Pension costs dent retailer Ahold's Q4 profits
AMSTERDAM (AP) - Royal Ahold NV, the Dutch operator of U.S. supermarket chains Stop & Shop and Giant, has reported a 41 percent fall in fourth quarter profits as a result of pension and restructuring charges.
Net profit was â ¬158 million ($208 million), down from â ¬270 million in the same period the previous year. The fall was due to one-time charges of â ¬88 million to settle changes in the company's U.S. pension plan, and another â ¬88 million hit to write down the value of the company's software systems.
The charges masked a 7.5 percent increase in revenue to â ¬7.84 billion.
CEO Dick Boer says the company is "cautious" in its outlook for 2013, but would increase its dividend by 10 percent to â ¬0.44 per share, and buy back â ¬500 million worth of shares.