Note 18
Financial statements - Notes to the consolidated financial statements
18 Investments in joint ventures and associates
The Company's stake in the outstanding common shares of significant investments in joint ventures and associates was
as follows:
December 31,
January 1,
January 2,
Name of joint venture or associate
Country/region
2006
2006
2005
ICA Scandinavia
60%
60%
60%
JMR Portugal
49%
49%
49%
Paiz Ahold Central America
0%
0%
50%
W&H Spain
0%
0%
50%
Changes in investments in joint ventures and associates are as follows:
2006
2005
Beginning of the year
798
828
Investments and increases in existing shareholdings
3
4
Share in income of joint ventures and associates
152
118
Share of income of joint ventures and associates - discontinued
29
49
Dividend
(53)
(75)
Classified as held for sale or sold
(161)
(145)
Exchange rate differences
(3)
13
Other changes
34
6
End of the year
799
798
ICA
Ahold owns a 60 percent stake in ICA, a Scandinavian food
retailer. Ahold purchased a 50 percent partnership stake in
ICA in April 2000. In 2004 Ahold acquired a 20 percent
stake in ICA and subsequently sold a 10 percent stake in
ICA to its joint venture partner HIAB. The 60 percent
shareholding stake in ICA does not entitle Ahold to unilateral
decision-making authority over ICA due to the shareholders'
agreement with the joint venture partner, which provides that
strategic, financial and operational decisions will be made
only on the basis of mutual consent. On the basis of this
shareholders' agreement, the Company concluded that it
has no control over ICA and, consequently, does not
consolidate ICA's financial statements. In September 2006,
ICA sold its foodservice subsidiary ICA Meny.
"Other changes" includes a revaluation adjustment of
EUR 33 resulting from the step acquisition of the remaining
stake in the joint venture Rimi Baltic AB. The adjustment to
the fair values relating to the previously held stake is
recognized in equity.
JMR
In 1992, the Company became a partner with Jerónimo
Martins, SGPS, S.A. in JMR in Portugal. JMR owns Pingo
Doce, a major supermarket chain in Portugal, and the
Feira Nova hypermarkets chain. Ahold holds 49 percent of
the shares and voting rights in JMR. On November 6, 2006,
the Company announced its intention to divest its 49 percent
stake in JMR. As of December 31, 2006, the Company's
stake in JMR is classified as asset held for sale and
discontinued operation.
Paiz Ahold
The Company held a 50 percent stake in Paiz Ahold, which
in turn held a 66.7 percent stake in CARHCO. In September
2005, Ahold sold its 50 percent stake in Paiz Ahold to
Wal-Mart Stores Inc. For more information on this
divestment, see Note 12.
Williams Humbert
In 1979, Ahold became a 50 percent partner in Luis Paez.
In 1995, Luis Paez obtained full ownership of Williams
Humbert, a prominent sherry bodega, with which it
subsequently merged. In May 2005, Ahold sold its
50 percent interest to an entity controlled by the Medina
family, which held the remaining 50 percent stake in W&H.
90 Ahold Annual Report 2006
