Last checked at 26 Jan 2010 08:59
X5 SUCCESSFULLY COMPLETES PILOT LAUNCH OF SAP FOR RETAILIN NIZHNIY NOVGOROD AND BEGINS ROLL-OUT TO ALL REGIONS;
SAP RANKS X5 NUMBER ONE FOR "HIGHEST QUALITY SAP FOR RETAIL IMPLEMENTATION IN CIS"
Moscow, 26 January 2010 - X5 Retail Group N.V. ("Company"), Russia's largest retailer in terms of sales (LSE ticker: "FIVE"), today announced that it has successfully completed the pilot launch of SAP for Retail in Nizhniy Novgorod and begun the system roll-out to all other regions of its operations, to be completed by end of 2010.
Currently, over 60 X5 stores in the Nizhniy Novgorod region utilize SAP for Retail as a unified IT platform for all operations related to managing stores, supplier relationships and logistics. X5 is pleased to note that it earned SAP's number one ranking for "Highest Quality SAP for Retail Implementation in CIS" in recognition of the pilot launch's success.
X5 has chosen to implement SAP as its enterprise resource planning system. The introduction is being conducted in stages. The first phase is the introduction of SAP for Retail, which will be finalized by the end of 2010. Two further stages involve the introduction of SAP HCM (SAP for HR) and SAP for Enterprise Management.
Teimur Shternlib, Deputy CEO for Business Support of X5 Retail Group, commented:
"The success of the pilot launch was due to strong teamwork by X5's project team and our integrators and consultants from GMCS. Over the next few years, SAP will add to the Company's competitive advantages, enhancing process efficiency across every aspect of our business from store operations to strategic planning. We expect that the new system will provide X5 with a strong platform for scalable expansion, drive Company-wide efficiency gains and position X5 for long-term leadership and profitable growth."
Daniel Holz, Sales Director, SAP CIS, commented on the successful cooperation:
"We appreciate the confidence of X5 Retail Group that chose our solutions for the development of its business. The successful implementation of the SAP for Retail industrial solution is important both for the retail market in Russia, where our solutions have already proved themselves, and for our company. We believe that our solutions will help the company's responsible executives effectively manage growth of its store chains and quickly respond to any economic changes".
| For further details please contact: | ||
| Anna Kareva IR Director X5 Retail Group Tel.:+7 (495) 792 3511 e-mail: anna.kareva@x5.ru | Maxim Trapeznikov Head of PR Department X5 Retail Group Tel.: +7 (495) 662-8888, ext. 31 262 e-mail: maxim.trapeznikov@x5.ru | Marina Panchenko Director of External Relations SAP CIS Tel: +7 (495) 755-98-00 e-mail: Marina.Pantschenko@sap.com |
Note to Editors:
X5 Retail Group N.V. is Russia's largest retailer in terms of sales. The Company was created as a result of a merger between Pyaterochka (soft discounter chain) and Perekrestok (supermarket chain) on 18 May 2006. In June 2008, X5 acquired Karusel hypermarket chain and substantially strengthened its position in hypermarket format.
As at 31 December 2009, X5 had 1,372 Company-managed stores located in Moscow, St. Petersburg and other regions of European Russia, Urals and Ukraine, including 1,039 soft discount stores, 275 supermarkets and 58 hypermarkets.
As at 31 December 2009, X5's franchisees operated 620 stores across Russia.
For the nine months 2009 X5's net sales totalled USD 6,081 mln, EBITDA reached USD 509 mln, and net profit amounted to USD 121 mln. For the full year 2009, net retail sales totaled
USD 8,675 mln.
X5 Shareholder structure is as follows: Alfa Group - 47.9%, founders of Pyaterochka - 23.1%, X5 Management - 1.9%, treasury shares - 0.1%, free float - 27.0%.
SAP is the world's leading provider of business software(*), offering applications and services that enable companies of all sizes and in more than 25 industries to become best-run businesses. With more than 92,000 customers (including those using Business Objects solutions) in over 120 countries, the company is listed on several exchanges, including the Frankfurt stock exchange and NYSE, under the symbol "SAP". In 1992 SAP AG opened an office in Moscow. Also over the past 17 years, representative offices of SAP were opened in St. Petersburg, Novosibirsk, Almaty, Minsk and Kiev, and the number of employees exceeded 700.
*SAP defines business software as solutions for enterprise resource management and relevant applications.
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 at 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.