9 Salaries and benefits
10 Remuneration
00 Ahold ANNUAL REPORT 2002 131
BOARD GOVERNANCE HIGHLIGHTS OPERATING REVIEW FINANCIAL INVESTOR REL AT IONS
After adjustment for changes in the estimated reserves EUR (5), which was recorded in operating income, and exchange
rate effects of EUR 11, the remaining restructuring reserve as of December 31, 2000 amounted to EUR 152. EUR 59 of
this restructuring provision related to USF, EUR 24 to A&P, EUR 25 to Albert Heijn, EUR 22 to Spain and EUR 22 to
U.S. Retail.
Labor cost is included in cost of sales and selling, general and administrative expenses and is as follows:
Fiscal 2002 Fiscal 2001 Fiscal 2000
Salaries and wages
6,771
6,055
4,717
Pension costs
167
116
61
Other social security charges
1,132
1,022
862
8,070
7,193
5,640
Remuneration of the Corporate Executive Board members, including former members (x eur i,ooo)
Fiscal
Fiscal
Fiscal
Total
Total
Total
2002
2002
2002
fiscal
fiscal
fiscal
Base salary
Pensions
Bonuses
2002
2001
2000
C.H. van der Hoeven (resigned from Board
effective March 10, 2003)
907
196
1,394
2,497
3,374
1,969
J.G. Andreae
670
156
1,032
1,858
2,570
1,659
W.J. Grize (appointed September 1, 2001)
943
638
2,359
3,940
419
A.M. Meurs (resigned from Board effective
March 10, 2003)
670
125
1,032
1,827
2,300
1,392
J.L. Miller (appointed September 1, 2001;
resigned from Board May 13, 2003)
943
3,970
1,516
6,429
296
A.S. Noddle (until August 31, 2002)
607
275
1,032
1,914
2,572
1,945
M.PM de Raad
670
187
1,032
1,889
1,629
R.G. Tobin (until August 31, 2001)
5,498
3,245
Total
5,410
5,547
9,397
20,354
18,658
10,210
Annual performance bonuses
The bonuses for Corporate Executive Board members through fiscal 2001 were based on annual income per share growth.
Effective fiscal 2002, the bonuses are based on improvement of Economic Value Added ("EVA"). For Dutch Corporate
Executive Board members, the target is based on EVA improvement for Ahold overall. For the U.S. Corporate Executive
Board members, the target is based on 10% EVA improvement for Ahold overall and 90% EVA improvement for their
respective U.S. areas of responsibility. The bonus for performance that meets the target is 125% of the base salary,
applicable to all Corporate Executive Board members. The bonus for 2002 will be paid in 2003, depending on the 2002
results and is not accrued for.
Pension plan
The Dutch Corporate Executive Board members currently receive a final pay plan of 60% of the pension-bearing base
salary upon reaching the age of 60, assuming a minimum of 30 pension-bearing years at Ahold have been accumulated.
These Corporate Executive Board members pay a pension premium contribution of approximately 3.4% of their pension-
bearing salary. In addition, a salary continuation plan applies to the U.S. portion of the base salary. This is free of
contribution and is also applied at the 60% level. This plan pays out following retirement.
Various plans currently apply to the U.S. Corporate Executive Board members. For one of the two U.S. Board members
serving in 2002, the aforementioned salary continuation plan is set at the level of 60% of the base salary, which was
applied retroactively since September 1, 2001. For the other U.S. Board member, the pension plan of the company, of
