CI tyRCITOW
Performance by segment - continued
Albert and Hypernova
albert
Highlights of the year
Performance o www.ahold.com/reports2009
Albert and Hypernova are among the best-known food retail
brands in the Czech Republic and Slovakia.
In 2009, the company finished rebranding all of its Hypernova
stores in the Czech Republic to one brand, Albert, to achieve a
stronger position in the market. Its offering, particularly fresh food
and private label, is playing an important part in strengthening
the brand. In response to changing consumer preferences and
trends in the Czech Republic, the company streamlined its store
portfolio and downsized 12 former large hypermarkets to its
compact hyper format. In both countries, Albert/Hypernova also
invested in lowering prices to change customer perception of its
value proposition.
The following table contains operational information including net sales and operating
income (loss) for Albert/Hypernova in 2009 and 2008:
(in millions except percentages and employees) 2009 2008
Albert/Hypernova
Net sales in
1,683
1,772
Change in identical sales (excluding gasoline sales): Albert/Hypernova
(1.2)%
3.1%
Operating income/(loss) in
Operating income as a percentage of net sales
Underlying operating income as a percentage of net sales
(76)
(4.5)%
(2.1)%
1
0.1%
(0.2)%
Number of employees at year-end (headcount)
Number of employees at year-end (FTE)
12,927
12,096
14,656
13,913
Sales area (in thousands of square meters)
462
525
Net sales
Net sales decreased 5 percent to €1.7 billion in 2009, down 2.4 percent at constant
exchange rates and adjusted for the additional week in 2009. The decline was primarily
due to the closing of 23 loss-making stores and lower average consumer prices impacted
by significant deflation; this was partially offset by increased identical volumes as
customers bought more products at our stores.
Operating income
Albert/Hypernova reported an operating loss of €76 million, mainly due to significant
restructuring charges related to simplifying the business, reducing its cost base,
downsizing large hypermarkets and closing 23 loss-making stores. In total, the operating
loss included €41 million restructuring and impairments charges and a €1 million gain
on the sale of real estate. Additionally, operating income included one-off net costs of
€10 million, related to the rebranding program.
Store portfolio development
January 3, December 28,
2010 2008
Number of stores
Czech Republic
278
300
Slovakia
26
25
Albert/Hypernova
304
325
Established: Ahold Czech Republic
(1991), Ahold Retail Slovakia (2001)
Market area: The Czech Republic and
Slovakia, Europe
Store formats: Hypermarkets, compact
hypermarkets and supermarkets
Private labels include: Albert Quality,
Albert Excellent, Albert Bio,
Euroshopper
Sales million)
Ahold (total group)
Albert/Hypernova
Retail operating income million)
(76) (5.6)%
Ahold (total group)
Albert/Hypernova
Albert/Hypernova completed
the rebranding of its Hypernova
stores to the Albert brand in
the Czech Republic
Albert closed 23
underperforming stores
in the Czech Republic
Completed the downsizing
of 12 hypermarkets in the
Czech Republic
Albert established the Albert
Foundation in the Czech
Republic to support people
in need and promote healthy
lifestyles
Ahold Annual Report 2009 21
