23
Financial position
Ahold
Annual Report 2011
Groupata glance
Performance
Governance
Financials
Investors
Group performance continued
Ahold's consolidated balance sheets as of January 1, 2012 and January 2, 2011 are summarized
as follows:
January 1, 2012 January 2, 2011
million million
Property, plant and equipment
5,984
39.9
5,827
39.6
Other non-current assets
3,803
25.4
3,704
25.1
Cash, cash equivalents, and short-term deposits
2,592
17.3
2,824
19.2
Other current assets
2,601
17.4
2,370
16.1
Total assets
14,980
100.0
14,725
100.0
Equity
5,877
39.2
5,910
40.1
Non-current portion of long-term debt
3,144
21.0
3,444
23.4
Other non-current liabilities
1,345
9.0
1,279
8.7
Short-term borrowings and current portion of
long-term debt
536
3.6
117
0.8
Other current liabilities
4,078
27.2
3,975
27.0
Total equity and liabilities
14,980
100.0
14,725
100.0
Property, plant and equipment increased by €157 million, primarily as a result of the
strengthening of the U.S. dollar against the euro.
The increase in other non-current assets primarily relates to the improved financial position of our
pension plans (€90 million). For the total group, our defined benefit plans showed a surplus of
€255 million at year-end 2011 compared to a surplus of €81 million at year-end 2010. This
improvement was due to positive investment results on the plan assets and cash contributions
made to the plans, partially offset by the effect of lower interest rates in the United States.
A significant number of union employees in the United States are covered by multi-employer
plans. With the help of external actuaries, we have adjusted the most recent available information
that these plans have provided (generally as of December 312010) for market trends and
conditions through the end of 2011We estimate our proportionate share of the total net deficit to
be $943 million (€729 million) at year-end 2011 (2010: $841 million or €628 million). These
amounts are not recognized on our balance sheet. While this is our best estimate based on the
information available to us, it is imprecise and not necessarily reliable. For more information see
Note 23 to the consolidated financial statements.
Equity decreased by €33 million, as the dividend payment related to 2010 and the share buyback
programs described earlier in this section exceeded the current year's net income.
The increase in other current liabilities primarily relates to a provision of €92 million, which is
the estimated impact of a judgment rendered in the Stop Shop Bradlees lease litigation with
Vornado.
The increase in short-term borrowings and current portion of long-term debt results from a
reclassification of the €407 million notes due in March 2012 from the non-current portion of
long-term debt. These notes have been swapped to $362 million and the fair value of the
underlying hedge (€141 million) is included in other current assets.
