MTB Group to develop Brown Shoe in Russia, Ukraine

* Russia's MTB to open U.S group's own-brand stores

* 10 outlets to open over next two years

MOSCOW, June 8 (Reuters) - Russia's MTB Group plans to open U.S. footwear retailer Brown Shoe's (BWS.N) Naturalizer stores in Russia and Ukraine, MTB's marketing chief said on Tuesday.

MTB, which runs a 200-store Monarch footwear chain, has a distribution contract with Brown Shoe, under which it can develop the Naturalizer chain separately while also selling the U.S. firm's shoes through its own chain.

Yelena Petrova, the marketing director of MTB, said the company planned to open at least 10 Naturalizer stores within the next two years -- five in Russia and five in Ukraine.

The first stores of the St. Louis-based company, known for its Famous Footwear stores, will open in 2011, Petrova said.

Rival Collective Brands Inc (PSS.N), the holding company for Payless ShoeSource, said last year it planned to expand Payless into the Russian market in 2010 along with franchise partner M.H. Alshaya. [ID:nBNG411773]

And Steven Madden (SHOO.O) said it was looking to enter Russia along with other emerging markets. [ID:nWNAB8152] (Reporting by Maria Plis; writing by Maria Kiselyova, Editing by John Bowker and Will Waterman)