Koninklijke Ahold Delhaize N.V. (AD) Earnings Call Transcript & Summary

Good afternoon. Good afternoon, and welcome, everyone. My name is Maria Verheij. I'm responsible for communications at Ahold Delhaize. Before we start with the Annual General Meeting of Shareholders of Ahold Delhaize, I would like to take you through some important safety and practical instructions that apply in this venue and during the meeting. We kindly ask you to take a seat on your assigned seat. As you will notice, there are empty rows in between to allow support staff to walk by with the microphone. I will switch to Dutch now. So please ensure your headset is working if you require translation. Kindly raise your hand if you need assistance. [Interpreted] During this meeting, you'll be addressed in English by the Chairman of the meeting. Other people will be speaking either Dutch or English on stage. Everything will be translated simultaneously into English and Dutch and you'll be able to listen to translation on the headphones. And should you not have received headphone, but you -- or if you have a headphone but it's not working properly, you can let our staff know by raising your hand. They will assist you. You can ask your questions both in English and Dutch and the questions and answers will also be interpreted simultaneously. I would like to remind those present in this auditorium in the Zaantheater that voting is only possible for shareholders and proxy holders who have logged on in good time prior to voting. Should you have not done so yet, please check your device now. You can log on to the system with your own mobile phone or the device that you were given when you registered for the meeting using the personal login information that you received upon registration. If you've logged on correctly, you will see a welcome message on your screen. If you don't see the welcome message, please raise your hand, and one of our staff members will assist you. The opportunity to vote on agenda items will be opened after the speeches by the Chair of the meeting and the Chair of the meeting will indicate when this is, and we'll close the vote before the end of the meeting. So it's possible to cast your vote for all voting items at once during the entire meeting. We will proceed to do a test vote, which will not account officially. You'll understand that so that we can solve any problems that may arise. Can I ask you to pick up your mobile phone or your voting device and to see whether the first question appears. Apples are better than pears. Once you've made your selection, you'll find a confirmation on your screen. If necessary, you can ask for help from one of the support staff present here by raising your hand. I understand that it's a very difficult question. Nonetheless, I would urge you to check to see whether this test vote actually has worked. If it hasn't worked for you, please raise your hand, so we can make sure that everybody can be assisted. There's a gentleman there on the fifth row, okay. So we're about to close the test question. I'm curious to find out what the outcome of the test question was, most people prefer apples to pears. And there are also people who have abstained from voting. Well, the test question is now closed, and the Chairman of the meeting will indicate when the voting is open during the meeting. Furthermore, I'd like to inform you that smoking is not allowed inside. If at any time you observe an unsafe situation, please report it immediately to one of the staff members present in this auditorium. In the unlikely event that we're asked to evacuate the building, I would kindly ask you to follow all the instructions and to leave the room quietly via the main entrants or the alternative emergency exits. Please check and see whether nearest exit is for you. And of course, you may leave the meeting at any time, but please remember to bring your paper ballot card with you, your admission ticket because you'll need that in order to be readmitted into this auditorium. I would also kindly ask you to put your cell phones and other devices on silent. Please note that it is forbidden to take any photos or fill more audio recordings during this meeting. A video and audio recording will be made at this meeting in order to be able to draw up the minutes of the meeting, and the audio and video recording will also be available on our website after the meeting. For privacy reasons, the faces of those present, except for those people sitting on the stage will not be shown in this webcast. Thank you very much for your attention, and I wish -- Peter Agnefjall, Chairman of the Supervisory Board to start with the official meeting. Peter, the floor is yours.

Thank you, Maria, and a warm welcome to the Annual General Meeting of Shareholders of Ahold Delhaize. My name is Peter Agnefjall. I'm the Chair of the Supervisory Board. I will be sharing this meeting, and I'm very happy that you are joining us today. With me here on the stage are the management Board. Next to me, I have the CEO, Frans Muller; next to him, our CFO, Jolanda Poots-Bijl; left -- to the far left, we have our CEO of Ahold Delhaize US, J.J. Fleeman. And on the right-hand side, we have the CEO of Europe and Indonesia about Wouter Kolk. Representing the Supervisory Board next to myself, we have the 4 committee Chairs present, the Chair of the Audit Finance and Risk Committee, Rene Hooft Graafland; the Chair of the Governance and Nomination Committee, Helen Weir; the Chair of the Remuneration Committee, Pauline Van Der Meer; and finally, the Chair of our Health and Sustainability Committee, Katie Doyle. Next to me is Corné Greyling, our Company Secretary. And last, but certainly not least, we have Martin van Olffen, President on the stage, our notary. So -- and also present is our external auditors from KPMG. And on behalf of KPMG, [ Erik Van Dulmen ] who will be giving a short presentation and answer questions you may have about their audit and audit report. So this is a hybrid meeting, shareholders who were not able to attend in person were offered the possibility to provide -- were offered possibilities to provide voting instructions or voting proxies and questions before the meeting to enable all shareholders to participate. During the meeting today, we will look back at 2023, which was another challenging year for many reasons. But I'm proud of how hard our team works at the brands to adapt to constant change and to support their local communities and ensure that customers continue to have access to affordable, healthy products and services. As you are aware, the agenda contains several proposals to appoint and reappoint members of the Supervisory Board. We will cover the proposal to appoint Laura Miller and Robert Jan van de Kraats as a new member of the Supervisory Board. The proposal to reappoint Bill McEwan and Helen Weir and Frank van Zanten as members of the Supervisory Board. During this meeting, we will also say farewell to René Hooft Graafland whose term of appointment on the Supervisory Board will end as the closing of this meeting. So before we start with Agenda Item 2, I would also like to say a few words about the order of today's meeting. We are in a meeting today with a large group of shareholders and we appreciate that you're taking your time to join us in this shareholder meeting. And we look forward to an open discussion with you, and you can expect from us that we engage in a meaningful and respectful discussion, and we ask you to do the same. Shareholders democracy is important, and we appreciate the dialogue and interaction with you, but kind also ask you to respect to maintain a respectful meeting order in which all shareholders get the opportunity to ask questions. As a share of this meeting, I'm responsible for maintaining that order. And if needed, I can take actions and for instance, limit your speaking time and/or the number of questions or eventually stop the discussion when needed. Registration details for this meeting are currently being processed. Once all information is available, the notary will make -- will announce how many shareholders are present or represented, the percentage of the issued capital that they represent and how many votes can be cast. After these announcements, we will open the voting. And we will now turn to the end of this meeting, which was published on our website on the 28th of February of this year. And I would like to note that we have complied with all statutory requirements to hold this AGM. First, Frans Muller will talk about the company's performance during 2023. And followed by our CFO, Jolanda Poots-Bijl, who will present the 2023 financial results, the policy on additions to reserves and dividends and the dividend proposal for 2023. And lastly, I will hand over to Erik Van Dulmen from KPMG for the audit presentation. After these presentations, we will cover your questions on Agenda Item 2, being the questions from the participants here at Zaantheater and the question post ahead of this meeting. Please note that questions will be bundled and answered together. And with that, I think I will hand over to you. Frans. Please go ahead.

[Interpreted] Thank you very much, Peter. Okay. I'll switch to the wonderful Dutch language. Warm welcome to everybody here in Zaandam and those of you who are virtually attending this meeting. Today, together with you, I'd like to look back on this past year, and at the same time, also look forward, how we look at our role supporting our clients' partners, communities in the Netherlands and beyond. . Today also marks a special day for our Muslim community, the end of Ramadan. Eid Mubarak! Thinking back to 2023, change seems to be the only constant factor with high inflation, another, gripping war in the world and further polarization in society. And all this has an impact on our stores and our distribution centers. Our stores are sort of many societies with 63 million customers every week. Customers looking for human touch, customers who sometimes have to make ends meet, customers with the Palestinian or Israeli background, customers who support Trump or those who support Biden, customers who buy mince beef or who are strong vegetarians. My colleagues in the stores need and want to be there for all of them. We're open for everyone. For us, it's all about your neighborhood store, where you are all welcome and we want to be big in being small. The other day, I was visiting Jessica Fischer's store. She is the store manager of our GIANT company store in Philadelphia. And I talked to her about how she serves all these individual needs and all these customers with large fresh food department and convenience in the form of healthy meals, fresh soups and precut fruit and Jessica make sure that customers and employees feel at home with a diverse team, but also with decorations for the local American football team. She also sees the challenges and the difficult times of the neighborhood. And this just doesn't stop at our sliding doors. And they also see organized shoplifting which adds to the importance of safety for our associates and customers. And besides dealing with all these needs and backgrounds, we keep our focus, our eye on the results of our company. Because only a stable and healthy company is able to take care of others and to continue to invest. And we do this in challenging market conditions. 2023 was a tough mix. With cost inflation, a weaker U.S. market, higher commodity and energy price inflation in Europe and the war in Ukraine. I think it's great how we balance this with excellent performance for all our stakeholders. And so I'm extremely proud of the strong performance of our teams. And how do we see our role then in our local communities because our role goes beyond the shelf prices. We can look beyond our own business, because we are a healthy and stable company. And at the heart of what concerns us day in, day out, as a supermarket company is making healthy food accessible to all, which is also why we think it's important to donate food to food banks around the world and also to make other financial donations. And in 2023, this amounted to a total amount of EUR 240 million. Examples are the millions of meals that food line donated in 2023. And that Albert in the Czech Republic is the largest food donor. Beyond the link to food, we support local communities more broadly. One key area where we've expanded our support both to communities but also as an employer is mental health. Hannaford, for example, our brand in Maine supports this mental care through its affiliated partners. And after the recent dramatic shooting in Lewiston, Maine, it funded mental health counseling at their regional hospital. I already said it, our road goes beyond the prices on the shelves, but we focus on the price on a daily basis. We play an important role as a buffer between customers and large international suppliers and vendors especially in recent years with high inflation, that role was crucial. Household budgets are under pressure and vendors price increases were unprecedented. And your local convenience store must be there for everyone, for people from all walks of life. And we were able to make this happen by means of 3 things: firm negotiations with major suppliers expansion of the affordable and often healthier own brand assortment within this expansion, also an expansion of our price favorites. These are the products that pass the comparison with the low-priced supermarkets with flying colors, 7,000 products now in Europe, and the assortment is growing by 20% a year. More offers an inspiration for budget friendly, fresh and healthy convenience meals. This is the third component that I wanted to highlight. And at the same time, we've achieved our main business goals this past year, and Jolanda will be telling us much more about this in a few moments. Our long-term ambition is to grow faster than the market to outpace the market. Three things are important. Customer-oriented modern stores, quality products with a complete range of national brands and own brand products and an omnichannel experience for all our customers at competitive prices. This ambition actually means that we always have to do our utmost. And this means that for funding we also looked even more closely at our own cost. And we've cut a record amount of EUR 1.25 billion, over EUR 250 million more saved than planned. Our Leading Together strategy has given us the right direction over the past 5 years. So we made the choices that are needed now in order to remain relevant in the future. I'd like to give you some examples of important steps and how the local teams in America and in Europe, led by J.J. Fleeman and Wouter Kolk are putting our focus into practice day in and day out. We invest globally in a modern offering for our customers in a strong portfolio of brands, digitization and tech-driving innovation in our industry. And digitization is making shopping faster, more personal, more efficient. So customers get affordable and healthy recipes tailored to them for if you eat fish, for instance, but not meat like me or if you want to eat less sort, artificial intelligence, especially generative AI makes our brands increasingly relevant to customers. And it also makes for many personalized offers, tailor-made, which is good for them because it's relevant, and it's also good for our advertisers because we get better conversion. You may remember that we want to generate EUR 1 billion in additional revenue by 2025 in this respect. With our advertising retail media businesses in America and in Europe, which work very well together. And with that, we're well on track to actually reach that amount. Our loyalty programs are crucial for the relationship with our customers. Albert Heijn Premium, hopefully, you all are familiar with Albert Heijn Premium grew to 950,000 customers last year. My Maxi app of Delhaize Serbia, not everybody will be familiar with that, reached a milestone of 1 million downloads. And in the United States, we have the discount coupons of the GIANT company, which has been very positively received by customers. This will not be news to you because many of our loyalty programs give discounts on healthier or organic products. This omnichannel offering, combined with our local presence ensures that our customers are really happy with that something that we see reflected in the many markets in which we hold the #1 and #2 position. The way customers shop changes constantly. So it's up to us to stay relevant to innovate and to keep surprising our customers. And this also involves difficult decisions. We simplified our e-commerce business model in the United States, for example, because it no longer matched the changing needs of our customers. They would rather pick up their groceries at the store on the same day instead of engaging in the next day delivery. And that is why we sold our New York brand, Fresh Direct and closed 2 e-commerce DCs in Jersey City and in Maryland. Now the marketplace experience that -- and there are services provided by bol for more than 25 years. Despite a challenging e-commerce landscape, we saw a sales growth of 4.9% in 2023, showing that we're growing faster than the market. So bol is not doing this on its own because 2/3 of the sales of bol goes through partners, and there are more and more partners that really want to be on the platform. And 30 million customers that love bol in the Netherlands and in Belgium, and this number is only increasing. And I just mentioned technology. This is the other driver of change in our industry. And with the help of tech, we reflect on a daily basis on how to make the work of our associates less strenuous or less repetitive, especially in our distribution centers, there's still plenty to gain. A good example of how technology supports Manpower is Albert Heijn's newly opened Home Shop Center in Barendrecht where 300 small robots support the work of our associates. The added value of cooperation within the regions is becoming increasingly clear in our company as well. We're making our work simpler by pulling forces for identical own brand products. And this part of our offering affordable, quality and usually healthier is well liked by our customers, and we see plenty of room to grow. It remains a very important area of focus for us in 2024 and beyond. And an excellent example of how we work together as a Dutch business community is Kickstart AI. This is a nonprofit initiative to accelerate the adoption of artificial intelligence in the Netherlands and to use AI positively for the benefit of society at large. In 2023, we collaborated with the Food Bank in order to use artificial intelligence to help more Dutch people access food support. And that knowledge was then made available to the 14,000 volunteers of the food bank in the Netherlands so that they can put it into practice day in, day out. And then if I look at sustainability, which is an important pillar for us, as you may well know, we've made great strides. In terms of our climate goals, reducing food waste, selling healthier food, but also reducing plastic, the use of plastic. 2023, the U.S. brands have used 148 million less plastic bags. And there's one thing that I think is very important to highlight right now, and that is the positive impact that you could have as a business on other businesses and on the industry at large. We have the responsibility to mobilize others. And this is something we feel every day. All European brands have installed a so-called climate hub. These are online platforms to give suppliers vendors insight into their own carbon footprint and the next steps that are required. Albert Heijn, for instance, has his better for program, I'm sure you know it. And has made this accessible to the entire industry, other retailers as well, so that everybody can take these steps in order to engage long term with farmers and further boost sustainability. And bol is now a B-Corp company and Albert Heijn is also on his way to the same certification. An excellent example of how pioneering policies are being emulated is Albert Heijn, which is leading the way in the protein transition. Now there are other supermarkets in the Netherlands that have moved to the goal of 60% plant-based protein in 2030. And I'm proud that we're using our scale to share this with others in the field of sustainability because we've got to work together. It's not about competition. And for this commitment, we have been awarded the MSCI AAA rating. You can read about that in the annual report. And only through the commitment of our associates and the local brands and in our offices, can we actually make progress. And the fact that they feel good about all of this and that they feel that they can be themselves at work. That is so important. We've got to pay attention to and take care of our associates in those points in time that are so important in their lives. And we're doing this through the new life events framework. For example, in 2023, we've established a leave of absence in the Netherlands for colleagues who want to undergo a gender transition. And recently, we added support for -- during menopause for those women that need that. And we see that colleagues can be themselves. We have an inclusion score of 81%. And for comparison reasons, the average within retail is 77%, but further growth remains the goal. And it's also important that we're making strides in the number of women within the group of fellow Vice Presidents and beyond. And we've grown to 37%, but there's room for improvement because we would like to move to 50-50. And company-wide, we've implemented the revised Corporate Governance Code 2023. And naturally, Ahold Delhaize complies with all the laws and rules and regulations, and we endorsed the principles and best practice provisions. You'll find the report in our annual report. And that's important. It's important for us to document this, again. And therefore, it was added as a document to this meeting. It's a point of discussion as required by the code. And then if I look at the steps that we've taken, there are two things that stand out. In 2023, we've made investments and taken decisions that are required for the future. But in order to grow, you've got to invest. We've invested a total amount of EUR 2.4 billion back into our company. And we're talking about many hundreds of store renovations, modernizing IT infrastructure, building new distribution centers, keeping an eye on the environmental impact and also investing in our sustainability agenda. Now this not only generates growth for us, but also good income for retailers and construction companies and painters and IT companies, SMEs. And we've also focused on decisions with a local impact. So along with other alliances, we joined the purchasing organization, Eurelec, so that we can negotiate at a scale with international A brands ensuring lower prices for customers in Europe. And so I'm also Co-Chair of the Consumer Goods Forum, the only international organization that brings retailers and manufacturers together to address social issues together. And in this way, we also focus on innovation for customers, together with other retailers, for instance, through the innovation funds that was launched last Monday for retail. You may have heard its name W23 Global. At the same time, developments about the climate for businesses in the Netherlands, a home market are putting further pressure on businesses. Netherlands, are among other things, are well known for its entrepreneurial spirits, [indiscernible], innovation and also it's known as a supporter of the single European market and broad stakeholder ship. These matters require political attention and also they require consistent, predictable and stimulating policies particularly when thinking about the many long-term transitions that we face, both as society and as a business. We want to make our contribution to these transitions. And then it's helpful when we know what to expect. So no ongoing changes in tax regulations, such as the 30% regulation for attracting more personnel or withdrawing the support for the European law on natural recovery. This kind of legislation on the contrary is desirable necessary for our industry, both in the Netherlands and in Europe. We can continue long-term transitions only if we can trust government with a vision and a stability of vision and a good link between businesses and government and mutual understanding for challenges is essential here, certainly in the days of these major transitions. And obviously, we at Ahold Delhaize, wish to continue making our attribution to these return to these steps already made. In the field of acquisitions, also we invested in beautiful businesses and made great steps. All the acquired Jan Linders supermarkets have now been converted into Albert Heijn stores. In October, we announced our intention to acquire the Romanian supermarket chain Profi. And in H2 of this year, we expect to receive a reply from the authorities. Another major step in 2023 concerned the Belgium team of Delhaize, they completed the migration to one business model of all the franchise stops. All the [ 138 ] remaining owned stores have been sold to entrepreneurs, and I'm really proud of the Belgium team of Delhaize, both for their vision and their perseverance. That was not an easy transition. All the investments and all the choices we make prepare our company for a phase of new momentum. And I can't say this will be easy because once again, in this year, our company will face challenging market conditions. One thing, however, is clear. 2024 will be an important year for Ahold Delhaize. And this is why at the end of May, we'll conduct a Strategy Day that will be shared through a webcast. And this day, we will share an update on the things we are proud of and also on our sharpened ambitions. We will tell you how we plan to shape our strategy leading up to 2028. This brings me to the end of my personal explanations to you. The purpose of my presentation was to look back and to look forward. Let me remind you once more that we, as a stable and healthy company, we can look beyond shelf prices. This is what I do every day, not on my own, obviously. I belong to a larger team and allow me to briefly dwell on the changes in my team. First of all, Jan Ernst de Groot, the Chief Legal Officer and Chief Sustainability Officer and the Executive Committee is retiring. Jan Ernst support us even from before the premerger period. And since 2016, he has been a factor of both stability and a broad-based member of the ExCo team. In addition to a sound legal program over the years, he also gave us an impetus to embed sustainability more strongly in our strategy. Jan Ernst allow me to thank you for 10 years of important contribution. I wish you all the best in the future. And now a very warm welcome to Alex Holt. We have decided that the position of Chief Sustainability Officer deserves its independent role in our ExCo and Alex Holt is the person who will fill this role with a lot of retail and sustainability experience on the European and Australia continent as CSO of Woolworths Group. I have full confidence in her carrying out her assignment here. And then allow me to welcome Linn Evans, a long-serving member of our company. He's been working at our U.S. A. branch, ADUSA for 26 years in a very broad legal and sustainability position. And he is known for his human way of leading and his vast file knowledge or knowledge of cases. I wish Alex and Linn every success in their new roles. And recently, we informed you also that Wouter Kolk, our CEO for Europe and Indonesia has chosen to leave the company by the end of 2024. Wouter, we are going to come back to this in greater detail, but allow me to tell you here that your knowledge, your energy and your commitment have been very important and will be missed. Allow me also to express my gratitude to the local teams at the brands and the distribution centers and the offices who provide the dedication, the energy and the drive that our customers keep coming back to, you make our company what it is. Thank you, [ Maxi ]. And now allow me to thank you, our shareholders, for your support and trust. You can continue to count on us. You can continue to count on me. Thank you very much for your attention. I now give the floor back to Peter to the Chair.

Thank you, Frans. And with that, I suggest we hand straight over to Jolanda. Jolanda please.

Yes. Thank you, Peter, and good afternoon, ladies and gentlemen. Welcome. As you've just heard, our teams achieved a lot in 2023. We continue to deliver a high-value customer proposition, reflecting the needs of our local communities. We advanced our own brand strategies and our online propositions and remain laser-focused on our cost, finding buckets of money to invest in our customer, our digital road map and our sustainability ambitions. And as Frans also stated, 2023 wasn't an easy year. We live in volatile times, facing both geopolitical and climate challenges, and our customers are under pressure, also facing the consequences of high inflation. When I joined Ahold Delhaize, I was excited to be part of a business that directly connects with the challenges and opportunities of our society. One of our most important goals is to deliver affordable and healthy food for everybody, every day and in a sustainable manner. We are prepared to take a leading role in designing and delivering solutions for a more sustainable food retail system in the long term. Through resilience and hard work, this has brought to life, day in and day out by our people who form the culture, live our values and make this company a great place to work. I would like to thank our over 400,000 associates. They really are the beating heart of our company, allowing us to consistently deliver on our promises. Getting into the details, as you can see on the screen, we met or exceeded our original 2023 financial commitments. This was quite an effort. As sales growth was lower than last year and costs continued to increase at a higher pace. Sales grew by 1.9% or 3.8% at constant exchange rates to EUR 89 billion. We continue to build scale in our online channels with net consumer online sales now at EUR 12 billion. Comparable sales, which represent revenues from stores that have been opened for at least a year, increased 4%. We firmly believe that local matters, the connection with our local communities, our market share strength and operational excellence combined in an international portfolio of fundamental to our performance. With our 16 brands, we realized 96% of our sales from markets where we are the #1 or the #2. And each week, we serve more than 63 million customers. We do this in 7,700 stores and fire more than 1,800 e-commerce pickup points. We have highly rated websites, mobile apps and have 18 million monthly active users. They are the core of our omnichannel customer base. Omnichannel customers are connected, more loyal and typically spend 1.5x more on average. Moving on to our profitability. The group's underlying margin was 4.1%. As a result, underlying operating income was EUR 3.6 billion, a decline of 1.2% at constant rates. Our diluted underlying earnings per share were EUR 2.54, almost flat compared to 2022. To understand these high-level results in a bit more detail, let's look at the results by region. In the U.S., we again strengthened our position as the #1 food retailer on the East Coast. Net sales were up 1.8%. On a comparable basis, that's an increase of 2.3% as we saw particularly strong performances at Food Lion and Hannaford. The reduction in emergency federal SNAP benefits, higher interest rates and the resumption of student loan repayments had a material impact on our lower-income customers. Our underlying operating margin in the U.S. was 4.7% in last -- in line with last year. Higher shrink levels and general inflation in our cost base was offset by the favorable impact of one-off items and a strong delivery from the team on the safe for our customer program. Turning to Europe. Sales in 2023 grew 7.2% and or 6.5% on a comparable basis. We successfully leveraged our leading position in own brands, resulting in market share gains in most of our markets. The more than 7,000 price favorites that we offer in the region at entry price levels with discount competitors are a great example. Our CSE brands continue to benefit from the regional transformation program in which we are aligning business models, centralizing our sourcing activities, harmonizing our own brand proposition and optimizing other scale drivers. In general merchandise, our e-commerce brand, bol continued to gain market share. Despite a challenging market backdrop, gross merchandise value was EUR 5.8 billion, up 4.9%. bol also delivered a EUR 151 million in underlying EBITDA due to strong cost discipline and tight control of growth investments and positive benefits from its growing share of high value-add services such as advertising and logistics. Underlying operating margin in Europe was 3.3%, down 0.3 percentage points, negative impact from costs associated with our future plan for Delhaize in Belgium, wage increases and investments in our value proposition were partly offset by a decrease in the non-cash service charge for the Dutch employee pension plan. Next on screen, you can see our reported IFRS performance, which include items that are nonrecurring by nature. In 2023, these items are mainly connected to strategic interventions that we've taken to improve our business for the long term. Examples are the future plan of Delhaize, the divestment of FreshDirect, and the operating mono harmonization in the CSE region and, for example, the move to a more asset-light approach in online fulfillment in the U.S. Making these kinds of adjustments did require a significant amount of so-called nonrecurring expenses. In 2023, this totaled EUR 758 million. The largest part, [ EUR 460 ] million is related to the FreshDirect divestment, including impairments, losses on the sale and restructuring charges and the remainder is related to other accelerate initiatives, as mentioned, and the impairment and restructuring charges for the future plan of Delhaize. As your CFO, I'm tasked with guiding the long-term value creation of our company. Next to the regular responsibilities, I focus on the following areas. First, driving operational efficiency and cost discipline; second, embracing and driving transformational change, shaping our capital allocation agenda. Third, enabling our health and sustainability journey, ensuring we have what we need to make fact-based decisions and take the required actions. Last, but not least, continuation of our track record of solid cash flow generation to ensure we generate sufficient fuel to reinvest in our company and to deliver predictable returns to our shareholders. When we talk about our progress on operational efficiency and cost discipline, this is for a large extent, realized Fair and Safe for our customer program. Our teams delivered a new record high number of over EUR 1.25 billion in cost savings in 2023. This is, I believe, part of our DNA. We already operate in this way for many years. And our track record is second to none, as you can see with the chart on the screen. Our success is about continuously looking for opportunities, whether through sourcing initiatives or through leveraging mechanization, technology and AI to make it simpler, faster and better in our daily operations. Maintaining our stance and our cadence as a well-invested company is another essential part of our value creation model. In 2023, we invested EUR 2.4 billion in our assets. Food retail is a complex business. It's essential to maintain a modern store network and a reliable logistical chain. And it is also about expanding and improving our online channel network. Our online facilities, our data and digital capabilities and our IT infrastructure in a sustainable way. Striking the right balance of investments in front end customer and back-end operational infrastructure is critical and even more important as our omnichannel capabilities evolve to drive more seamless integration across the value chain. How we invest is a key enabler of our health and sustainability agenda, which you all know is really important to our company. I believe the finance function is a key enabler in achieving sustainability goals. which like all good business decisions should be done with the right rigor and in a fact-based way. On that note, I would like to thank the members of [indiscernible] for the post cards I received last October. I'm grateful for people being passionate about this important topic, and I do believe that we have a shared vision. We want to make healthier and more sustainable choices together create a better world. I also strongly believe that as one of the leading global food retailers, we have an important role to play. We want to lead the way into a more sustainable food system, support our customers and communities while maintaining solid financial standards. On that note, let me highlight the progress we made on our key sustainability KPIs in 2023. Our brands increased the percentage of own brand healthy food sales, reaching 54.8% and -- we reduced CO2 emissions in our own operations by 35% compared to our 2018 baseline. Our total tons of food waste for food sales was 37% lower than our 2016 baseline. And we reduced the use of virgin own-brand plastic packaging by 10% compared to 2021. I'm proud of these results and all the hard work of our teams. Every initiative counts. For example, thanks to our strong collaboration with local food banks, we directed 25% of unsold food towards feeding those in need. Our increased use of renewable energy has allowed us to lower our Scope 1 and 2 emissions by 5 percentage points in 2023. Another area I'd like to highlight is the reduction of our absolute Scope 3 greenhouse gas emissions. We saw a reduction in Scope 3 compared to the prior reporting year. However, we are stable compared to our 2020 baseline year. So we also face challenges with some of our sustainability ambitions. We are, for example, unlikely to meet our 100% reusable, recyclable and compostable plastic packaging ambition. Several plastic packaging types cannot be recycled yet. There's also a lack of recycling infrastructure at a more macro level, which is disappointing and reinforces the urgency for all business across the value chain to accelerate action. In our 2023 annual report, we updated our Scope 3 targets in line with new SBTI guidelines. It requires collective action across the value chain to achieve this. Our local brands are actively engaging with our suppliers to work on specific decarbonization measures and to improve the data quality of their Scope 3 emissions. Moving on to my last focus area, free cash flow. Cash generation is critical for a healthy company, and we realized a strong free cash flow level of EUR 2.4 billion. Within this number, inflows from the Belgian tax receivable of EUR 377 million were partly offset by outflows of around EUR 200 million from the operating cash flow effect of executing the Belgium future plan and the Accelerate initiatives, as we stated earlier in this presentation. We are a healthy company with a solid balance sheet and a great track record. Our free cash flow performance is an important driver to return value to our shareholders, while at the same time, keeping our net debt position stable, and that is exactly what a lot of our shareholders value in us. Solid earnings per share and an attractive dividend yield combined with a sustainable growth of dividend per share. This year, we are proposing an increase of our dividend per share of 4.8 percentage versus 2022 to EUR 1.10. For 2024, although circumstances remain challenging with decelerating top line inflation and cost inflation still elevated we expect to deliver constant performance year-on-year. Our group underlying margin is expected to be at least 4%. Our gross capital expenditure will be roughly in line with 2023 levels. Our free cash flow is expected to be around EUR 2.3 billion, and our earnings per share are expected to be around 2023 levels. Along the way, we do expect some different phasing of our performance throughout the quarter. Going forward, we remain dedicated, dedicated to long-term sustainable value creation, focusing on growth and allocating capital with discipline. building on our strong portfolio of brands and on our operational track record, investing in a better world for all our stakeholders. I thank you very much for your attention, and I'd like to hand over to Peter.

So thank you, Jolanda. I would now like to ask [indiscernible] Erik from KPMG to give his presentation. Erik, could you please approach the stage.

Good afternoon. [Interpreted] Good afternoon, ladies and gentlemen. My name is Erik [indiscernible], and it is my pleasure to address you on behalf of KPMG as the external auditor of Ahold Delhaize. Before going into our audit work and our findings, I would first like to explain the outcome of our work. The opinions are the final part of our work. We've issued 2 opinions, both dated February 2024. The first opinion is an unqualified opinion to Ahold Delhaize's financial statements, which is included on Page annual report. In this opinion, we certified that Ahold Delhaize's financial statements gave a true and fair value of the balance sheet positions as of December 31, 2023, and also the performance, the results of 2023. We also certify that the financial statements have been prepared in accordance with IFRS as applied in the EU and Title 9 of the civil code, the Dutch Civil Code. And it also means that Ahold Delhaize's annual report is compatible with the financial statements and that this report contains all legally required information. In addition to the opinion on the financial statements, we've issued an assurance report on a selection of ESG information as included in the annual report. This assurance report with limited certainty is included on Page 321 of the annual report. First, I would like to give you an explanation of our audit work on the financial statements. Since we were appointed by you, shareholders, as external auditors for the first time, with effect from the fiscal year 2023, this was the first year audit for us. And we can inform you that the transfer from the previous auditor to us went well and that we were able to conduct a sound and independent audit. I'll try to give some more detail about the elements that -- of which our audit consists of. In order to achieve an unqualified audit opinion, we planned and performed our work in such a way that we obtain sufficient and appropriate audit evidence for the opinion that we issued. We assembled an international team with extensive experience in Ahold Delhaize's business operations. It is a team that works with a great deal of energy on the audit of Ahold Delhaize and in whom I personally have a great deal of confidence. In order to ensure a smooth transition from PwC to us, we held so-called transition workshops and reviews the files of our previous auditor -- this previous auditor. We visited several brands, both in the United States and in Europe. And at the start of the audit, we held a multi-day kick-off session with the international team of KPMG to which Ahold Delhaize also actively contributed. We conducted the audit with a reasonable assurance in order to determine the fairness of the financial statements. And I can inform you that our audit was conducted with a materiality of EUR 150 million for the financial statements in their entirety. And this corresponds to about 5% profit before tax normalized for, amongst other things, the loss on the sale of FreshDirect. For the audit of the consolidated financial statements, so-called full scope audits were conducted by our component auditors at associates in the Netherlands, United States, Belgium and Czech Republic. As a central group team, our work included the valuation, amongst other things, of goodwill and brand names, the sale of FreshDirect, treasury, operations, director's remuneration, consolidation, and further explanatory notes to the financial statements. So we engaged specialists in areas such as IT, tax, treasury, valuations, pensions, insurance and fraud. And we do this to support both the KPMG team at the group here in Zaandam, but also the teams in the countries where Ahold Delhaize is located. Our work overall has resulted in a coverage rate of about 85% of all assets and 90% of revenue, which we consider to be a robust coverage. We have weekly meetings with the Ahold Delhaize's financial functions and are in very frequent contact with the risk and control in the internal audit departments in order to learn about their findings as well. Personally I participate in all Supervisory Board Audit, Finance and Risk Committee meetings. And I also have individual discussions at least every quarter with the CEO, the CFO, the Chairman of the [ AFRC ] and the Chairman of the Supervisory Board. I experienced these discussions to be open and very professional. Developments, impressions, observations and feedback are shared and discussed at these meetings. Now I would like to explain our key audit issues -- key audit matters rather. When we plan our audit, we determine the main risks for the fair view of their financial statements. The key audit matters have been the main areas of focus during last year's audit and relate to significant estimates and judgments made by management. Our main 2 key audit matters were set out in our opinion to the financial statements. The first key audit matter concerns the valuation of goodwill and the brand names of, in particular, Delhaize in Belgium. Management annually reviews the valuation of goodwill and brand names in order to determine whether there's any impairment. The fair value or the fair value less cost of disposal is then compared to the carrying value. And we consider this to be a key audit matter given the size, the magnitude of these items on the balance sheet and management's judgments and estimates underlying valuation. We reviewed management's processes and tested and reviewed the design, the setup of internal controls. We challenge management on the assumptions that are most sensitive to the outcome of the annual review, namely revenue growth, margin expansion and discount rate. And we also compare the key assumptions with the external data, historical performance and local economic forecasts and outlooks. We engaged our valuation specialists in order to evaluate and review the valuation models and discount rates. And we also compare the totality of future cash flow projections with market capitalization. We reached the conclusion that management's valuations and assumptions were adequately supported. The second key audit matter relates to the substantiation of vendor discounts. Ahold Delhaize receives various and significant discounts from its suppliers or vendors. Agreements with suppliers include both volume and promotional payments. And we identified this as a key area of our audit because of the magnitude of the amounts and the judgment required to determine whether these rebates were accounted for in the correct period of time and the year-end receivable was properly and correctly recorded. We reviewed and tested management's controls of the compliance with the contract terms and determined exploration where possible. And retrospectively, we also conducted a review in order to assess where the vendor rebate receipts from prior periods were consistent with prior estimates. And we reached the conclusion that the vendor discounts were accounted for in the correct period. We would also like to comment on the internal control environment and internal controls, including the IT environment of Ahold Delhaize. In auditing the financial statements, we use internal control measures and internal controls insofar as relevant for our audit. And this means that we did not perform an independent and specifically targeted examination and review of the company's internal control. The purpose of our audit is not to express an opinion on the effectiveness of the internal controls. Having said that, based on our own audit work, and the work of Ahold Delhaize's risk and control department and internal audit, we did obtain an impression of internal control over the financial reporting. On Page 172 of the annual report, management explains their three lines of defense. On Page 173 management confirms in their in-control statement that the financial reporting does not contain any material misstatements. Management's confirmation is consistent with our assessment of the internal control environment based on what we observed during our audit. In all our audit procedures, we consider the risk that management might breach internal controls and whether there are any indications of potential improper management influence. And in addition, we identified a potential fraud risk, the rest of fraud due to overstating revenue and the risk of fraud due to improperly accounting for supplier discounts. To give you an idea of the work that we performed, we performed additional testing of manual and nonroutine journal entries in financial records. We reviewed key estimates and assumptions for management buyers. And compensation packages were reviewed for incentives for influence. As part of our work, in terms of internal controls. We also look at the relevant culture and behavioral aspects, the so-called soft controls. These include internal measures regarding prevention, detection and response to promote the effectiveness of internal control. For example, do your employees see the right example behavior from management. As management set the example, and some responsibility can they be executed are issues negotiable. Is there enforcement? And these behavioral aspects can be reinforcing or weakening elements that help us arrive at a refined risk analysis with respect to internal control. Our evaluation of the work performed on the internal control environment did not lead -- did not result in indications and/or suspicions of fraud and noncompliance in terms of rules and regulations that have a material impact on the financial statements. We performed work on management's process regarding access management, backup and recovery procedures in IT environments. For our audit, we also consider the risk of material errors due to cyber risks. We took note of cyber incidents that occurred and we assessed what Ahold Delhaize is doing in order to improve cybersecurity, and we have involved our IT specialists in this field. During our audit, no cybersecurity incidents or risks emerge that would have led to material misstatements in the financial statements. Allow me to focus on the topics of climate risk and continuity. Climate change is an important social issue that affects companies. On the one hand, companies have a responsibility to mitigate the impact on climate change. And on the other hand, companies experienced the impact of climate change on their operations. And therefore, the impact of climate risk is an explicit part of our audit. Our premise is to identify and assess the risk of material misstatements of the financial statements. We've considered Ahold Delhaize's climate plans and how the company may be affected or impacted by climate change. The effects of climate change can impact the business model and the risk profile. Climate change may also impact estimates and assumptions regarding asset life and valuation. In the Risk section on Page 101, Ahold Delhaize describes the key climate risks namely extreme weather events that could negatively impact operational infrastructure, sales volume and the supply chains. We agree with management that climate risks do not currently have a material impact on the expected life span and valuation of assets. Management has prepared the consolidated financial statements on a going concern basis, assuming that Ahold Delhaize will continue to operate on a going concern basis for the foreseeable future. We've reviewed management's assessment of the going concern, including by reviewing the business plan budgets, the expected cash flows for the next 12 months. And also we assess the adequacy of financing. Our work does not lead to a conclusion that is different from management's assessment regarding going concern basis. Finally, as indicated, in addition to our opinion with respect to the financial statements, we've issued an assurance report with a limited assurance on the selection of ESG information. This opinion has been included on Page 321 of the annual report. The work that we performed in this context consists primarily of understanding the relevant sustainability topics, discussing them in substance with Ahold Delhaize and determining the plausibility of the reported ESG information and indicators in the annual report. As part of our work, we visited several brands. We gathered information, identified alignments and reconciliations, conducted assessment analysis and performed limited content testing or substantial testing. And this did not reveal any particular findings with respect to the selection of ESG information as included in the annual report. We have stated that we did not find that selected ESG information in the annual report, is not included in all material aspects in accordance with the GRI standards and the other ESG reporting criteria explained by the company. This brings me to the end of my presentation. I hope that I've been able to provide you good insight into our work and findings. We appreciate the relationship with you as a shareholder, and we'd like to thank you for your attention. I'd like to give the floor back to the Chairman. Back to you, Peter.

So thank you very much, Erik. On behalf of the Supervisory Board, I would like to briefly explain the Supervisory Board profile that has been shared with you as part of the meeting materials. The profile is reviewed by the Supervisory Board annually, and we have made some minor changes to align with the updated Dutch Corporate Governance Code that Frans also referred to in his speech. By doing so, we believe that the profile is representative and supporting the company's needs. So now that we are done with the explanation of the items under Agenda Item 2. I would like to inform you that the voting will now be opened. As a reminder, voting for all agenda items will remain open until the end of the meeting, and I will indicate when voting is about to close. This allows you, as shareholders the opportunity to vote on the agenda item at your convenience. Before we proceed with the voting item on -- voting items on the agenda and open up the voting I would like to ask the civil law notary, Martin van Olffen from the law firm, the De Brauw Blackstone Westbroek, to make the necessary statements. Please go ahead.

Thank you, Peter. [Interpreted] 147 people are present here at the Zaantheater, and virtually a shareholder and proxy holder, you're representing 659,309,721 ordinary shares entitling to the same number of votes. The number of outstanding ordinary shares, 68. 9% is represented here today. Today, many of you are attending the meeting, and it is important that the discussions about and the decisions on the topics that are important to Ahold Delhaize is that they take place in a very careful and prudent manner. And for that reason, we are trying to guarantee the order, the discussion, as has been explained at the beginning of the meeting, and the Chairman will be repeating this. Today, you will be given the possibility to cast your votes on all items -- voting items at any point in time during the meeting. So you can, but you need not wait until a certain agenda item, voting item has been discussed. I will be explaining the voting procedure in a couple of minutes. And after that, you can cast your vote for all items on the agenda, if you wish. And then afterwards, until the closing of the votes, you can always change your vote if you would so desire. We assume that the meeting will proceed in an orderly fashion and that we will have a discussion on all items of the agenda. We cannot rule out that during the meeting, we may have to adjourn the meeting or that the meeting will have to be closed sooner than planned. The possibility to cast your vote continuously throughout the meeting, will give you the certainty that your vote will be included in the voting results. Should there in the -- should in this unlikely case, the meeting be adjourned. And so therefore, I would recommend that you use this possibilities. We've just had a trial vote, but I will briefly explain the voting procedure. If you are here personally, physically, you can vote via the app on your mobile device or the voting device that you received when you registered for the meeting. Voting for all agenda items will be opened and the voting will be closed at the end of Agenda Item 7. At least that's the idea. So all voting results will be presented at the end of the meeting after the voting has been closed. For every item on the agenda, you will always see three choices on the screen. 1 is in favor, 2 is against and 3 years abstention. After you make your choice, you make your selection, there will be a confirmation that appears on your screen. And should there be problems and if necessary, you can always ask for help from one of the staff members present in the auditorium by raising your hand. So once again, you have the opportunity to vote on all agenda items until the Chairman concludes or closes the voting and that is expected to be at the end of Item 7. But you don't have to wait until an Agenda Item is discussed in order to cast your vote. So Peter, that's it.

So the voting for all resolutions is now open. And as mentioned, you can vote on all resolutions to already from now. So as provided for in the convocation for today's meeting, shareholders have the following options to submit questions. For those here in person, there will be microphones available for you to ask questions. Finally, we offered shareholders the opportunity to submit questions ahead of the meeting to be answered during the meeting as well. When asking questions, please state your name clearly and formulate your questions as short and concise as possible. And if you are proxy holders, please state your name of the shareholder you represent. There are mobile wireless microphones for asking questions. Please remain seated and raise your hand, should you have any questions. And please wait until the microphone is brought to you. And we kindly ask you not to grab or hold the microphone while asking your questions. Furthermore, I may invite certain shareholders who have raised questions before the meeting to ask their questions. As I said before, I kindly ask you to maintain a respectful meeting order for which all shareholders get the opportunity to ask their questions. I also ask you that you keep your question short, that you do not repeat questions that have already been raised and/or answered. And that you avoid lengthy statements, so everyone gets the opportunity to ask their questions, and that they have the time and opportunity to do so. And finally, as I said before, to ensure that questions are answered efficiently, we will collect and combine a number of questions before we answer them.

So with that, I would like to open up for questions to Agenda Item 2. And if anyone has some questions, could you please raise your hands? Okay. We start down here to the right.

Hello. My name is [ Michiel van Esch]. I work at Robeco. And today, I also speak on behalf of MN, APG Asset Management, ABP and PPF-Bau. Many thanks for the presentation, and congratulations on the annual report. On this Agenda Item, I have 4 questions, 1 about capital allocation and portfolio management, 1 about Ahold's tax disclosures and 2 about its sustainability ambitions. My first question is in relation to your portfolio composition. Ahold Delhaize had to dispose FreshDirect. And in the annual report, this was marked as a difficult and unfortunate event. Could you share any lessons learned or reflections from the Board in terms of portfolio allocation. At the same time, new additions are intended to be made to the Ahold Delhaize's family such as Profi. Could you explain your considerations why you believe that these will be long-term successes in terms of value creation. My second question is on your tax report. We are happy to see that the tax report is being added to your annual report and we appreciate the tax contribution breakdown by type and country. Often, these reports are offered with the purpose of providing stakeholders with a sense of how taxes are paid aligned with economic added value. Disclosures, including FTEs, revenues and margins will help to make such an assessment. For example, Switzerland is listed as one of the countries where the group pays the highest amount of corporate taxes although your company does not have many supermarkets there. Could you elaborate on the economic activities that you carry out in Switzerland and how they fit in your value chain? My final questions are in relation to sustainability. As mentioned in your climate transition strategy, the majority of your company's emissions are in Scope 3. The levers you defined to address these emissions are engaging suppliers and farmers, providing assortments with lower footprints and encouraging customers to choose lower emission products. For all of these measures, you have a level of dependence on other stakeholders. What will your actions be if there is insufficient traction in terms of demand or supply from other stakeholders? How will you track progress on these 3 levers? And lastly, could you provide us with a time line of when the company will disclose the results of the ongoing work on nature impact and dependencies? Is the company planning to issue a TNFD report. Those are my questions under Agenda Item 2. I also have questions on the remuneration report and the nominations, but I guess we'll do those later.

We'll come back to them, I think, at the later stage here. Okay. We continue to take in a few more questions before we answer. And I suggest we go to the gentleman up on the right-hand side there, and we move ourselves through the audience.

Yes. Good afternoon. My name is [indiscernible], if you want to. I speak on behalf of [indiscernible]. I've got 1 point, given a good example, short questions. It's about your ambition, ambition not concerning, I don't know anything concerning the environment or inclusion. Really, the old-fashioned ambition as far as financial results. I've got 2 topics, 2 elements to that. The first one is the development of free cash flow. And if you leave out all the special things in the last 5 or 6 years, your free cash flow has been around EUR 2 billion. In the coming years, EUR 2.3 billion is the forecast is your target. But also in there, I think the 2 factories which are included, I think, meat production and so on. So the first question would then be what can you do to make sure that your organic growth is translated into a much faster growth of your free cash flow? First question. The second question is more fundamental. I'm not saying that Ahold is performing badly. You're not at all. You're performing consistently, reasonably well. But what can you learn from Walmart. If you look at Walmart, it's a giant and in true sense is much, much bigger than Ahold in total. However, its valuation is much -- even much bigger than it is big already as far as size is concerned. So the financial markets are valuing Walmart much more highly than the financial markets are valuing Ahold, [indiscernible] at least higher. What can we learn? What can you learn from Walmart and ensure therefore, the long-term growth as far as for shareholders is concerned that the growth is getting an extra momentum, those are my short questions.

Thank you very much. We'll take one more question, and then we'll start answering. Okay, go ahead over here in the middle.

My name is [ Jesper Meus ] from [indiscernible] I have 3 questions for you. Although Ahold Delhaize recognizes the impact of biodiversity loss and soil degradation on vital resources neither biodiversity nor pollution have been identified as material topics. Will Ahold Delhaize provide a list of the topics, matters or impacts that were considered and assessed for materiality in the next annual report. Question two, [indiscernible] comments Ahold Delhaize for the living wage initiatives in which it partakes. However, both in the annual report and also in the human rights report, information and results on these initiatives are limited. Can [indiscernible] expect Ahold Delhaize to include more information on its efforts to ensure a living wage in its supply chain on the next annual report. Question three, Ahold Delhaize state that it frequently reviews its membership of industry associations and chamber of commerce to align with its corporate values and business objectives. Is Ahold Delhaize willing to report on how it revises its memberships and the results of these revisions in the next Annual Report. Thank you so much.

Thank you very much. So I think we could get going and try to report back on them and then we'll continue to circulate the microphone, but just hold on a second. So Frans, I suppose, we start with you and the questions that came in from Robeco on capital allocation, FreshDirect earnings, Profi, tax reporting. And then we could head over to Jolanda maybe for the activities in Switzerland and so on. So please go ahead.

Yes. Thank you very much, and I happily do so. Thank you very much for the questions. Those are indeed relevant and good questions also to discuss with ourselves. FreshDirect. I don't repeat the question, but I'll just try to answer it. Shopping experience in the U.S. for customers changed quite dramatically. And I already mentioned in my speech that the business models where we embarked on 3 years ago or 10 years ago, dramatically changed in the requirements customers have for same day, next day, pick from store, get delivered and so on. And those changed more rapidly than we anticipated, as you can imagine, as we only bought FreshDirect 3 years ago. So that was the reasoning why we looked at adjusting our business models to customer requirements. That's why we sold FreshDirect, and that's why we closed those 2 next-day e-commerce fulfillment centers in Jersey City and in Maryland. Another question is what have you learned from that? And I think that is, of course, also a question we put to ourselves as well. And I think we could say that where we have a strong view on the future being an omnichannel type of company, stores and an e-commerce, online combined under 1 brand roof that, that is, for sure, the way forward. And that pure-play e-commerce business is more exposed to potential risks of business models. That's one thing. And the second thing is that, yes, if we would have known 3 years ago, what would have happened now, then would we be in a better spot. And I think what we did, and that was a tough decision, and you have seen the numbers is that, let's say, better cut that decision and take the loss and move on to business models, which are more profitable and more beneficial to our customer base. That's why in the last years, we have roughly 2,000 stores on the East Coast in the U.S. and that we have now 1,500 stores in the U.S. equipped for pick from store and -- pick up from store and also picking in store and pick up from store by customers. and customers have a very high level of adoption and more than 60% of our sales is coming from that mode. And it was 10 years ago, completely the other way around when we were 1/4 of the shelves. And where we're 90% next-day delivery. So business model changed dramatically. We use now the asset base of our company much better. I think this also will bring us earlier into profitability of our total e-commerce frame. So that is on one hand, let's say, the side effect. And we work also with third-party providers like Instacart and DoorDash to see how we can still please customers with a delivery product and/or a better profitability. So the mix in composition, what customers expect from us, the mix in homemade, self-made and third party. The mix to sweat our assets in the stores is now in a better composition and those are a couple of those learnings. Profi is a retailer in Romania, and we decided to embark on the Profi plans because we felt this is very complementary to our present successful Mega Image business in Romania. And the nice thing about Profi is apart from the fact that it creates us more scale and we will be #2 in the country there, and that is in line with our strategy, #1 and 2 in all the markets where we operate, but it's also highly complementary for a type of business model Profi has, but also geographical presence. So Mega Image, you could say, is more in the larger cities in Romania, especially in Bucharest, with a 35% market share, but Profi is more in the regions of Romania. Romania is an interesting country. I don't know if you have been there, but it's an interesting country because it's a 20 million population. So for us, in our European network, the largest population network country we have. And it's an interesting market for us because the market is growing GDP and also is growing also in acceptance and adoption of our products. So Profi will be good. It will be more than double our size in Romania, 1 and 2 complementary and geography. So that's what the rationale of Profi is. And how this will play out? We don't know yet because we still await the authorities to give the approvals and we expect that in the Q3 or Q4 of this year. That's on Profi, Peter. Then that's why we think it's an interesting market. Then we go to the climate transition strategy. The nature of Scope 3 means that it will always be a collaborative effort. And as you might know, if you look at the total food supply chain, which is roughly 30% of the worldwide emissions, retail in our Scope 1 and 2 is only 5% of the total. So that means to attack Scope 3 emissions means by definition, collaboration, collaboration with transportation companies with the larger food manufacturers, teaming up with other retailers, but also that is all upstream but also downstream, talk to our consumers to make sure that what they buy, they also really eat because of food waste in our in your kitchen is also, in the end, affecting carbon emissions. So that is important to us, collaboration. We might talk a little bit more about this today. So it's also our key to make sure that we collaborate therefore, with all our stakeholders, that we collaborate with all everybody in that supply chain, including manufacturers, including farmers, including transportation companies. And I mentioned in my speech also how we try to foster that collaboration with the Climate Hub so that we make our climate hub work at Albert Heijn available in total Europe so that suppliers can also report to it. And that we also get a better insight. We have a plan that we -- a plan and an expectation that 70% of our supplier footprint will be asked to commit to SBTi by 2025. SBTi, Science-Based Target initiatives. I guess we have a little bit more content on this later today. So all our suppliers will be asked to report on Scope 3 by 2025. And we measure also, of course, the estimated greenhouse gas emissions of our own assortments. All our food retail brands in Europe have committed to the baseline also on the current protein ratios. I mentioned the great example of Albert Heijn, which is now aiming at 60% of the proteins consumes coming from plant based by 2030. So there are a few initiatives which we have in mind to work on that. Then TNFD, the reporting on nature. We developed in 2023 a plan for our nature approach. And to do so, we conducted a high-level impact and dependency assessment using the ENCORE Natural Capital Model and reviewed our current initiatives. In 2024, 2025, we will conduct a more detailed impact dependency and risk assessment and identify value chains and regions for additional exploration on nature. To review existing targets and consider the feasibility of setting new or additional nature targets, including in exploring the feasibility of SBTN and I'm pretty sure that you know what that stands for. Implementation actions within our brands and just plans will be based on learnings and insights. And of course, this whole nature area and the biodiversity topic is something you have to grow into learn, make it very visible and also enjoy the front runners in our own company because we have those. Initially, we aim to deliver increased reporting on nature through requirements of the CSRD as applicable because they asked for that. And due to the significant overlap between the CSRD and the TNFD we expect to address several components of TNFD in our reporting on nature. And you could argue that TNFD, TCFD and CSRD are all in a way, migrating sort of the 1 way of reporting. So very active on this and also with Jolanda, our CFO, super engaged. So I'm quite hopeful that we made quite -- some good steps there.

Jolanda?

Last question that you post on tax. I'm happy that you appreciate the tax report that we've included in our annual report. Your question on the Swiss activities. Well, our Swiss activities are in line with the principles of the VNO tax governance code and they have genuine substance. They are involved with our business activities on a day-to-day basis, think of cash pooling, cash collection, liquidity, insurances and financial risk management. We have a full operational team in Switzerland with highly skilled and experienced people who are managing the risks and the treasury activities of the company as a whole.

Thank you, Jolanda. And then actions on ESG, Frans.

Thank you, Peter. The nature of Scope 3 means that it will always be an collaborative effort, and we talked about it before. And the key word for making big progress on Scope 3 for our company and for the industry is indeed collaboration. So -- of course, we would like to minimize the risk of insufficient actions. I can give you a few examples, as I mentioned before. I mentioned the climate hubs. I mentioned that we talk to our suppliers, expect from them to be 70% covered by SBTI by 2025. All our suppliers will be asked to report on the Scope 1, 2 and 3 by 2025, and we measure, of course, all the greenhouse gases related to our own example. I mentioned the very good examples at Albert Heijn. And what else you can add to the comments is that you heard me talking about the consumer goods forum. This is this association with all the big retailers and manufacturers. And one of the targets we would like to have -- we frame together is to be net zero as soon as we can. And that means collaboration, that means with the PepsiCo's and the Unilever's and the Procter & Gambles and the Nestle's and the green -- the other green core companies and so on, also with a lot of smaller manufacturers, also with other retail companies in Europe and in the U.S., in Asia and in Latin America and the smaller ones that we have to come together to get ourselves on one standard and have a common definition and ambition. And I feel that in that consumer goods forum, but also if we speak to other manufacturers and retailers, there's a high level of ambition and will to make that happen because everybody sees that we have to do something firm on climate as you can -- as you are used to from Ahold Delhaize.

Thank you, Frans. And then the next question was from VBDO. VBDO, yes. It was related to living wage disclosure in the annual report.

Yes. As you know from our earlier conversations, Ahold Delhaize brands are engaged in multiple initiatives on living wage and living wage income in the supply chain, for example, in the Banana supply chain with Dutch and Belgium commitments to living wage in the Banana sector, which is a concern and also at the same time, a point of attention for ourselves. But also, for example, in the Cocoa supply chain with the Dutch initiatives for sustainable cocoa, the Belgium Better Chocolate initiative and the collaboration with Tony's open chain for the Daily Carta brand. and I hope you enjoyed the Daily Carta brand in our stores in Europe. It's super chocolate and very sustainable. In addition, progress towards living wage is covered not just by the Rainforest Alliance and fair trade, but also in the BSCI code of conduct. And by many of the other social standards and certifications that our brands implement in their supply chains. We are very much linked to this. We very much report on this and we would like to make sure that our supply chains are from a point of view of living wages and human rights safe and solid. The human rights impact assessments conducted by Albert Heijn include an assessment of the living wage gap, and Ahold Delhaize is in the process of setting up at least 2 global human rights impact assessments this year that will include also an assessment of the living wage gap too. Ahold Delhaize will report on progress in our next human rights report. You have seen that 2 years ago, the first one where we were very transparent and very clear about the salient issues but also the things where we are proud about and that is planned for later this year in 2024, the next version of our human rights report. And we will integrate our reporting on human rights in the annual report in line with the CSRD where we're very hard working on to make sure that we comply with those. We will take your recommendations to heart and strive to release more relevant information on the progress of the initiatives and also where our brands are engaged in. However, in the meanwhile, we invite you to also explore the progress reports already published by the sustainable trade initiatives, Tony's open chain and of course, the sustainability report of Albert Heijn and the next one is coming up soon, I think, even by next week. So I think good progress made, high on the attention list of our companies because we would like to make sure that we have not only save a good living wage structure in our supply chain, but also proper human rights because we would like to make sure that [indiscernible] the farmers and people working in the supply chain have a good life and are also protected.

Thank you. And then it was a continued question regarding Walmart and what learnings we can learn from them when it comes to valuation and shareholder growth -- shareholder value growth?

Yes. I can say a few things there. I think we have a respectful Walmart strong company. It's also a very different size as we are at the same time. But I think they made good strides in a few elements where we think they have a strong proposition to customers. I think they stepped up quite their game in e-commerce. They have a strong private label and they have foremost also a lot of strength in their size. But having said that, if we see how we compete with Walmart at the moment on the East Coast on the U.S., you know that we are only on the East Coast. We compete very well with them and if it's in the Northeast or in the Southeast in the Carolina, we are very proud about our market share gains there. So it's always good to learn from competitors. I always look to study what they're doing and that's not only for Walmart for many other competitors and not only in the U.S. but also in Europe. And I think that is, for us, important curious -- curiosity is important. Our people are visiting a lot of brands during a working week just to check what's going on, if there is discount, if supermarkets, if hypermarkets, if it's -- if it's club formats and so also for Walmart. So close to it, eager to learn from it, sometimes not completely comparable and we compete well with them. But yes, I think it's a strong company and with a strong valuation development.

Okay. Jolanda, next question was, let's see, regarding organic growth and free cash flow growth. Can you say a few words about that?

Yes. Thank you for the question. Free cash flow delivery is strong as we already discussed, and this depends highly on sales growth on which we work on a daily basis. Our margin delivery, highly related to our cost-saving programs and other initiatives and working capital developments. And last but not least, investments that we make. As you mentioned, our free cash flow was impacted by several one-offs like Delhaize, FreshDirect, et cetera, but still our cash generation remains strong, and this allowed us to also invest around EUR 2.5 billion in capital expenditures and we continue to do so to -- and fuel that growth again. An important element in that list is also working capital because we've seen that after COVID normalized trading reduced our working capital position. So we hope to improve that over time again. And that Peter, was a short answer.

Okay. And I think there were another question regarding material, if -- is that for you, Frans, or Jolanda?

I'd love to take it, but I also happily share this with my colleague. Go ahead.

Yes. We are in the process of conducting the so-called double materiality assessment in preparation for CSRD. And this process will be used to identify the material topics for the '24 reporting period. It's an extensive process in line with best practices and guidance from external frameworks, including inputs and insights from a wide range of internal and external stakeholders. This will help us to ensure that we adequately capture the impacts we have on various environmental, social and governance topics and the impact those topics have on our business. As this process is ongoing, we cannot yet provide information about the outcome of that process or what kind of thresholds we will use. But the outcomes will, of course, be included in the annual report of 2024 following the disclosure requirements under CSRD.

Shall I pick up the [indiscernible] question, Peter.

Yes, I think very good. Very good. You're quick today, Frans. Maybe in a self-initiative, but just tried it.

So -- so [indiscernible], and I think it's an important question because we would like to be very transparent about this. We continually review our memberships with trade associations to make sure that our corporate values and business objectives align on the issues which are most important to us and to our customers, therefore. In the event when consensus could not be reached or we clearly disagree with the positioning of one of our industry associations, we share that with the association and reserve our right to position as an individual company or as a part of a group of like-minded companies and organizations. We are well represented. We are well staffed on public affairs in all the markets where we are, we're member of trade associations, and that's exactly the behaviors we have dealt with. And you can see also the behavior reported in our annual report. Ahold Delhaize reports in compliance with applicable legislation, but you're used to this. This speaks for itself, but just to make sure that we are, of course, working according to the law.

Okay. Thank you. We continue to take in a few more questions. I see a hand raised over there. We will work ourselves up. So don't worry, we'll get to everyone. Please go ahead.

[Interpreted] Thank you, Mr. Chair. You may have to put in your head set up because I will ask my question in Dutch. My name is David. I'm from [indiscernible]. And I have 3 hats. I'm villager of the community. I'm a customer visiting Albert Heijn and I'm a shareholder. In the last 2 roles, led to a question, good quality, Mr. Muller. Mr. Muller, in your speech, you mentioned a few points concerning the price pressure, the prices being imposed by your suppliers a month ago, in the Financial Daily, there was an article about this where your European Director, Mr. Kolk took the floor. And in no uncertain terms, he expressed his frustration about the prices in that supermarkets getting way beyond German prices as a result, for instance. And in my view, one of the effects was that the tipping point of doing your shopping once a week across the border in Germany, in places close to the border, moved further into the Netherlands and this may make it difficult to reach the target sales in Albert Heijn stores. And we know that the target is to have one level playing field in Europe. And you mentioned lobbying in this respect. My question is whether you are going to do lobbying only in the Netherlands at the European level or that you are going to contact your suppliers, first of all. Can you say a bit more about the way you wish to tackle this problem. And if items in your Dutch supermarkets are cheaper for consumers because your suppliers are cheaper, that is to the benefit of consumers, and then the revenues increase. And we, as shareholders, may also benefit from the expected higher sales. So I think Mr. Kolk can answer this question perfectly because he works with this on a daily basis.

[Interpreted] Excellent question. Thank you for reading the paper and asking the question. I can only concur with you and this is exactly what Frans had in mind in his speech when reflecting -- when referring to Eurelec. This is an alliance that we have as Aldi [indiscernible] a large chain of supermarkets in Germany and E.Leclerc in France, also a major player. And indeed, the intention is for us to look together at cooperation to see whether we can do procurement together, whether we can create a level playing field. And it is our intention, indeed to bring back benefits to customers, consumers to make them return frequently to our stores and then to generate benefits. So this is exactly the rationale for this alliance. Thank you for the question. That was one component of your question. But one, I wasn't completely happy with the way you were at prices imposed by manufacturers. That's not how we work. we have a good market share. We have first or second place in the market. So we are talking about negotiations, tough negotiations sometimes and manufacturers can ask the procurement prices to rise. I mean we agree. Wouter and his team are working very hard day after day to compare the prices with other prices to benchmark. And we have more than 50% market share of the own brands in Netherlands. So we have a say in the price of coffee or tea. So this is a matter of negotiations with our partners, and it usually leads to a good agreement, proper prices, not imposed result of negotiations, and it took us much more work over the past 3 years.

[Interpreted] I understand that you did your utmost. And I'm sorry if I implied that these prices have been imposed by suppliers, but I do understand that you try to get the best possible prices. Well, I'm not too sensitive about these comments, but I just wanted to clarify what it is that we do day in, day out.

A little bit to the left-hand side or the right-hand side from your side, and I see a lady with arm up. Can someone reach out to her with a microphone. Here it comes. Please go ahead.

[Interpreted] Yes. My name is Minnie. I will be speaking Dutch. I'm of Milieudefensie young. And I'm a permanent guest at the shareholders' meeting because I'm involved in the climate plan of Ahold. We have asked researchers to calculate the damage to environment. And the conclusion of our study is what Ahold does. And I've got the research. Somehow found out that more than 100% of the profit of Ahold goes to shareholders. And this is money that could also have been deployed for the climate and for society at large. It wasn't used for that. And then [ Profuno ] found out that Ahold in 2022 alone was responsible for EUR 9.8 billion in terms of environmental damage. And this is only prevention costs. So this is an amount that I never even saw at school at mass class. It is such a substantial amount. I mean, that was what came out of this study, enough reason to have a good climate plan in line with international climate arrangements. Instead of that, Ahold Delhaize is hiding 1/3 of its emissions and its not incorporating it in its goals for 2024. And they have a reduction goal of 26%. That's what we calculated, which is not the 48% that the Paris agreement requires. So I'm wondering why this is the case, especially because the urgency of the climate crisis has only increased. And last year, we attended the AGM with the last prompt no longer time for prompting. For 3 years, I've attended the AGM instead of going to university. This is frustrating. Believe you me, I would have preferred not to be here today, which is why I'm not only asking, but I am demanding that Ahold Delhaize reduce its emissions with 48% in 2030 as compared to 2019. In absolute terms, throughout the chain, Scope 1, 2 and 3. And my question here, therefore, is will Ahold Delhaize commit to these requirements, and so the Paris agreement? Or will we see you back in court. My advice, please don't become the next Shell or ING.

Thank you. We move on with more questions. I saw a hand up here, the gentleman with the tie, could you please raise your question.

[Interpreted] Good afternoon, ladies and gentlemen. My name is [ Robert Frager ]. We Connect -- you Public Affairs and Investor Relations. Ahold is a white Raven in supermarket in retail country. You're very strong in terms of social shareholdership. I had asked you to do much more about with vegan products. And you did that, you paid head, you've introduced much more vegan products. Frans Muller has been a vegetarian for 30 years. He even may be vegan. So I think that's a great signal here in the garage, there electrical BMWs i7. So Ahold is doing a lot. Heineken has 0 alcohol. I've been working on this for 10 years. René Hooft Graafland will confirm that. Heineken 0.0 is the most important alcohol-free beer. And Albert Heijn is also focusing much more on vegetarian food. Vegan Finest Foods is important in that respect and the unique thing is that it's a Dutch company, they make vegan food as if it were meat. Let me repeat Vegan Finest Foods. Peter Agnefjall and Wouter Kolk will take a look. And Frans Muller might even also taste it. It is unfortunate that communication towards the parties behind me here is so bad. You should communicate so much better in the newspapers and on television and explain much more what it is that you're doing in terms of the environment? What else? And you have smaller stores such as [indiscernible], and it would be great if those small stores would remain open, possibly even with money from the community. This area is not a poor area, and it would be wonderful if you were able to support these smaller companies, 80% of your food is unhealthy. And this applies to all supermarkets. Healthy food is much more expensive than cheap food. And that leads to a lot of obesity. I am working with [ Erik Scherder ] to see whether the Netherlands -- people in the Netherlands can eat healthier food and have more exercise because it is very important. And it's important to communicate that you engage in hospitality. And cash registers help with that because even in Amsterdam in the firm [indiscernible] you have this large store and you only have 1 cash point, 16 self-scan points. So the advantage of good staff and the human touch is something that has been lost at Albert Heijn and you could just as well turn -- go to Lidl or the Walmart supermarkets. So I recommend that you keep at least two cash registers open per store. Finally, one more idea for you. Heineken, zero alcohol and sustainability can be communicated. You can sponsor the orange team, the national team by using Oberto Tom because he only drinks Heineken 0 alcohol. He is good at communicating and I'm sure he could also communicate everything there is to know about vegetarian food. So you're doing a good job, but communicate so much more because our Chairman of the Supervisory Board used to be CEO of IKEA, a very sustainable company. But with all these qualities, you simply are unable to communicate what it is that you're doing so well. And that is why all these people behind me are here. So that's a challenge for next year to get that right.

Thank you very much. Let's see. Are we good to go, Frans.

I will take another question.

We take 1 more question then let's see. We have one down from the lady here in beige jacket.

[Interpreted] Hello. My name is [ Flora Kreek ]. I am your ideal customer in the Netherlands. From my earliest childhood, I have been buying all my stuff at Albert Heijn and bol.com knows me better than I would want them to know me. The cashiers at Etos and Gall & Gall I know them personally because I am from a tiny village in Zalando and that's how things go. My shopping experience has changed since 2019 because it became painfully clear that our world is facing big environmental challenges. My daughter showed me the way. She told me to stop eating dairy and meat. So I stopped eating dairy and meat. That's difficult. It's difficult not to eat cheese, especially, and I find it very tempting to buy your 3-star meat and the data-driven marketeers of Albert Heijn will find it easy to tempt me because I get all these offers from Terra and the Vegetarian Butcher. And I get that in my personal bonus box, which I think is great. And it's also wonderful to -- oh no, I'm sorry, I have to skip this. And in an interview in the NRC newspaper, you said that you have 3 good well informed sons that inform you about deforestation, CO2 footprint, et cetera, et cetera. And they ask you about what you can do about that. And you are the CEO, so you have a great deal of influence and it was great to read that you also stopped eating meat, probably not because you love vegetables that much. That won't have been the reason. In front of you, you see a hopeful shareholder, I have -- I trust you and I have hopes for you. And as a man of the world, you are well -- you are very familiar with the need for food in the world and what the problems are. In the Flemish podcast I heard you say that Ahold Delhaize knows exactly what the customer wants to buy and when, influencing customers is something that Ahold Delhaize is really, really good at. So I think it must be possible to make sure that your shareholders, everybody listening in from home and all these people who have all their shares to convince all these people that over the next few years, they should be satisfied with a lower dividend because Ahold Delhaize has to do its utmost to work on a livable world. The Indians look 7 generations ahead, the First Nation. So we have to look into the future. Will your company in 2030 at least reduce its emissions by 48% in absolute terms throughout the chain in Scope 1, 2 and 3 as compared to France Muller. Frans Muller, what is your answer because I -- my day job is marrying people. So what is your answer? What do you have to say, Frans Muller?

It's starting to become a little bit lengthy statement. So going forward, could I please ask you to avoid that. So Frans, there was a question coming in from a long-standing visitor to our AGM about our climate goals and the reduction targets -- have to say about that.

Yes. Thank you, Peter. I'll try to combine the first and the third speaker talking about the questions. I think we can group them a little bit and Wouter, I think you should say a few things about Lidl and Aldi comparable shopping experience with Albert Heijn and [indiscernible] because that was a little bit irritating. But let's go to the questions and answers on the question. At Ahold Delhaize, we are very focused to deliver climate plan in line with the 1.5 degrees in line with the Paris Agreement. And this also checked and validated by the worldwide standards on this, and that is, for us, the Science-Based Targets initiative, SBTi. That's what we talked also in the last meeting as well. And for those of you who are not aware of SBTi. SBTi is a collaboration with CDP, which is a center for a lot of companies to deliver the data to the United Nations Global Compact, the World Resources Institute WRI and the Worldwide Fund for Nature, WWF, [indiscernible] [ White Fund ] and you know those instances. The Carbon Disclosure Project, CDP, is an international nonprofit organization with a very strong worldwide spread. And WRI is an institute with international and non-governmental strength and research. So a very respected institute for, SBTi. We declared last -- in the last annual report, not this one, but the one before, that we would work on our Scope 1 and 2 emissions. And those are the emissions which are in our own control, in our own operations and that we would reduce them by 50% in 2030 and net 0 in 2040. And the good news is, and Jolanda already mentioned that on Scope 1 and 2, we already reduced that with 35% this year. That's based on the 2018 baseline. So we are well on track to reach our targets in 2030 talking about Scope 1 and 2. On Scope 3, we declared earlier already the 37% 2030 reduction target and net 0 by 2050. And those are compared to the industry where we operate. With a Scope 3 in a total supply chain where collaboration is super important. Those are very ambitious targets also if we compare that to our own sector and our competitors. We might come later a little bit back to the more technical parts if you would like to do so. But those are the commitments we have. We are super serious in our company to reach Scope 1, 2 and 3. And that's also in our annual report. And we are a listed company, we are a stock listed company, extremely transparent on that element as well. And we are committed, we have the ambition, all our teams and our network work on that. So we need to close that statement. I think on climate, we have the same concerns. We share the same objectives and we work very hard every day to reduce those emissions in our own operations but also in the Scope 3 in the total supply chain that is upstream, what I mentioned before, producers, transportation companies, farming communities but also downstream with our customers to see how we can reduce that. I'm happy to discuss a little bit more here because I think the dialogue on this topic is super important to bring us together and to fight together to reduce those emissions.

Good. Any comment on the mentioned number on climate damage? Or we -- did you have anything to say about that?

Yes. We operate with SBTi, and those are the numbers we work with. And that's what I just said, Peter does. That is our general measure, how we look at the situation, and we do not recognize the numbers I just mentioned here. And we work on our own targets with our -- and SBTi has 1,000 companies connected or members of SBTi. So it's, I think, a very serious type of institution. And that is, for the moment, our reference, and we work on that. And also, we'll see we might hear later that SBTi, also that research is also developing and they also get new insights. And we are in a constant dialogue with SBTi that we're also in line with new insights talking about climate because we are committed to the 1.5 degrees Paris Agreement.

Okay. Let's see. I see you have a follow-up question. We'll come back to you in a second, so hold on. In the meanwhile, we had a question from [ Mr. Friekid ] I get that right about the Norden store. And he also mentioned a few words about improving communication and so on. Maybe Wouter [indiscernible] store is high on your list. So maybe say a few things.

[Interpreted] Yes, of course. Thank you for the question. And perhaps about self-scan and service as well. I think if we look at how we try to run our business adequately, we always look at our portfolio, our portfolio of stores, that is why we're so pleased with the acquisition of Profi because there, we particularly have stores in rural areas where we don't have operations right now. So with every brand, we always revisit our portfolio. We have a fantastic and beautiful store at the [indiscernible], 4 minutes by bike, 10 minutes walk -- and so we consider things and we decided to close the [indiscernible] store because we saw that lots of customers we're already moving to the larger store. And we also organized a shuttle bus to help people in [indiscernible] go to the store, and we increased our online service. These are things the considerations that we always make. And we always look at our store portfolio and that is indeed also the case in [indiscernible]. Something else, and not so long ago, there was quite an issue in the newspapers about self-scan 10, 12 years ago, I think we started the self-scans in stores, particularly, and we saw that customers liked it, and we're very positive about it. During the COVID pandemic, you saw that this really became a success in the supermarkets. Customers really appreciate being in control of themselves, touching their items themselves, not presenting them to the cashier, packing it in and out and everything. So the success of self-scan is entirely driven by consumers, consumer behavior. Consumers are very, very happy with the self scans and we do look at that from wireless drive, but also other stores at what a good balance would be the number of cash registers that we have opened as compared to the self scans. And of course, in lots of our stores. We have bakeries, where we have staff, of course, we never are stores. We're not stores without staff. So we really try to strike a balance here but the success of self scans is big in the Netherlands, not only in the Netherlands, but also in other European countries, and I'm sure that will stay that way. Peter?

And then there was a few other proposals from [indiscernible]. We thank you for that. We take them on Board and let's see how we can continue the dialogue. There was a follow-up question from the lady in the left, and then I suggest we move on to Agenda Item 3.

[Interpreted] Yes. First of all, congratulations with your Scope 1 and 2 goals, but this is just a small part. It's just some a couple of percentage points in your overall emissions. So that's great, very green arguments by focusing on that. And then there was a lot of focus on SBTI, and I heard that SBTi has not authorized your plans yet. So my question remains the 30% emission that you all of a sudden are hiding? What happened with that? You're not incorporating that in your climate plans. And then it's great that you're doing well as compared to competitors. We have campaigns focusing on many, many companies. So I'm sure that we'll be addressing them. That doesn't mean to say that you're doing so well. Study has showed that with these goals, you will only achieve 26% carbon reduction. And so that's not what the Paris agreement says. So you still remain a company with a lot of contamination. This is a method that we're using has been accepted by BPL. And so the government has also accepted these calculations, EUR 9.8 billion in 2028. It's an enormous amount, and that means damages to society and everybody who is here or even your own shareholders, and I'd like to hear your comments on that.

Thank you. Yes, please go ahead, Frans.

[Interpreted] Yes. Thank you. Thank you for your clarifications, for your position. SBTi is and if you are doubting that, well, I found that very difficult, but it's a renowned institute for science-based calculations in this field. So that is what we focus on, and we believe that this is the best premise for us to measure ourselves against. And it is correct that for Scope 3, we are in dialogue with SBTi in order to submit our goals to them. We are engaging in a constant dialogue with them. Many questions are being answered and the 2 outstanding questions were not certified and validated, but we're engaging in the process to get that done. The Scope 1 and 2, by the way, we have been validated and certified by SBTi, and Scope 1 and 2, of course, concerns our own responsibility for our own operations. And as you just said, we are progressing nicely in that respect. And of course, and I said this myself as well, Scope 3 is also part and parcel of our climate ambition. And if I then see that the entire food retail is about 5% of the overall food chain emissions. Then I would say that we are very ambitious in terms of setting a correct target for Scope 3, and that is precisely what we have done. And the world is changing constantly in terms of sophistication and science, the original SBTi target of 37% has been refined with flag and non-flag targets. I'm sure you're familiar with that. And so here, again, we have a validation, our submissions, our data that we've submitted to SBTi have been adjusted and have been fine-tuned. So for that reason, I believe that all of us here are working extremely hard at all of this and you mentioned something about cash flows and shareholders and the contributions to them. For us, it's important to have more stakeholders. This is a goal for us. And this involves everything that we do on an operational point of view, but also everything that we do in terms of climate in order to achieve our goals. So this is all incorporated in our performance in our results. And every year, we do our utmost to modernize our stores to have a better energy to improve our cooling methods, transport. So we invest an incredible amount of money in that. And you can imagine that we get all sorts of proposals from my colleague, J.J and Wouter also to further -- to make further progress in Scope 1, 2 and 3. So we're paying an incredible amount of attention to this. And we all have the same goal to respect the 1.5 degrees and this is what we're doing. This is also incorporated in our own performance, this ambition. We report on that 2030, 2040, 2050, and the road maps have been drawn up. And this past year, we've given an update of our climate plan with new data, new numbers precisely to be very, very transparent to those parties that are interested. And as you just said, ma'am, not only the people here in this auditorium, not only these people here are interested in these issues, but also our children, our future generations because we don't want things to get out of control, and we want to very much make contribution to this.

Okay. I suggest we move on to the front left side then.

[Interpreted] Okay. Mr. Miller and Mr. Kolk, I would like to complement you for the way you have a look at Jan Linders 44 stores in the light of price agreement to install cooling and other environmental equipment, you build that up in a very, very short period. It's great, but at the same time, the family company DEEN, is a company that you raised to the highest level of environmentally-friendly business conduct. So my complements is great for your environment and for the Paris Agreement. And I have question. On page of the annual report, you refer to a healthy and sustainable loyalty program. But wouldn't it be the case that the loyalty program for instance could also cover a gym as places where you can earn or rather use your points. Clubs such as Basic Fit. Because if you have a husband or wife and kids then actually subscriptions are very pricey. And if you could use the Albert Heijn points in a gym for your subscription, then I think it would be great. What is your view on that? And then a third question, you referred to the value of different products in different countries. But what's your view on this? If you look at Picnic, for instance, Picnic wants to buy its goods in Germany, then it was said that only supplies go up to the border. There's another procurement company belonging to the same group, but still another company is liable in the Netherlands. And they will charge a higher price. So with the new alliance, how would you deal with such cross-border situations. I'm really curious.

Wouter could you address the idea to use loyalty points in Basic Fit? And then there was a question about the competitor. What's her name? Picnic, I think. I don't know, never heard of them. No, Picnic wants to buy in Germany. No, We forgot that name. But Frans prefers not to answer any questions from Picnic.

No, first of all, thank you for your compliments on Jan Linders and DEEN compliments to the team of Albert Heijn that acted very quickly and very efficiently. Your suggestion on sports is a great. We at Albert Heijn recently introduced the Lifestyle coach which is something that allows you to use your points for consultations and recommendations. So that's related to the premium membership status. We are focusing on this now. But I think that cooperation with gyms is a great idea. We do it in some other European countries. So nothing strange with that suggestion. And then once again, I think that what Picnic reported on procurement together with Edeka is similar to what we do with our EPIC alliance. It's comparable to Eurolec. So you obviously see several retailers cutting on the same who wants to get better deals in procurement. Yes, but that's not what I mean aren't they saying that in France or in Belgium, you must buy from suppliers within the country, as a carve-out of countries. And that, for instance, Belgium will impose another buy us or procurement partner than the Netherlands. Yes, but it doesn't make sense to sell, for instance, Nutella with German text in the Netherlands, and it's hard to get enough of them. It's better to have direct talks with the Nutella manufacturer on the right numbers. And that's the game we're playing. And let me add 1 point. And that is that we want to move to free trade in a single market in Europe, and we want consumers to benefit from this.

Few more questions, and then we move on to the remuneration report. We start with the gentleman up on the right-hand side with a hand up, yes.

[Interpreted] Thank you. My name is [ Frosto Franbukost ]. And I'm not only a shareholder, but also a very faithful customer at many stores of Ahold Delhaize and therefore, I would like to complement you. I really grew up with Albert Heijn. When I think about shopping, I immediately see the blue store before my eyes. There where I grew up in the center of Amsterdam, we had the small Albert Heijn and the large Albert Heijn. I know no better. Now I was in Prague on holidays last year, and I run into Albert. And I thought, oh, that's great. I know that name. And I was served by a very friendly employee at the self-scanning because I don't speak Czech and I discovered that Albert also is a subsidiary of Ahold Delhaize. And I thought that's great. This recognizable identity is so important. It's great to have Ahold Delhaize shops all over the world with the same customer friendliness and with this broad assortment. So I thought that was really great. However, Ahold Delhaize serves millions of customers worldwide. Now I want to quote a movie with great power comes great responsibility. And that's the gist of my question. which is responsibility, responsibility when talking about the Ahold Delhaize climate plan. And it is not responsible enough. It's not enough in line with the Paris Agreement. And that even compels me to reconsider remaining a customer. And therefore, I have a non open-ended question, which is the following: in 2030, will Ahold Delhaize have a 30% drop in the CO2 emissions all over the board, Scope 1, 2 and 3 together compared with 2019 and I would like to hear either a yes or a no.

[Interpreted] Thank you, Mr. Chairman. Thanks to all of you, and thank you to those who spoke before me. I also have a lot of concerns about the environment. I live on this planet and have been for a long time. I've gone through processes, developments. And I've seen growing involvement engagement, that's great. But we also need to look beyond their own fences. We need to look at our own responsibility, our own moral awareness and reading the annual report something I do annually giving a great attention. And I know how to communicate with the company with my own Albert Heijn store, but still this reading leads me to one point. Let's reverse the perspectives. Where do we stand altogether? What's already happening instead of what's not yet happening? Can we join hands to move forward and we won't get there by threatening with court cases, as I read in the [indiscernible] or by asking questions with only yes or no as an answer. Can't we rather look at our strength of possibilities because the world or food supply concerns all of us, we have a convenient life in the West, but there are parts of the world farther away where people wish to eat and I'm really worried about this. If we start threatening with court cases or with a yes or no, question, we're going in the wrong direction. Let's see where we can move, where we can get. And if I see the way the company operates I can only give you words of praise, words of praise to all those people who work day after day to provide our food, provide our food security, but even more social corporate responsibility. And if I know from my job that children when growing up as adults. But with the distance to the labor market can work at Ahold can use their talents and we'll have a decent employment contract that's an expression of respect to the world. It's about more than food and drink or respect for all those that live but also human beings. And I want to emphasize this. I think we have to work together, and I'm confident we can. I, as a shareholder, as a customer, have been involved in this company for a long time. But also, I feel connected to all of you. And then something else I really appreciate the presentation we heard from KPMG, it was highly transparent. That really helps us, we now know that what you do actually is being audited according to international standards, and we are proud of this. And then 1 question about the environment. In several shops I see is kind of water evaporators. From my view, it's something unpleasant, but what does research show you? Is it better for the conservation of products? Isn't it generating a rather negative effect in terms of energy and water, then generating positive results. But once again, go on in the same way. Let's join hands to move forward.

Thank you. Frans, should we go back to the first question up from the right-hand side, and then we continue with [indiscernible] sorry, for my Dutch pronunciation questions and suggestions.

Thank you, Peter, and thank you very much for your question. And I think you're right that we, as a company, have a corporate plan for all our stores and if they are in the Czech Republic or if they are in the Netherlands or with Food Lion or Hannaford or the Giant company, it's a company structure, is a company philosophy, it's a company strategy. And sustainability in all these various dimensions is built in, in our strategy of the total company. And if you see the annual report, it's even much longer than the last year because we would like to be more transparent, there's legislation, which asks us to be more transparent. And that's also what Jolanda already mentioned on CSRD requirements, et cetera. We think that as a good company, we would like to be measured we would like to be transparent, but also we would like to have very clear targets on things like plastics, on things like food waste, on human rights, but also on the climate elements that you addressed. So I repeat partly myself when I say that -- and when I shared with you what our targets are, we are having ambitious targets which are for us in all the work we do, extra investments in our stores, extra investments in the relationship with our suppliers, upstream and downstream to make sure that we together are able to make our Scope 1, 2 and 3 targets in line with Paris, in line with the 1.5 degrees. And that's how we would like to get measured. And I hope that I can report back to you the sooner, the better that we indeed have validated targets coming out from SBTi, but that's also up to them based on the questions. There's a little delay at SBTi because there are many companies who would like to get validated and certified which is a very good thing to have. So there is more traction coming into the climate ambitions for a lot of companies and not only the Scope 1 and 2 and Scope 3. Just one thing on collaboration. For manufacturers of food up in the supply chain, their Scope 1 and 2 is our Scope 3. So to work more and more with them and have the dialogue is so important. It's also for us very, very important to have the dialogue with you. As a shareholder, but also with you as fighting for the Climate Spirit. And we need just one thing there from my side, if I remember well, we invited also [indiscernible] twice to have a dialogue and to have a discussion, I think, in last December and the last February, we invited you to say, okay, let's compare notes and let's talk about this. But so far, that invitation has not been accepted. I think it's a pity because it's about dialogue. It's about together. It's about working on those kind of solutions. And then talking about [indiscernible]. Yes, I think what you raised is this is a joint effort here because we can do a lot as a retailer but in the end, it only is going to work when we get all our consumers with us and all our customers with us partly to change behaviors. Our job is to make sure that we change our behaviors on private label, on the CO2 footprints, on the CO2 footprint of our stores, on the healthier products we have and we're not only talking about climate here. We're also talking about obesity, diabetes, food waste, plastics and all these kind of other things you see in our annual report, that is the beauty of our business. That's the beauty of being close to communities, close to 63 million customers a week. That is the pride and the purpose we have to do the best possible job that communities get healthier, that people are having access to affordable food, healthy food and sustainably produced food. That is what we work in every day. And the second thing what we work for is to get the total food supply chain where we only have a small part of the total emissions that we get that also more sustainable and not only for carbon, also for human rights, also for labor, also for other things we talked about before. So that is what is making us proud partly, [indiscernible] but at the same time, we know that we are a long way to go. And there's a lot of things to do and that when we look around us, not all the conditions in the world are helping us there to do the rating. So this is a little bit -- a few things from my side. And when I say this, then you can count on it, this is on behalf of the total leadership of our company. We talk about these kind of things. which are top 300 leaders in our company to make sure that we are going in the same direction, if it's for a Czech store, if it's for a Dutch store, a U.S. store, a Romanian store, we have the same targets because we also know that human rights, plastic, CO2 doesn't recognize borders. That is an international approach for us. So this is from my side. Did I miss something about on the Dutch Market.

[Interpreted] Well, you said something about water spring evaporation. Then I'll ask a question.

Yes, the evaporation of water. Obviously, what we try to attempt is to preserve the fruit and vegetables as well as possible in that hills. This is the experiment we're doing. And these new lasers also help fight food waste. And sometimes customers come and say, "Wouter, you are still packaging a lot of food stuffs in plastic. " Often, this is related to the seasoned cucumbers from the Netherlands don't have to be packaged, but cucumbers from abroad have to. There may be micro filters to that, so the [ indiscernible ] also helps that. We also look at the energy bills. We look at less frequent supply. I mean if we can save a stop at the store, that also saves a lot of CO2 and other emissions. So for us, this is a balancing act. [indiscernible] sets something we are testing in several countries, including the Netherlands, and we're trying to see how it works, how consumers respond and what happens to the food quality. So we are trying to experiment in many views to make things better, both for customers and for our products and the climate.

Final reflection from your side or final question, and then I'm going to take 1 question here in the center, and then we need to move on. We have six more agenda points to cover today. And as indicated by Frans, there are plenty of opportunities for dialog also outside this meeting, which might even be more suitable for this question than here in today.

I wanted to reflect just right back to that. We have indeed been invited on a talk by you guys. We invited you back last month, to go on and talk with us publicly so that everyone journalists, us, your shareholders, could know what we were talking about, and yet you did not accept that. So telling us everyone that we have not accepted your talk was a bit of a stretch. Thank you very much. We would like to see you back at our office.

A bit of a stretch, but purely fact-based invitations, which were not accepted. But let's -- let's continue. We accepted these kind of dialogue offers anyhow because we think it's about collaboration. We think it's about together. We think that we have more in common, we need -- and a lot of people in the room here might think we all try to make sure that we fight the climate issue, and we are in that anyhow together.

Okay. A question down here. I have a follow-up question as well.

[Interpreted] That is correct. I'll speak Dutch if I may. This is about materiality. I understand you're still trying to see what matters will be material and not that you only have to report in 2024. But our question specifically was whether you're willing to report on items that are just below the threshold and to explain why they are not meeting the threshold that would lead to greater transparency. Also have a question about lobbying, whether you can make more clear what choices you made in your report, for instance, there is a framework from another company that's really great, and we're happy to share it with you if need be.

[Interpreted] Yes. I'll also answer the first part of your question in Dutch. In making assessment, we look at all topics, including the sub, sub, subtopics. What we are reporting is CRSD compliant. And these are the material compliance. So we use the CRSD standards, but we look at the sub, sub, subitems to come to this. And then the hurdle rates, well, the outcomes of the -- or the research will be included in the annual report 2024. And then in terms of lobbying, we are transparent about lobbying, and we do abide by legislation. But if you have any suggestions on making it even better, we're very happy to hear them.

I see that there is obviously more interesting continuing this conversation. But again, we have 6 more agenda points. I think we've spent significant time on the agenda. So I suggest we move on to the remuneration report. And Item 3 on the agenda.

So Agenda item 3 pertains to remuneration report for which there is an advisory vote requested. And if the votes cast advice positively on this item, we thank you very much for your support. And if the votes cast advice negatively, we will also take this negative advice seriously. So with that, I would like to invite my colleague, Pauline van der Meer Mohr, who is the Chair of the Remuneration Committee to present our remuneration report. Please, Pauline.

Thank you, Peter, and good afternoon, everyone. I will keep my comments succinct and concise also in view of the time. Great pleasure to speak to you today as the Chair of the committee. And as you know, the role of our committee is to ensure that the company has appropriate reward policy for all of our executives. Throughout the year, the remuneration committee continuously monitored internal and external developments, and through a careful and rigorous process, we strive to make prudent decisions that took into account the turbulent markets and social conditions as both Peter and Frans have already expressed. Since our remuneration report already provides extensive context for the remuneration decisions for the Management Board in 2023 rather than repeating our report here, I would like to focus on 4 key topics today. They are, first of all, the increases of individual base salaries in '23. Secondly, the outcome and exposed disclosure of the '23 incentive awards. Thirdly, the pay ratios and fourthly, the performance conditions for this year 2024. So first, our commentary on the increases of the individual base salaries. The Remuneration Committee obviously recognizes the sensitivity of executive pay in society at large. We believe that adjusting compensation from time to time is necessary for the company to remain attractive for top executives, and we, therefore, always consider internal and external compensation developments. We also look at individual and company performance, and we look at the remuneration of similar positions at companies in our labor market peer group before we recommend salary adjustments for members of the Management Board. After a careful review, the individual base salary for Frans Muller was increased by 5% and that of Wouter Kolk by 3% in January 2023. We believe all these increases were reasonable within the company's remuneration philosophy and projections at that time for market cost of living adjustments in our major markets. Secondly, our determinations with respect to the 2023 incentives. The Supervisory Board considers the performance targets for 2023 to have been robust with clear, specific and auditable metrics. For the second year in a row, we have provided clear exposed disclosure of all targets, performance intervals and actual results for full year 2023 short-term and long-term incentive plans in our 2023 remuneration report. I'm proud to see our continuous improvements on long-term sustainable value creation, which is also reflected in a 25% non-financials of our total incentive targets. We are very pleased and thankful for the efforts and results of Frans and his team. Then thirdly, on pay ratios. Our pay ratio disclosure illustrates the ratio between the total remuneration of the individual members of the Management Board and the average remuneration of all associates across the group. Since a large part of the remuneration on the Management Board is linked to business performance in the form of variable pay, this ratio is, to a large extent, influenced by the overall business performance of our company. And as the slide illustrates, the pay ratios in 2023 were lower than in 2022 for a large portion due to an increase in the average FTE remuneration. And finally, a few words on the performance conditions for 2024. This year, we will continue to review our remuneration strategy for the future against rapidly changing societal expectations and market conditions as well as continue to strengthen our focus on long-term sustainable value creation. This concludes my explanatory remarks, and I hand back to Peter with thanks for your continued interest and support for Ahold Delhaize.

I have to turn the microphone on as well. So thank you, Pauline. So with that, we will now cover questions on the remuneration report, and I ask you to ask your question in the manner that I explained to you earlier. Please state your name before asking your question. And I repeat, do not make lengthy statements nor repeat questions already asked and/or answered. We start down here on the right-hand side.

My name is [indiscernible] and still speak on the before mentioned organizations. Looking at the annual bonus for the last few years since 2020, we've observed near or at maximum bonus payouts for the Management Board. And this year, that also was the case as all KPIs were met, either at target performance or higher, which led to a 95% award of maximum opportunity, even though the company had a challenging year in terms annual results. May I ask the Chair of the Remuneration Committee to reflect on the target setting process and whether our KPIs were considered sufficiently stretching. For example, we see that the sales growth performance targets in the past 2 years were significantly surpassed and that decreases in sales growth also still would have resulted in payout since the performance threshold levels for this metric are set at minus 2.2%.

Thank you. We take a few more questions related to the remuneration report, let's see, where do we go. We can go -- let's go a little bit further up on the right-hand side, the lady in white.

[Interpreted] My name is [indiscernible]. Congratulations with your vast bonuses. I would like to discuss the bonuses that are paid to your employees. Almost everywhere in the Netherlands and Belgium, you can find stores of the Ahold Delhaize brands. As a small child, I would spent my first pocket money in eat or gathering sweets and many kids had their first job [indiscernible] I would buy my first bottle of distilled in Galangal. And when I started in 11, my daily supermarket was [ Dolasa ]. I would buy pigs tail, they were for sale there. I love the idea. I don't know what I did with them. Now bol.com is a crucial element in my existence. Ahold Delhaize affects every single person living in the Netherlands and Belgium, it affects them personally as the retail store that cares about these small players. You are the most important brand in Netherlands, and we feel about the [indiscernible] or other images. We can't think a way Ahold Delhaize. And we, as Dutch people want to be proud of the name Ahold all the time and Belgium want to be proud of the name Delhaize. But it's just still possible is Ahold Delhaize is taking good care of us. During the pandemic, young people at very low rates would work at the stop. So there were record profits for Ahold Delhaize. The young people are applauded. Since the crisis in Ukraine, we see a shrink -- shrinking inflation also in the prices of Ahold Delhaize you see more and more attention for the climate and companies are also held against the [indiscernible] of the Paris agreement. Are you caring for the human rights and the climate. And for only a few added -- since you can vegan products of [indiscernible]. And they are better because it reads [indiscernible] this's a smaller packaging. That unfortunately became more expensive in the meantime. Bol.com is make money on drop shippers. We do very little about useless way of packaging, the useless serum in back of items. Ahold Delhaize wants to look green, but at the same time, it remains a major polluter that is trying to sahde away from its responsibility as a lifelong customer of various brands of Ahold Delhaize and as consumer and shareholder. My question is whether in 2030, at least 48% of CO2 will be reduced absolutely across the whole chain, meaning Scope 1, 2 and 3 compared to 2019. And I would like to hear yes and no as an answer. I'm a real artist and I would like a binary answer.

First of all, I would say, apologies if I don't see you properly, you're a bit far away and it's a bit dark. We have many people in the room. So if I didn't get it right, my apologies. I didn't hear that. But anyhow, thank you so much. Shall we start with the first question, Pauline, which was about the KPIs and target setting process? Do you have any comments to that?

Thank you very much for that question. So the questions were the -- where the target sets are challenging enough, considering that we have -- year-after-year, we have high payout ratios. And so -- of course, this is a question that we ask ourselves every year. And we take that question very seriously. And it is what we are supposed to be doing. So we obviously consider the performance targets to have been very robust with clear specific and auditable metrics. I think that's important to emphasize that these metrics are auditable and have been audited as well. So the purpose, of course, of the Supervisory Board is to set targets which are aimed at long-term and sustainable business performance. And at the beginning of the year with the knowledge that we have with the plans that we have, the business plans that we have, we look to set those targets. And at the end of the year, if management has achieved those targets, we are actually delighted to pay for performance. And over the course of the past years, the company has showed a really solid business performance, notwithstanding some very, very challenging business circumstances, as has been described already by Frans and others. So under those circumstances, I think management has done superb job, and we are very happy to see that all targets have been achieved. So the answer is yes. We believe that the targets have been challenging enough.

Okay. Frans, anything else from you on the second question that came up about the employee bonuses in the stores?

Yes. And we already talked about it before, also in our annual report that we would like to be an employer of choice and that we also recognize by our markets to be that -- but maybe Wouter you say a few things, how we look at remuneration in Holland and in Belgium in the various instances and how we try to make sure that we retain and that we can hire talent?

[Interpreted] Yes, I'll do this in Dutch. I think that our associates are incredibly important to us and indeed in the Netherlands. We are blessed, so to speak, that almost 1 out of 5 Dutch people has, at 1 point, had a job with us, with Ahold Delhaize, how we're the best employer for young people who join us. [indiscernible] said when she asked her question that we also work with people have issues in the labor market. We're incredibly proud of the fact that we can hire these underprivileged young people. And in the Netherlands, in the brand, we also have an incentive or a profit appropriation. So these associates also participate in the performance. And we also do that in 2 tranches, 1 before the Christmas and 1 after Christmas once we know what the results are so that everybody can benefit from our success. And furthermore, our associates can get 10% discount up to a certain level. That is what the tax revenue authority will allow us 10% of their own shopping so that they can buy [indiscernible] products and other items with us. So we take really good care of our associates, and we're so proud of that. Thank you. The second question, Peter. I think by and large has already been answered by me. But the question sounded as if -- it was a question whether we would be prepared to commit to the process of 1.5 degrees to be aligned with the Paris Agreements. And that is exactly what I would like to confirm yet again. It is incorporated in our own targets. It is our focus, and so what we're working on that. Comment of Mike. So this has already been answered with the existing targets that we communicated today again. And that will lead us to 1.5 degrees. SBTI has already validated Scope 1 and 2 and we are engaging in the validation process for Scope 3.

My Dutch is a bit limited Frans, to me. We thank you for your proposals, and from -- to the best of my knowledge, we have already answered that question. So we move on if there are any other questions from the audience on remuneration. And again, no lengthy statement. We're getting late now. So then I will need to start cutting you off, which is not what I would like to do. So any other remuneration questions. Yes, we go here to the right-hand side.

[Interpreted] No lengthy statements. I've already done that, but I have a question for clarification. And it's a question to Frans Muller, because in his introduction, in his presentation, he was talking about the Nature Restorational Recovery Act that was not approved. I just wanted to what is it exactly that you said? I said that challenging the Nature Recovery Act that we don't see this as a positive thing that we find predictable legislation to be important and the same applies to nature. And it's good to have an ambition like that in the Netherlands. But of course, it's also a European matter, which is why I said that we have a broad societal perspective. That includes nature and climate and so many other things that we feel more comfortable with European and Dutch legislator that is stable and consistent also for the Nature Recovery Act. And it's very unfortunate that the act was not adopted. Then I heard you correctly, we also all know that the agricultural industry has an enormously powerful lobby in the Hague. And my question is, do you also have such a lobby. Is that what you do? Because if you have such a strong opinion, I think that's a good idea.

[Interpreted] Yes. Of course, we have excellent lobby, but we don't do this on our own. We're too small do this alone. So it's important that we engage with like-minded companies in retail producers, but just look at what is going on in the Netherlands with the Better 4 program at Albert Heijn, where we have direct relationships with our farmers. Now this is not only for milk and for meat, but also for vegetable, fruit and for ornamental flowers we work with farmers with whom we have these arrangements to work on nature recovery, and we're not only focusing on pesticides and production, but also making sure that the soil is healthy. I'm familiar with that because I come from a farming background. Yes, but I don't really see very much about this lobbying because we all know that things are going terribly wrong. So I would urge you to step up your work.

[Interpreted] Yes. We're doing everything we can, and the lobby is very important for us. And I would like to refer back to these major transition case. You can only do that if you can become powerful with other partners in the chain. That is exactly what we're doing. We have several links in terms of retail, we've engaged with the employees association and there are several companies in the sector that are working together. You're quite right in saying this. If we can't pull our forces together in order to do good then exactly things will go wrong, and that is precisely what we want to do.

Now I'll continue with Agenda Item #4, the proposal to discharge the members of the Management Board and the Supervisory Board in office in 2023 from all liability in relation to the exercise of their duties over the financial year 2023. So I would like to give you the opportunity to ask questions in regard to this agenda item. Are there any questions related to the agenda item 4? So we go to the gentleman in the front.

[Interpreted] Yes, in Dutch [indiscernible] is my name. I'm speaking on behalf of the [ VB ], I'm getting the impression that we are a meeting of a carbon plant or utility plant -- it surprises me what you're saying at this meeting that the text of the annual report is quite different from the atmosphere that I feel in this room. So I'm addressing you as a Supervisory Board and Management Board. Could it be that you are raising the bar in such a way with all the wonderful words in your annual report, that people are very, very disappointed that you cannot -- that you cannot achieve what the standards that you set. And you've also chosen Albert Heijn -- said that you thinking of this is Albert Heijn and this is hold on you just have to survival this and just sit it all out.

The item #4, but I'm happy to answer that question. [Interpreted] I don't really think it's important and relevant that we speculate about this. We have clear goals -- we're committed to those goals. We're going to achieve those goals. Everything is focused on that, and that applies to the financial growth, financial targets and all the other goals. So we are absolutely committed. If we're a good company, a sustainable company and all the other things [Audio Gap] couple of years ago, I graduated in Global Sustainability Sciences. And I thought that on my own, I could make the world a better place. Not so true because I learned about our terrible system, greenwashing of large companies. And I actually lost faith. I didn't think that we would be able to stop this disaster. In my personal life, I can do my utmost I can buy secondhand stuff, I can eat [indiscernible] until the cows come home, but it won't make a difference if large companies do not adjust their way of doing business, which is why I am attending this meeting as a shareholder. My question -- I'm about to ask my question [indiscernible] with my ETOs contacts, I deliver packages on my bike I'm ashamed 37% of Scope 3 is not enough.

We don't hear any new questions. Sorry about that. Okay. Any other questions? Or can we move on to agenda item 6. [ Mr. Frans ] please go ahead. Can we get the microphone to Mr. [ Frans ].

[Interpreted] If I'm not mistaken, Ahold at this point in time is #1 in the Dow Jones Sustainability Index in the category supermarkets. And it seems to me, so I'm going to repeat it yet again, Albert Heijn Ahold is the #1 in the Dow Jones Sustainability Index, way ahead of other competitors -- supermarket competitors. I find it very unfortunate that Rene Hooft Graafland is leaving Ahold because -- he was the man behind Heinneker, 0% alcohol, which -- and that led to wonderful changes. What is great is that Robert Jan van de Kraats is joining Ahold. He was the CFO of Randstad. And he did a good job, a very profitable company, and I think that his expertise can be used to continue his personnel policy. Mr. van de Kraats is extremely communicative and he loves solving problems. And as everybody knows, there is a forest called Telegraaf Forest and there is a [indiscernible] forest. Wouldn't it be great if there would be an Ahold forest. So if part of the profits would be used to plant trees in the Netherlands, in the U.S. and in the Amazon.

[Interpreted] Yes. Well, my question is [indiscernible]. Yes, please. No, my question to Robert Jan van de Kraats is how is he going to make sure that the target group behind me becomes convinced that Ahold is doing a wonderful job in terms of sustainability and also sustainability vis-a-vis its associates.

Thank you very much. Helen, would you like to elaborate a little bit on the question from the gentleman from [indiscernible], please.

Yes, of course. Thank you very much. I think, firstly to say, we do consider it very important to have someone on the Supervisory Board with extensive grocery retail experience, and in particular, U.S. experience is valued because of the significance of our operations in the U.S. We have conducted quite an extensive search to find a successor to Bill. We have approached more than 20 people in the U.S. who potentially could be considered for the role. You will appreciate that there -- it's quite difficult because there could be a conflict issue with people, who've got the right kind of experience, they could be working for a competitor. So that limits the pool. Peter and I have met with probably around 10 potential candidates, but we didn't consider any of them to have quite the qualities that we felt we were looking for, which is good operational experience, but also good strategic vision experience that you need at the Supervisory Board level. We are continuing with the search, and we are optimistic that we will find someone. But that -- so that's the first piece. That's why you haven't found someone to replace Bill. We also then consider the in deciding whether or not proposed Bill for a further extension, the contribution that he continues to make to the Supervisory Board, which is very significant as Deputy Chair, in particular, the support he gives to Peter, but also his insight from his experience. in grocery retail. And that's why we are coming to you with the proposal for an extension.

Good. Thank you very much, Helen. And I can only add that Bill McEwan is a super Supervisory Board member, just like everybody else on the board. Otherwise, they would not be here. And a good Vice Chairman, I would say, yes, a very important sparing partner to myself and really appreciative that he would be able to being available for reappointment. And then as for the question to Robert Jan and if he can help develop the company and it's communication with shareholders. I'll answer that on his behalf. He's still not elected. So please accept that. And I think we chose Robert Jan because we believe he's a fantastic colleague that will join the Board and eventually, if elected, replace Rene Hooft Graafland. And I'm sure that based on the interviews we've had with him that he will be able to contribute in many areas also beyond the areas within finance question, which is main subject. Whether that would be enough. I think we will have to come back to at the next AGM, but at least that's my statement. Any other questions related to the appointments or reappointments? No. Okay. Then we continue with Agenda Item 6. The proposal to reappoint KPMG Accountants as our external auditors for -- our external auditors for the financial year 2025. Questions. I'll open up for questions regarding the reappointment of the auditors. And -- if there is 1 more final question related to it, and it's not a lengthy statement, which we have unfortunately seen at a number of times. Okay. Please, then you could have the question regarding the reappointment. Can we bring the mic yes?

Please, on the subject of the agenda as our Chairman just mentioned.

[Interpreted] My name is Tessa [indiscernible]. I study at Amsterdam University -- and if there's 1 thing that students love its Albert Heijn in between courses go to Albert Heijn app we love [indiscernible]. It's also a favorite amongst [indiscernible].

Move to the question or I have to move on to the next agenda point.

Nearly done I am coming to my question. It should be a time without chaos for students. But now we see that students have lots of chaos, you don't seem to share these chaos because your client policy is still insufficient that's why I demand you to abide by your climate commitments. And that means that by 2030, there should be an absolute reduction of 48% of the CO2 exhaust compared to 2019 throughout the entire chain.

So then we move on to questions related. We go on to agenda items. Okay, please, you can have the mic. And again, no lengthy statements come with a question directly or we have to move on. I will not accept that you disrupt the order of this meeting.

[Interpreted] I work -- I'm with [indiscernible]. We don't come here for our own pleasure and we don't disrupt your meeting without a reason. I'd rather be in class, but we see that it's time for you to take responsibility. And this is why we are here. We are here today, and we have been here timeless moments over the past 2 years to remind you, there's more than 100 of us today -- and we are coming back with more and more the time of light questions is over. And this is why we demand that [indiscernible] in 2030 should have a reduction of no less than 48% in CO2 emissions throughout the chain in Scope 1, 2 and 3 compared to 2019. It will not be the [ eggshell ], make the right choices. It's your choice. It's Paris or court. [indiscernible].

Okay. We move on to the agenda item 7. And sorry, is there 1 more question on agenda Item 6.

[Interpreted] My name is [indiscernible]. I have a question to the auditor. Dear auditor, since it's a listed company, you must have the books checked by a OKB auditor. Who was that auditor -- and when did such an auditor visited to check the numbers because that must be before the date of signing the opinion. That's my first question. Secondly, what were the questions this auditor asked to you that I missed? And this auditor, why wasn't he mentioned in the report because the -- we know that KPMG has been fraudulent with exams in Netherlands. And I would like to know whether you have been involved in this fraudulent cases, yes or no. So I would like to have an answer to all questions. And don't refer to the financial market authorities because you have not been in touch with the market authority, I already checked that. So is it a mission-oriented quality assessment auditor or not?

The auditor is perfectly suited to reply to that question. Please, Eric.

[Interpreted] [indiscernible] The interpreter cannot hear the speaker. Interpreter cannot hear the speaker. The speaker is not using a microphone. So the OKB -- it's working now. So for those who don't know, the so-called OKB auditor, this is a mission given by lower mission-oriented quality review auditor. Exactly correct. Mr. [indiscernible] and smaller auditors have to -- have this conducted by an external auditor, but the larger auditor such as us can do this internally. And we have a senior partner, who has the OKB auditor for Ahold Delhaize. His identity was not disclosed to Ahold Delhaize. Why not? Because there's obligation because I am responsible for the audit of the annual accounts of Ahold Delhaize, so it's my responsibility. But I have someone looking off my shoulder checking whether I'm doing the right thing. This individual has been involved throughout the entire financial year, looking at the audit plan, the planning of the order, the execution, the conclusions and the list of conclusions. So this colleague was involved throughout the entire audit cycle and before I sign myself, the auditor's opinion, he or she needs to say whether he or she agrees. So this is someone from within KPMG an accredited employee, and we have the required -- we have met all the requirements. And still I need to refer to the Financial Markets Authority. They have looked in and they have confirmed that we had done the audit properly. Your order -- other question is about the year case on fraud and exams that has been in the press. Well, if you let me give you some background. When doing the audit, we look at the internal control mechanisms and we check whether there's a whistle blower system within the compliance system. We have the whistle blower regulation within the company, and there was a whistle blower reporting on employees suggesting answers on compulsory internal exams in the light of the requirements for permanent location. We reported this to the financial authority and the supervision authority of auditors, which led to a detailed investigation that revealed that over a period of 5 years, an average of 100 individual shared their replies. This is unacceptable. It's also very disturbing. And currently, unfortunately, such research is also being conducted within the auditor firms -- auditors in the Netherlands. It's not good for KPMG. It's also bad for the entire industry. And during this meeting, the ECB has imposed a very high fine on that's for as KPMG, which only confirms the fact that it is a very unhappy situation that should have never occurred. And that as far as we are considered, will never occur again. So that's what I need to be saying about KPMG more important to you and in answer to your question, is the question where -- neither myself nor anyone else in the KPMG team has been involved, has been guilty of sharing the replies to the exams. But we know a list of names from the U.S. Doesn't this include the individual that covered the U.S. case. I don't know his or her name. You just said that you are covering someone. Can you guarantee because I do know the names of the U.S. branch of KPMG. Can you guarantee that the name is not on that list. I can guarantee that no 1 in my team working on Ahold Delhaize has been guilty of sharing answers to the tests.

I suggest we move on then to agenda Item 7. It's been a long day in here, whether we appreciate the interaction. So before I give you the opportunity to ask questions on agenda item 7. I would kind of like to remind you that voting is still possible and voting will close at the end of this agenda item. So I will now give you opportunity to ask questions on the cancellation, issuance and acquisition of shares. Any questions to that? No, no. sorry. Can we get the microphone over here, please? .

[Interpreted] Good afternoon, Mr. Chairman, fellow shareholders. My name is [indiscernible] since 1978. I've been a shareholder and I have a very relevant question. Mr. Muller last year discuss the buyback program at length. And I propose to make long-term investments and to use this for development of artificial meat and vegan products. And my congratulations that you picked up on this and actually deliver. What about developments? That's my question. And then a follow-up question. You will conduct a strategy day and EUR 2.4 billion has been invested last year. Would it be a suggestion to have an additional EUR 500 million investment, it's a ballpark figure in Scope 3 emissions because we won't have such unpleasant discussion next year. And I think that it will be pretty easy for a company as such as Ahold Delhaize to meet their requirements next year.

[Interpreted] Thank you. I'm very happy to respond to this question. We have a business strategy that we discussed at length in our annual report. And this business strategy, among other elements, also includes investments throughout the field from upgrading stores to investments in new distribution centers, solid investments in innovations in digital and technology and therefore, also in sustainability because sustainability is part and parcel of our strategy. So if you refer to our investments, you're not only talking about investments, but also about costs incurred. Then we check them against our strategic targets. And that also includes sustainability. It also includes Scope 1, 2 and 3. It also includes human rights targets. It's about plastic. It's about recycling. So if you look at the annual report and all the plans that it includes plans that will be discussed at length at the strategy because we are going to strengthen a certain number of ambitions in different fuels, and we will announce this on the 23rd of May. Then there's also names that in our plans, in our results and our financial results, we take stock of these priorities. So you may trust us that the targets in Scope 1, 2 and 3 will be reflected in our financial targets and they 2 will match. And what we have already done shows that we are innovative today, there were something about plant-based proteins. I'm not sure how you say that in Dutch. Plant-based proteins, but also disconnecting stores from the gas grid in terms of energy supply can be about by corp status for customers' certification. All of this has been included in the results of Albert Heijn. So I think that we can really say that these are instruments for the implementation of our strategy.

Yes, 1 more question on agenda Item 7. Can we have the microphone over here on the left-hand side.

[Interpreted] My name is C. I am from Amsterdam. I saw closing as the next point. Will there be any other business before because I do have a question.

There we could take any other questions. But if you don't mind, as just we follow the agenda and we could do that the agenda Item 8, closing where we will ask for any final questions. Also non-related to the agenda item 7. So that opportunity will come. So if that's okay, we would pause your question for the moment. Okay. Very good. Then I say thank you for your questions. This is the last chance for you to vote and voting will close momentarily. [Voting]

Okay. Ladies and gentlemen, I have music in my own -- so someone decided to play songs for me. All right. So ladies and gentlemen, voting is now closed. We ask for a brief moment of your patience while we process the votes before we go through the voting results. But maybe before that, if we could then just see if there is a final round of questions, which appear to have fallen out of the script. So please, can we move on to a person here in the gray on the left-hand side.

[Interpreted] My name is [indiscernible] from Amsterdam. I've been a shareholder for many years, and now Ahold Delhaize. Last year, unfortunately, I could not attend the AGM, but here I am. And -- it was a pity we had no lunch, although that used to be a very elaborate lunch in the past. So I wondered whether lunch has been abolished altogether or whether we can expect launch last year, also, I would like to thank you for the package of fresh goods that we'll receive after this meeting.

Well, I think we have to come back to the arrangement for next year, but it's not so easy always to host these big meetings. I think today, we were close to 200 people in the audience. But it's certainly something that we will take into consideration when we arrange for next year's meeting. And I appreciate the positive feedback on the little kit that you will receive once you walk out. So we move on to look at the -- we have -- sorry, we have 1 more question. Can we... We have 2 more questions. Okay. So we pull back the voting result.

First, I would have said, okay, you can also proceed to the voting results, but anyway. [Interpreted] In the new appointments of Supervisory Directors, we saw briefly that 1 of the Supervisory Director is ending his last term in office. I think he started smiling. We know each other from other company where he is a Managing Director. So I don't want to anticipate anything at your end, but Mr. Hooft Graafland has been a Supervisory Director for nearly 10 years. And I would like to thank him for everything he's done for this great company, I think that would be appropriate. You are moving towards retirement, and I hope that you will enjoy retirement with the Dutch gin that will remind you of Ahold.

Then we move on to the voting results. Also, sorry, 2 more questions. Okay.

[Interpreted] I have the same question. Mr. Chairman, I think you've done a great job today with the target group sitting behind me. I think you put me in the wrong section of the room. Please put me in the front next time. I think it's good for me to be a kind of connection between the parts, but I'd rather be in the front. Now I didn't come to the buyback of shares. But I'd rather have you opening [indiscernible] to go, that are vega or vegan in Spain because they are major carnivores. So I think that there's a lot of money to make in vegan products thinking also of Germany and other countries, where you have the great distribution system. They all come to a little, why don't -- we come to Germany. So spend your money worldwide, then you have a pension fund and this pension fund invests 95% of its assets abroad, it would be really great, if your pension fund would spend not 95%, but rather 90% or 80% in the Netherlands. And this also includes climate matters that we work on because the more you invest in the Netherlands, the more sustainable, the speed up of the transition will be in the Netherlands. And finally, I would like to see an Albert Heijn forest in the Netherlands or beyond [indiscernible]. What a champion of this course I am. We have 2 few corporate forests, although such forest really contribute to climate change. So once again, I want to bring this to your attention. And then a last point Albert Heijn used to have great vegetarian lunches. And the target group behind me should really discover it, because it's a real show of your skills.

[Interpreted] Thank you, Mr. [indiscernible] for your remarks. We'll take note of them. I didn't hear a question as such, but you can be confident that the necessary investments to make this company healthy, to keep it healthy and to strengthen it are being made and that such things as a buyback of shares only comes after investments.

[indiscernible] If I get it right, and then Mr. [indiscernible].

[Interpreted] Thank you for pronouncing my name correctly. You wouldn't be the first to do it wrongly, but it doesn't really matter. I am impressed by this afternoon. Last year, I was deeply impressed and also moved, but I would like to exclude the emotions here. I don't want to forget everything you have done, you are doing and complement you with this. And this is about all of you throughout the chain young people fishing details or the people in the Supervisory Board and everything in between -- in these difficult times, you work on providing full. You are a stable company. And I really want to complement you with this, Mr. Chair. I also want to complement you for the way you have conducted this meeting and how you made sure there was no escalation. These choices were made by other people. We can't take responsibility for this. We can't take control of this, but I really want to highlight the way you conducted this meeting and made a deep impression on me and I would like to make an appeal for a positive approach, making a better world altogether. Thank you.

I can only agree. We need to do more together in a friendly way. So we will continue to try those efforts to get us together in more occasions. Mr. [indiscernible].

[Interpreted] Okay. Mr. Hooft Graafland I also would like to thank you for what you have done for Ahold Delhaize, and in 1 go, I want to mention Mr. Kolk, thank you for everything you have done for the company as a whole. You've had other functions and I also want to concur with the words about the way the Chair has conducted this meeting because at other AGMs, such as ING, they can learn a lesson from the way you did this.

Thank you very much. I suggest we are now moving on to go through the voting results. We have been busy for 3.5 hours. So we start with agenda item 2.4, yes, the adoption of the 2023 financial statements, which -- where we have a 99.94% approval rates. So I can conclude that the proposal has been adopted. And then we have 99.9% of the votes were cast in favor of agenda Item 2.5, the proposal to determine the dividend over the financial year 2023. So I conclude that also that proposal has been approved. And 93.96% of the votes on agenda Item 3, the remuneration report has been cast in favor. And even if this is an advisory vote, we're very happy for the positive advice that we have gotten. And on agenda item 4.1, 98.28% of the votes were cast in favor of agenda item 4.1, the discharge of the liabilities of the members of the Management Board. So I can conclude that, that proposal has also been endorsed. And 97.96% of the votes were cast in favor of agenda item 4.2, the discharge of the liabilities of the members of the Supervisory Board. So I conclude that, that proposal has been endorsed as well. 97.23% of the votes were cast in favor of agenda Item 5.1. The proposal to reappoint Bill McEwan as a member of the Supervisory Board. So I conclude that, that proposal has been adopted. Congratulations, Bill, very well deserved. And then we have agenda item 5.2, where we have 97.23% of the votes were cast in favor of sorry, 96.44% of the votes were cast in favor of Agenda item 5.2, the proposal to reappoint Helen Weir as a member of the Supervisory Board. So I conclude that, that proposal has been adopted. Congratulations, Helen. And then 97.9% of the agenda items, 5.3 were cast in favor, the proposal to reappoint Frank van Zanten, as the member of the Supervisory Board. So I conclude that the proposal has been adopted as well. Congratulations to you, Frank. And then we have 99.83%, which is probably as high as you can get to Robert Jan of the votes on agenda Item 5.4, the proposal to appoint Robert Jan van de Kraats, as a new member of the Supervisory Board. So I conclude that, that proposal has been adopted. And Robert Jan congratulations. A warm welcome to the Supervisory Board. And then now 86.83% is a bit of flipping between screens here to get it together, sorry about that. 86.83% of the votes were cast in favor of agenda item 5.5, the proposal to appoint Laura Miller as a new member of the Supervisory Board. So I conclude that the proposal has been adopted. Congratulations, Laura. And -- you may take your headset off, unless you have difficulties with my English. Okay. Then we have Agenda Item 6. And as you can see, 100% of the votes were cast favor of Agenda Item 6, the proposal to reappoint KPMG accountants as the external auditor for financial year 2025. So I conclude that, that proposal was approved as well. Agenda item 7.1, 98.29% of the votes were cast in favor of agenda item 7.1, the authorization to issue shares. So I conclude that proposal has been endorsed. And then 96.41% of the votes were cast in favor of agenda item 7.2, the authorization to restrict or include preemptive rights, so I conclude that, that proposal has been adopted. And then 98.72% of the votes forecast in favor of agenda item 7.3, the authorization to acquire common share, so I conclude that, that proposal has been approved as well. And lastly, 99.38% of the votes were cast in favor of agenda item 7.4, the cancellation of shares, so I conclude that the proposal has been endorsed. So with that, I think what's left for me to say is to say thank you for all your votes. And -- it seems like all proposals have been adopted. So thank you very much for that. Finally, I would like to build on what you were saying before, I would like to take the opportunity to thank Rene Hooft Graafland for his term ending as per the end of this AGM in a couple of minutes. Rene, I would like to say thank you for your continued support, your wisdom and serving on the Supervisory Board first in Ahold back in 2015 and later on in Ahold Delhaize. Your knowledge and your international business and finance expertise has been really valuable to the Supervisory Board. I can hear not only from the shareholders, but also for my colleagues that you will be greatly missed, and we wish you all the best. And also for the last time on the stage, we have [indiscernible], who will retire as per the end of this meeting. Thank you very much, Martin, for your many years of valuable support from your side during the AGMs and throughout the course of the year. May I suggest that we give both of them a round of applause for Rene and Martin. So then to everyone present here in Zaandam and virtually, thank you for your attending this meeting and participating to repeat what I said initially. I honestly believe that shareholder democracy is of vital importance and I have enjoyed every moment of this dialogue that we've had here today in the Zaantheater and also with all of you present to virtually today. We look forward to continue the dialogue throughout the year and that appears to be a possibility, and I would like to take the opportunity also to thank all the people that has been involved in the organization and preparation of this AGM. And as the meeting closes, I would like to invite you to have a drink in the lobby. So no lunch today, but at least a drink and maybe a snack. I kindly ask you to hand in your headphones, your voting devices when you leave the room. And after that, please don't forget to take with you a pack of fresh products for a delicious meal offered to you by our great local brand, Albert Heijn. I now declare the meeting closed. I wish you a pleasant evening. Thank you.