Notes to the
consolidated
financial statements
continued
5 Assets and liabilities held for sale and discontinued operations
Overview
Business review
Governance
Financials
Investors
Ahold Delhaize Annual Report 2016
Liabilities related to assets held for sale
9
In addition, Ahold Delhaize completed the sale of pet specialist shop chain Tom Co with an insignificant divestment loss.
The remedy stores and Tom Co do not represent discontinued operations.
2016
See Note 28 for the reconciliation between results on divestments of discontinued operations and cash received.
Assets and liabilities held for sale
Assets held for sale and related liabilities at January 1, 2017, consist primarily of non-current assets and associated liabilities of stores (Ahold USA:
€27 million with associated liabilities of €9 million, the Netherlands: €19 million). The balances at January 1, 2017, included property, plant and
equipment, goodwill and associated liabilities of the remaining remedy stores to be divested (Ahold USA: €27 million, the Netherlands: €4 million).
As part of the approval of the merger between Ahold and Delhaize Group by the U.S. Federal Trade Commission, Ahold and Delhaize subsidiaries
entered into agreements to sell 86 stores in the United States. The approval of the Belgian Competition Authority was conditional upon the
divestment of 13 stores and a limited number of projects in Belgium. Of the 86 stores in the United States, Ahold USA divested eight out of 15 stores
and Delhaize America divested all of the 71 stores. The divestment of remedy stores resulted in an €18 million gain at Ahold USA. As part of the
purchase price allocation, the property, plant and equipment and associated liabilities of Delhaize America’s remedy stores were recognized at
fair value. Therefore, the divestments resulted in an insignificant loss at Delhaize America. None of the 13 stores in Belgium (eight Albert Heijn stores
and five Delhaize franchisee stores) have been divested yet. The Netherlands incurred an impairment charge of €6 million for the remedy stores
held for sale.
1 Includes adjustments to the results on various other discontinued operations and past divestments.
2 Results on divestments are after net income tax expense of nil and €1 million in 2016 and 2015, respectively.
January 1,
2017
50
50
million
Non-current assets and disposal groups held for sale
Total assets held for sale
Discontinued operations
Income (loss) from discontinued operations is specified as follows:
million
BI-LO Bruno’s
Other1
Results on divestments2
Income (loss) from discontinued operations, net of income taxes
January 3,
2016
3
3
2015
“T
1
2
2
