Philips 2014 Annual Report Download - page 235

Investor Relations 17.2
Annual Report 2014 235
two to three years. The shares repurchased under this
program will be held by Philips as treasury shares until
they are cancelled. Philips has entered into a
subsequent discretionary management agreement
with a bank to make the repurchase within the limits of
relevant laws and regulations (in particular EC
Regulation 2273/2003) and Philips’ articles of
association
.
By the end of 2014, Philips had completed 41% of the
EUR 1.5 billion share repurchase program.
Philips Group
Impact of share repurchases on share count in thousands of shares
2010 - 2014
2010 2011 2012 2013 2014
Shares issued 986,079 1,008,975 957,133 937,846 934,820
Shares in treasury 39,573 82,880 42,542 24,508 20,431
Shares outstanding 946,506 926,095 914,591 913,338 914,389
Shares repurchased 15 47,508 46,871 27,811 28,538
Shares cancelled − − 82,365 37,779 21,838
Share repurchases related to Long-Term Incentive
(LTI) and employee stock purchase programs
Philips initiated LTI repurchases in 2014 to cover Philips’
outstanding obligations resulting from past and present
long-term incentive and employee stock purchase
programs dating back to 2004. The shares repurchased
for coverage purpose will be held by Philips as treasury
shares until they are distributed to participants. Philips
entered into subsequent discretionary management
agreements with a bank to make the repurchases within
the limits of relevant laws and regulations (in particular
EC Regulation 2273/2003) and Philips’ articles of
association.
In 2014, Philips repurchased a total of 7.3 million shares
for LTI coverage. During 2015, Philips may continue with
additional repurchases, the size of which will depend
on the movement of the Philips stock price.
Further details on the share repurchase programs can
be found on the Investor Relations website. For more
information see chapter 11, Corporate governance, of
this Annual Report.
Philips Group
Total number of shares purchased
2014
total number of shares
purchased
average price paid per
share in EUR
total number of shares
purchased as part of
publicly announced
programs
maximum EUR amount of
shares that may yet be
purchased under share
repurchases for capital
reduction purposes
January, 2014 2,038,149 26.88 2,038,149 1,352,223,907
February, 2014 2,898,000 25.72 2,898,000 1,312,569,419
March, 2014 2,140,331 24.91 2,140,331 1,284,211,321
April, 2014 5,516,424 24.72 5,516,421 1,208,271,127
May, 2014 2,689,922 23.14 2,689,922 1,159,447,057
June, 2014 2,530,624 23.16 2,530,624 1,104,993,623
July, 2014 916,200 23.44 916,200 1,087,625,571
August, 2014 1,963,941 22.72 1,963,941 1,052,561,499
September, 2014 1,941,333 23.82 1,941,333 1,016,227,505
October, 2014 2,599,990 22.66 2,599,990 967,004,052
November, 2014 1,338,007 22.73 1,338,000 936,595,413
December, 2014 1,965,000 23.47 1,965,000 890,472,326
A total of 20,430,544 shares were held in treasury by
the Company at December 31, 2014 (2013: 24,508,022
shares). As of that date, a total of 41 million rights to
acquire shares (under long-term incentive plans) were
outstanding (2013: 44 million).