X5 Retail Regulatory News (FIVE)

27 Jun 2007 07:03

X5 Retail Group N.V.27 June 2007 NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN, INTO OR FROM, AUSTRALIA, CANADA OR JAPAN X5 RETAIL GROUP N.V. RAISES USD 1 BILLION SYNDICATED LOAN TO REFINANCE EXISTING DEBT Amsterdam, 27 June 2007 - X5 Retail Group N.V. (LSE ticker: "FIVE"), Russia'slargest retailer in terms of sales, today announces that it has raised USD 1billion through a loan facility with final maturity of 1 year. The mandated lead arrangers of the loan are Goldman Sachs International andCitigroup Global Markets Limited. The proceeds of the loan will be used to refinance the Group's debt, includingthe existing syndicated loan of USD 800 million, which was arranged in 2006 tofinance the merger between Pyaterochka and Perekrestok and expansion. Vitaliy Podolskiy, X5 Retail Group CFO commented: "We are pleased to announcethe refinancing of our existing debt on attractive terms that we believe are atestament to the combined strength and financial stability of our enlargedGroup. This transaction is a further step in our effort to optimize the Group'scapital structure and enables us to lower funding costs, strengthen ourfinancial flexibility and raise our profile in the international financialcommunity." - End - Note to Editors: X5 Retail Group N.V. is Russia's largest food retailer in terms of sales. As of31 March 2007, the Group had 512 company-managed "Pyaterochka" soft discountstores located in the Moscow (232), St. Petersburg (215) and other Russian areas(65), and 169 company-managed "Perekrestok" supermarkets across Central Russiaand Ukraine, including 99 stores in Moscow. As of 31 March 2007, franchisees operated 533 Pyaterochka branded stores acrossRussia and Kazakhstan. Perekrestok had 10 stores operated by franchisees in theMoscow area. Pyaterochka and Perekrestok have merged their operations as of 18 May 2006 tocreate the clear leader in the Russian food retail market. The Group's audited pro-forma net sales for the FY 2006 were US $3,551 million,up +50% vs. 2005. Pyaterochka chain provided US $1,973 million of net sales, thePerekrestok chain contributed US $1,496 million of net sales, and Merkado chaincontributed US $ 82 million. Forward looking statements: This announcement includes statements that are, or may be deemed to be, "forward-looking statements". These forward-looking statements can be identifiedby the fact that they do not only relate to historical or current events.Forward-looking statements often use words such as" anticipate", "target", "expect", "estimate", "intend", "expected", "plan", "goal" believe", or otherwords of similar meaning. By their nature, forward-looking statements involve risk and uncertainty becausethey relate to future events and circumstances, a number of which are beyond X5Retail Group N.V.'s control. As a result, actual future results may differmaterially from the plans, goals and expectations set out in theseforward-looking statements. Any forward-looking statements made by or on behalf of X5 Retail Group N.V.speak only as at the date of this announcement. Save as required by anyapplicable laws or regulations, X5 Retail Group N.V. undertakes no obligationpublicly to release the results of any revisions to any forward-lookingstatements in this document that may occur due to any change in its expectationsor to reflect events or circumstances after the date of this document. Enquiries to: X5 Retail Group N.V. Gennady Frolov Head of Corporate Communications Office +7 495 950 5577 ext. 10130 Mobile +7 495 998 3335 Email gennady.frolov@x5.ru This information is provided by RNS The company news service from the London Stock Exchange