GLOSSARY
Affiliated store
American Depositary Receipt
(ADR)
American Depositary Share
(ADS)
Average shareholders' equity
Basic earnings per share
Company-operated store
Comparable store sales
Cost of sales
Delhaize Belgium
Diluted earnings per share
Direct goods
EBITDA
Enterprise value
Free cash flow
Global warming potential
Gross margin
Gross profit
Indirect goods
Net debt
Net debt to equity ratio
Net financial expenses
Net margin
Operating leases
Operating margin
Organic revenue growth
GLOSSARY
o-o
A store operated by an independent retailer
to whom Delhaize Group sells its products at
wholesale prices and who benefits from the
trade name and knowhow of Delhaize Group.
An American Depositary Receipt evidences an
American Depositary Share (ADS).
An American Depositary Share represents
ownership in the common shares of a non-
U.S. corporation. The underlying common
shares are held by a U.S. bank as depositary
agent. The holder of an ADS benefits from
dividend and voting rights pertaining to the
underlying common share through the bank
that issued the ADS. Four Delhaize ADSs
represent one share of Delhaize Group com
mon stock and are traded on the New York
Stock Exchange.
Shareholders' equity at the beginning of the
year plus shareholders' equity at the end of the
year, divided by two.
Profit or loss attributable to ordinary equity
holders of the parent entity divided by the
weighted average number of ordinary shares
outstanding during the period. Basic earn
ings per share are calculated on profit from
continuing operations less minority interests
attributable to continuing operations, and on
the Group share in net profit.
A store operated directly by Delhaize Group.
Sales from the same stores, including relo
cations and expansions, and adjusted for
calendar effects.
Cost of sales includes purchases of products
sold and all costs associated with getting
the products into the retail stores, including
buying, warehousing and transportation costs.
Finally, Cost of Sales includes appropriate
vendor allowances.
Delhaize Belgium is not a separate legal entity.
In the consolidated financial statements, any
reference to "Delhaize Belgium" is a reference
to the consolidation of the statutory accounts
of the Belgian companies, of which the major
ones are Delhaize Group SA, Delimmo SA, Del
home SA, Aniserco SA, Points Plus Punten SA
and Smart Food Shopping SA (see Note 36 to
the Financial Statements), excluding corporate
expenses. In the remainder of the document,
"Delhaize Belgium" refers to the operations of
Delhaize Group in Belgium and the Grand-
Duchy of Luxembourg.
Calculated by adjusting the profit or loss
attributable to ordinary equity shareholders
and the weighted average number of shares
outstanding for the effects of all dilutive poten
tial ordinary shares, including those related to
convertible instruments, options or warrants or
shares issued upon the satisfaction of speci
fied conditions. Diluted earnings per share are
calculated on profit from continuing operations
less minority interests attributable to continuing
operations, and on the Group share in net
profit.
Goods sold to customers.
Operating profit plus depreciation, amortiza
tion and impairment.
Market capitalization plus net debt.
Cash flow before financing activities, invest
ment in debt securities and term deposits and
sale and maturity of debt securities and term
deposits.
Global warming potential is an index that
attempts to integrate the overall climate
impacts of a specific action (e.g., emissions
of CH4, NOx or aerosols). It relates the impact
of emissions of a gas to that of emission of
an equivalent mass of CO2. For example, if
methane has a global warming potential of 21,
it means that 1 kg of methane has the same
impact on climate change as 21 kg of carbon
dioxide.
Gross profit divided by revenues.
Revenues minus cost of sales.
Goods necessary to operate the business, but
which are not sold to customers, such as office
and store equipment.
Non-current financial liabilities, plus current
financial liabilities and derivatives liabilities,
minus derivative assets, investments in secu
rities and term deposits, and cash and cash
equivalents.
Net debt divided by total equity.
Finance costs less income from investments.
Net profit attributed to equity holders of the
Group divided by revenues.
A lease that does not qualify as a finance
lease and therefore is not recorded on the
balance sheet. Operating lease costs are clas
sified in rent expense in cost of sales and in
selling, general and administrative expenses.
Operating profit divided by revenues.
Sales growth excluding sales from acquisitions
and divestitures, and from the 53rd week in
the U.S., if any, at identical currency exchange
rates.
