Krasnodar, April 13, 2015: PJSC “Magnit”, Russia’s largest retailer (the “Company”; MOEX and LSE: MGNT) announces the upgrade of its rating to “BB+” by Standard & Poor’s Rating Services on improved cash flow generation.

Please be informed that Standard & Poor’s Rating Services upgraded Magnit to “BB+” with negative outlook on improved credit metrics and cash flow generation, as well as robust earnings growth. The upgrade reflects S&P’s expectation that Magnit will maintain its sound operating performance, despite tough economic conditions in Russia.

The negative outlook on Magnit reflects the negative outlook on the Russian Federation. S&P might consider revising outlook to stable if they take a similar action on Russia.

Please note that amongst the largest global food retailers in terms of capitalization, PJSC “Magnit” is the only company, which has been assigned the same credit rating as the sovereign rating.

PJSC «Magnit» announces the upgrade of its rating by S&amp;P

PJSC «Magnit» announces the upgrade of its rating by S&P