OREANDA-NEWS. October 31, 2011. OJSC "Magnit" (the "Company"; RTS, MICEX and LSE: MGNT) announces the change of net profit amount (RAS, standalone basis)1

Loss of OJSC "Magnit" in the 2nd quarter of 2011 amounted to 613,104 thousand rubles. Net profit in the 3rd quarter of 2011 amounted to 197,803 thousand rubles. Significant change of the financial result is explained by the fact that there was no loss occurred in the 3rd quarter 2011 vs. 2n quarter 2011 from the transaction of sale of property rights.

Based in Krasnodar, in the Southern region of Russia, Open Joint Stock Company "Magnit" is the holding company for a group of entities that operate in the retail trade under the "Magnit" brand. The chain of "Magnit" stores is one of the leading food retail networks in Russia. As of September 30, 2011 the chain consisted of 4,593 convenience stores, 76 hypermarkets and 98 cosmetics stores (drogerie) in 1,325 locations in the Russian Federation.

Approximately two-thirds of the Company's stores are located in cities with a population of less than 500,000 inhabitants. Most of its stores are located in the Southern, North-Caucasian, Central and Volga regions. The Company also operates stores in the North-Western, Urals and Siberian regions.

As of September 30, 2011 the Company operated an in-house logistics system consisting of 14 distribution centers, employing automated stock replenishment systems and a fleet of 3,705 vehicles.

In accordance with the unaudited IFRS consolidated financial statements for 1H 2011, the Company recorded consolidated revenue of approximately USD 5,471 million and consolidated EBITDA of around USD 359 million.