Ahold to Stop Trading on NYSE

Ahold said yesterday that it is has decided to de-list from the New York Stock Exchange, effective next month, though its American Despositary Receipts (ADR’s) will continue to be traded on the over-the-counter market in the U.S. Ahold said the decision is part of its strategy “to improve cost-effectiveness” by reducing complexity.

AMSTERDAM — Ahold here said yesterday that it is has decided to de-list from the New York Stock Exchange, effective next month, though its American Despositary Receipts (ADRs) will continue to be traded on the over-the-counter market in the U.S. Ahold said the decision is part of its strategy “to improve cost-effectiveness” by reducing complexity. “The benefits of maintaining a U.S. registration and an NYSE listing have declined over time,” the company said. Its stock continues to trade through the Euronext Amsterdam exchange. The company made the announcement in conjunction with its earnings release for the second quarter, which saw corporate net income rise 917.4% to $3 billion, while sales declined 2% to $9 billion following the sale of U.S. Foodservice and a Polish operation. For the half, net income climbed 431% to $3.4 billion, while sales rose 1.6% to $20.8 billion. U.S. operating income fell 20.2% to $217 million for the quarter, including a drop of 27.8% at Stop & Shop/Giant-Landover. For the half, operating income fell 18% to $502 million. The company said operating income was impacted by restructuring charges of $26 million, mainly resulting from the closure of 10 Stop & Shop stores in New York and New Jersey.

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