Bondholder info

The rating of the company

Philips' existing long-term debt is rated A3 (with stable outlook) by Moody's and A- (with stable outlook) by Standard & Poor's. It is our objective to manage our financial ratios to be in line with A3 / A-. 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

A -

A - 2

Stable

Moody's

A3

P - 2

Stable

Debt maturity

The maturity details of our long-term debt per December 31, 2013 are included in our Annual Report 2013 (please click here).

In March 2012, Philips placed a total of USD 1.5 billion of new Philips Senior Notes. Philips used the net proceeds to redeem the 4.625% Notes due 2013 (repaid on April 10th 2012), and repaid the USD 143 million bond that matured in August 2013. The remainder has been used for general corporate purposes including other debt reductions. 

Outstanding bonds

Interest rate

Issue date

Maturity

USD 1,250 million

5.750%

2008

2018

USD 1,000 million3.750%20122022

USD 103 million

7.125%

1995

2025

USD 99 million

7.750%

1995

2025

USD 166 million

7.200%

1996

2026

USD 1,000 million

6.875%

2008

2038

USD 500 million

5.000%2012

2042

 

In addition to the bonds, Philips has two bilateral loans in place at June 29, 2014: a fully drawn subordinated loan of EUR 200 million with final maturity in 2021, and a bilateral credit facility of EUR 250 million maturing in December 2014, which was undrawn as of June 29, 2014.

Standby facility - EUR 1.8 billion Revolving Credit Facility

 

Key terms & conditions

 

Borrower

Royal Philips                                                        

Facility amount

EUR 1.8 billion

Purpose

- General corporate purposes

 

- Backstop for commercial paper program

Maturity

February 2018                                               

Financial ratio covenants

None

MAC clauses

None

 

Debt / Equity ratio

Debt Equity Ratio graph Q2 2014

 

As from Jan 1, 2009 we changed from US GAAP to IFRS; historic numbers have not been adjusted to IFRS.

 

 

Contingent liabilities