Financial statements - Notes to the consolidated financial statements
Note 37
e. Additional US GAAP disclosure
Shareholders' equity
2005 1
-
-
2005 1
-
Advertising costs
The changes in shareholders' equity accounts under US GAAP were as follows:
2004
Shareholders' equity, beginning of year
8,748
9,497
Changes in shareholders' equity during the year
Net income (loss) in accordance with US GAAP
(9)
89
Reclassification cumulative preferred financing shares
(666)1
Dividends on cumulative preferred financing shares
(44)
(44)
Common shares issued from exercise of option rights
7
10
Restricted share grants
(2)
Other comprehensive income (loss)
1,352
(116)
Other
(4)
(20)
Shareholders' equity, end of year
10,050
8,748
Share-based compensation
As part of Ahold's US GAAP significant accounting policies, the Company adopted the additional disclosure requirements
of SFAS No. 148 "Accounting for Stock-Based Compensation - Transition and Disclosure." If compensation costs for the
Company's share option plans and Performance Share Grant plan had been determined in accordance with SFAS No. 123,
US GAAP share-based compensation cost and results would have been as follows:
2004
Net income (loss), as reported under US GAAP
(9)
89
Add: share-based compensation expense included in net income, net of tax
3
Deduct: total share-based compensation expense for all awards accounted for under SFAS No.
123, net of tax
(19)
(24)
Pro forma net income (loss) under US GAAP
(28)
68
Dividend on cumulative preferred financing shares
(44)
(44)
Pro forma net income (loss) available to common shareholders under US GAAP
(72)
24
Income (loss) per common share
Basic, as reported
(0.03)
0.03
Basic, pro forma
(0.05)
0.02
Diluted, as reported
(0.03)
0.03
Diluted, pro forma
(0.05)
0.02
Weighted average number of common shares outstanding (x 1,000) for disclosure of SFAS No.
123
Basic
1,554,713
1,553,007
Diluted
1,554,713
1,553,240
Advertising costs are expensed as incurred. Advertising costs under IFRS and US GAAP, excluding discontinued operations,
totaled EUR 272 and EUR 276 in 2005 and 2004, respectively.
204
