OREANDA-NEWS. August 30, 2012. OJSC “Magnit” (the “Company”; MICEX and LSE: MGNT) announces the execution of the related party transaction by the Company on August 17, 2012.

The essentials of the transaction are as follows:

Type of transaction:

Related party transaction

Subject of transaction:

Provision of guarantee under the Revolving Credit Line Agreement M5574 dated August 17, 2012 executed between JSC “Tander” and “ Sberbank of Russia” (OJSC)

Content of the transaction:

Under the Contract of guarantee U-^5574/1 dated August 17, 2012 the Guarantor shall be responsible before the Lender for the performance by the Borrower all obligations thereof under the Revolving Credit Line Agreement M 5574 dated August 17, 2012 executed between the Borrower and the Creditor with the following essentials:

• Loan Amount: 2,500,000,000 (two billion five hundred million) rubles;

• Loan is provided for the period till August 14, 2015 inclusively;

• The Borrower shall pay the Creditor the interest rate for the loan use at the rate determined by the Revolving Credit Line Agreement but not exceeding 12% per annum;

• The Guarantor’s responsibility shall be limited to 50 (fifty) per cent of the total amount of the Borrower’s obligations under the Contract on revolving credit line that constitutes 1,250,000,000 rubles.

• The Guarantee terminates when the Borrower has duly performed its obligations under the Credit Agreement.

Deadline to fulfill obligations under the transaction:

August 14, 2015 (term of repayment of principal loan and interests), the guarantee is effective till August 14, 2018.

Parties and beneficiaries of the transaction:

the Guarantor - open joint-stock company "Magnit"; the Creditor (the Bank) - “Sberbank of Russia” (OJSC), the Borrower (the beneficiary) - joint-stock company "Tander".

Amount of the transaction:

1,250,000,000 rubles that amounts to 2.,081% from the issuer’s balance sheet assets

The value of the issuer’s assets as of the last date of the accounting period (quarter, year) preceding the transaction (date of the contract) and in respect of which the term for submission of the accounting (financial) report expired:

60,067,654 thousand rubles

Date of transaction (date of the contract):

August 17, 2012

Approval of the transaction:

The transaction was approved by the annual general shareholders’ meeting (minutes of the general shareholders’ meeting of OJSC “ Magnit” w/M of May 28, 2012)