17th Apr 2012 15:12
Press-release
Krasnodar
April 17, 2012
Corporate credit rating by Standard & Poor's
Krasnodar, April 17, 2012: OJSC "Magnit" (the "Company"; MICEX and LSE: MGNT) "BB-" rated with Stable Outlook by Standard & Poor's.
Today OJSC "Magnit" has been assigned long-term corporate credit rating "BB-" with Stable outlook. In its research update S&P states that the rating is supported, among other factors, by the Company's strong market position as it runs the largest network of stores in Russia and is No. 2 food retailer in terms of revenues, its leading market position in cities with fewer than 500,000 inhabitants and its resilient profitability.
The rating agency also outlines Magnit's relatively low leverage and an increase in share capital to partly finance an investment program in 2012.
The liquidity of the Company is assessed as "adequate" based on the S&P's forecast.
For further information, please contact:
Oleg Goncharov | Director, Investor Relations e-mail: [email protected] Tel. in Krasnodar +7 (861) 277-45-54, 210-98-10 ext. 5100 Mob.: +7 (903) 411-40-35 Direct line for investors only: +7 (861) 277-45-62 |
Dina Svishcheva | Manager, Investor Relations e-mail: [email protected] 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:
Based in Krasnodar, in the Southern region of Russia, Open Joint Stock Company "Magnit" 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 March 31, 2012 the chain consisted of 5,104 convenience stores, 96 hypermarkets and 266 cosmetics stores (drogerie) in 1,424 locations in the Russian Federation.
Approximately two-thirds of the Company'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 March 31, 2012 the Company operated an in-house logistics system consisting of 15 distribution centers, employing automated stock replenishment systems and a fleet of 3,922 vehicles.
In accordance with the audited IFRS consolidated financial statements for 2011, the Company recorded consolidated revenue of approximately US$ 11,423 million and consolidated EBITDA of around US$ 939 million.
Related Shares:
MGNT.L