Retail developments in the Czech Republic since entry to EU a decade ago

JESPER LAURIDSEN

CEO, Ahold Czech Republic

March 18, 2014

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One of the largest employers

Cooperation with local suppliers

Albert as a better place for a purchase

• Albert, the Czech grocery operation of Ahold, employs around 13 000 associates

• Albert operates 284 stores

• Meets the needs of customers in all regions of the Czech Republic

• Last week, we announced the acquisition of the 50 stores of Spar in the Czech Republic

Albert hold in the Czech Republic at a glance

• Products of Czech regional suppliers form the main part of our assortment

• In total more than 2500 Czech & international suppliers and partners

• The Albert chain, in line with its strategy, pays strong attention to the quality and freshness of food

• Two formats

— Supermarkets (1 000 sq.)

— Compact stores (3 000 sq.)

+ big number of locations

• Focus on wide choice of products of high quality standards

• Friendly and communicative staff

Albert´s 3 promises to associates

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• Retail first privatized sector of the Czech economy (beginning of 90s). These days Czech retail sector one of the most developed and most modern of Europe

• Retail pioneer for movement of goods, services & people across the borders

• The retail has been helpful to:

o Cross country trade

o Cultural understanding

o Wider assortment and choice for customers

o European Quality & Standards

o Etc.

Modern Retail in Central Europe

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Important & Integral part of retail society todayHighlights of the Czech Retail

11,1% contribution to the GDP

The second biggest employer (16% with

more then 0,5 million employees)

Annual turnover for retail sales reached

almost 52 billion EUR

Up to 16% of household

consumption expenditure goes

to retail

The investment since the 90s has reached

22 billion EUR

International business one of the first and

most significant investors in CR

Support of regional suppliers and domestic

producers

Top in the European league in number of

stores

Social responsibility programs, modern

technologies

Sources: INCOMA Gfk, EuroCommerce material „Shopping for Growth, CCCT CR

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Significant progress made in the retail sector. Important to keep the positive momentum.

Act on Significant Market Power

Albert proud to be part of Czech retail

Amendment of the Law on Food

Others

THANK YOU!