OJSC MAGNIT: Credit Rating Raised by Standard & Poor's
April 8, 2013
OJSC "Magnit" Announces the Upgrade of its Long-Term Credit Rating by Standard & Poor's Rating Services
Krasnodar, April 8, 2013: OJSC "Magnit" (the "Company"; MICEX and LSE: MGNT) announces the upgrade of its long-term corporate credit rating to "BB" level with Stable outlook by Standard & Poor's.
Please be informed that on April 8, 2013 Standard & Poor's Rating Services raised its long-term corporate credit rating of OJSC "Magnit" from "BB-" to "BB" level with Stable outlook. The upgrade reflects S&P's opinion that continuing robust earnings growth driven by selling space expansion will help OJSC "Magnit" maintain its modest leverage level, resilient operational performance and stable operating cash flow generation will continue and that Magnit's liquidity will remain adequate.
Consequently, Standard & Poor's have revised their assessment of Magnit's financial risk profile to "significant" from "aggressive".
For further information, please contact:
Timothy Post Director, Investor Relations
e-mail: Post@gw.tander.ru Tel. in Krasnodar +7 (861) 277-45-54, 210-98-10 ext. 7600 Mob.: +7 (961) 511-76-78 Direct line for investors only: +7 (861) 277-45-62
Dina Svishcheva Deputy Director, Investor Relations
e-mail: Chistyak@gw.tander.ru Tel. in Krasnodar +7 (861) 277-45-54, 210-98-10 ext. 5101 Mob.: +7-961-511-02-02 Direct line for investors only: +7 (861) 277-45-62 Company description: Headquartered in the southern Russia city of Krasnodar, Magnit (LSE and MICEX: MGNT) is the holding company for a group of entities that operate in the retail trade under the "Magnit" brand. The chain of "Magnit" stores is one of the leading food retail networks in Russia. As of December 31, 2012 the chain consisted of 6,046 convenience stores, 126 hypermarkets, 20 "Magnit Family" stores and 692 cosmetics stores (drogerie) in 1,605 cities and towns throughout the Russian Federation. Approximately two-thirds of the Magnit's stores are located in cities with a population of less than 500,000 inhabitants. Most of its stores are located in the Southern, North-Caucasian, Central and Volga regions. The Company also operates stores in the North-Western, Urals and Siberian regions. As of December 31, 2012 Magnit operated an in-house logistics system consisting of 18 distribution centers, employing automated stock replenishment systems and a fleet of 4,401 vehicles. In accordance with the audited IFRS consolidated financial statements for 2012, Magnit recorded consolidated revenues of approximately $14,430 million USD and a consolidated EBITDA of $1,524 million USD. END -0- Apr/08/2013 13:46 GMT