Philips 2004 Annual Report Download - page 90

We have audited the consolidated balance sheets of Koninklijke
Philips Electronics N.V. and subsidiaries as of December 31, 2004
and 2003, and the related consolidated statements of income,
changes in stockholders’ equity, and cash flows for each of the
years in the three-year period ended December 31, 2004,
appearing on pages 90 to 175. These consolidated financial
statements are the responsibility of the Company’s management.
Our responsibility is to express an opinion on these consolidated
financial statements based on our audits.
We conducted our audits in accordance with the standards of the
Public Company Accounting Oversight Board (United States of
America) and auditing standards generally accepted in the
Netherlands. Those standards require that we plan and perform
the audit to obtain reasonable assurance about whether the
consolidated financial statements are free of material
misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting
principles used and significant estimates made by management, as
well as evaluating the overall financial statement presentation. We
believe that our audits provide a reasonable basis for our opinion.
In our opinion, the consolidated financial statements referred to
above present fairly, in all material respects, the financial position
of Koninklijke Philips Electronics N.V. and subsidiaries as of
December 31, 2004 and 2003, and the results of their operations
and their cash flows for each of the years in the three-year period
ended December 31, 2004, in accordance with accounting
principles generally accepted in the United States of America.
Eindhoven, February 22, 2005
KPMG Accountants N.V.
89Philips Annual Report 2004
Report of independent registered public
accounting firm