Robust sales growth of 39.0% and LFL of 14.1% with selling space increased by 37.2%
St-Petersburg, Russia; 15 July, 2014 – Lenta Ltd, (LSE, MOEX: LNTA / “Lenta” or the “Company”) one of the largest retail chains in Russia, is pleased to announce the Company’s consolidated sales and operating results for the second quarter ended 30 June 2014¹.

2Q 2014 Operating Highlights:

• Total sales grew 39.0% in 2Q 2014 to Rub 46.3bn (2Q 2013: Rub 33.3bn);
• Like-for-like (“LFL”)² sales growth of 14.1% vs. 2Q 2013;
• LFL traffic growth of 6.1% combined with a 7.6% increase in LFL average ticket;
• Three hypermarkets and four supermarkets opened during the second quarter of 2014;
• Total of 96 stores as at 30 June 2014, comprising 82 hypermarkets and 14 supermarkets;
• Total selling space increased to 543,800 sq.m. as at 30 June 2014 (+37.2% vs. 30 June 2013);
• Active loyalty cardholders³ increased to 5.7m (+37% y-o-y) with approximately 90% of transactions in the second quarter made using the loyalty card.
• 4.1% increase in average hypermarket ticket to Rub 1,095 (2Q 2013: Rub 1,052)

1H 2014 Operating Highlights:

• Total sales grew 38.3% in 1H 2014 to Rub 85.9bn (1H 2013: Rub 62.1bn);
• LFL sales growth of 13.8% vs. 1H 2013;
• LFL traffic growth of 6.1% combined with a 7.3% increase in LFL average ticket;
• Five hypermarkets and four supermarkets opened during the first half of 2014.

Lenta’s Chief Executive Officer, Jan Dunning commented:

“Lenta continued to successfully implement its strategy for growth during the second quarter of 2014. Total sales growth accelerated to 39%, through a combination of 14% like-for-like growth and a 37% year-on-year increase in selling space. More and more customers are recognising the improvements we are making to our offer - in product assortment, pricing, promotions and the targeted use of our unique loyalty programme - and this was reflected in both like-for-like traffic growth of over 6% and a 37% increase in active loyalty card holders.

Importantly, in addition to maintaining our strong trading momentum, we have continued to build Lenta’s development pipeline, including investments in our distribution and supply chain, to underpin our long-term growth ambitions. We are confident of delivering this year's programme of 24 new hypermarkets and 15 new supermarkets, adding more than 30% to our total selling space. Next year's store opening programme is also progressing well and we reconfirm our long-term target of doubling net selling space over the three years to December 2016.”

¹Numbers in the Announcement are preliminary and not reviewed or audited. Insignificant deviations in % change or totals are explained by rounding. This note applies to all tables in this Announcement
² Lenta’s stores are included in the LFL store base starting 12 months after the end of the month they are opened
³ Cardholders who made at least 2 purchases at Lenta during the 12 months to 30 June, 2014 are considered active

For further information, please visit www.lentainvestor.com, or contact:

Lenta
Anna Meleshina,
Director of Public Relations and Government Affairs
+7 812 363 28 53
Anna.Meleshina@lenta.com

Albert Avetikov,
Director of Investor Relations
+7 812 363 28 44
Albert.Avetikov@lenta.com

Instinctif Partners
International Media
Mark Walter & Tony Friend
+44 (0)20 7457 2020
Mark.Walter@instinctif.com

Russian Media
Leonid Fink
+44 (0)20 7457 2015
Leonid.Fink@instinctif.com

Anton Karpov
+7 495 660 05 91
Anton.Karpov@instinctif.com