Expanding our geographic reach Simplicity Our strategic pillars (continued) Our progress in 2013 Our progress in 2013 Ahold at a glance Our strategy Our performance Governance Financials Investors r Ahold Annual Report 2013 31 K We opened a total of 84 new stores in current markets. K Albert Heijn Belgium continued to perform well, and opened eight new stores, bringing the total to 19. K Albert Heijn converted 24 former C1000 stores to its network, bringing the total converted stores to 39. K We opened two Albert Heijn to go convenience stores in Germany, bringing the total to five. K We delivered over €290 million in cost reductions and efficiency improvements during the year. By the end of 2013, we were ahead of plan on our three-year (2012 2014) €600 million cost savings program, having delivered a total of approximately €480 million in savings, the majority of which was reinvested in our customer offering. K In 2013, all our businesses continued their successful cost savings programs, with project streams focusing on commercial improvements (approximately 60% of savings), operational efficiencies (approximately 30% of savings) and overhead reduction (approximately 10% of savings). K Pharmacy sourcing improvements at Ahold USA generated $19 million in savings. K Efforts to reduce own-brands cost-of-goods at Ahold USA delivered over $30 million in savings, and another $30 million of savings were realized in not-for-resale sourcing. K We improved productivity in store operations by optimizing processes, better utilizing tools to schedule labor more efficiently and improving communication and performance management across our stores, particularly in the U.S. The U.S. divisions generated over $62 million in savings from productivity improvements in 2013. K We increased the effectiveness of our promotions through improved analytics ($34 million of savings). K Our businesses in Europe saved €65 million through improved sourcing of own brands and not-for-resale goods, and by optimizing the fresh value chain. K We increased the efficiency of our core operational processes in the Netherlands, delivering €17 million in savings. K Our businesses in Europe simplified and streamlined general and administrative (G&A) functions, delivering €27 million in savings.

Jaarverslagen | 2013 | | pagina 109