30 Oct 2007 07:00
PIK Group30 October 2007 THE INFORMATION CONTAINED IN THIS ANNOUNCEMENT IS RESTRICTED AND NOT FOR PUBLICATION, DISTRIBUTION OR RELEASE, DIRECTLY OR INDIRECTLY IN THE UNITED STATES OF AMERICA PIK GROUP ("The Group" or "PIK") PIK LAUNCHES NEW HIGH-RISE BUILDING DESIGN WITH KOPE TOWER (LONDON, 30 October 2007) - PIK Group (LSE: PIK), one of Russia's leadingresidential developers, today announces the start of construction of a new,modernised high-rise building, the KOPE Tower ('Tower'). The design of the new KOPE Tower has been developed from the KOPE industrialsystem manufactured by DSK-2, one of PIK's core prefabricated productionfacilities. The Tower building is 25 storeys high with an underlying total net sellable areaof approx. 11,600 sq. meters. On each floor there are 6-7 apartments ofdifferent size with one to four rooms. At a later stage, there will beunderground parking beneath the building, which would be directly linked to theentrance. This new building design is appropriate for land plots with a small footprint.Compared to other deigns (e.g. KOPE-M-Parus of approx 5,500 sq. meters) theTower has double the net sellable area due to the increased number of storeysand a more efficient layout of the apartments on each floor. The new design of building will be constructed at various residentialdevelopment projects, including "Yubileyny" and "Novokurkino" in Khimki (MoscowRegion),and "Yaroslavski" in Mytischi (Moscow Region). Commenting on today's announcement, Kirill Pisarev, CEO of PIK said: "Russia has a gap between supply and demand for refurbishment and replacement ofhousing for the population. At the same time, cities such as Moscow and itssatellite cities around it possess limited available land plots. Theintroduction of this new building design allows the construction of more squaremeters on smaller footprints to be completed in short periods of time." - ENDS - Enquiries: PIK Group Tel: +7 (495) 291-67-54Viktor Szalkay szalkayv@pik.ruInvestor Relations Citigate Dewe Rogerson Tel: +44 20 7638 9571Tom BaldockLindsay Noton NOTES TO EDITORS PIK Group Overview Founded in 1994, PIK is one of the leading vertically integrated residentialdevelopers in Russia with over 14,000 employees across the country. Its businessactivities are concentrated in Moscow and the Moscow region with an increasingfootprint in many of Russia's other regions. Its principal activity is thedevelopment, construction and sale of residential properties in large scaledevelopments targeted primarily at the middle income housing market in Russia. PIK's core activities include: development of residential real estate projects and sales of completed units,including servicing and maintenance of residential real estate developed by PIKand other developers; production and assembly of concrete panel housing in Moscow as a subcontractorfor the Moscow city government; and production and sale of raw materials and construction materials. The last three years between 2004 and 2006, PIK has completed over 2.5 millionsquare meters of residential housing and over 36,000 residential units inRussia, including over 1.2 million square meters and over 17,000 residentialunits in 2006 alone. June 1, 2007, the Group completed successful listings on the London StockExchange, the RTS and MICEX exchanges in Russia. PIK Group's website address is: www.pik.ru Group Financial Summary Revenue for 2006 rose by 90% and equalled US$ 1,546 million, while EBITDA for2006 amounted to US$ 486 million. Net profit was US$ 298 million in 2006compared to US$ 20 million in 2005. According to CBRE, an independent appraiser, the combined market value of theGroup's properties valued as of January 1, 2007 was $8.8 billion. Some of the information in this press release may contain projections or otherforward-looking statements regarding future events or the future financialperformance of PIK. You can identify forward-looking statements by terms such as"expect," "believe," "anticipate," "estimate," "intend," "will," "could," "may"or "might" the negative of such terms or other similar expressions. Thesestatements are only predictions and actual events or results may differmaterially. PIK does not intend to or undertake any obligation to update thesestatements to reflect events and circumstances occurring after the date hereofor to reflect the occurrence of unanticipated events. Many factors could causethe actual results to differ materially from those contained in PIK'sprojections or forward-looking statements, including, among others, generaleconomic conditions, PIK's competitive environment, risks associated withoperating in Russia, rapid technological and market change, and other factorsspecifically related to PIK and its operations. This information is provided by RNS The company news service from the London Stock Exchange