Just got home yesterday from our trip to Norway.  Icelandair was very accommodating: removing nuts from the for-sale food carts (and were going to remove potatoes but I said it wasn't necessary), and made an announcement.  They serve no free snacks either.  And my allergies were listed on my boarding pass - that's a new one.  Will fly with them again, for sure!

Wow, both my travel agent and I are impressed with Iceland Air!  We are flying with them in a few weeks to Europe and back.  Upon notifying them of the food allergy, they requested a doctor's note or medical record of the allergy.  We sent in some details from MedicAlert because getting a doctor's note was more complicated (and cost money).  We just received a letter from Iceland Air stating that they will remove all peanuts, tree nuts, and potatoes form our flights and cabin crew will be notified of the allergy as well. 



Kudos to them!  (So far, that is... the final word will come back when we return home.)