Philips 2011 Annual Report Download - page 3

Annual Report 2011 3
12 Group financial statements 117
12.1 Management’s report on internal control 117
12.2 Reports of the independent auditor 117
12.3 Auditors’ report on internal control over financial
reporting
118
12.4 Consolidated statements of income 119
12.5 Consolidated statements of comprehensive income 120
12.6 Consolidated balance sheets 121
12.7 Consolidated statements of cash flows 123
12.8 Consolidated statements of changes in equity 125
12.9 Information by sector and main country 126
12.10 Significant accounting policies 129
12.11 Notes 137
1Income from operations 137
2Financial income and expenses 138
3Income taxes 139
4Investments in associates 142
5Discontinued operations and other assets
classified as held for sale
142
6Earnings per share 144
7Acquisitions and divestments 144
8Property, plant and equipment 146
9Goodwill 147
10 Intangible assets excluding goodwill 148
11 Non-current receivables 150
12 Other non-current financial assets 150
13 Other non-current assets 150
14 Inventories 150
15 Current financial assets 150
16 Other current assets 151
17 Current receivables 151
18 Shareholders’ equity 151
19 Long-term debt and short-term debt 152
20 Provisions 153
21 Other non-current liabilities 155
22 Accrued liabilities 155
23 Other current liabilities 155
24 Contractual obligations 155
25 Contingent liabilities 156
26 Cash from (used for) derivatives and securities 158
27 Proceeds from non-current financial assets 158
28 Assets in lieu of cash from sale of businesses 158
29 Pensions and other postretirement benefits 158
30 Share-based compensation 162
31 Related-party transactions 165
32 Information on remuneration 165
33 Fair value of financial assets and liabilities 170
34 Details of treasury risks 171
35 Subsequent events 174
12.12 Independent auditor’s report - Group 175
13 Company financial statements 176
13.1 Balance sheets before appropriation of results 177
13.2 Statements of income 178
13.3 Statement of changes in equity 178
13.4 Notes 179
AInvestments in affiliated companies 179
BOther non-current financial assets 179
CReceivables 179
DShareholders’ equity 179
ELong-term debt and short-term debt 181
FOther current liabilities 181
GNet income 181
HEmployees 181
IContingent liabilities 181
JAudit fees 181
KSubsequent events 181
13.5 Independent auditor’s report - Company 182
14 Sustainability statements 183
14.1 Economic indicators 186
14.2 EcoVision 186
14.3 Green Manufacturing 2015 188
14.4 Social indicators 190
14.5 General Business Principles 192
14.6 Supplier indicators 193
14.7 Independent assurance report 197
14.8 Global Reporting Initiative (GRI) table 198
15 Reconciliation of non-GAAP information 205
16 Five-year overview 210
17 Investor Relations 213
17.1 Key financials and dividend policy 213
17.2 Share information 215
17.3 Philips’ rating 217
17.4 Performance in relation to market indices 218
17.5 Philips’ acquisitions 221
17.6 Financial calendar 222
17.7 Investor contact 222
18 Definitions and abbreviations 225
19 Forward-looking statements and other
information
227