Notes to the consolidated financial statements
102
15 Other non-current financial assets
-
16 Inventories
17 Receivables
Ahold at a glanoe
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Financials
Ahold
Annual Report 2015
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January 3,
2016
December 28,
2014
Derivative financial instruments
338
310
Defined benefit asset
5
Reinsurance assets
135
117
Loans receivable
31
36
Other
12
14
Total other non-current financial assets
516
482
For more information on derivative financial instruments and fair values, see Note 30.
The defined benefit asset in 2014 represents defined benefit pension plans for which the fair value of plan assets exceeds the present value of the defined benefit obligations. For more information on defined benefit plans,
see Note 23.
Of the non-current loans receivable, €14 million matures between one and five years and €17 million after five years (December 28, 2014: €18 million between one and five years and €18 million after five years). The current
portion of loans receivable of €10 million is included in other receivables (December 28, 2014: €4 million).
Part of the self-insured risk is ceded under a reinsurance treaty, which is a pooling arrangement between unrelated companies. At the same time, Ahold assumes a share of the reinsurance treaty risks that is measured by
Ahold's participation percentage in the treaty. The participation percentage is the ratio of premium paid by Ahold to the total premium paid by all treaty members. In connection with this pooling arrangement, the Company
recognizes reinsurance assets and reinsurance liabilities (see also Notes 18, 22 and 20) on its balance sheet. There were no significant gains or losses related to this pooling arrangement during 2015 or 2014.
January 3,
December 28,
million
2016
2014
Finished products and merchandise inventories
1,636
1,543
Raw materials, packaging materials, technical supplies and other
40
46
Total inventories
1,676
1,589
In 2015, €793 million has been recognized as a write-off of inventories in the income statement (2014: €664 million). The write-off of inventories is Ahold's best estimate based on significant assumptions applied to certain
products measured using the retail method.
January 3,
December 28,
million
2016
2014
Trade receivables
416
390
Vendor allowance receivables
260
203
Other receivables
181
155
857
748
Provision for impairment
(20)
(20)
Total receivables
837
728
The receivable balances are presented net of accounts payable subject to an enforceable netting arrangement between the Company and the counterparty. The total effect of netting as of January 3, 2016, is €142 million
(December 28, 2014: €136 million).
