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Friday, 25 October, 2002, 12:42 GMT 13:42 UK
Ahold shares slide over sales fears
Ahold logo
Ahold generates 60% of its turnover in the US
Dutch retailer Ahold, the world's third-largest retail group, has been hit by lower-than-expected sales in its US business.

Shares in the group have also been knocked by suggestions that it leaked its latest sales figures to certain analysts ahead of a formal announcement.

Ahold vehemently denied the suggestions.

But its figures disappointed regardless, revealing a 6% fall in its core foodservice business in the US, and sparking a 10% fall in the value of Ahold shares.

US slump

More than 60% of Ahold's turnover comes from the US, where it runs supermarket chains Stop & Shop, Giant-Landover and Bruno's.


If I was an investor and not invited to this private party that people are talking about I would be very upset

Lex Werkheim, Eureffect

In the three months to September, overall sales for the company rose by 5.8%.

But its US business saw a 0.2% fall in supermarket sales and a 6% fall in trade at its foodservice arm, which caters to hospitals and restaurants.

Analysts had not expected such a large fall, and compared the foodservice figures to those of rival group Sysco, which recently reported a 4.8% rise in sales for the same period.

"The sales numbers are disappointing to say the least," said Remco van der Meij, an analyst at Oyens and van Eeghen in Amsterdam.

Private party

Suggestions that Ahold's chief executive Cees van der Hoeven leaked the sales numbers to certain analysts have prompted fears that the retailer might be subject to a regulatory enquiry.

A spokesman for Ahold said: "This is not correct.

"There were some presentations and he (Mr van der Hoeven) floated some soft numbers.

"But the hard numbers were only published today."

Nonetheless, the hint of preferential treatment weighed heavily on the shares.

Lex Werkheim, an asset manager at Eureffect in Amsterdam, said: "I have no idea if van der Hoeven did leak some numbers or not.

"But if I was an investor and not invited to this private party that people are talking about I would be very upset."

See also:

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