Credit Rating

National Rating Agencyhas increased credit rating of PIK Group to "A+"

Moscow, June 20, 2013 - PIK Group ("PIK" or the "Group"), a leading Russian residential developer, announces that the National Rating Agency (NRA) has increased the individual local credit rating of PIK Group up to «A+» (PIK was been assigned a local rating of «A» in 2012).

The credit rating change (http://www.ra-national.ru/press-center/press-releases/2613/) is driven by PIK Group's positive operational and financial performance for 2012 and 1Q2013, the growth of equity through a capital increase in June 2013 and the successfully implemented strategy of deleveraging.

Additional factors include PIK's strong market position and market share gain, the integration of production assets, high standards of corporate governance and transparency.

Artem Eyramdzhants, the First Vice President of PIK Group commented: "We are proud that the credit rating has been increased, following a year in which excellent progress was made reducing PIK's debt and strengthening its financial position. The recent success of our capital raising also shows there is a good level of interest in the Company from both Russian and international equity investors, which we will seek to maintain."

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About PIK-Group

PIK-Group is a leading Russian real estate developer, focusing on large-scale residential projects within the Moscow Metropolitan Area and selected Russian regions. Since its foundation in 1994, PIK-Group has become a market leader in mass market residential property sector completing over 200 000 apartments of affordable housing across the country. The Group has a substantial diversified land bank of net selling area of 6.5 million square meters and a dedicated professional team with over 11,000 employees. Given its brand recognition and the scale of its operations, in 2008 the Russian Government included PIK on the list of the nation's strategically important companies. For more information please visit: http://www.pik-group.com 

About NRA

National Rating Agency, one of the leading ratings agencies in Russia. NRA is officially accredited by the Russian Ministry of Finance, the Central Bank of Russia, Vnesheconombank, MICEX, the National Stock Market Association and a number of other credit and finance organizations.

 For more information please visit: http://www.ra-national.ru/