US Ambassador offended by the Icelandic President ?

Soon - the Ambassador of the USA in Iceland , Carol van Voorst ,will be leaving Iceland.
And as tradition says - she requested a meeting with the Icelandic President ,mr Olaf Ragnar Grimsson.
Later ,the ambassador got a letter from the Icelands Foreign Office,wich told her ,that the President was going to give her a Presidential medal - the Fálkaordan. ( photo )

Then when the Ambassodor and her husband where on their way to the Presidents house at Bessastadir,they got a phonecall from the Presidents office ,and where told that ,she would not be getting the medal.
No more explanation was offerred.
According to sources,the ambassador was not pleased,but continued to Bessastadir.
There had been some mistake made at the Presidential office.
The President apologized for this mistake to the ambassador ,but told her also - " that the medal is only for those that deserve it "

Carol van Voorst