Tuesday, September 06, 2005
Zaandam, The Netherlands, September 6, 2005 - Ahold today announced that the Court of First Instance in the Netherlands Antilles (Gerecht in eerste aanleg van de Nederlandse Antillen) (the "Court") in its judgment of September 5, 2005 dismissed all claims filed by the public companies Distribucion y Servicio D&S S.A. and Servicios Profesionales y de Comercialization S.A. (together "D&S") against Disco Ahold International Holdings N.V. ("DAIH").
D&S initiated civil proceedings against DAIH in connection with Disco's acquisition in 2000 of Supermercados Ekono S.A. ("Ekono"), which owned supermarkets in Buenos Aires, Argentina. D&S alleged, amongst other things, that Disco underpaid a deferred portion of the purchase price by Argentina's "pesofication" law, which requires that all foreign currency debts be paid in Argentine pesos.
D&S sought approximately USD 47.5 million as well as interest at a rate of 18% per annum over an amount of nearly USD 80 million over the period from May 2, 2003 to August 21, 2003, and over an amount of around USD 47.5 million over the period from August 21, 2003 to the date of payment from DAIH in its capacity as surety of the deferred portion of the purchase price for the shares of Ekono. The Court's judgment, in which all claims of D&S have been dismissed with order to D&S to pay all procedural costs, allows for appeal.
Peter Wakkie, Ahold's Executive Vice President and Chief Corporate Governance Counsel commented: "I am delighted with this judgment and confident about a positive outcome for Ahold of the remaining legal proceedings initiated by D&S."*
*For details of remaining legal proceedings initiated by D&S, see page 178 of Ahold's Annual Report 2004