Dutch grocer Ahold has a debt structure with a relatively high amount of cash on its balance sheet.

i. Calculate the interest expense on the average gross debt and interest rate on the average cash position.

ii. Calculate the interest rate on the average net debt, assuming the other financial income and expenses are not related to the debt or cash balances.

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EXHIBIT 11 Ahold's Debt, Interest Income, and Expense ( millions) 2 Jan 2011 1 Jan 2012 Average Loans 1,851 1,489 1,670 Finance lease liabilities 1,096 1,158 1,127 Cumulative preferred financing shares 497 497 497 Non-current portion of long-term debt 3,444 3,144 3,294 Short borrowings and current portion of long-term debt 117 536 327 Gross debt 3,561 3,680 3,621 Less: cash, cash equivalents, and short-term deposits 2,824 2,592 2,708 Net debt 737 1,088 913 Interest income for 2011 20 20 Interest expense for 2011 Net interest expense Other financial expenses Total finance costs 245 225 91 316