Note 35, 36
The estimated actuarial gains and prior service cost for all
defined benefit plans that will be amortized from
accumulated other comprehensive income into net periodic
pension cost in 2007 are EUR (29) and EUR 2, respectively.
e. Recent US GAAP accounting pronouncements
FASB Statement No. 155 "Accounting for Certain Hybrid
Financial Instruments" ("SFAS No. 155") addresses the
following topics: a) permits fair value remeasurement for
hybrid financial instruments that contain embedded
derivatives which otherwise should be bifurcated;
b) clarifies which interest only strips and principal only strips
are part of SFAS 133; c) evaluates if interest in securitized
financial assets for freestanding derivatives hybrid financial
instruments contain embedded derivatives; d) clarifies that
concentration of credit risk in subordination is not an
embedded derivative; e) eliminates the prohibition of
qualifying SPEs from holding derivative financial
instruments pertaining a beneficial interest other than
another derivative financial instrument. This Statement is
effective for the Company in the first quarter of fiscal 2007.
The Company does not believe that the adoption of SFAS
No. 155 will have a significant effect on its future
consolidated financial statements.
FASB Statement No. 156 "Accounting for Servicing of
Financial Assets - an Amendment of FASB Statement
No. 140" ("SFAS No. 156") addresses the recognition
of a servicing asset or servicing liability each time the entity
undertakes an obligation. FASB No. 156 is effective for the
Company in the first quarter of fiscal 2007. The Company
does not believe that the adoption of SFAS No. 156 will
have a significant effect on its future consolidated
financial statements.
FASB Statement No. 157 "Fair Value Measurements"
("FASB No. 157") addresses how companies should
measure fair value when they are required to use a fair
value measure for recognition or disclosure purposes.
This Statement is effective for the Company in the first
quarter of fiscal 2008. The Company is in the process of
evaluating the impact of SFAS No. 157 on its future
consolidated financial statements.
FASB Statement No. 159 "The Fair Value Option for
Financial Assets and Financial Liabilities" gives an
irrevocable option to carry the vast majority of financial
assets and liabilities at fair value, with changes in the fair
value recorded in earnings. This statement is effective for
the Company in the first quarter of 2008. The Company
does not intend to elect this fair value option and
consequently, does not believe that the adoption
SFAS No. 159 will have a significant effect on its future
consolidated financial statements.
In June 2006, the FASB issued Financial Interpretation
No. 48 "Accounting for Uncertainty in Income Taxes -
an interpretation of FASB Statement No. 109" ("FIN 48").
FIN 48 prescribes a comprehensive model for recognizing,
measuring, presenting and disclosing in the financial
statements tax positions taken or expected to be taken on
a tax return. FIN 48 is effective for fiscal years beginning
after December 15, 2006. If there are changes in net assets
as a result of the application of FIN 48, these will be
accounted for as an adjustment to shareholders' equity.
The Company will adopt the provisions of FIN 48 in 2007
and is in the process of evaluating the impact of FIN 48 on
its future consolidated financial statements.
FSP No. FIN 46(R)-6 Determining the Variability to Be
Considered in Applying FASB Interpretation No. 46(R)
(April 2006) - The FsP clarifies that variability of a VIE
should be specific to the entity under evaluation.
The Company does not believe that the adoption of
FSP No. FTB 46(R)-6 will have a significant effect on its
future consolidated financial statements.
36 List of subsidiaries, joint ventures and associates
The following are Ahold's significant subsidiaries, joint
ventures and associates as of December 31, 2006.
Consolidated subsidiaries
Unless otherwise indicated, these are wholly or virtually
wholly owned subsidiaries. Subsidiaries not important to
providing an insight into the Group as required under Dutch
law are omitted from this list. With respect to the separate
financial statements of the Dutch legal entities included in
the consolidation, the Company availed itself of the
exemption laid down in section 403, subsection 1 of Book 2
of the Netherlands Civil Code. Pursuant to said section 403,
Ahold has issued declarations of assumption of liability for
the Dutch subsidiaries forming part of the consolidation with
the exception of Schuitema N.V.
Retail trade United States
The Stop Shop Supermarket Company LLC,
Boston, Massachusetts
Giant Food Stores, LLC, Carlisle, Pennsylvania
Giant of Maryland LLC, Landover, Maryland
Tops Markets, LLC, Buffalo, New York
Peapod, LLC, Skokie, Illinois
Ahold Annual Report 2006 127