By Joram Kanner and John Dawson
Bloomberg News
Tuesday, May 8, 2007

Anders Moberg, chief executive of Royal Ahold, said his company, the Dutch owner of the Giant Food and Stop & Shop grocery chains, aims to remain independent and hasn't received any offers for its U.S. retail business.

The Swedish-born executive, 57, unexpectedly said last month that he would resign, sparking speculation that his successor will merge the company with Belgium's Delhaize Group. Moberg said yesterday that he will become head of Majid Al Futtaim Group, a shopping-mall developer in Dubai, United Arab Emirates.

Moberg turned Ahold around after an accounting scandal and will leave in July after four years as chief executive. Ahold last week agreed to sell U.S. Foodservice of Columbia, where most of the profit overstatement occurred, prompting Standard & Poor's to raise Ahold's credit rating to investment grade for the first time since 2003.

"Our main objective is of course to stay independent and try to create as much shareholder value as we can that way," Moberg said in an interview at Ahold's Amsterdam headquarters.

He said he would "consider" other plans if they created more value, adding that Ahold will need one to two years to meet its long-term retail targets. The company is unlikely to achieve those goals this year because it's still making changes at Stop & Shop and Giant and cutting prices, he said.

The Dutch company plans to sell its U.S. Tops chain by the end of this year to focus on increasing revenue at Stop & Shop and Giant. The decision to sell U.S. Foodservice followed demands in August by Centaurus Capital and Paulson, two hedge funds together holding about 6 percent of the retailer's shares, that Ahold divest all its U.S. stores.

The executive is leaving the Dutch retailer a year earlier than planned. He was eligible for reappointment in 2008, according to the company's annual report.

Moberg said that there was no disagreement with Ahold's board on strategy and that he wasn't forced out. "It's the right timing for me," he said, adding that his strategy was shared with other directors and executives.

Ahold may use some excess proceeds from the U.S. Foodservice sale to make smaller acquisitions, Moberg said, declining to comment on other options.

Craig Owens, Delhaize's chief financial officer, said in March that the sale of U.S. Foodservice would make it easier for his company and Ahold to merge.

"There's always rumors out there," Moberg said. "Delhaize is a great company, and I think it's interesting that they have an opinion about Ahold. I'm pleased to hear that."