Rosinter Restaurants Announces 9M Trade Update

OREANDA-NEWS. November 02, 2009. OJSC Rosinter Restaurants Holding (Rosinter), the leading casual dining restaurants chain in Russia and CIS (RTS and MICEX ticker: ROST), announces its trade update for the 3rd quarter and the 9 months of 2009.

9 Months 2009 highlights:

•  Revenue increased 0.5%

•  SSSG (like-for-like) declined 16.7%

•  Franchise network expanded to 5 new cities and grew to 88 outlets with 14 new additions.

In the 9 months 2009 our (unaudited) consolidated revenue amounted to RUB 6,205.1 million demonstrating a 0.5% growth as compared with the 9 months 2008. Our SSSG (like-for-like) in local currency stood at -16.7% for the same period, including a 1.8% average check increase.

In 3Q 2009, our (unaudited) consolidated revenue declined 5.1% to 2,098.6 million as compared with 3Q 2008. Our SSSG (like-for-like) in local currency for the same period stood at -18.9%, including a 3.6% decline in average check.

As of 30 September 2009, we operated 340 restaurants including 252 corporate and 88 franchised outlets in 38 cities and 9 countries in Russia, CIS, Central Europe and Baltic countries. In 3rd quarter of 2009, we expanded our presence through franchise operations to one new city (Saratov). As of the end of the period, we operated 14 Costa Coffee outlets through the joint venture with Whitbread Plc.

Our total debt decreased by 0.4% (4.3% in RUB terms) to USD 68.6 million (RUB 2,064.3 mln.) as of 30 September 2009 from USD 68.9 million (RUB 2,156.0 mln.) as of 30 June 2009. Short-term debt decreased as percentage of total debt from 51.2% as of 30 June 2009 to 47.7% as of 30 September 2009. As of 30 September 2009, 82.1% and 17.9% of our total debt were denominated in Russian Rubles and foreign currency (USD  and Euro) respectively.

Sergey Beshev, CEO commented:

“In 3Q 2009 our quarterly revenues shows a positive growth trend over the two previous quarters, mainly as a combination of an increased revenue contribution from our 2008 corporate development, and the positive impact of a increased guest traffic to our restaurants especially in regions. In 4Q 2009 we continue reinforcing the positive trend in guest traffic to our corporate and to our franchised restaurants, by implementing several marketing initiatives as new menus, seasonal promotions, lunch offers and other attractive actions in all our markets targeting increased sales, visit frequency and guest loyalty”.

^[1] Unaudited

^[2] Same Store Sales Growth calculation is based on the pool of restaurants, which had operated for 18 months as of 1 January 2009.