KAMENSKAYA & PARTNERS Law Firm Presentation

1. Tatiana KamenskayaManaging Partner,Kamenskaya & Partners Law Firm,Member of the General Council,Non-commercial Partnership“Support of Competition in the CIS” «Joint Regulation of Retail Trade in the Markets of the CIS Member States» Fifth CIS Local Counsel Forum, Minsk, Crowne Plaza Hotel 23-25 June, 2010 KAMENSKAYA & PARTNERS Law FirmPresentation June 25, 2010

2. Ranking-2010: Top-20 states by retail trade globalization Market Review by CB Richard Ellis Global Retail Report Tracks Shifts in Global Retail Market KAMENSKAYA & PARTNERS Law FirmPresentation 2 June 25, 2010

3. Compared to 2009,Russia stepped one point down from 12th to 11th place (with 41% global retailers currently present). Other CIS states are not found among the listed top-20 countries KAMENSKAYA & PARTNERS Law FirmPresentation 3 June 25, 2010

4. Moscow climbs up chasing London and Paris In the city rating, Moscow climbed up two steps in 2010 (from 10th to 8th position) with 40% of global retailers operating in the Russian capital. Moscow is one of the three most attractive cities in Europe yielding only to London (56% of global retailers) and Paris (46%) KAMENSKAYA & PARTNERS Law FirmPresentation 4 June 25, 2010

5. Russian retailers break into world’s top 250, according to Deloitte study • Dr. Ira Kalish, Deloitte Research’s Consumer Business Director: “This is an exciting time for global retailing. • “There is evidence of consolidation and modernization in emerging markets that we expect to continue in the coming years. • “Traditionally, foreign retailers have dominated in markets such as Russia and China, but the strategies behind the emergence of these new stores reflect a growing maturity among emerging market businesses.” KAMENSKAYA & PARTNERS Law FirmPresentation 5 June 25, 2010

6. CIS Retail Chains: expansion is coming… Russian retailers expand across CIS KAMENSKAYA & PARTNERS Law FirmPresentation 6 June 25, 2010

7. Common Economic Space: Russia, Belarus and Kazakhstan • Igor Shuvalov, Russian First Deputy Prime Minister: “Russia is still characterized by very strong monopolies, such as Russian Railways, Gazprom, and pipeline companies. The country's economy is suffering not from the mere existence of monopolies, however, but from a lack of competition.” • Shuvalov noted that the federal and regional programs on the development of competition were currently being drafted. • First Deputy PM stressed that Russia was poised to make its antitrust legislation and competition policy consistent with that of European countries in light of the creation of the common economic space of Russia, Belarus and Kazakhstan. KAMENSKAYA & PARTNERS Law FirmPresentation 7 June 25, 2010

8. Interstate Council for Antimonopoly Policy (ICAP) • ICAP was established in 1993 with the purpose of coordination of the CIS Countries' activity on creation of legal and organizational foundations for prevention, limitation and suppression of monopolistic practices and unfair competition • The Treaty defines the objectives of the antimonopoly authorities on the ensuring of close cooperation in the field of competition policy and sets forth the most important definitions as well as the general rules of competition related to: • - abuse of dominant position; • - integration of economic entities; • - restrictive agreements; • - unfair competition. KAMENSKAYA & PARTNERS Law FirmPresentation 8 June 25, 2010

9. Interstate Council for Antimonopoly Policy (ICAP) • ICAP currently incorporates includes representatives of 11 CIS Member States: • Azerbaijan, Armenia, Belarus, Georgia, Kazakhstan, Kirghizstan, Moldova, Russia, Tajikistan, Uzbekistan and Ukraine. • The sessions of the Council are regularly held twice a year KAMENSKAYA & PARTNERS Law FirmPresentation 9 June 25, 2010

10. ICAP: development milestones • 2000-2003 –the Treaty ratified by all the ICAP member states (Georgia withdrew from the CIS in 2009 but remained part of the Treaty) • 2006 – Joint Antitrust Investigation Headquarters (JAIH) founded by the CIS member states • 2009 – JAIH was reinforced by two additional divisions: • -CIS retail markets investigations division • - CIS pharmaceuticals markets investigations division June 25, 2010 10

11. ICAP: Key aspects of interaction between the member-states • Requests for information related to business activities of legal entities undergoing investigation • Consultations aimed at minimizing chances of potential conflicts and maximizing mutually acceptable solution opportunities • Notifications about initiated investigations(sent to antitrust authorities of involved states) • Evaluating opportunities to apply national legislative acts to investigated cases • Providing updates on cases in progress in the ICAP member-sates 11 June 25, 2010

12. European approach • In Poland and Germany retailers are banned by the government from working on weekends. • In France retail trade is regulated by a special law known as Le Loi Galland (1997) that has limited the size of stores opening in small towns to support small vendors. • In the UK the final version of the Retail Code was adopted 1n 2009 to introduce regulations applied to retailers with annual sales over 1 billion pounds KAMENSKAYA & PARTNERS Law FirmPresentation 12 June 25, 2010

13. Despite serious challenges such as: • Ongoing recession, • Unstable capital markets • Growing energy costs and excessive regulatory measures • Unfair competition-- -- 76 percent of Russian top managers strongly believe that their businesses will deliver increased revenues quite shortly. KAMENSKAYA & PARTNERS Law FirmPresentation 13 June 25, 2010

14. Contacts: 1-a Semenovskaya Sq, Sokolinaya Gora Business Centre, Moscow, 107023, Russian Federation Telephone: +7 (495) 72-939-72 Fax: +7 (495) 620-49-72 URL: www. kplf.net URL: www. kplc.ru E-mail: kplc@kplf.net June 24, 2010 KAMENSKAYA & PARTNERS Law Firm Presentation 14