24th Dec 2007 10:36
PIK Group24 December 2007 PIK GROUP ("The Group" or "PIK") ANNOUNCEMENT OF CREDIT RATINGS ASSIGNED BY FITCH RATINGS (LONDON, 24 December 2007) - PIK (LSE: PIK), one of Russia's leading residentialdevelopers, today announced that Fitch Ratings has assigned a Long-term IssuerDefault rating (IDR) of 'BB-' (BB minus) and a Short-term IDR of 'B'. TheOutlook for the Long-term IDR is Stable. Fitch Ratings said in a press-release that "The ratings reflect PIK Group'sleading position in the buoyant Moscow and Moscow region housing constructionmarkets. Fitch also notes that PIK Group was one of the first Moscow-basedhousing construction companies to move outside the city and into the Moscowregion and other regions of Russia, thereby expanding its project portfolio andenhancing revenue diversification." For further details please refer to Fitch Ratings' website: www.fitchrating.com Enquiries: PIK Group Tel: +7 (495) 291-67-54Viktor SzalkayInvestor Relations Citigate Dewe Rogerson Tel: +44 20 7638 9571Tom BaldockLindsay Noton -END- NOTES TO EDITORS PIK Group Overview Founded in 1994, PIK is one of the leading vertically integrated residentialdevelopers in Russia with over 14,000 employees across the country. Its businessactivities are concentrated in Moscow and the Moscow region with an increasingfootprint in many of Russia's other regions. Its principal activity is thedevelopment, construction and sale of residential properties in large scaledevelopments targeted primarily at the middle income housing market in Russia. PIK's core activities include: • development of residential real estate projects and sales of completed units, including servicing and maintenance of residential real estate developed by PIK and other developers; • production and assembly of concrete panel housing in Moscow as a subcontractor for the Moscow city government; and • production and sale of raw materials and construction materials. The last three years between 2004 and 2006, PIK has completed over 2.5 millionsquare meters of residential housing and over 36,000 residential units inRussia, including over 1.2 million square meters and over 17,000 residentialunits in 2006 alone. June 1, 2007, the Group completed successful listings on the London StockExchange, the RTS and MICEX exchanges in Russia. PIK Group's website address is: www.pik.ru Group Financial Summary Revenue for 2006 rose by 90% and equalled US$ 1,546 million, while EBITDA for2006 amounted to US$ 486 million. Net profit was US$ 298 million in 2006compared to US$ 20 million in 2005. According to CBRE, an independent appraiser, the combined market value of theGroup's properties valued as of January 1, 2007 was $8.8 billion. Some of the information in this press release may contain projections or otherforward-looking statements regarding future events or the future financialperformance of PIK. You can identify forward-looking statements by terms such as"expect," "believe," "anticipate," "estimate," "intend," "will," "could," "may"or "might" the negative of such terms or other similar expressions. Thesestatements are only predictions and actual events or results may differmaterially. PIK does not intend to or undertake any obligation to update thesestatements to reflect events and circumstances occurring after the date hereofor to reflect the occurrence of unanticipated events. Many factors could causethe actual results to differ materially from those contained in PIK'sprojections or forward-looking statements, including, among others, generaleconomic conditions, PIK's competitive environment, risks associated withoperating in Russia, rapid technological and market change, and other factorsspecifically related to PIK and its operations. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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