if anyone would be aware of this issue in Iceland, it would be him as he is the president of the Icelandic Owners and Breeders Association and the largest Icie breeder in Iceland with over 200 birds. Also, Iceland is full of small, closely related flocks that have been inbred for very long periods of time, but still seem to be free of this problem, so I am hesitant to agree to just blame excessive inbreeding. It would seem, at first glance, that the "frey" issue is not a part of the Icelandic gene pool or that it is at least, for some unknown reason, unique to the U.S. I have only hatched a small number of birds, but they all came directly from Iceland and none have had feather issues, but my current sample size (9 birds total) is so minuscule as to be irrelevant.
I'm not looking to be controversial, maybe I feel stronger about this because I'm Icelandic myself and these are "our birds", but I just don't think it is fair for some folks to blame this "frey" problem (or allow it to be blamed) on "the Icelandic landrace", as if the breed itself is somehow inherently defective, when this problem does not even seem to exist in Iceland, at least as far as I have been able to discover. Isn't it possible that the "frey" birds are not 100% Icelandic (and, therefore, not "Icelandic" at all, since an Icelandic landrace bird must be 100% pure to be called "Icelandic")? I am very sorry if this is bursting someone's bubble, and I'm sure this won't make me popular, but I just feel like it needs to be said.
TL;DR - The "frey" issue does not seem to exist in Iceland. Maybe those birds are not pure?