Philips 2008 Annual Report Download - page 221

Lifeline
On March 22, 2006, Philips completed its acquisition of Lifeline, a
leader in personal emergency response services. Philips acquired a
100% interest in Lifeline by paying USD 47.75 per share in cash. As
of the date of acquisition Lifeline is consolidated as part of the
Healthcare sector.
The condensed balance sheet of Lifeline determined in accordance
with IFRS, immediately before and after acquisition date:
before
acquisition date
after acquisition
date
Assets and liabilities
Goodwill 15 341
Other intangible assets 18 319
Property, plant and equipment 34 20
Other non-current financial assets 22 19
Working capital 27 8
Deferred tax liabilities (6) (124)
Cash 17 14
127 597
Financed by
Group equity 84 597
Loans 43 −
127 597
Other intangible assets comprise:
amount
amortization
period in years
Trademarks and trade names 114 indefinite
Software 9 3-5
Customer relationships 196 5-20
319
Witt Biomedical
On April 26, 2006, Philips completed its acquisition of Witt Biomedical,
the largest independent supplier of hemodynamic monitoring and
clinical reporting systems used in cardiology catheterization
laboratories. As of the date of acquisition, Witt Biomedical has
been consolidated within the Healthcare sector.
The condensed balance sheet of Witt Biomedical determined in
accordance with IFRS, immediately before and after acquisition date:
before
acquisition date
after acquisition
date
Assets and liabilities
Goodwill −83
Other intangible assets −29
Property, plant and equipment 1 1
Working capital 13 17
Provisions (4) (24)
Deferred tax −4
Cash 5 5
15 115
Financed by
Group equity 15 115
15 115
Other intangible assets comprise:
amount
amortization
period in years
In-process research and
development 4 3
Developed and core technology 11 4
Customer relationships 6 10
Backlog 7 1
Other 1 3
29
Avent
As of August 31, 2006, Philips completed its acquisition of Avent, a
leading provider of baby and infant feeding products in the United
Kingdom and the United States. Philips acquired Avent for EUR 689
million, which was paid in cash upon completion of the transaction.
As of the date of acquisition, Avent has been consolidated within
the Consumer Lifestyle sector.
The condensed balance sheet of Avent determined in accordance
with IFRS, immediately before and after acquisition date:
before
acquisition date
after acquisition
date
Assets and liabilities
Goodwill 367 344
Other intangible assets −392
Property, plant and equipment 36 35
Working capital 26 40
Deferred tax liabilities −(122)
Cash 23 22
452 711
Financed by
Group equity (35) 711
Loans 4871) −
452 711
Includes preference share capital
1)
Other intangible assets comprise:
amount
amortization
period in years
Trademarks and trade names 242 indefinite
Customer relationships and patents 150 5-18
392
Intermagnetics
On November 9, 2006, Philips acquired Intermagnetics for USD 27.50
per share, which was paid in cash upon completion. Additionally, in
connection with the closing, Philips provided a loan to Intermagnetics
of approximately USD 120 million to pay off debt and certain other
obligations, including amounts related to the acceleration of
stock-based compensation and expenses incurred as a result of the
transaction. Since the date of the transaction, Intermagnetics has
been consolidated within the Healthcare sector.
Philips Annual Report 2008 221
254
Corporate governance
250
Reconciliation of
non-US GAAP information
262
Ten-year overview
266
Investor information