PJSC MAGNIT - Magnit in Forbes' World's Most Innovative Companies List

Press-release

Krasnodar

August 20, 2015

PJSC "Magnit" Has Been Included in the World's Most Innovative Companies Ranking by Forbes

Krasnodar, August 20, 2015: PJSC "Magnit", Russia's largest food retailer (the "Company"; MOEX and LSE: MGNT), has been included in the 100 World's Most Innovative Companies Ranking by the American edition of the Forbes business magazine.

Please be informed that "Magnit" retail chain was ranked 23^rd in the 100 World's Most Innovative Companies List by the American edition of the Forbes business magazine. "Magnit" is the only Russian company in the list.

Forbes assesses the companies' innovation criterion using "the wisdom of the crowd". The magazine's method relies on investors' ability to identify companies with innovative business models.

Companies are ranked by their "innovation premium": the difference between their market capitalization and a net present value of cash flows from existing businesses (based on a proprietary formula from Credit Suisse HOLT). The "Magnit" innovation premium amounts to 57.9%.

To be included in the ranking, companies need seven years of public financial data and $10 billion in market capitalization.

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]
Media Inquiries	Media Relations Department [e-mail]

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 June 30, 2015, Magnit operated 29 distribution centers and over 10,700 stores (8,890 convenience, 311 hypermarkets, and 1,527 drogerie stores) in approximately 2,233 cities and towns throughout 7 federal regions of the Russian Federation.

In accordance with the unaudited IFRS management accounts for 1H 2015, Magnit had revenues of RUB 455 billion and an EBITDA of RUB 49 billion. Magnit's local shares are traded on the Moscow Stock Exchange (MOEX: 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.