Title: Quarter 3 2003 results
1 2Q3 2003 Highlights
excl. impairment amortization of goodwill and
exceptional losses
3Q3 YTD 2003 Highlights
excl. impairment amortization of goodwill and
exceptional losses
4Exceptional losses Q3 2003
- In total Euro 110 mln, related to divestments
- (Chile, Paraguay, Indonesia and Malaysia)
- Euro 70 mln recognition of accumulated foreign
currency translations - Euro 36 mln reversal of goodwill
- previously charged to shareholders equity, in
accordance to Dutch GAAP - non cash, no impact on total shareholders equity
5Business overview
6US Retail
7Highlights US Retail
- Total Sales growth of 3.3
- Comparable sales growth of 1.1
- Identical sales growth of 0.3
- Competitive environment
- Margins under pressure
- Operating company integration well underway
8US Foodservice
9Highlights U.S. Foodservice
- 2 sales growth by acquisitions 2002
- street sales / contract sales 50/50
- lower gross margin as result of raised vendor
prices - increased operational costs, partly exceptionals
- new management being installed
10Europe
11Highlights Europe
- Albert Heijn repositioning as per 20 Oct.
- Schuitema excellent performance
- Spain sales growth mainland offset by decline in
tourism Canarias - Central Europe challenging markets, especially
hypermarkets - Scandinavia and Portugal according to
expectations
12Liquidity
13Cashflow
14Investment in tangible fixed assets
15Net Debt
16Outlook full year 2003
17Outlook full year 2003
- Net sales 2003 slightly higher than 2002 (excl.
impact currency exchange rates) - Operating expenses significantly higher (excl.
impact currency exchange rates,
goodwill-impairments, -amortizations and
exceptional losses) - Net financial expenses above 2002 levels (excl.
impact currency exchange rates) - Positive net income full year 2003 (excl. any
goodwill impairment Q4 2003 and exceptional
losses with respect of divestments) - No triggering event for impairments yet
- Divesting Argentina, Brazil and Peru may result
in very significant reclassifications of equity
18Expected exceptional losses Q4 2003 or Fiscal
2004
- Due to expected divestment and sale of Argentina,
Brazil and Peru - previously charged to shareholders equity, in
accordance to Dutch GAAP - Approx. Euro 466 mln recognition of accumulated
foreign currency translations - Approx. Euro 335 mln reversal of goodwill
- non cash, no impact on total shareholders equity
as calculated per end Q3 2003
19Rights Issue
20 3.0bn Underwritten Rights Issue
- Your approval for a number of resolutions at
today s meeting is required to launch the
transaction - Transaction terms
- Underwritten 3 for 2 rights issue at an issue
price of 4.83 - 621mln new common shares to be issued to raise
3.0bn - Record date after close of trading today
subscription starts tomorrow - Rights will trade on Euronext Amsterdam as of
tomorrow - Public offering in The Netherlands and a private
placement to certain institutional investors
elsewhere - Offering not registered under US securities law
- Concurrent offering of up to 172.9m Cum. Pref.
Fin. shares
21Disclaimer
22The presentation and the materials constituting
it contain certain statements that are neither
reported financial results nor other historical
information. These statements are
forward-looking statements within the meaning of
the U.S. federal securities laws. Those
statements include, but are not limited to,
statements relating to Aholds future
profitability, expectations as to the amount of
possible reclassifications, possible reversal of
goodwill charges and possible exceptional losses,
expectations as to increases in net sales and
operating expenses and estimations of the factors
that will cause such expected increases,
statements as to the expected impact of completed
and future divestments and statements as to the
timing of changes in Aholds Dutch and US GAAP
reporting. Many of these risks and uncertainties
relate to factors that are beyond Aholds ability
to control or estimate precisely, such as the
effect of general economic conditions, increases
in competition in the markets in which Aholds
subsidiaries and joint ventures operate,
fluctuations in exchange rates, the financial
consolidation certain of Aholds subsidiaries and
joint ventures, the ability of Ahold to implement
successfully its strategy, difficulties in
complying with new accountancy pronouncements and
other factors discussed in Aholds public
filings. These and other risk factors are
detailed in Aholds publicly filed reports.
Readers are cautioned not to place undue reliance
on these forward-looking statements, which speak
only as of the date of the materials constituting
this presentation. Ahold does not undertake any
obligation to publicly release any revisions to
these forward-looking statements to reflect
events or circumstances after the date of the
materials of this presentation, except as may be
required by applicable securities laws. The
material set forth herein is for informational
purposes only and is not intended, and should not
be construed, as an offer to sell, or as a
solicitation of an offer to purchase, any
securities. The securities of the company
described herein have not been and will not be
registered under the U.S. Securities Act of 1933,
as amended (the Securities Act), or the laws of
any state, and may not be offered or sold within
the United States, except pursuant to an
exemption from, or in a transaction not subject
to, the registration requirements of the
Securities Act and applicable state laws. The
information contained in this communication does
not constitute an offer of securities to the
public in the United Kingdom within the meaning
of the Public Offers of Securities Regulations
1995. No prospectus offering securities to the
public will be published in the United Kingdom.
Persons receiving this communication in the
United Kingdom should not rely on it or act on it
in any way. This presentation does not
constitute an offer of rights or shares for sale
or a solicitation of an offer to purchase rights
or shares in Germany and is for information
purposes only. Readers of this presentation are
requested to inform themselves about and to
observe any such restrictions. No public offering
of the rights or shares is being conducted in
Germany. Any offer or sale of rights or shares in
Germany may only be made in compliance with the
German Securities Prospectus Act
(Wertpapier-Verkaufsprospektgesetz). No sales
prospectus (Verkaufsprospekt) under the German
Securities Sales Prospectus Act has been, or will
be, published with respect to the rights or
the shares. The rights issue may be restricted
in certain countries and such restrictions, if
any, will be included in the prospectus.
23APPENDIX
24Ahold
25Q3 2003 Highlights EBITA
26Q3 year-to-date 2003 Highlights
27Q3 2003 Highlights
28Balance Sheet
29Breakdown Rolling NWC Days
30Breakdown NWC Days
31Rolling NWC Days per Region
32NWC Days per Region
33Rolling Inventory Days
34Rolling Acc. Pay. Merch. Days
35Rolling Trade Acc. Rec. Days