Notes to the parent company financial statements:
Notes 1, 2, 3
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-
-
-
-
-
-
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(50)
(2)
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Financial statements
Euros in millions, except where otherwise indicated
1 Significant accounting policies
Basis of preparation
The parent company financial statements of Ahold have
been prepared in accordance with Part 9, Book 2 of the
Netherlands Civil Code. In accordance with subsection 8
of section 362, Book 2 of the Netherlands Civil Code, the
measurement principles applied in these parent company
financial statements are the same as those applied in the
consolidated financial statements (see Note 3 to the
consolidated financial statements).
Investments in subsidiaries, joint ventures and associates
Investments in subsidiaries, joint ventures and associates
are accounted for using the net equity value. Ahold
calculates the net equity value using the accounting policies
as described in Note 3 to the consolidated financial
statements. The net equity value of subsidiaries comprises
the cost, excluding goodwill, of Ahold's share in the net
assets of the subsidiary, plus Ahold's share in income or
losses since acquisition, less dividends received. Goodwill
paid upon acquisition of an investment in a joint venture
or associate is included in the net equity value of the
investment and is not shown separately on the face of the
balance sheet.
2 Intangible assets
2006
2005
Carrying amount beginning of year
Acquisitions/additions
4
Amortization
(1)
Carrying amount
3
At cost
4
Accumulated amortization and impairment losses
(1)
Carrying amount end of year
3
Intangible assets primarily consist of software
in development.
3 Property, plant and equipment
2006
2005
Carrying amount beginning of year
58
8
Additions
1
9
Intercompany transfer
47
Disposals
Depreciation
(1)
(6)
6
58
Carrying amount
At cost
17
70
Accumulated depreciation
(11)
(12)
Carrying amount end of year
6
58
Property, plant and equipment primarily consists of
office furniture.
130 Ahold Annual Report 2006
