Pyaterochka opens first stores in Irkutsk region

Irkutsk, 12 November 2021 – X5 Retail Group N.V. ("X5" or the "Company", LSE and MOEX ticker: FIVE), a leading Russian food retailer that operates the Pyaterochka, Perekrestok and Karusel retail chains, announces that its Pyaterochka proximity store chain has launched operations in the Irkutsk region, expanding the Company's footprint to 67 regions of the Russian Federation.

Eight Pyaterochka stores were opened today in the Irkutsk region: three in the capital city, plus two each in Usolye-Sibirskoye and Angarsk, as well as one in Shelekhov. The new stores have a total selling space of 2,731 sq m, with each offering an assortment of some 5,500–7,000 SKUs. Siberian companies account for about 30% of the product range, with their share reaching as high as 85% in dairy and close to 100% in poultry and eggs.

All of the newly opened stores operate under Pyaterochka's new concept, which reflects its core values: fresh and high-quality products at low prices, convenient shopping, and care for local communities.

The new store concept has a special focus on fresh products: this category accounts for over 40% of the assortment, with fruits, vegetables, and some of the perishable items displayed in a large "fresh arena". Shoppers can choose from a wide selection of food-to-go and ready-to-eat products. An in-house bakery in the middle of the store offers up to 60 varieties of bread and pastries that are freshly baked several times a day.

The selling space layout and navigation aim to make the shopping experience comfortable, taking into account key customer needs and shopping goals. For instance, one can quickly pick up ready-to-eat foods that are conveniently located near the entrance, eliminating the need to roam around the store. By contrast, goods for stock-up shopping are placed along the perimeter of the shopping space in related groups.

The stores boast a number of advanced solutions, including energy-efficient refrigeration equipment and self-service checkouts. The latter reduce the load on cashiers during peak hours and enable contactless payments, which has become an important feature during the pandemic.

"Pyaterochka continues its eastward expansion, and we are happy to offer customers in Irkutsk our key advantages: proximity, comfort, and fresh and high-quality products at low prices. To ensure the high quality of our goods, we have partnered with local producers, whose offering is well known and appreciated in the region. We set a new standard in food retail and work continuously to earn the trust of all our customers," said Sergei Goncharov, General Director of Pyaterochka.

Pyaterochka cares about the safety and well-being of local communities. All of the chain's stores have Safety Zones, which are special areas marked with an orange geolocation sign to serve as a landmark for lost people. In the store, a lost person can either ask any employee for help or wait for assistance in the designated area. Safety Zones is a joint project with the Lisa Alert search and rescue team and the Centre to Search for Missing People. As part of X5 Group's Sustainable Development Strategy, Pyaterochka promotes responsible consumption and sustainability, offering customers reusable bags and fruit and vegetable sacks. On top of that, lamp shades and shopping baskets in Pyaterochka stores are made from recycled plastics.

The newly opened Pyaterochka stores employ over 120 people. Nine more stores are slated to open in the region by the end of the year.​​​​

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