25 April 2016

Standard and Poor’s revises outlook on X5 to positive

Moscow, 25 April 2016

X5 Retail Group N.V. ("X5" or "the Company"), a leading Russian food retailer (LSE ticker: “FIVE”), announces that the Standard and Poor’s rating agency ("S&P") revised its outlooks on both X5 and its subsidiary X5 Finance to positive from stable. The “BB-" long-term corporate credit ratings on both companies were affirmed. S&P also affirmed its "BB-" rating on X5 Finance’s senior unsecured ruble bond.

In the report, S&P noted that X5’s operations continued to improve in 2015, despite difficult economic conditions, and S&P expects the Company’s credit metrics to strengthen further. The positive outlook reflects the possibility of an upgrade if X5 further improves its operating performance and credit metrics, while adhering to a prudent financial policy.