Ahold yesterday reported a 2002 net loss of €1.2 billion and warned it would be far higher under US accounting rules, as the world's third-largest grocery retailer attempted to draw a line under a devastating accounting scandal.

Although shares rose 7.3 per cent to €8.83 as the long-awaited figures confirmed analysts' expectations, the firm still has to close the book on the accounting affair.

Last week it suspended about 20 employees at US Foodservice, the distribution unit at the centre of the €970 million scandal, following continuing internal inquiries. The staff are in middle- and lower-management at various locations and branches of the distribution group.

Ahold chief corporate governance counsel Mr Peter Wakkie said the suspensions related to a practice called "puffing", where vendors were over-billed for promotional allowances.

Ahold is expected within 10 days to name a chief executive at US Foodservice, who will succeed Mr Jim Miller, who resigned in May.

The higher US accounting loss will be disclosed next week in a filing to the US Securities & Exchange Commission. Additional goodwill impairments of about €3.2 billion are anticipated, €2.7 billion of which relate to US Foodservice. The 2002 statement, upon which rested a €2.65 billion credit facility, had been delayed three times.

Mr Wakkie said internal inquiries into the wrongful consolidation of joint ventures had "not led to any conclusion that any member of the executive board sitting here should be sanctioned".

The company declined to say whether Mr Jan Andreae, executive board member responsible for European operations, had signed "contradictory" documents suggesting Ahold had the authority to consolidate partnerships. But Mr Anders Moberg, chief executive, said Mr Andreae had always acted "in good faith".

The matter is the subject of a criminal inquiry by the Dutch public prosecutor, one of several external investigations.

The deconsolidation of joint ventures took €22.8 billion from sales in 2000 and 2001. Revised 2001 net income was down €363 million to €920 million, and €196 million in 2000 to €750 million. Sales for 2002 were €62.7 billion, boosted by acquisitions.

Details of financing plans - thought likely to include a €2 billion rights issue - and further significant divestments will come in mid-October. Ahold said net debt was about €800 million below the 2002 year-end figure of €11.6 billion.