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ID NEWS: Ahold to keep USF, says WSJ

Royal Ahold, Zaandam, The Netherlands, plans to "hold on to" its U.S. Foodservice (USF) subsidiary, according to the Wall Street Journal.
The $17.5 billion, Columbia, MD-based distributor became embroiled in an accounting scandal in February. It was subsequently determined that USF had overstated some $800 million in profits over a three-year period. The imbroglio forced USF CEO Jim Miller to retire.
Ahold has declined comment on the Journal story and also describes as "speculation" a report that it is considering a rights issue to cut its debt of about US $13.12 billion, according to The Washington Post.
Nevertheless, the company's high debt could compel a sale of USF. (See upcoming ID Report later this week for more details.)

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