27 May 2022

Х5’s hard discounter opens its first distribution centre

Voronezh, 27 May 2022 – X5 Group, (“X5” or the “Company”, LSE and MOEX ticker: FIVE), a leading Russian food retailer, announces the launch of the first distribution centre (DC) of its Chizhik hard discount chain. Opened in the Voronezh Region, the DC paves the way for Chizhik hard discounters to enter the regional market in Russia, with the first stores to be launched as early as June.

The facility has a total floor space of 12,000 sq m. It stands out among other DCs due to its multi-format operation: capable of storing products in various conditions, the DC enables shipping of grocery items, ultra-fresh and frozen products, as well as alcohol.

The DC currently receives shipments from over 200 partners of the retail chain. It has capacity to process up to 800 tonnes of products per day, while operation continuity will be ensured by more than 200 employees and around 45 vehicles.

Ilya Yakubson, General Director of Chizhik, commented:
“The launch of Chizhik’s first distribution centre is a milestone in the retail chain’s development. This move will ensure that Russia’s Central Black Earth Region benefits from our efficient logistics infrastructure. I am especially proud of how quickly the project was implemented, with the entire process of bringing Chizhik to Voronezh, including searching for store locations and opening the DC, taking just three months.”