Notes to the consolidated financial statements
10 Income taxes continued
Deferred income tax
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31 www.ahold.com/reports2008
Financial statements
AHOLD ANNUAL REPORT 2008 66
The significant components of deferred income tax assets and liabilities as of December 28, 2008 and December 30, 2007
(including discontinued operations), as well as the deferred income tax benefit and expense recognized in income from continuing
operations for 2008 and 2007, are as follows:
Consolidated balance sheet
Consolidated
income statement
December 28,
December 30,
million
2008
2007
2008
2007
Leases and financings
188
167
10
10
Pensions and other post-employment benefits
108
136
(37)
(46)
Provisions
77
68
(22)
(9)
Derivatives and loans
16
(4)
Interest
32
21
11
16
Other
20
35
(51)
3
Total gross deferred tax assets
441
427
(93)
(26)
Unrecognized deferred tax assets
(21)
(17)
(3)
(2)
Total recognized deferred tax assets
420
410
(96)
(28)
Tax losses and tax credits
241
327
30
36
Unrecognized tax losses and tax credits
(207)
(279)
23
(92)
Total recognized tax losses and tax credits
34
48
53
(56)
Total net tax assets position
454
458
(43)
(84)
Property, plant and equipment and intangible assets
110
24
(31)
31
Inventories
88
74
(11)
(11)
Derivatives
3
(1)
Other
13
21
(6)
Total deferred tax liabilities
211
122
(48)
19
Deferred income tax expense
(91)
(65)
Net deferred tax assets
243
336
Deferred income tax assets and liabilities are offset in the consolidated balance sheet when there is a legally enforceable right to
offset current tax assets against current tax liabilities and when the deferred income taxes are levied by the same fiscal authority.
The deferred tax assets and liabilities are presented as non-current assets and liabilities in the consolidated balance sheet as follows:
December 28,
December 30,
million
2008
2007
Deferred tax assets
358
370
Deferred tax liabilities
115
34
Net deferred tax assets
243
336
As of December 28, 2008, Ahold had operating and capital loss carryforwards of a total nominal amount of EUR 2,406 million,
expiring between 2009 and 2027 (December 30, 2007: EUR 3,364 million). The 2007 capital loss carryforward was adjusted
to reflect the correct state capital loss on the sale of U.S. Foodservice. Future utilization of these losses is not considered probable
to warrant recognition on the balance sheet. The following table specifies the years in which Ahold's operating and capital loss
carryforwards are scheduled to expire:
million
2009
2010
2011
2012
2013
2014-2018
2019-2023
After 2023
Total
Operating and capital losses
44
40
354
1,311
(j)
l—i
LO
1-h
193
430
2,406
Operating and capital loss carryforwards related to one jurisdiction may not be used to offset income taxes in other jurisdictions.
Of the loss carryforwards, EUR 2,026 million relates to U.S. state taxes, for which a weighted average tax rate of 4.1 percent applies.
