Food Lion 2003 Annual Report Download - page 50

Delhaize Group - Annual Report 2003
48
10. Cumulative Translation Adjustment
(in millions of EUR)
Year USD Euro Zone Other Difference Change Cumulative
Companies Companies Companies on Results over the Year Total
1999*95.9(4.8)(1.2)(7.0)82.982.9
2000 46.6(1.6)(0.9)(0.8)43.3126.2
2001 73.5-9.10.983.5 209.7
2002 (263.1)-0.7(21.4)(283.8)(74.1)
2003 (265.7)-(0.3)(12.9)(278.9)(353.0)
(312.8)(6.4)7.4(41.2)(353.0)
(*) Cumulative 1977-1999
The negative movement of the translation adjustment is mainly due to
the decrease of 17.0% in the year-end USD rate compared to the euro
as of December 31, 2002, used to translate the value of assets and
liabilities of the U.S. companies.
Existing cumulative translation adjustments related to companies of
the euro zone will be maintained as they are in the account
“Cumulative translation adjustment” until the sale of these holdings.
11. Minority Interests
This account covers third-party interests in the equity of fully consoli-
dated companies which are not wholly owned by Delhaize Group.
(in millions of EUR) 2003 2002
Belgium 0.40.4
Southern and Central Europe 30.028.9
Asia 4.95.0
Total 35.334.3
Changes in minority interests are as follows:
(in millions of EUR)
Balance as of December 31, 2002 34.3
Changes in consolidation scope and percentage held -
Minority interest in the consolidated profit 3.3
Dividends paid to minority shareholders (1.5)
Translation difference (0.8)
Balance as of December 31, 2003 35.3
12. Provisions for Liabilities and Charges
(in millions of EUR) 2003 2002
United States 146.3186.6
Belgium 7.03.6
Southern and Central Europe 9.38.7
Asia 0.40.1
Corporate 117.9125.9
Total 280.9324.9
The amount of EUR 146.3million at Delhaize America mainly consists
of :
• Provisions for store closings (EUR 110.8million), representing
essentially rents to be paid and estimated lease related costs of 204
closed stores and 2planned store closings. During 2003, Delhaize
America recorded new provisions of EUR 25.7million for the clos-
ing of 60 stores.
• A pension liability (EUR 24.4 million), recorded to reflect the differ-
ence between the accumulated benefit obligation related to the
Hannaford defined benefit pension plan and the value of plan assets.
The provisions at Corporate level mainly represent:
• Self-insurance reserves at The Pride Reinsurance Company Ltd
(Pride) amounting to EUR 102.8 million as of December 31, 2003.
Delhaize Group self-insurance reserves relate to workers’ compen-
sation, general liability, vehicle accident and druggist claims.
• The provision (EUR 8.1million) recorded at the end of 2001 by
Delhaize Group to cover its share of the estimated future expenses
(mainly employee benefits and non-cancelable lease obligations)
that were guaranteed by Super Discount Markets’ two sharehold-
ers.
13. Deferred Taxation
(in millions of EUR) 2003 2002
• Deferred taxes in the accounts of
Delhaize America 198.9329.7
• Taxes on consolidation adjustments
relating to Delhaize America 125.6165.4
• Taxes on consolidation adjustments
relating to Delhaize Belgium 39.843.0
• Taxes on consolidation adjustments
relating to Alfa-Beta 8.17.1
• Others 6.70.7
Total 379.1545.9
14. Amounts Falling Due after More than One Year
Analysis of Long-Term Debt Payable by Due Date (in thousands of EUR)
Debts by Due Date
Due in Less than One Year Due in More than One Year Due in More than
and Less than Five Years Five Years
Financial liabilities 38,822 1,043,279 2,229,351
Non-subordinated debenture loans 9,951 905,301 1,824,201
Liabilities under capital leases 28,853 137,978 405,150
Credit institutions 18 --
Other debt - 15,700 170
Total 38,822 1,058,979 2,229,521