The price is for the kit bundled with the 35/1 lens. Smart move. Now you'll never know how much the camera alone's gonna cost. How much does a M mount 35/1 cost? If it's a Leica lens then camera's might as well be considered free, isn't it?
Still, congrats to both: Leica gets to clear its 6-year-old inventory and KMZ's comfortable enough to claim all the "designed and made in Russia" as much as they could.
I'm pretty sure the supply will be very limited. These guys are so smart that they know it won't sell much - still, as long as they hit the 100th sale everyone's gonna be happy.