162 OTHER INFORMATION
GLOSSARY
HEINEKEN N.V. ANNUAL REPORT 2008
Beia
Before exceptional items and amortisation of brands
and customer relationships.
Cash conversion ratio
Free operating cash flow/Net profit (beia) before deduction
of minority interests.
Depletions
Sales by distributors to the retail trade.
Dividend payout
Proposed dividend as percentage of net profit (beia).
Earnings per share
Basic
Net profit divided by the weighted average number
of shares - basic - during the year.
Diluted
Net profit divided by the weighted average number
of shares - diluted - during the year.
EBIT
Earnings before interest and taxes and net finance expenses.
EBITDA
Earnings before interest and taxes and net finance expenses
before depreciation and amortisation.
Effective tax rate
Taxable profit adjusted for share of profit of associates and
joint ventures, dividend income and impairments of other
investments.
Fit2Fight
Cost-saving programme aimed at reducing the fixed-cost
base versus 2005 by €450 million by 2008.
Fixed costs under Fit2Fight
Fixed costs under Fit2Fight include personnel costs,
depreciation and amortisation, repair and maintenance costs
and other fixed costs. Exceptional items are excluded from
these costs.
Fixed costs ratio
Fixed costs under Fit2Fight as a percentage of revenue.
Free operating cash flow
This represents the total of cash flow from operating
activities, and cash flow from operational investing activities.
Gearing
Net debt/total equity.
Net debt
Non-current and current interest-bearing loans and
borrowings and bank overdrafts less investments held
for trading and cash.
Organic growth
Growth excluding the effect of foreign exchange rate
movements, consolidation changes, exceptional items,
amortisation of brands and customer relationships and
changes in accounting policies.
Organic volume growth
Increase in consolidated volume, excluding the effect of the
first-time consolidation of acquisitions.
Profit
Net profit
Profit after deduction of minority interests (profit attributable
to equity holders of the Company).
Operating profit
EBIT less share of profit of associates and joint ventures and
impairments thereof (net of income tax), excluding net gain
or loss on sale of subsidiaries, joint ventures and associates.
Or results from operating activities excluding net gain or loss
on sale of subsidiaries, joint ventures and associates.
Operating profit (beia)
EBIT (beia) less share of profit of associates and joint
ventures and impairments thereof (net of income tax),
excluding net gain or loss on sale of subsidiaries, joint
ventures and associates. Or results from operating activities
(beia) excluding net gain or loss on sale of subsidiaries, joint
ventures and associates.
Operating profit margin
Ratio of Operating Profit divided by Net Revenues, usually
presented as a percentage.
Profit
Profit before deduction of minority interests.