OREANDA-NEWS. December 8, 2011. DIXY Group (RTS, MICEX: DIXY) - one of Russia's leading retailers of foods and everyday products - has announced DIXY Group consolidated revenue (including Victoria Group revenue from the acquisition date on 15 June 2011) growth of 52.1% in RUR (58.5% in USD) for the ten months of 2011 over the same period last year, and consolidated revenue growth for October 2011 by 84.4% in Russian rubles (78.3% in US dollars).

For the ten months of 2011 the combined company opened 189 stores with 1,032 stores under operation as of 31 October 2011, including 985 neighborhood stores, 29 supermarkets, 17 compact hypermarkets and 1 cash&carry store.

DIXY Group total consolidated revenue (including Victoria Group revenue from the acquisition date on 15 June 2011) for the ten months of 2011 increased by 52.1% in RUR (58.5% in USD) over the same period last year and amounted to 78.6 billion RUR (2.7 billion USD).3 DIXY Group total consolidated revenue for October of 2011 increased by 84.4% in RUR (78.3% in USD) over the same period last year and amounted to 10.3 billion RUR (328.6 million USD).

DIXY Group total pro-forma revenue for the ten months of 2011 increased by 20.2% in RUR (25.3% in USD) and amounted to 98.2 billion RUR (3.4 billion USD). Total pro-forma revenue for October of 2011 increased by 15.0% in RUR (11.2% in USD) and amounted to 10.3 billion RUR (328.6 million USD).

1.         DIXY Group consolidated revenue by format (including Victoria Group revenue from the

acquisition date on 15 June 2011)

For the ten months of 2011 over the same period of last year:

•           Retail revenue from neighborhood store format increased by 46.7% in RUR (52.9% in USD) and amounted to RUR 64.2 billion (USD 2.2 billion).

•           Retail revenue from supermarket format increased by 281.4% in RUR (297.6% in USD) and amounted to RUR 6.8 billion (USD 233.8 million).

•           Retail revenue from hypermarket format increased by 13.7% in RUR (18.5% in USD) and amounted to RUR 6.6 billion (USD 227.9 million).

•           Retail revenue from cash&carry store CASH (consolidated only in 2011) amounted to RUR 327.7 million (USD 11.3 million).

•           Consolidated revenue from other DIXY Group activities, such as sublease income and wholesale revenue, increased by 110.2% in RUR (119.1% in USD) and amounted to RUR 692.9 million (USD 23.9 million).

For October of 2011 over the same period of last year:

•           Retail revenue from neighborhood store format increased by 69.2% in RUR (63.6% in USD) and amounted to RUR 8.0 billion (USD 256.4 million).

•           Retail revenue from supermarket format increased by 629.2% in RUR (605.0% in USD) and amounted to RUR 1.3 billion (USD 42.6 million).

•           Retail revenue from hypermarket format increased by 20.4% in RUR (16.4% in USD) and amounted to RUR 744.2 million (USD 23.7 million).

•           Retail revenue from cash&carry store CASH (consolidated only in 2011) amounted to RUR 67.5 million (USD 2.2 million).

•           Consolidated revenue from other DIXY Group activities, such as sublease income and wholesale revenue, increased by 240.6% in RUR (229.3% in USD) and amounted to RUR 113.4 million (USD 3.6 million).

2.         DIXY Group pro-forma revenue by format

For the ten months of 2011 over the same period of 2010:

•           Retail revenue from neighborhood store format increased by 22.3% in RUR (27.5% in USD) and amounted to RUR 76.9 billion (USD 2.6 billion).

•           DIXY stores retail revenue increased by 25.9% in RUR (31.2% in USD) and amounted to RUR 55.1 billion (USD 1.9 billion).

•           Retail revenue from Kvartal/Deshevo/Semeynaya Kopilka stores increased by 14.1% in RUR (18.9% in USD) and amounted to RUR 21.8 billion (USD 752.6 million).

•           Retail revenue from supermarket format increased by 13.8% in RUR (18.7% in USD) and amounted to RUR 12.8 billion (USD 441.1 million).

•           Retail revenue from Victoria supermarkets increased by 14.3% in RUR (19.1% in USD) and amounted to RUR 10.8 billion (USD 372.8 million).

•           Retail revenue from MINIMART supermarkets increased by 11.5% in RUR (19.1% in USD) and amounted to RUR 1.9 billion (USD 68.3 million).

•           Retail revenue from hypermarket format (MEGAMART stores) increased by 13.7% in RUR (18.5% in USD) and amounted to RUR 6.6 billion (USD 227.9 million).

•           Retail revenue from cash&carry store CASH increased by 3.1% in RUR (7.4% in USD) and amounted to RUR 772.1 million (USD 26.6 million).

•           Pro-forma revenue from other DIXY Group activities, such as sublease income and wholesale revenue, increased by 12.6% in RUR (17.4% in USD) and amounted to RUR 1.0 billion (USD 35.3 million).

For October of 2011 over the same period of 2010:

•           Retail revenue from neighborhood store format increased by 15.8% in RUR (11.9% in USD) and amounted to RUR 8.0 billion (USD 256.4 million).

•           DIXY stores retail revenue increased by 27.9% in RUR (23.7% in USD) and amounted to RUR 6.1 billion (USD 193.8 million).

•           Retail revenue from Kvartal/Deshevo/Semeynaya Kopilka neighborhood stores decreased by 10.5% in RUR (13.5% in USD) and amounted to RUR 1.9 billion (USD 62.6 million). Revenue decrease for Kvartal/Deshevo/Semeynaya Kopilka format was due to store closings for rebranding to DIXY format in the North-Western region. As of 31 October 2011, 24 Kvartals stores were rebranded to DIXY format.

•           Retail revenue from supermarket format increased by 9.4% in RUR (5.7% in USD) and amounted to RUR 1.3 billion (USD 42.6 million).

•           Retail revenue from Victoria supermarkets increased by 8.8% in RUR (5.2% in USD) and amounted to RUR 1.1 billion (USD 36.1 million).

•           Retail revenue from MINIMART supermarkets increased by 12.3% in RUR (8.6% in USD) and amounted to RUR 205.9 million (USD 6.6 million).

•           Retail revenue from hypermarket format (MEGAMART stores) increased by 20.4% in RUR (16.4% in USD) and amounted to RUR 744.2 billion (USD 23.7 million).

•           Retail revenue from cash&carry store CASH decreased by 20.4% in RUR (23.1% in USD) and amounted to RUR 67.5 million (USD 2.2 million).

•           Retail revenue from other DIXY Group activities, such as sublease income and wholesale revenue, increased by 24.8% in RUR (20.6% in USD) and amounted to RUR 113.4 million (USD 3.6 million).

The following exchange rates were used for converting Russian Rubles to US dollars:

Exchange Rate according to CBR

2010

2011

Average (ten months), RUR/USD

30.2607

29.0311

Average (October), RUR/USD

30.3214

31.3620