Execution ot the Related Party Transaction

Press-release Krasnodar August 8, 2013 OJSC "Magnit" Announces the Execution of the Related Party Transaction Krasnodar, August 8, 2013: OJSC "Magnit", Russia's largest retailer (the"Company"; MICEX and LSE: MGNT), announces the execution of the related partytransaction by the Company on August 7, 2013. The essentials of the transaction are as follows: Type of transaction: Related party transaction Subject of provision of the suretyship under the Revolving Credittransaction: Line Agreement № 130628/0249018dated June 28, 2013 executed between JSC "Tander" and "ROSBANK" (OJSC JSCB) Content of the Under the Suretyship Agreement No.130807/0248980/S datedtransaction: August7 , 2013the Surety shall undertake to be gratuit ously liable to the Creditor to the extent provided by this Agreement for the performance of obligations thereof by the Borrowerunder the Revolving Credit Line Agreement № 130628/0249018 dated June 28, 2013executed between the Borrower and the Creditor in Krasnodar with the following essentials: * Loan Amount: 2,000,000,000 (twobillion) rubles; * Loan is provided for the period till 26.06 .2015 inclusively; * The Borrower shall pay the Creditor the interest for the loan use at the rate determined by the Revolving Credit Line Agreement but not exceeding 12% per annum; * The liability of the Surety for the performance of all obligations under the Credit Agreement shall be limited to the amount of 2,480,000,000 .00(two billion fourhundred and eightymillion) Russian Rubles, * Suretyship terminates upontheproper performance of obligations by the Borrower under the Credit Agreementor the unilateral change of the Credit Agreement essentials increasing the liability of the Surety. Deadline to fulfill June26, 2015(term of repayment of principal loan andobligations under the interests)transaction: Parties and the Surety - open joint-stock company «Magnit»; thebeneficiaries of the Creditor - "ROSBANK" (OJSC JSCB), the Borrower (thetransaction: beneficiary) - joint-stock company «Tander» Amount of the 2,480,000,000 .00rubles that amounts to 3.62% from thetransaction: issuer's balance sheet assetsas of 31.12.2012 The value of the 68,422 ,621thousand rubles(as of 31.12.2012)issuer's assets as ofthe last date of theaccounting period(quarter, year)preceding thetransaction (date ofthe contract) and inrespect of which theterm for submission ofthe accounting(financial) reportexpired: Date of transaction August7, 2013(date of thecontract): Approval of the the transaction was approved by the General shareholderstransaction: meeting of May 24, 2013(minutes of the annual general shareholders meeting of OJSC "Magnit" № w/№ of May24, 2013) For further information, please contact: Timothy Post Director, Investor Relations Email: [email protected] Office: +7-861-277-4554 x7600 Mobile: +7-961-511-7678 Direct Line: +7-861-277-4562 Dina Svishcheva Deputy Director, Investor Relations Email: [email protected] Office: +7-861-277-4554 x5101 Mobile: +7-961-511-0202 Direct Line: +7-861-277-4562 Company description: Magnit is Russia's largest retailer. Founded in 1994 by Sergey Galitskiy, thecompany is headquartered in the southern Russian city of Krasnodar. As of June30, 2013, Magnit operates 18 distribution centers and over 7,000 stores (6,552convenience, 164 hypermarkets, and 700 cosmetics) in more than 1,700 cities andtowns throughout 7 federal regions of the Russian Federation. In accordance with the unaudited IFRS management accounts for 1H 2013, Magnithad revenues of $8,796 million USD and an EBITDA of $889 million USD. Magnit'slocal shares are traded on the Moscow Stock Exchange (MICEX: MGNT) and its GDRson the London Stock Exchange (LSE: MGNT) and it has a credit rating fromStandard & Poor's of BB. Measured by market capitalization, Magnit is nowEurope's 2nd largest retailer.