X5 SB ACCEPTS RESIGNATION OF SOFT DISCOUNTERS HEAD

X5 board accepts RESIGnation of

soft discounter general director

Amsterdam, 14 January 2013 - X5 Retail Group N.V. ("X5" or the "Company"), Russia's largest retailer in terms of sales (LSE ticker: "FIVE"), announced today the results of the Company's Supervisory Board Meeting (the "Meeting") held on Friday, 11 January 2013. At the Meeting, the Supervisory Board (the "Board") agreed to accept the resignation of X5's General Director of Soft Discounters, Frank Mros, effective immediately.

During the meeting, the Board acknowledged the positive contributions and initiatives Mr. Mros has brought to the format.

The Soft Discounter format's senior management team will be responsible for the format's day-to-day activities, under the direct supervision of the CEO, until a new General Director is hired. The Company is initiating a search to replace Mr. Mros.

The Board also accepted the resignation of Tatiana Kozhevnikova, X5's Human Resources Director, effective 1 February 2013.

 Note to Editors:

X5 Retail Group (LSE: FIVE, Moody's - "B2", S&P - "B+") is Russia's largest retailer in terms of sales. The Company operates several retail formats: the soft discounter chain under the Pyaterochka brand, the supermarket chain under the Perekrestok brand, the hypermarket chain under the Karusel brand, the online retail channel under the E5.ru brand and convenience stores under various brands.

At 30 September 2012, X5 had 3,472 Company-operated stores. It has the leading market position in both Moscow and St. Petersburg and a significant presence in the European part of Russia. Its store base includes 2,936 soft discounter stores, 350 supermarkets, 76 hypermarkets and 110 convenience stores. The Company operates 28 DCs and 1,854 Company-owned trucks across the Russian Federation.At 30 September 2012, the number of X5 employees totaled 102 thousand.

For the full year 2011, net sales totaled USD 15,455 mln, EBITDA reached USD 1,130 mln, and net profit amounted to USD 302 mln. For the nine months of 2012, net sales totaled USD 11,475 mln, EBITDA reached USD 774 mln and net profit amounted to USD 147 mln.

X5's Shareholder structure is as follows: Alfa Group - 47.86%, founders of Pyaterochka - 19.85%, X5 Directors - 0.13%, treasury shares - 0.11%, free float - 32.05%.