O
35-1%
50.0%
Performance by segment
Albert Heijn/Etos/Gall Gall
Albert Heijn
Region
Net sales
Operating income
"One of Albert Heijn's
greatest strengths as a
company is our ability
to understand what the
customer wants and
translate that insight
into innovative products
and services."
Sales
Retail operating income
Operating and financial review
AHOLD ANNUAL REPORT 2008 20
Company name
Albert Heijn B.V.
Established
1887
Europe, the Netherlands
Store formats
Compact hypermarkets, supermarkets, convenience stores and
home shopping. Also Etos and Gall Gall specialty stores
Private labels
Include: AH Huismerk (house label), AH Excellent,
AH Biologisch (organic), AH Express and Euroshopper
Albert Heijn is the leading food retailer in the Netherlands and one of the
country's best-known brands. Albert Heijn operates more than 820 stores and
employs over 70,000 people. In 2008, Albert Heijn increased its number of
stores by 71, including 54 stores acquired as part of the sale of our majority
stake in Schuitema. We continue to grow sales and market share by providing
value and an extensive range of private label products. We also continue to
innovate our store formats and offering in response to the changing needs
of customers and specific local preferences.
The Albert Heijn operating company includes Etos, Gall Gall, and the Ahold
Coffee Company which produces coffee, mainly for Ahold's subsidiaries and
joint ventures.
The following table contains operational information including net sales and
operating income information for Albert Heijn/Etos/Gall Gall in 2008 and 2007:
2008
2007
Net sales in EUR (millions)
9,029
7,998
Change in identical sales:
Albert Heijn supermarkets
9.2%
7.9%
Operating income in EUR (millions)
Operating income as a percentage of net sales
Underlying operating income as a percentage of net sales
648
7.2%
7.0%
573
7.2%
7.0%
Number of employees at year end (Headcount)
Number of employees at year end (FTE)
76,065
27,382
67,278
24,112
Sales area of own operated stores (in thousands of square meters)
823
747
Net sales increased 12.9 percent to EUR 9 billion in 2008. This growth was largely
down to the continuing success of Albert Heijn's value repositioning program,
effective promotional activities and the transfer of 54 former Schuitema stores to
Albert Heijn during the second half of the year. Both Etos and Gall Gall showed
strong sales growth too.
In 2008, operating income increased EUR 75 million or 13.1 percent to
EUR 648 million as Albert Heijn benefited from higher identical sales and lower
pension charges. The results were impacted by EUR 4 million of impairments,
this was more than offset by EUR 24 million gains on the sale of real estate,
as discussed in Results from operations.
Albert Heijn
Dick Boer
President and CEO
Albert Heijn
share in total
Ahold sales
Ahold (total group) €25,722m
The Netherlands €9,029m
share in total Ahold
retail operating income
Ahold (total group) €1,294m
The Netherlands €648m
Highlights: Albert Heijn
Albert Heijn extended its store
portfolio by 71 stores, including
54 former Schuitema stores;
Albert Heijn introduced a new slogan
"Simply Albert Heijn" and a new look
and feel for its website www.ah.nl;
Began the roll-out of a new Albert
Heijn supermarket format.
www.ahold.com/reports2008
