Krasnodar, October 7, 2009: OJSC “Magnit” (the “Company”; RTS, MICEX and LSE: MGNT) notifies of the shareholders’ possibility to exercise their pre-emptive rights.

Name of issuer

Open Joint Stock Company “Magnit,” a company incorporated and existing under the laws of the Russian Federation with its registered address at 18 Kolkhoznaya street, Krasnodar, Krasnodar region, Russian Federation (the “Company”).

Decision on the charter capital increase

On September 2, 2009, the Company’s Board of Directors resolved to increase the Company’s charter capital by means of an offering of additional ordinary registered uncertified shares in the amount of 11,154,918 (eleven million one hundred and fifty four thousand nine hundred eighteen) with a nominal value per share of 0.01 (zero point zero one) ruble (the “Additional Shares”).

On October 2, 2009 the Russian Federal Financial Markets Service registered the issue of Additional Shares. The Additional Shares will be placed by means of open subscription.

Pre-emptive rights

The Company’s shareholders as of September 2, 2009 have pre-emptive rights to acquire Additional Shares pro rata to the their shareholding in the Company’s charter capital as of September 2, 2009 (record date). The maximum amount of Additional Shares that may be purchased by a shareholder exercising the pre-emptive rights shall be determined under the formula as follows:

K = S * (11,154,918 / 83,245,660)

where:

K — maximum amount of additional shares that the shareholder is entitled to purchase in the rights offering;

S — amount of shares of the Company owned by the shareholder as of September 2, 2009;

11,154,918 — the amount of the Additional Shares;

83,245,660 — the amount of the Company’s outstanding ordinary registered uncertified shares as of September 2, 2009.

Shareholders that are entitled to exercise their pre-emptive rights and are willing to do so must submit their written applications for the Additional Shares acquisition (the “Application”) by no later than October 27, 2009 (the “Pre-emptive Right Period”).

The recommended form of the Application is available at the Company’s website http://www.magnit-info.ru.

Shareholders exercising pre-emptive rights shall pay for the Additional Shares within 8 (eight) business days from the date of disclosure of the offering price of the Additional Shares in the newswire and on the website http://www.magnit-info.ru in the Internet (including the date of disclosure).

Offering price

The offer price of the Additional Shares, including the offer price of the Additional Shares to persons entitled to exercise pre-emptive rights, will be approved by the Company’s Board of Directors upon expiration of the Pre-emptive Right Period and will be disclosed not later than the date when the offering commences in the newswire (“Interfax”) and on the Company’s website http://www.magnit-info.ru.

The offer price of the Additional Shares will be the same for all purchasers, including shareholders entitled to exercise pre-emptive rights.

Offering period

The offering commencement date for shareholders entitled to exercise pre-emptive rights and for other purchasers of Additional Shares will be determined by the Company’s general director after expiration of the Pre-emptive Right Period.

The last date of the offering period shall be the earliest of the following dates:

The 14 (the fourteenth) business day from the offering commencement date (including the offering commencement date);
The date of allocation of the last Additional Share; or
October 2, 2010.

OJSC «Magnit» notifies of the shareholders' possibility to exercise their pre-emptive rights