X5 OPENS 10,000th STORE IN RUSSIA

X5 OPENS 10,000th STORE IN RUSSIA

Moscow, 14 April 2017 - X5 Retail Group N.V. ('X5' or the 'Company'), a leading Russian food retailer (LSE ticker: "FIVE"), announces the opening of its 10,000th store. The milestone facility is a Perekrestok store in Moscow. Nine other locations, this time Pyaterochka stores, were opened concurrently in Arkhangelsk, Kirov, Togliatti, Saratov, Yugorsk, Almetievsk, Yekaterinburg, Lysva, and Novosibirsk.

Igor Shekhterman, X5 CEO, said:

"Today's concurrent opening of 10 stores, including X5's 10,000th location, marks yet another confident step towards our strategic goal of capturing a 15% market by the end of 2020."

Boasting a selling space of over 1,200 sq m and a product offering of 12,000 SKUs, the store is fully in line with the new Perekrestok concept already launched in over a half of the chain's supermarkets. Nine checkout lanes and 49 employees provide for a convenient shopping experience.

The opening of X5's 10,000th location was marked by the start of Going East, an all-terrain expedition organised by the Russian Geographical Society, with food supplies provided by X5. Russian SHERP vehicles started out on a 10,000-kilometre trek from a new Pyaterochka store in Arkhangelsk across Russia's North: the Arkhangelsk region, Nenets and Yamal-Nenets autonomous areas, Krasnoyarsk region, Yakutia, Magadan region, and Kamchatka. The mission of Going East is to establish shared infrastructure for the entire country and development of remote areas.

Note to Editors:

X5 Retail Group N.V. (LSE: FIVE, Fitch - 'BB', Moody's - 'Ba2', S&P - 'BB') 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, the hypermarket chain under the Karusel brand and Express convenience stores under various brands.

As of 31 December 2016, X5 had 9,187 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 8,363 Pyaterochka proximity stores, 539 Perekrestok supermarkets, 91 Karusel hypermarkets and 194 convenience stores. The Company operates 35 DCs and 2,318 Company-owned trucks across the Russian Federation.

For the full year 2016, revenue totalled RUB 1,033,667 mln (USD 15,420 mln), Adjusted EBITDA reached RUB 79,519 mln (USD 1,186 mln), and net profit for the period amounted to RUB 22,291 mln (USD 333 mln).

X5's Shareholder structure is as follows: Alfa Group - 47.86%, Intertrust Trustees Ltd (Axon Trust) - 11.43%, X5 Directors - 0.06%, treasury shares - 0.01%, Shareholders with less than 3% - 40.63%.

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.