23 Other provisions
Self insurance program
Miscellaneous
00 Ahold ANNUAL REPORT 2002 153
BOARD GOVERNANCE HIGHLIGHTS OPERATING REVIEW FINANCIAL INVESTOR REL AT IONS
Provision for
supplemental and
severance payments
Self
insurance
program
Miscellaneous Maintenance
Total
Balance as of January 2, 2000
34
256
206
61
557
Acquisitions
24
10
208
242
Interest
19
3
22
Provisions charged to income statement
21
205
32
8
266
Released to income change in estimate
(8)
(17)
(11)
(10)
(46)
Used
(15)
(168)
(99)
(7)
(289)
Exchange rate differences
(1)
17
8
24
Balance as of December 31, 2000
55
322
347
52
776
Acquisitions
86
52
138
Interest
23
2
25
Provisions charged to income statement
(2)
171
23
192
Released to income change in estimate
(1)
(51)
(52)
(104)
Used
(14)
(178)
(157)
(349)
Exchange rate differences
1
26
16
43
Reclassification
(24)
24
Balance as of December 30, 2001
15
450
256
721
Acquisitions
1
73
74
Interest
24
4
28
Provisions charged to income statement
11
366
105
482
Released to income change in estimate
(3)
(4)
(16)
(23)
Used
(9)
(391)
(101)
(501)
Exchange rate differences
(1)
(65)
(35)
(101)
Balance as of December 29, 2002
14
380
286
680
The Company is self-insured for certain losses related to general liability, commercial auto liability and workers'
compensation mainly relating to its U.S. subsidiaries. Maximum self-insurance retention, including defense costs per
occurrence, is EUR 2 for general liability, EUR 5 for commercial auto liability, and EUR 5 for workers' compensation. The
self-insurance program liability is actuarially determined, based on claims filed and an estimate of claims incurred but not
reported, and was discounted using a discount rate of 5.5% in fiscal 2002 and 6.0% in fiscal 2001.
Included in this provision is an amount of EUR 106 in fiscal 2002 (fiscal 2001: EUR 177) for unfavorable lease
contracts. Also included is a Customer Loyalty Program related in The Netherlands for an amount of EUR 64 in fiscal
2002 (fiscal 2001: EUR 46). Furthermore there is a liability of EUR 70 in fiscal 2002 (fiscal 2001: EUR 0) regarding
various claims with respect to the conversion of amounts previously payable in USD being restated into Pesos pursuant to
Argentine law.
