Food Lion 2012 Annual Report Download - page 97

DELHAIZE GROUP FINANCIAL STATEMENTS ’12 // 95
Disposal of individual properties
As part of the acquisition of Delta Maxi (see Note 4.1), the Group identified a number of properties, mainly small shops, office
buildings, pharmacies or bank branches, which it considered not being incremental to its retail operations. At year-end 2011, the
revised carrying value of the assets held for sale amounted to €56 million. During 2012, the Group sold properties for a total
amount of €17 million. As a result of the weakening real estate market and the deteriorating state of the property for sale, the fair
value less cost to sell of a number of properties decreased during 2012 resulting in impairment losses of €18 million. As due to
these conditions, a sale within the anticipated timeframe was considered to be no longer feasible, properties for a total net book
value of €7 million have been reclassified to investment property (see Note 9). Consequently, at December 31, 2012, the
remaining properties held for sale amount to €10 million and are part of the Southeastern Europe & Asia Segment.
In addition, Delhaize America intends to dispose a parcel of land within the next 12 months for €2 million.
5.3 Discontinued Operations
As mentioned in Note 5.2, Delhaize Albania was classified as a disposal group held for sale and qualified simultaneously as
discontinued operations. The Group recognized an impairment loss of €16 million in order to write down the carrying value of
Delhaize Albania to its estimated fair value less cost to sell and classified the operations of Delhaize Albania in 2012 and 2011 as
“Result from discontinued operations (net of tax).” No pre-tax loss or gain was recognized on the re-measurement of assets held
for sale in 2011 and 2010.
The overall “Result from discontinued operations” and corresponding net cash flows of the entities classified as discontinued
operations are summarized as follows:
(in millions of €, except per share information)
2012
2011(1)
2010
Revenues
21
9
—
Cost of sales
(18)
(7)
—
Other operating income
1
—
—
Selling, general and administrative expenses
(8)
(3)
—
Other operating expenses
(3)
—
—
Finance costs
(1)
(1)
(1)
Result before tax
(8)
(2)
(1)
Income taxes
2
—
—
Result of discontinued operations (net of tax)
(6)
(2)
(1)
Pre-tax loss recognized on re-measurement of assets of disposal groups
(16)
—
—
Income taxes
—
—
—
Result from discontinued operations (net of tax), fully attributable to equity holders of the Group
(22)
(2)
(1)
Basic earnings per share from discontinued operations
(0.22)
(0.03)
(0.01)
Diluted earnings per share from discontinued operations
(0.22)
(0.02)
(0.01)
Operating cash flows
(6)
(5)
—
Investing cash flows
9
(3)
—
Financing cash flows
(3)
9
—
Total cash flows
—
1
—
_______________
(1) 2011 was adjusted for the reclassification of the Albanian operations to discontinued operations.