Ramstore II

completed

This project involves the construction and operation of a third hypermarket Ramstore and mall with sales area of 6,910 m2 and a mall lease area of 9,480 m2 plus three neighboring stores. The new Ramstore will be located in Moscow’s Kashirsky district. Ramstore is a retail grocery store, and shopping mall project in Moscow, operated by a joint venture between Migros and Ram of the Koch Group and Entrade and Enka, a construction company, each company being based in Turkey. In October 1998, IFC extended a loan to help finance the construction of 3 “Ramstore” hypermarkets in Moscow. With two hypermarkets complete, the Company has now decided to accelerate construction of the third hypermarket. As a result the Company is seeking a new IFC loan instead of relying on future internal cash generation as originally planned. At the conclusion of the project the Company will own and operate three hypermarkets with integrated malls and five supermarkets in surburban Moscow under the name “Ramstore.”