447 / 488
Chapter
37/
Nonc urren t Assets Held f or Sale and Discontinued Operations (IFRS
5)
435
9. EXTRACTS FROM PUBLISHED FINANCIAL STATEMENTS
9.1 ADIDAS GROUP, Annua l Repor t 2006
Notes
3. Disconti nued Operations
On May 2, 2005 , the Group announced the planned dive stiture of the Salomon busine ss segment to
Amer Sports Corpo ration . The transaction was formally completed on October 19, 2005, with effect
from September 30, 2005 . The final debt-free purchase price was €497 million. A first payment of €460
million was received in October 2005 . The remaining amount was paid in the first quarter of 2006.
The Salomon business segment included the related subsidiaries and brands Salomon, Mav ic, Bon –
fire , Arc 'Teryx and Clich e.
Analysis of the result of discontinued operation
€
in millions
Net sales
Expenses
Income from discontinued operations before taxes
Income taxes
Income from discontinued operations after taxes
Gain/(loss) recognized on the measurement to fair value less cost to sell
Incom e taxes
Gain/floss) recognized on the measurement to fair value less cost to sell, net of tax
Income fromdiscontinued operations, net of tax
Basic earnings per share from discontinuedoperations (in
€)
Diluted earnings per share from discontinued operations (in
€ )
2005
360
(382)
(22)
(2)
(20)
(14 )
10
(24)
(44)
(0.24)
(0.22)
Accounts receivable and other current assets
Property, plant, and equipment, net
Total
4. Assetslliabilities Classified as He ld-for-Sale
Part of the assets of GEV Grund stucksgesellchaft Herzogenaurach mbH
&
Co . KG and adidas AG
as well as assets of Immobil ieninvest and Betriebsgesellschat Herzo-Base GmBH
&
Co. KG within the
HQIConsolidation segment are presented as disposal group s held -for-sale following a Memorandum of
Under standing signed by the Group ' s Management on December 21 , 2006. Selling negotiations have
commenced, and these sales are expected to be compl eted by March 2007 and June 2007, respectively.
At Decemb er 31, 2006 , the disposal groups cont ained assets of €59 million less liabilities of €4 million s.
Assets Classified as Held-for-Sale in
€
millions
December
31
2006
29
30
59
Liabilities Classified as Held-for-Sale in
€
millions
December
31
2006
2
2
4
Accounts payable and other current liabilities
Provisions
Total
9.2 AHOLD, Annua l Report 2006
Notes to the consolidated fin ancial statements
Note 12: Noncurrent Asse ts He ld for Sale and Discontinued Operations
On November 6, 2006, Ahold announced its intention to divest US Food serv ice, its retail activities
in Poland and Slovakia, the remaining Tops ope rations in New York and Pennsylvania, and its 49%
stake in JMR.
On December 4, 2006 , Ahold reached an agreement on the divestment of its retai l operations in Po–
land to Carrefour through the sale of the shares of Aho ld PolskaSp. zo.o .
The transaction is valued at EUR 375 and will con sist of cash consideration and assumed debt. The
final purch ase price is subject to customary price adju stments. Clo sing of the transaction is expected
midyear 2007 and is subject to the fulfillment of certai n conditions, including antitrust approval.
As of year-end 2006 , Poland and JMR qualified as held -for- sale and discontinued operations . The
other businesses to be dive sted did not qua lify as held-for-sa le as of year-end 2006, in the case of US
Food service becau se it is more likely than not that the transact ion between Ahold and the purchaser of
US Foodservice must be submitted for approval to the General Meeting of Shareholders of Ahold.