X5 Retail Group N.V. acts as a holding company for the group of companies that operate retail grocery stores. The Company, together with its subsidiaries, is engaged in the development and operation of grocery retail stores. As at December 31, 2008, the Company operated a retail chain of softdiscount, supermarket and hypermarket stores under the brand names Pyaterochka, Perekrestok and Karusel, in Russia, including, but not limited to Moscow, St. Petersburg, Nizhniy Novgorod, Krasnodar, Kazan, Samara, Lipetsk, Chelyabinsk, Perm, Ekaterinburg and Kiev. As at December 31, 2008, the Company operated a total of 207 supermarkets, 848 discounter stores, and 46 hypermarkets. In addition as at December 31, 2008, its franchisees operated 607 stores across Russia. In March 2008, the Company acquired Kama-Retail Company. In June 2008, the Company acquired Formata Holding B.V.