Debt info

Philips' rating

 

Philips' existing long-term debt is rated Baa1 (with stable outlook) by Moody's and BBB+ (with stable outlook) by Standard & Poor's. We are committed to a strong investment grade credit rating. There is no assurance that we will be able to achieve this goal and ratings are subject to change at any time.

Agency
Long-term
Short-term
Outlook
Standard & Poor's
BBB+
A - 2
Stable
Moody's
Baa1
P - 2
Stable

Debt maturity

 

Characteristics of long-term debt
 

  • Total net debt position of EUR 0.7 billion
  • Maturities up to 2042
  • Average tenor of long-term debt is 13.0 years3
  • No financial covenants
  • On April 19, 2017, Philips announced that the EUR 1.8 billion Revolving Credit Facility has been substituted with a new EUR 1 billion facility maturing in April 2022.

    3Based on long-term debt only, excludes short-term debt portion 

Debt maturity profile as of June 2017

Amounts in EUR millions
Debt maturity Q1 2017

1 Short term debt includes local credit facilities that are being rolled forward on a continuous basis.

2 On April 19, 2017, Philips announced that the EUR 1.8 billion Revolving Credit Facility has been substituted with a new EUR 1 billion facility maturing in April 2022.

3 Based on long-term debt only, excludes short-term debt portion

The profile of the outstanding bonds before the redemption is reflected in the table below
Outstanding bonds
Interest rate
Issue date
Maturity
USD 1,000 million
3.750%
2012
2022
USD 84 million
7.125%
1995
2025
USD 63 million
7.750%
1995
2025
USD 137 million
7.200%
1996
2026
USD 798 million
6.875%
2008
2038
USD 500 million
5.000%
2012
2042
In addition to the bonds, Philips has a fully drawn subordinated loan of EUR 200 million in place with final maturity in 2021.

Standby facility - EUR 1.0 billion Revolving Credit Facility

Key terms & conditions
Borrower
Royal Philips
Facility amount
EUR 1.0 billion
Purpose
  • General corporate purposes
  • Backstop for commercial paper program
Maturity
April 2022
Financial ratio covenants
None
MAC clauses
None

Debt / Equity ratio

Debt / Equity ratio

Contingent liabilities