Amsterdam, The Netherlands, Ahold announced Tuesday that it has agreed to a settlement with James Miller, the former CEO of its former subsidiary U.S. Foodservice. Under the settlement, Miller agrees to pay Ahold $8 million.
Ahold said that its pending litigation with Miller will be terminated and that the settlement does not suggest acknowledgement of liability by Miller.
The settlement relates to an accounting scandal in February 2003, in which Ahold reported that it had inflated earnings by at least $500 million. According to the company, these overstatements of earnings occurred based on conduct at its former subsidiary U.S. Foodservice.