Philips 2015 Annual Report Download - page 153

23 24 25 Group nancial statements 12.9
Annual Report 2015 153
The decrease of the balance of other liabilities as per
December 31, 2015 mainly relates to the pay out of
liabilities in 2015 which were accrued as per December
31, 2014 for certain parts of the Cathode Ray Tube
antitrust litigation for which the Company was able to
reach settlement. The liabilities per December 31, 2014
include transfers of provisions previously recognized.
For more details reference is made to note 19,
Provisions and note 26, Contingent assets and liabilities
- legal proceedings.
23 Cash used for derivatives and current
nancial assets
In 2015, a total of EUR 193 million cash was paid with
respect to foreign exchange derivative contracts
related to activities for liquidity management and
funding.
(2014: EUR 13 million outow; 2013: EUR 93 million
outow).
In 2015, a total of EUR 121 million was received with
respect to current nancial assets mainly related to
loans TPV Technology Limited (2014: EUR 6 million
inow; 2013: EUR 8 million outow).
24 Purchase and proceeds from non-current
nancial assets
In 2015, the net cash inow of EUR 32 million was mainly
due to the sale of stakes in Silicon & Software Systems
and other equity interest.
In 2014, the net cash inow of EUR 26 million was
mainly due to the sale of stakes in Neusoft, Chimei
Innolux, and Sapiens, oset by loans provided to TPV
Technology Limited.
In 2013, there were no signicant cash ows resulting
from investing activities.
25 Contractual obligations
Philips Group
Contractual cash obligations1) in millions of EUR
2015
payments due by period
total
less
than 1
year
1-3
years
3-5
years
after 5
years
Long-term debt2) 4,034 84 1,152 1 2,797
Finance lease
obligations 242 72 92 36 42
Short-term debt 1,515 1,515 - - -
Operating lease
obligations 952 243 280 162 267
Derivative
liabilities 995 253 383 156 203
Interest on debt3) 2,767 221 438 334 1,774
Purchase
obligations4) 175 68 69 30 8
Trade and other
payables 2,673 2,673 - - -
Contractual cash
obligations 13,353 5,129 2,414 719 5,091
1) Obligations in this table are undiscounted
2) Long-term debt includes short-term portion of long-term debt and
excludes nance lease obligations
3) Approximately 32% of the debt bears interest at a oating rate. Majority
of the interest payments on variable interest rate loans in the table
above reect market forward interest rates at the period end and these
amounts may change as market interest rate changes
4) Philips has commitments related to the ordinary course of business
which in general relate to contracts and purchase order commitments
for less than 12 months. In the table, only the commitments for multiple
years are presented, including their short-term portion
The Company entered into contracts with several
venture capitalists where it committed itself to make,
under certain conditions, capital contributions to
investment funds for an aggregated remaining amount
of EUR 22 million (2014: EUR 35 million) until June 30,
2021. As at December 31, 2015 capital contributions
already made to these investment funds are recorded
as available-for-sale nancial assets within Other non-
current nancial assets.
The operating lease obligations are mainly related to
the rental of buildings. A number of these leases
originate from sale-and-leaseback arrangements.
Operating lease payments under sale-and-leaseback
arrangements for 2015 totaled EUR 36 million (2014:
EUR 42 million).
The remaining minimum payments under sale-and-
leaseback arrangements included in operating lease
obligations above are as follows:
Philips Group
Operating lease - minimum payments under sale-and-leaseback
arrangements in millions of EUR
2015
2016 36
2017 35
2018 34
2019 32
2020 28
Thereafter 115