Properties
Ahold
Annual Report 2010
Group performance continued
Group at a glance
Governance
Fi nancials
Investors
At the end of 2010, we operated 2,970 stores, a net increase of 61 stores. Total sales area
increased by 3.6 percent to 4.5 million square meters. This includes franchise stores and
excludes the stores operated by our joint ventures ICA and JMR.
January 2,
Opened
Closed
January 3,
2011
Acquired
Sold
2010
Ahold USA
751
40
2
713
The Netherlands1
1,914
38
16
1,892
Other Europe
305
3
2
304
Total
2,970
81
20
2,909
1 The number of stores as of January 2, 2011 includes 1,071 specialty stores (Etos and Gall Gall).
Franchisees operated 782 Albert Heijn, Etos, and Gall Gall stores, 465 of which were either
owned by the franchisees or leased independently from Ahold. Of the 2,505 stores that Ahold
leases or owns, 20 percent were company-owned and 80 percent were leased (67 percent under
operating leases and 13 percent under finance leases and financings). Ahold's stores range in
size from 20 to over 10,000 square meters: the average sales area of our stores in the United
States is approximately 3,800 square meters and in Europe approximately 1,300 square meters
(excluding Etos and Gall Gall, which operate much smaller stores).
Our leased properties have terms of up to 25 years, with renewal options for additional periods.
Store rentals are normally payable on a monthly basis at a stated amount or, in a limited number
of cases, at a guaranteed minimum amount plus a percentage of sales over a defined base.
We also operated the following other properties as of January 2, 2011:
Warehouses distribution centers production facilities offices 66
Properties under construction development 48
Investment properties 725
Total839
Of these other properties, 41 percent were company-owned and 59 percent were leased (52
percent under operating leases and 7 percent under finance leases and financings).
The 725 investment properties consist of buildings and land. Virtually all these properties were
subleased to third parties. The majority were shopping centers containing one or more Ahold
stores and third-party retail units generating rental income. In 2007, Ahold completed a review of
its global real estate portfolio. The review concluded that the majority of Ahold's investment
properties have strategic importance for operating purposes and will remain in the portfolio; the
non-strategic assets were to be sold in subsequent years, with estimated cash proceeds of
approximately €100 million. Most of this €100 million was realized in the course of 2008 and by
the end of 2010 the program was completed.
Capital expenditures Capital expenditures of €1.1 billion in 2010 and €0.8 billion in 2009 were primarily related to the
construction, remodeling, and expansion of stores and supply chain infrastructure improvements.
In 2010, capital expenditures also included the acquisition and subsequent remodeling of the
^1. I billion Ukrop's and Shaw's stores. Both 2010 and 2009 included significant investments related to
Project Refresh, the three-year investment plan announced in October 2007 to remodel or
replace approximately 100 Giant Landover stores, which was completed in 2010.