PJSC MAGNIT - Magnit November/11M 2014 Results

Press-release

Krasnodar

December 10, 2014

PJSC "Magnit" Announces 33.17% Retail Sales Growth in Rubles for
November 2014[1]

Krasnodar, December 10, 2014: PJSC "Magnit", Russia's largest food
retailer (the "Company"; MICEX and LSE: MGNT) announces 33.17% retail sales
growth in rubles for November 2014.

During November 2014 the Company opened (net) 304 stores. The total
store base reached 9,507 stores (8,233 convenience stores, 181 hypermarkets,
78 "Magnit Family" stores and 1,015 drogerie stores).

Preliminary consolidated unaudited net retail revenue (excl. VAT)
in 11M 2014 increased by 30.91% in ruble terms (compared to 11M 2013) and
stood at 675,365.44 million rubles.

Please note that starting in 2013 Magnit made an effort to smooth
out the schedule of new store openings and decided to close the development
year at the end of November. Thus, the large number of store openings in
November 2013 created a high base-effect, which resulted in lower sales growth
numbers for November 2014.

According to Rosstat food inflation in November 2014 amounted to
2.0% compared to 0.9% in November 2013, in 11M 2014 11.8% compared to 6.5% in
11M 2013.

November and 11M 2014 Key Operating and Financial Highlights:

                                  November 2014 November 2013     Growth Rate     11М 2014    11М 2013     Growth Rate
Number of opened stores, NET                304           181             n/a        1,414       1,036             n/a
               convenience stores           215           180             n/a        1,033       1,014             n/a
                     hypermarkets             2             2             n/a           20          26             n/a
                    magnit family             6             2             n/a           32          14             n/a
                  drogerie stores            81           (3)             n/a          329        (18)             n/a

Total number of stores                    9,507         7,920             n/a        9,507       7,920             n/a
               convenience stores         8,233         7,060             n/a        8,233       7,060             n/a
                     hypermarkets           181           152             n/a          181         152             n/a
                    magnit family            78            34             n/a           78          34             n/a
                  drogerie stores         1,015           674             n/a        1,015         674             n/a

Selling space, eop, th. sq. m.         3,494.59      2,933.87          19.11%     3,494.59    2,933.87          19.11%
               convenience stores      2,631.68      2,273.29          15.77%     2,631.68    2,273.29          15.77%
                     hypermarkets        537.73        460.06          16.88%       537.73      460.06          16.88%
                    magnit family         89.98         40.03         124.80%        89.98       40.03         124.80%
                  drogerie stores        235.20        160.49          46.55%       235.20      160.49          46.55%

Selling space growth, th. sq.m.           99.61         59.03             n/a       483.21      384.62             n/a
               convenience stores         70.75         50.39             n/a       319.48      295.84             n/a
                     hypermarkets          3.72          6.87             n/a        54.85       72.44             n/a
                    magnit family          6.82          2.12             n/a        36.72       15.67             n/a
                  drogerie stores         18.31        (0.36)             n/a        72.16        0.67             n/a

Net retail sales, million RUR         66,854.40     50,201.24          33.17%   675,365.44  515,904.45          30.91%
               convenience stores     50,281.17     38,839.35          29.46%   515,091.26  403,669.14          27.60%
                     hypermarkets     12,094.30      9,221.44          31.15%   122,033.98   92,954.33          31.28%
                    magnit family      2,588.38      1,054.98         145.35%    21,514.45    9,037.65         138.05%
                  drogerie stores      1,890.56      1,085.48          74.17%    16,725.75   10,243.32          63.28%

Net retail sales, million US$[2]       1,456.07      1,537.74         (5.31)%    18,335.93   16,248.50          12.85%
               convenience stores      1,095.11      1,189.71         (7.95)%    13,984.54   12,713.63          10.00%
                     hypermarkets        263.41        282.47         (6.75)%     3,313.18    2,927.61          13.17%
                    magnit family         56.37         32.32          74.45%       584.11      284.64         105.21%
                  drogerie stores         41.18         33.25          23.84%       454.10      322.62          40.76%

For further information, please contact:

Timothy Post                                                Director, Investor Relations

                                                            Email: [e-mail]

                                                            Office: [phone] x 17600

                                                            Mobile: [phone]

                                                            Direct Line: [phone]
Dina Svishcheva                                             Deputy Director, Investor Relations

                                                            Email: [e-mail]

                                                            Office: [phone] x 15101

                                                            Mobile: [phone]

                                                            Direct Line: [phone]

Company description:

Magnit is Russia's largest food retailer. Founded in 1994, the
company is headquartered in the southern Russian city of Krasnodar. As of
September 30, 2014, Magnit operated 25 distribution centers and over 9,020
stores (7,891 convenience, 243 hypermarkets, and 886 drogerie stores) in
approximately 2,000 cities and towns throughout 7 federal regions of the
Russian Federation.

In accordance with the reviewed IFRS consolidated financial
statements for 1H 2014, Magnit had revenues of $9,979 million USD and an
EBITDA of $1,045 million USD. Magnit's local shares are traded on the Moscow
Stock Exchange (MICEX: MGNT) and its GDRs on the London Stock Exchange (LSE:
MGNT) and it has a credit rating from Standard & Poor's of BB. Measured by
market capitalization, Magnit is one of the largest retailers in Europe.

---------------------------------

[1] According to management accounts

[2] Based on the average exchange rate for November 2014 - 45.9143
RUB per 1 USD, November 2013 - 32.6462 RUB per 1 USD, 11M 2014 - 36.8329 RUB
per 1 USD, 11M 2013 - 31.7509 RUB per 1 USD