00 Ahold ANNUAL REPORT 2002 59
BOARD GOVERNANCE HIGHLIGHTS OPERATING REVIEW FINANCIAL INVESTOR REL AT IONS
Retail trade: Latin America
At year-end fiscal 2002, we had retail trade operations through our subsidiaries in Brazil, Argentina, Peru, Paraguay and Chile.
The following table sets out, for the periods indicated, net sales and store count, for the retail trade operations of our
consolidated subsidiaries in Latin America. For additional information about our unconsolidated joint ventures and equity
investees, please see "Unconsolidated Joint Ventures and Equity Investees" below.
2002 2001 2000
Net sales Store count Net sales Store count Net sales Store count
(in eur millions) (restated) (restated)
Brazil:
Bomprego (1)
G. Barbosa (2)
Argentina:
Chile, Peru and Paraguay
Santa Isabel (4)
Total Latin America 2,1435071274110810101
(1) Consolidated beginning in the third quarter of fiscal 2000.
(2) Consolidated beginning in the first quarter of fiscal 2002.
(3) Consolidated beginning in the second quarter of fiscal 2002.
(4) Consolidated beginning in the third quarter of fiscal 2002. Our Chilean operations were divested in July 2003, and our Paraguayan operations were divested in
September 2003.
We began operating in Latin America in fiscal 1996, when we acquired Bomprego in Brazil. From fiscal 1996 to fiscal
2002, we expanded our operations in Latin America. In February 2003, we announced our intention to divest our operations
in Chile, and in April 2003, we announced our intention to divest our other South American operations in Brazil, Argentina,
Peru and Paraguay. Our progress on these divestments is discussed below.
In December 1996, we entered the Latin American market through an agreement with Bompregopar S.A. Under this
agreement, we indirectly acquired 50% of the voting shares and 50.1% of the total capital of Bomprego. Bomprego is the
leading food retailer in northeastern Brazil based on fiscal 2002 retail sales. In June 1997, Bomprego acquired SuperMar,
a regional supermarket chain in northeastern Brazil, which was subsequently renamed Bomprego Bahia S.A. ("Bomprego
Bahia"). All Bomprego Bahia stores operate under the "Bomprego" and "Hiper Bomprego" names. In July 2000, we
acquired the remaining 50% of the voting shares and an additional 10.9% of the non-voting shares of Bomprego, and in
October 2001, we acquired the remaining non-voting shares of Bomprego. In July 2001, we acquired five hypermarket
stores from Carrefour. Four of those hypermarkets were converted into compact hypermarkets, while one was converted
into a supermarket in 2001.
In January 2002, we acquired 32 hypermarkets and supermarkets, and related operational assets, from G. Barbosa. As of
the end of fiscal 2002, through our subsidiary, G. Barbosa, we operated seven hypermarkets and 25 supermarkets in the
northeastern Brazilian states of Sergipe and Bahia. The G. Barbosa stores continue to operate under their own name.
In September 2002, Bomprego acquired nine supermarkets, and related assets, from Lusitana. Lusitana operates in
Sao Luis, the capital city of Maranhao.
As of the end of fiscal 2002, through Bomprego and G. Barbosa, we operated 97 supermarkets, 54 hypermarkets and
other food retail stores. In April 2003, we announced our intention to divest our operations in South America, including
our operations in Brazil.
Argentina, Chile, Peru and Paraguay
We continued to develop our Latin American operations through DAIH, originally established as a joint venture with VRH,
in January 1998. At the time it was established, we held a 50% interest in DAIH (which was increased to 55.9% by the
end of fiscal 2001 and further increased to 100% by August 2002). At that time, DAIH owned, directly or indirectly,
36.96% of the capital stock of Santa Isabel. In addition, in January 1998, DAIH owned 50.4% of the capital stock of
1,028
257
511
347
119
32
237
119
1,274
110
810
106
