X5 Retail Regulatory News (FIVE)

X5 LAUNCHES A SINGLE SIGN-ON SYSTEM - X5 ID

Moscow, 02 September 2020 - X5 Retail Group, a leading Russian food retailer that operates the Pyaterochka, Perekrestok, and Karusel retail chains, has developed a seamless single sign-on system for its customers. X5 ID is a single account that enables users to access multiple services offered by X5 and its retail chains after one-time registration.

To create an X5 ID account, a user only needs to specify a phone number and give consent to processing of personal data. Following that, details like full name, date of birth, and e-mail address can be added. The system does not require linking of bank cards or other payment methods. X5 ID accounts enable customers to sign on to existing programmes like My Perekrestok or the Pyaterochka Helping Card. For registration with other X5 services, the same ID can be used.

The single ID system will unlock a wealth of benefits for consumers, including simplified registration and authentication, secure account data management, participation in loyalty programmes, convenient and quick access to various X5 services from all devices.

X5 ID will be used by X5, its retail chains and other business units to identify users. The system is designed to provide an integrated user experience, boost the use of the services and customer logins through a single sign-on, save users' time and strengthen their confidence.

"Today, there is no clear division between online and offline retail in the food market, with digital tools becoming integral to offline shopping. X5 stays with its customers at all stages of their journey, including planning and selection. This engagement draws on the digital businesses, services and infrastructure that are part of our strategy. The purpose of X5 ID is to provide our customers with the most comfortable user experience. The single ID will serve as a functional basis for the company to introduce new services across X5 chain stores and will become a one-stop-shop for our customers. On top of that, it will break ground for the broader development of customer services. X5 ID will provide a seamless access to all X5 services and products," said Igor Shekhterman, CEO of X5 Retail Group.

X5 ID is a proprietary development of X5 Retail Group.

Note to Editors:

X5 Retail Group N.V. (LSE and MOEX: FIVE, Fitch - 'BB+', Moody's - 'Ba1', S&P - 'BB+', RAEX - 'ruAA+') is a leading Russian food retailer. The Company operates several retail formats: the chain of proximity stores under the Pyaterochka brand, the supermarket chain under the Perekrestok brand and the hypermarket chain under the Karusel brand.

As of 30 June 2020, X5 had 17,025 Company-operated stores. It has the leading market position in both Moscow and St Petersburg and a significant presence in the European part of Russia. Its store base includes 16,096 Pyaterochka proximity stores, 867 Perekrestok supermarkets and 62 Karusel hypermarkets. The Company operates 42 DCs and 4,083 Company-owned trucks across the Russian Federation.

For the full year 2019, revenue totalled RUB 1,734,347 mln (USD 26,791 mln), Adjusted EBITDA under IAS 17 reached RUB 127,380 mln (USD 1,968 mln), and net profit under IAS 17 for the period amounted to RUB 25,908 mln (USD 400 mln). In Q1 2020, revenue totalled RUB 468,994 mln (USD 7,065 mln), adjusted EBITDA reached RUB 32,980 mln (USD 497 mln), and net profit amounted to RUB 8,175 mln (USD 123 mln).

X5's Shareholder structure is as follows: CTF Holdings S.A. - 47.86%, Intertrust Trustees Ltd (Axon Trust) - 11.43%, X5 Directors - 0.09%, treasury shares - 0.01%, Shareholders with less than 3% - 40.61%.

Forward looking statements:

This announcement includes statements that are, or may be deemed to be, "forward-looking statements". These forward-looking statements can be identified by 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 other words of similar meaning.

By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances, a number of which are beyond X5 Retail Group N.V.'s control. As a result, actual future results may differ materially from the plans, goals and expectations set out in these forward-looking statements.

Any forward-looking statements made by or on behalf of X5 Retail Group N.V. speak only as of the date of this announcement. Save as required by any applicable laws or regulations, X5 Retail Group N.V. undertakes no obligation publicly to release the results of any revisions to any forward-looking statements in this document that may occur due to any change in its expectations or to reflect events or circumstances after the date of this document.

Elements of this press release contain or may contain inside information about X5 Retail Group N.V. within the meaning of Article 7(1) of the Market Abuse Regulation (596/2014/EU).