1. Building the leading company in health and well-being An introduction to Philips

2. A well-respected, blue-chip company for 120 years “… a global company of leading businesses creating value with meaningful innovations that improve people’s health and well-being .” Founded in 1891 Headquartered in Amsterdam, Netherlands Sales of €22.3 billion in 2010 1 Growth Markets 32% of 2010 sales generated in growth markets Globally recognized brand (world top 50) Our brand value doubled to $8.7bn since 2004 2 117,000 employees Sales and service outlets in over 100 countries € 1.5 billion investment in R&D, 7% of sales Who we are Our businesses Our mission 2010 Healthcare Lighting Consumer Lifestyle 2 Source: Interbrand 1 Note - All figures from the year 2010 onwards exclude Television as it is treated as discontinued operation

5. Healthcare What we do. Where we are . € 8.6 Billion sales in 2010 35,000+ People employed worldwide in 100 countries 450+ Products & services offered in over 100 countries 1 Last twelve months March 2011 8% of sales invested in R&D in 2010 Philips Healthcare Businesses 1 Sales & services geographies 1 Imaging Systems Home Healthcare Solutions Patient Care and Clinical Informatics Customer Services North America International 45% 35% 20% Growth Markets 38% 14% 22% 26%

6. Consumer Lifestyle What we do. Where we are . € 5.8 Billion sales in 2010 14,000+ People employed worldwide 5% of sales invested in R&D in 2010 1 Last twelve months March 2011 2 Other category (6%) is mainly license income and is omitted from this overview Note - All figures from the year 2010 onwards exclude Television as it is treated as discontinued operation Philips Consumer Lifestyle Businesses 1 2 Geographies 1 Personal Care Health & Wellness Domestic Appliances Audio Video Multimedia Mature Markets 61% 39% Growth Markets Accessories 21% 11% 27% 21% 14%

7. Lighting What we do € 7.6 Billion sales in 2010 53,000+ People employed worldwide in 60 countries 5% of sales invested in R&D in 2010 80,000+ Products & services offered in 2010 1 Indicative split Philips Lighting Customer Segments 1 24% 17% 17% 11% 13% 5% 2% 3% 8% Retail Entertainment Healthcare Automotive Homes Offices Outdoor Industry Hospitality

10. Creating meaningful innovations Improving lives in new ways Gain deep insights into people’s needs and aspirations by following a process requiring end-user input at every stage Transform insights into innovations by combining the diverse perspectives of different disciplines “ Learn fast, fail cheap” by applying a rigorous process to assess value potential early Lead in open innovation by working closely together with partners in a spirit of open innovation

11. End-user input at every stage of our innovation process Product creation process continues outside-in thinking throughout, with experiential” and “simplicity” testing. Insights on needs and aspirations are gathered by listening, watching and engaging our end-users and customers Multiple solutions are created by in-house Marketing, R&D, and Design teams who collaborate, together with external specialists Conclusions are validated with end-users and customers, both globally and locally.

13. Unique leadership positions in many markets Current NPS leadership positions 1 Global Cardiovascular X-ray Global Patient Monitoring Global Ultrasound Regional Cardiac resuscitation Regional (USA) Home Monitoring 1 (Co)Leadership is defined as outperforming (>5%) or on par with best competitor, globally or regionally Global Male electric shaving & grooming Global Mother and Child Care Regional (Latam, China) Beauty and Skin Regional (Latam, China) Kitchen appliances Global Oral Healthcare Global High Power LEDs Global Professional Luminaires Global Lumileds Global Automotive Lighting Global Professional Lamps Healthcare Consumer Lifestyle Lighting 1 Leadership is made up of outright leadership (outperforming the best competitor by >5%) and co-leadership (on par with best competitor, within 5%), globally or regionally

15. Philips people High engagement driving productivity High performance benchmark Philips benefits from: A strong leadership team A highly engaged workforce Productivity per employee increased by 20% year on year Employee Engagement Index Philips at high performance norm The 2010 ‘employee engagement index’ polling over 90,000 of the Philips workforce showed we are amongst the world’s top-ranking companies 2010 75 69 64 61 59 2005 2006 2007 2008 68 2009

16. Saeco (2009) Discus (2010) Dynalite (2009) Selecon (2009) Ilti Luce (2009) Genlyte (2008) Lighting Technologies (2007) Burton (2010) Teletrol (2009) NSW (2010) Luceplan (2010) InnerCool Therapies (2009) Traxtal (2009) Respironics (2008) VMI-Sistemas Medico (2007) Visicu (2008) Emergin (2007) Raytel (2007) Tecso Informatica (2010) Somnolyzer (2010) CDP Medical Ltd. (2010) Apex (2010) Wheb Sistemas (2010) Dixtal Biomedica e Technologia (2008) Meditronics (2008) Alpha X-Ray (2008) Medel (2008) Shenzhen Goldway (2008) Tomcat (2008) Interactive Medical Developments (2008) Lighting Consumer lifestyle Healthcare Street Controls(2010) Optimum (2011) MedSage (2011) Preethi (2011) Emerging Markets Our global reach Focused portfolio through strategic acquisitions* * Strategic acquisitions since mid-September 2007 until January 2011

17. Healthcare Lighting Consumer Lifestyle 1 TV divestment increases focus on the profitable and growing health and well-being portfolio Portfolio now consists of ~65% B 2 B businesses March ’11 last twelve months 1 Consumer Lifestyle in 2007 includes the former DAP and Consumer Electronics divisions/ Consumer Lifestyle 2011 is excluding Television activities 2 2007 figures are based on US GAAP 3 All figures from the year 2010 onwards exclude Television as it is treated as discontinued operation 2007 actual sales split The reported EBITA for Consumer Lifestyle was 6.4% The reported EBITA for Consumer Lifestyle was 11.4%, excl. Television, which is treated as discontinued operations 3 2