Summary of restatements for Fiscal 2001 and Fiscal 2000
00 Ahold ANNUAL REPORT 2002 29
BOARD GOVERNANCE HIGHLIGHTS OPERATING REVIEW FINANCIAL INVESTOR REL AT IONS
The following table summarizes the effects (based on the application of Dutch GAAP) of
the corrections of errors and
changes in accounting principles for fiscal 2001 and fiscal 2000. Restatements of EUR
26 million relating to periods
prior to fiscal 2000 were recorded in opening retained earnings as of January 1, 2000.
(in EUR millions)
Fiscal 2001
Fiscal 2000
Net income under Dutch GAAP as previously reported
1,113
1,116
Correction of errors:
Deconsolidation of joint ventures
Adjustment resulting from deconsolidation
(5)
(10)
Vendor allowances
(215)
(103)
Acquisition accounting
(36)
(8)
Reserves, allowances and provisions
(33)
(38)
Real estate transactions
2
(26)
Other
(53)
(21)
Change in accounting principles (1):
Pensions
16
11
Revaluations
(4)
(1)
Restructuring provisions
(35)
Net income under Dutch GAAP as restated
750
920
(1) For a discussion of changes in accounting principles, please see Note 2 to our financial statements.
The effect of the corrections of errors and changes in accounting principles on shareholders' equity as of December 30,
2001 is as follows:
(in EUR millions)
As of December 30, 2001
Shareholders' equity under Dutch GAAP as previously reported
5,892
Correction of errors:
Deconsolidation of joint ventures
Adjustment resulting from deconsolidation
4
Vendor allowances
(418)
Acquisition accounting
71
Reserves, allowances and provisions
(105)
Real estate transactions
(44)
Other
30
Change in accounting principles (1):
Pensions
78
Revaluations
(22)
Restructuring provisions
10
Shareholders' equity under Dutch GAAP as restated
5,496
(1) For a discussion of changes in accounting principles, please see Note 2 to our financial statements.
Deconsolidation of joint ventures
Prior to fiscal 2002, we consolidated our joint venture interests in ICA, DAIH, Bomprego and Paiz Ahold (the "Joint
Ventures") based upon certain letters among the shareholders of each of the Joint Ventures that seemingly gave control
over the Joint Ventures to us. We subsequently determined that side letters had been executed by the shareholders of each
of the Joint Ventures that nullified the effects of these control letters. As a result, management concluded that we did not
control these Joint Ventures. Additionally, prior to fiscal 2002, we had consolidated JMR. In light of the evaluation of the
accounting for the Joint Ventures, we reconsidered our accounting for JMR and concluded that we had significant influence,
but not control, over JMR. We concluded that consolidation of the Joint Ventures and JMR was inappropriate under
Dutch GAAP and US GAAP, since we did not control them.
