IFRS PRACTICAL IMPLEMENTATION GUIDE AND WORKBOOK

Chapter 37 / Noncurrent Assets Heldfor Sale and Discontinued Operations (IFRS 5)

437

January 1 2006

Consolidated balance sheet data

December 31. 2006 2

Noncurrent liabilities Current liabilities

182 184 ll2

Liabilities related to discontinued operations Net assets related to discontinued operations 2005 Divestments ofDiscontinued Operations BI-LO/Bruno's Arena-BI-LO/BrllllO's

In January 2005, Ahold completed the sale of BI-LO and Bruno' s to an affilia te of the Lone Star Funds. Ahold received USD 670 (EUR 5 19) in cash proceeds during 2004, 2005, and 2006. The trans– action resulted in a loss on divestment of USD 4 (EUR 4). Other Retail-G. Barbosa In April 2005, Ahold completed the sale of G. Barbosa Commercial Ltda. (" G. Barbosa") to an af– filiate of ACON Investment s, a US-ba sed investment firm. The divestment of G. Barbosa completed Ahold ' s divestiture program in Brazil. The transaction resulted in a loss on divestment of USD 4 (EUR 4 ). Deli XL In September 2005, Ahold comp leted the sale of Deli XL to Bidvest Hold ing B.Y., a subsidiary of the South African- based Bidvest Group. The value of the transaction amounts to approximately EUR 140, consisting of a cash consideration, debt repaid to Ahold as well as assumed debt. The transaction resulted in a gain on divestment of EUR 58. Other Retail-i-Paiz Ahold In September 2005, Ahold completed the sale of its 50% stake in Paiz Ahold to Wal-Mart Stores Inc. Paiz Ahold held an interest of 66.7% in CARHCO, which operates food stores in Guatemala, EI Salvador, Costa Rica, Nicaragua, and Hondur as. The transaction resulted in a gain on divest ment of USD 165 (EUR 135). 2004 Divestments ofDiscontinued Operations Other Retail-Bompreco/Hipercard In March 2004, Ahold completed the sale of its Brazilian food retailer Bompreco S.A. Supermerca– dos do Nordeste ("Bompreco") to Wal-Mart Stores Inc. Concurrently, Ahold sold its Brazilian credit card operatio n Hipercard Administradora de Cartao de Credito Ltda ("Hipercard") to Unibanco S.A. The combined transac tion resulted in a gain on divestments of USD 98 (EUR 79) . Other Retail-CRC.Ahold In March 2004, Ahold sold its stake in CRC.Ahold, operating in Thailand, to its partner, the Central Group, resulting in a gain on divestments of EUR 6. With this divestment Ahold completed the divest – ment of all its Asian operations . Other Retail-Spain In December 2004, Ahold comple ted the sale of its Spanish retail activities to the Permira Funds re– sulting in a gain on divestments of EUR 64. Other Retail-Disco In November 2004, Ahold partially completed the sale of its 99 .94% controlling stake in Disco S.A. ("Disco") to Chilean retailer Cenco sud S.A. ("Ce ncosud") by transferring the ownership of approxi– mately 85% of the outstanding Disco shares. Ahold intends to transfer the remaining Disco shares to Cencosud as soon as legally possible. These shares are subject to certain Uruguayan court orders proc– essed and executed in Argentina, which could potentiall y prohibit their transfer. Pending the transfer of these shares, Ahold has agreed to exercise its voting rights with rega rd to those shares according to Cen– cosud's instructions and to pay to Cencosud any dividends received on such shares. The transaction resulted in a gain on divestments of USD 116 (EUR 89). Ahold received the es– crowed funds for the transferred 85% of Disco shares on March 23, 2005 . The purchase price for the remaining approximately 15% of the Disco shares that have not been transferred remains in escrow until such shares can be transferred to Cencosud. Ahold has agreed to indemni fy Cencosud for losses in– curred if Ahold were to lose legal ownership of any of those shares. The transfer of Ahold ' s entire stake in Disco is subject to approval by the Argentine antitrust au– thorities. In the event that the antitrust authorities do not approve the transfer of the Disco shares to Cencosud, under the terms of the contract, Ahold is not under any obligation to repay any amount to Cencosud. Instead, Ahold will hold the Disco shares for the risk and account of Cencosud and Cencosud shall take all relevant action to effec t that the Disco shares are transferred to a third party. For more in– formation on the legal proceedings related to Disco, see Note 34.