X5 Retail Group announces cooperation agreement between Pyaterochka and mobile phone retailer Euroset

Moscow, 2015-10-30 — /EPR Retail News/ — X5 Retail Group, a leading Russian food retailer, announces the signing of a cooperation agreement between Pyaterochka and mobile phone retailer Euroset. The agreement involves the opening of 150 small-format Euroset outlets in Pyaterochka stores by late 2015, with 40 to be launched in Moscow and the Moscow region, 20 in St. Petersburg, and the rest in other regions where Pyaterochka operates.

Euroset outlets of up to 10 sq m each will be located near Pyaterochka’s checkout area and will enjoy a single rental rate regardless of the outlet size or the region of operations.

Euroset has developed an improved outlet concept with an optimised product offering and a stronger service awareness focus to best match the needs of Pyaterochka customers. The outlets’ main services will include SIM card sales, money transfers, utility, TV and internet bill payments, loan payments, as well as airline, rail and bus ticket sales.

This agreement with Pyaterochka will provide Euroset with a vast distribution network and access to its target audience, while also creating the opportunity for it to scale up its business in line with the growth Pyaterochka’s national food retail chain. Taking advantage of the complementary value propositions of Pyaterochka and Euroset, this partnership will boost traffic thanks to additional services available to customers.

Such cooperation agreements are part of Pyaterochka’s strategy for developing partnerships in high-value additional services segments, which, in addition to mobile phone stores, also include pharmacies, repairs and everyday service kiosks, children’s stores, bakeries and more. The main purpose of sublease agreements is to create a comprehensive product and service offering tailored to customers’ needs at each location. In line with this initiative, Pyaterochka is working to build a strong pool of major partners that provide high-quality, specialised goods or services.

Note to Editors:

X5 Retail Group N.V. (LSE: FIVE, Fitch – ‘BB’, Moody’s – ‘Ba3’, 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 30 September 2015, X5 had 6,512 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 5,795 Pyaterochka proximity stores, 451 Perekrestok supermarkets, 84 Karusel hypermarkets and 182 convenience stores. The Company operates 34 DCs and 1,393 Company-owned trucks across the Russian Federation.

For the full year 2014, revenue totaled RUB 633,873 mln (USD 16,498 mln), EBITDA reached RUB 45,860 mln (USD 1,194 mln), and profit for the period amounted to RUB 12,691 mln (USD 330 mln). In 9M 2015, revenue totaled RUB 578,701 mln (USD 9,763 mln), EBITDA reached RUB 41,780 mln (USD 705 mln), and net income amounted to RUB 12,084 mln (USD 204 mln).

X5’s Shareholder structure is as follows: Alfa Group – 47.86%, founders of Pyaterochka – 14.43%, X5 Directors – 0.05%, treasury shares – 0.02%, free float – 37.64%.

For further details please contact:
Maxim Novikov
Head of Investor Relations
Tel.: +7 (495) 502-9783
e-mail: Maxim.Novikov@x5.ru

The Carphone Warehouse Launches Phone Trade-In Service

The Carphone Warehouse has announced the launch of its exclusive ‘Trade-In Calculator’ service which allows customers to exchange their old mobile phones for cash when either upgrading to a new handset, buying a new pay as you go handset, or taking out a new contract.

For the first time, customers will be able to instantly find out the true value of their old mobile phones and receive cash in-store at one of over 800 stores nationwide. The model of the old mobile is simply inputted into the ‘Trade-In Calculator’ operated by sales advisors, which instantly generates an exchangeable figure of up to £200, dependent on the model of the phone. This amount can then be directly redeemed by customers, or offset against the cost of the upgraded handset and contract. The mobile phone trade in service is also available online through The Carphone Warehouse site.

Being the first major high street retailer to offer such a scheme, The Carphone Warehouse can reveal that two million people in the UK are due a mobile phone upgrade, but are yet to take full advantage of receiving a new phone. Consequently, an astonishing £10,000,000 of potential cash is going unclaimed by customers – money that could make a noticeable difference to the bank balance amidst the current financial climate.

Utilising the ‘Trade-In Calculator’ takes the guesswork out of revealing how much an old handset could be worth. The service works by checking the value of every handset to make sure customers get as much as possible for their old phone. For instance, a high-end handset such as the Nokia Arte would equate to a huge £200 cashback, while more popular handsets from last year such as the Nokia N95 or Sony Ericsson K850i would still generate customers a valuable £115 and £45 respectively.

Andrew Harrison, UK CEO at The Carphone Warehouse said; “Customers are increasingly looking for the best deal when upgrading their mobile phone contract. It’s easy to forget the value of your old phone and many end up in drawers gathering dust. Our ‘Trade-In Calculator’ takes the guesswork out of the true value when trade in your old phone and gives an instant cash ‘thank you’ to loyal and new customers.”

About The Carphone Warehouse
The Carphone Warehouse is the largest independent mobile phone retailer in the UK, with over 820 stores nationwide.

Via EPR Network
More
Retail press releases