Other financial assets

Other non-current financial assets

The changes during 2014 were as follows:

Koninklijke Philips N.V.
Other non-current financial assets in millions of EUR
2014
 
available-for-sale financial assets
loans and receivables
financial assets at fair value through profit and loss
total
Balance as of January 1, 2014
86
190
7
283
Changes:
 
 
 
 
Reclassifications
8
(121)
(113)
Acquisitions/additions
10
60
70
Sales/redemptions/ reductions
(12)
(12)
Impairments
(4)
(4)
Transfer to assets classified as held for sale
(37)
(37)
Value adjustments
45
4
(7)
42
Balance as of December 31, 2014
96
133
229

This item is optimized for devices with a larger screen. You can still view this item in PDF format.
Download PDF

Available-for-sale financial assets

The Company’s investments in available-for-sale financial assets mainly consist of investments in common stock of companies in various industries. An amount of EUR 37 million has been reclassified to assets held for sale in relation to the contribution agreement between the Philips Pension Fund, Philips and Dutch trade unions on July 1, 2013.

Loans and receivables

The reclassification line includes loans of EUR 121 million transferred to Current financial assets (see below). The acquisitions/additions line relates to a new loan of EUR 60 million issued to TPV Technology Limited.

Financial assets at fair value through profit and loss

In 2010 Philips sold its entire holding of common shares in NXP Semiconductors B.V. (NXP) to Philips Pension Trustees Limited (herein referred to as “UK Pension Fund”). The purchase agreement with the UK Pension Fund included an arrangement that entitled Philips to a cash payment from the UK Pension Fund on or after September 7, 2014, if certain conditions were met. As of December 31, 2013, management’s best estimate of the fair value of the arrangement was EUR 7 million. At the date of expiration on September 7, 2014 the arrangement did not represent any value. The decline in fair value in 2014 is reported under value adjustments in the table above.

Current financial assets

The amount of EUR 121 million relates to loans issued to TPV Technology Limited. These loans are due in 2015 and have therefore been reclassified from non-current to Current financial assets.

(0)
(0)