Krasnodar, August 26, 2010: OJSC “Magnit” (the “Company”; RTS, MICEX and LSE: MGNT) announces the procedure of Exchange-traded bonds placement and terms for the offers’ submission.

On August 26, 2010 the Issuer’s sole executive body (Chief Executive Officer) has determined the procedure of securities’ placement which states that the placement of non-convertible interest-bearing certified Exchange-traded bonds to the bearer with the obligatory centralized custody of the BO-01/BO-02/BO-03/BO-04 series (identification code 4B02—01-60525-P / 4B02—02-60525-P / 4B02—03-60525-P / 4B02—04-60525-P of 02.02.2010 correspondingly) admitted to trading in the course of placement as of February 2, 2010 shall be exercised via book-building at a fixed price and coupon rate for the first coupon period in accordance with the procedure defined by the Decision on securities’ issue.

The offers to execute the Preliminary agreements¹ are to be delivered to the address of CJSC IC “Troika Dialog”.

The term for the offers’ submission to execute the Preliminary agreements² with the potential acquirers of the Exchange-traded bonds of the BO-01/BO-02/BO-03/BO- 04 series starts on August 26, 2010 at 11 am and ends on September 9, 2010 at 3 pm.

The full forms of the offer can be found at the official web-site of the Company:

http://www.magnit-info.ru/investors/charter_capital_issue_document/magnit/

¹ As defined in the Decisions to issue the Exchange-traded bonds of the BO-01/BO-02/BO-03/BO-04 series (identification code 4B02—01-60525-P / 4B02—02-60525-P / 4B02—03-60525-P

/ 4B02—04-60525-P as of 02.02.2010 correspondingly; were admitted to trading on the stock exchange in the course of placement as of February 02, 2010) approved by the Board of directors on December 23, 2009, minutes w/o № as of December 23, 2009.

2 Stipulate the liability for the potential acquirers of the Exchange-traded bonds or Participants of the trades acting in their interests to execute in the future the principal agreements on disposal by them of the placed securities.

OJSC “Magnit” announces the procedure of Exchange-traded bonds placement and terms for the offers’ submission