Debt

Long-term debt

Philips Group
Long-term debt in millions of EUR unless otherwise stated
2013 - 2014
 
(range of) interest rates
average rate of interest
amount outstanding 2014
amount due in 1 year
amount due after 1 year
amount due after 5 years
average remaining term (in years)
amount outstanding 2013
USD bonds
3.8 - 7.8%
5.6%
3,355
3,355
2,333
12.7
2,958
Bank borrowings
0 - 7.8%
1.9%
258
51
207
201
5.7
466
Other long-term debt
2.1 - 19.9%
4.9%
52
43
9
1
1.4
48
Institutional financing
3,665
94
3,571
2,535
3,472
Finance leases
0 - 14.4%
3.8%
195
54
141
43
3.8
199
Long-term debt
 
5.2%
3,860
148
3,712
2,578
 
3,671
Corresponding data of previous year
 
5.0%
3,671
362
3,309
2,315
 
3,976

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The following amounts of long-term debt as of December 31, 2014, are due in the next five years:

Philips Group
Long-term debts due in the next five years in millions of EUR
2013 - 2014
2015
148
2016
43
2017
32
2018
1,046
2019
13
Long term debt
1,282
Corresponding amount of previous year
1,356

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Philips Group
Unsecured USD Bonds in millions of EUR unless otherwise stated
2013 - 2014
effective rate
2013
2014
Due 5/15/25; 7 3/4%
7.429%
72
81
Due 6/01/26; 7 1/5%
6.885%
120
136
Due 5/15/25; 7 1/8%
6.794%
74
84
Due 3/11/18; 5 3/4%1)
6.066%
907
1,028
Due 3/11/38; 6 7/8%1)
7.210%
726
823
Due 3/15/22; 3 3/4%1)
3.906%
726
823
Due 3/15/42; 5%1)
5.273%
363
411
Adjustments2)
 
(30)
(31)
Unsecured USD Bonds
 
2,958
3,355
1)
The provisions applicable to these bonds, issued in March 2008 and in March 2012, contain a ‘Change of Control Triggering Event’. If the Company would experience such an event with respect to a series of corporate bonds, the Company may be required to offer to purchase the bonds of the series at a purchase price equal to 101% of the principal amount, plus accrued and unpaid interest, if any.
2)
Adjustments relate to issued bond discounts, transaction costs and fair value adjustments for interest rate derivatives
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Secured liabilities

In 2014, none of the long-term and short-term debt was secured by collateral (2013: EUR nil million).

Short-term debt

Philips Group
Short-term debt in millions of EUR
2013 - 2014
 
2013
2014
Short-term bank borrowings
207
225
Other short-term loans
23
19
Current portion of long-term debt
362
148
Short-term debt
592
392

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During 2014, the weighted average interest rate on the bank borrowings was 8.3% (2013: 6.4%).

Philips has a USD 2.5 billion Commercial Paper Program and a EUR 1.8 billion revolving credit facility that can be used for general group purposes and as a backstop of its commercial paper program. In January 2013, the EUR 1.8 billion facility was extended by 2 years until February 18, 2018. As of December 31, 2014 Philips did not have any loans outstanding under either facility.

(0)
(0)

SF6 (Sulfur hexafluoride) is used in the electrical industry as a gaseous dielectric medium.

CO2-equivalent or carbon dioxide equivalent is a quantity that describes, for a given mixture and amount of greenhouse gas, the amount of CO2 that would have the same global warming potential (GWP), when measured over a specified timescale (generally 100 years).