Philips 2006 Annual Report Download - page 236

Philips Annual Report 2006236
Dividend policy
Philips’ present dividend policy is based on an average
annual pay-out ratio of 25 to 35% of continuing net income.
The dividend paid over the last ten years is shown
in the
graph below. Philips will explain a revised dividend policy
at the 2007 General Meeting of Shareholders, which raises
this average annual pay-out ratio to 40-50% of continuing
net income.
Dividend paid (from prior-year profit distribution)
in euros
0
0.1
0.2
0.3
0.4
0.5
0.6
0.18
0.23 0.25
0.30
0.36 0.36 0.36 0.36
0.40
0.44
0.60*
*subject to approval by the 2007 Annual General Meeting of Shareholders
‘97 ‘98 ‘99 ‘00 ‘01 ‘02 ‘03 ‘04 ‘05 ‘06 ‘07*
Dividend to shareholders
Shares of Koninklijke Philips Electronics N.V. will be
traded ex-dividend as of March 30, 2007. In compliance
with the listing requirements of the New York Stock
Exchange and the stock market of Euronext Amsterdam,
the record date will be April 3, 2007.
The dividend as proposed to the General Meeting of
Shareholders will be payable as of April 10, 2007 to all
shareholders. The dividend payment to holders of American
shares will be made in USD at the USD/EUR rate fi xed
by the European Central Bank on April 4, 2007.
Dividend dates
ex-dividend date record date payment date
Amsterdam
shares March 30, 2007 April 3, 2007 April 10, 2007
New York
shares March 30, 2007 April 3, 2007 April 10, 2007
Market capitalization
Philips’ market capitalization was EUR 31.6 billion at
year-end 2006. The highest closing price for Philips’
shares in 2006 was EUR 29.31 on November 21, 2006
and the lowest was EUR 21.89 on June 14, 2006, both
in Amsterdam.
Market capitalization
in billions of euros
0
10
20
30
40
50
Value of publicly quoted stakes Value of Philips excluding stakes
2002 2003 2004 2005 2006
In 2005 and 2006, Philips completed several share
repurchase programs. Excluding these share repurchase
programs, Philips’ expected market capitalization would
have been EUR 33.3 billion at year-end 2005 and
EUR 36.2 billion at year-end 2006. The share repurchases
amounted to EUR 1,836 million in 2005 and EUR 2,899
million in 2006.
Investor information
112 Group fi nancial statements 172 IFRS information 218 Company fi nancial statements
Detailed information for shareholders is available on the Investor Relations website www.philips.com/investor.
As well as fi nancial reports and presentations, the site also provides information on related issues, such as
governance, business principles and sustainability.