The Company carries out the import as well as the wholesale and retail realization of products under the registered trade marks «Russian Galleries», «RusGal» and «the WORLD». The organization of retail trade is based on two low-cost distribution channels: mail ordering and e-commerce. At present time, 28 manufacturers from Italy, Germany, France, the USA and Canada make deliveries for the Company “Russian galleries”. All the products are bought by the Company «Russian galleries» only from manufacturers on the terms of exclusive distribution in CIS and Baltic countries. The electronic and paper catalogues of the Company contain wholesale and retail offers for 15 thousand product names by forming 4 commodity groups: clothes, footwear, ladies’ and men’s underwear, hosiery. The Company «Russian Galleries» holds a leading position in these commodity groups in all CIS and Baltic countries and acts as a first-rate operator in the distance trade segment.

Today, the Company "Russian galleries” is the exclusive brand manager of more than 30 trade marks which are well-known all over the world, including: Allure, Carrabella, Classics, Coquette, Cristina Iaia, Eros Veneziani, Extreme, Fantasy Lingerie, Faris Lingerie, Leg Avenue, Magic Silk, Male Power, Miami girls, Music Legs, Nome de Plum, Shirley of Hollywood, Zakk and many others.

The competitors of the Company "Russian Galleries” are the two European companies marketing the products by catalogues through their offices: KarstadQuelle and OTTO. The companies make delivery of products within 3-4 weeks after partial or full advance payment. Both companies market European product, the price of which is converted in euro. In this connection, the Company “Russian galleries” has acquired an advantage for the recent years, having availed itself of the fall in dollar exchange rate on the currency market: 80 % of commodity deliveries are carried out from the USA and Canada for US dollars.

The Company "Russian galleries” uses 2 German and Russian parallel automated systems of customer relationship management (CRM): Intershop 4.0 - since 2000 and 1С-Parus - since 2005. The bookkeeping and financial reporting of the Company is prepared in conformity with US GAAP and will certified by the International Auditing Company since 2006. The credit history of the Company "Russian Galleries” is positive from 2001 to 2003.

The authorized capital of the Company "Russian Galleries” amounted to 4 million rubles at the registration of the first emission in 2000. In 2006, the authorized capital is to be increased up to 10 million rubles. The second issue shares of the Company "Russian galleries” will be placed among the existing and new investors. The proceeds from the sale of shares will be allocated to regional development.

The Economist Intelligence Unit Limited 2000 Country Commerce Russia 2000 Main report
"Recent licensing agreements in Russia"
Intershop, a German software producer, sold a licence in August 2000 to RusGal.ru, a popular and quickly growing Russian horizontal portal. The licence will enable the Russian company to set up two new Internet shops and eventually create three other related Internet facilities. The deal, realised through Inter-shop's office in the United States, was the German company's first licence agreement signed in Russia. Intershop's software system is used by 60% of all Internet shops operating in Europe, Asia and North America. On the basis of the software system it purchased from Intershop, RusGal.ru has created its own Russian version of the system, fully adapted to local conditions for e-business operations.