Statement of earnings
General
Income and expenses are recorded in the year to which they pertain.
Net sales
This represents sales to third parties, excluding value added tax and sales tax.
?°ht ilclldes the historical or manufacturing costs of the products sold, as well as the costs of purchasing, storing and transporting.
Selling expenses
This consists of costs incurred in connection with selling and promotional activities.
General and administrative expenses
This includes all other costs not included in cost of sales or selling expenses.
IncomVtaxes are calculated by applying the relevant rate to the earnings in the fiscal year and taking into account the permanent
differences between commercial and fiscal income determination.
Income from unconsolidated subsidiaries and affiliates
This represents Ahold's share in the results of the unconsolidated subsidiaries and affiliates, stated on the balance sheet at net asset value.
Dividends received or receivable with respect to the other unconsolidated subsidiaries and affiliates are also included under this hea mg.
Minority interests
This represents the share of minority interest stockholders in the net earnings of consolidated subsidiaries.
Royal Ahold Annual Report 1999 57
