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MAN awarded big contract from Russia

Master agreement for 1,700 heavy TGS trucks signed with Tander

MAN Nutzfahrzeuge and its sales subsidiary MAN Avtomobili Rossiya (MAR) have been awarded a major contract for a total of 1,700 trucks from the TGS range. A master agreement on this has been signed by MAR and Tander, the management company of the MAGNIT retail chain, one of the largest food retailers in Russia. “We are delighted to be working with MAGNIT as a leading Russian retailer and are committed to extending not only the fleet, but also our transport solutions in close cooperation with Tander,” stated Lars Himmer, CEO of MAN Avtomobili Rossiya (MAR) and responsible for the MAN truck and bus business in the sales region Russia / CIS.

The first 620 vehicles, with a value of some 60 million euros, will be delivered from February 2011 on. Around 290 MAN TGS 26.350 6x2 BL-WW trucks will be used in deliveries to the supermarket chain throughout Russia. 330 TGS 18.360 4x2 BLS trucks are intended for MAGNIT's national logistics and for international goods transport between Russia and Europe. The remaining 1,080 vehicles are to be delivered to the customer in the course of 2011.

Mr. Sergey Galitsky, largest shareholder and CEO of MAGNIT Group said: “I am happy to have signed this contract with MAN, as we are very optimistic about the continued success and growth of our MAGNIT retail network. We have been working with MAN since 2005 and consider MAN our strategic and long-term partner.” With this order, MAN continues to supply the great majority of the MAGNIT fleet.

Russia is a growth market and for MAN, as a leading Western European truck importer, of great strategic importance. This is also underlined by its intention to invest in a truck production facility in Russia. At present, several possible production locations are being examined; a decision is to be made in spring 2011. In the last few years MAN has already extended its network in Russia to 45 service outlets and is thus represented at the locations most important to customers.

“Russia is an important part of our internationalisation strategy with its special focus on the BRIC countries, and we are confident of being able to continue our development based on strong market leadership among Western brands,” stated Dr. Frank Hiller, Director for Marketing, Sales & Services of MAN Nutzfahrzeuge.

About MAN Avtomobili Rossiya

MAN Avtomobili Rossiya, a wholly-owned subsidiary of MAN Nutzfahrzeuge AG, runs a total of four sales centres and 45 service outlets in Russia/CIS with approximately 390 employees. By the end of 2010 MAN will have sold over 3,800 vehicles in the CIS region.

About Tander / MAGNIT

Tander is the management company of the MAGNIT Group, Russia's largest food retailer in terms of outlets and the second largest in terms of sales.