3 Significant accounting policies (continued)
Ahold Annual Report 2012 87
Ahold at a glance
Our strategy
Our performance
Governance
Financials
Investors
Notes to the consolidated
financial statements
IFRS 10, "Consolidated financial statements," replaces parts of IAS 27, "Consolidated and
separate financial statements," and SIC 12, "Consolidation - special purpose entities," and
builds on existing principles by identifying the concept of control as the determining factor in
whether an entity should be included within the consolidated financial statements of the parent
company. The standard provides additional guidance to assist in the determination of control
where this is difficult to assess. IFRS 1 0 was endorsed by the EU in 2012, and the Company
will adopt the standard in 201 3. The adoption of IFRS 10 should not have a significant effect
on the future consolidated financial statements.
IFRS 11, "Joint arrangements," replaces IAS 31, "Interests in joint ventures," and SIC 13,
"Jointly controlled entities," and deals with how a joint arrangement in which two or more
parties have joint control over an entity should be classified. Under IFRS 11, joint
arrangements are classified as joint operations or joint ventures, depending on the rights and
obligations of the parties to the arrangements. Joint ventures under IFRS 11 are required to be
accounted for using the equity method of accounting, whereas jointly controlled entities under
IAS 31 can be accounted for using the equity method of accounting or proportionate
accounting. IFRS 1 1 was endorsed by the EU in 2012, and the Company will adopt the
standard in 2013. The adoption of IFRS 11 should not have a significant effect on the future
consolidated financial statements.
IFRS 12, "Disclosures of interests in other entities," includes the disclosure requirements for all
forms of interests in other entities, including joint arrangements, associates, special purpose
vehicles and other off balance sheet vehicles. IFRS 12 was endorsed by the EU in 2012, and
the Company will adopt the standard in 2013. In general, the disclosure requirements in
IFRS 12 are more extensive than those in the current standards.
IFRS 13, "Fair value measurement," aims to improve consistency and reduce complexity by
providing a precise definition of fair value and a single source of fair value measurement and
disclosure requirements for use across all IFRSs. The requirements do not extend the use of fair
value accounting but provide guidance on how it should be applied where its use is already
required or permitted by other standards within the IFRSs. IFRS 13 was endorsed by the EU
in 2012 and will be effective for the Company as of January 1, 2013. It is unlikely that the
adoption of IFRS 13 will significantly affect amounts reported in the future consolidated
financial statements. In general, the disclosure requirements in IFRS 13 are more extensive
than those in the current standards.
There are no other IFRSs or IFRIC interpretations that have been issued but are not yet effective
that are expected to have a material impact on the future consolidated financial statements.
