Ahold 2003 first quarter sales

5/16/2003, 8:29 AM (Source: GlobeNewswire)
-Sales of joint ventures are excluded due to reporting according to the equity accounting method -1Q 2002 sales numbers have been restated -Consolidated 1Q 2003 sales amounted to Euro 17.4 billion, a decline of 11.3% compared to the same period last year -Sales are significantly impacted by lower currency exchange rates; sales excluding currency impact increased by 4.6% -Organic sales growth, excluding currency impact, amounted to 2.7%

Zaandam, The Netherlands, May 16, 2003 - Ahold today announced
consolidated sales (excluding VAT) for the first quarter of the year
(16 weeks through April 20, 2003) of Euro 17.4 billion, a decline of
11.3% compared to the Euro 19.6 billion generated in the 2002 first
quarter (16 weeks). In a difficult trading environment, sales
excluding currency impact increased by 4.6% and organic sales growth
excluding currency impact amounted to 2.7%. All numbers exclude sales
of joint ventures and are, as usual, unaudited.

Ahold USA - retail
In the United States, retail sales increased by 4.8% to USD 8.3
billion (2002: USD 7.9 billion). Organic sales growth also amounted
to 4.8%. Comparable sales growth amounted to 2.4% and identical sales
growth amounted to 1.5%.

Ahold USA - foodservice
Foodservice sales in the United States declined by 1.5% to USD 5.3
billion (2002: USD 5.4 billion). Organic sales growth also amounted
to -1.5%.

Europe
In Europe (The Netherlands, Spain and Central Europe), sales rose
2.6% to Euro 4.1 billion (2002: Euro 4.0 billion). Organic sales
growth, excluding currency impact, amounted to 2.7%.

South America
In South America (Brazil, Argentina, Chile, Peru and Paraguay), sales
amounted to Euro 580 million (2002: Euro 407 million), up 42.7% from
last year mainly due to the acquisition of the remaining shares in
Disco Ahold International Holdings. Organic sales growth, excluding
currency impact, amounted to 12.1%.

Asia
In Asia (Thailand, Malaysia, Indonesia), sales declined 10.0% to Euro
109 million (2002: Euro 120 million). Organic sales growth, excluding
currency impact, amounted to 7.6%.

Accounting for joint ventures
All current and previous joint ventures will be accounted for using
equity accounting instead of proportionate consolidation as announced
in February of this year. As a consequence, the income from these
joint ventures will be accounted for as income from unconsolidated
subsidiaries. Previously, these joint ventures were fully
consolidated in Ahold's financial statements with the minority share
in earnings and equity then deducted. The main reason for the change
from proportionate consolidation to equity accounting is to be better
aligned with especially US GAAP and to a lesser extent International
Accounting Standards.

This accounting change applies to ICA Ahold in Scandinavia and
Jerónimo Martins in Portugal in the 2003 and 2002 first quarters and
Disco Ahold International Holdings (which became 100% owned by Ahold
in July 2002) in the 2002 first quarter.

Historical financial statements also will be restated to reflect this
accounting change for these three joint ventures, as well as for
Bompreço in Brazil and Paiz Ahold in Central America for the periods
in which they were 50% owned by Ahold.

Ahold Corporate Communications: +31 75 659 5720

Set forth below are the unaudited sales figures for fiscal years 2002
and 2001 restated to account for Ahold's joint ventures on an equity
basis. These figures, as well as those for the first quarters 2003
and 2002 contained above, do not include any other adjustments
resulting from investigations currently underway at Ahold as
announced previously.

Definitions
* Organic sales development:
[Sales year n] divided by [Sales year (n-1)(i) Ahold base + sales
year (n-1)(i) of acquired companies(ii)]
(i) Adjusted for currency impact.
(ii) Applies to acquisitions dating back less than one year and to
the extent that the sales of the acquired company represent > 5% of
the sales of the acquiring entity, or that the acquisition is an
entry into a new business channel or market area.
* Identical sales compare sales from exactly the same stores.
* Comparable sales are identical sales plus sales from replacement
stores.
* Currency impact: the impact of using different exchange rates to
translate the financial figures of our subsidiaries to Euros. The
financial figures of the previous year are restated using the
actual exchange rates in order to eliminate this currency impact.
View document
----------------------------------------------

Certain statements in this press release are "forward-looking
statements" within the meaning of U.S. federal securities laws. Ahold
intends that these statements be covered by the safe harbors created
under these laws. These forward-looking statements are subject to
risks, uncertainties and other factors that could cause actual
results to differ materially from future results expressed or implied
by the forward-looking statements. There are important factors that
could cause actual results to differ materially from the information
set forth in these forward-looking statements. Many of these factors
are beyond Ahold's ability to control or predict. Given these
uncertainties, readers are cautioned not to place undue reliance on
the forward-looking statements, which only speak as of the date of
this press release. Ahold does not undertake any obligation to
release publicly any revisions to these forward-looking statements to
reflect events or circumstances after the date of this press release
or to reflect the occurrence of unanticipated events, except as may
be required under applicable securities laws.
----------------------------------------------
Copyright GlobeNewswire, Inc. 2016. All rights reserved.
You can register yourself on the website to receive press releases directly via e-mail to your own e-mail account.