Philips 2015 Annual Report Download - page 175

E F G Company nancial statements 13.4
Annual Report 2015 175
EOther nancial assets
The changes during 2015 were as follows:
Koninklijke Philips N.V.
Other non-current nancial assets in millions of EUR
2015
available
-for-sale
nancial
assets
loans and
receivables
nancial
assets at
fair value
through
prot and
loss total
Balance as of
January 1, 2015 96 133 - 229
Changes:
Reclassications (8) (8)
Acquisitions/
additions 3 17 5 25
Sales/
redemptions/
reductions (1) (6) (7)
Impairments (4) (4)
Transfer to assets
classied as held
for sale 1 1
Value adjustments 37 2 4 43
Balance as of
December 31,
2015 132 138 9 279
Available-for-sale nancial assets
The Company’s investments in available-for-sale
nancial assets mainly consist of investments in
common shares of companies in various industries. The
line additions/acquisitions mainly relates to capital
calls for certain investment funds. The impairment
movement relates to a specic investment’s declining
nancial performance.
Loans and receivables
The acquisitions/additions line mainly relates to vendor
loans issued to an amount of EUR 17 million in relation to the
sale of an equity interest. The current
portion of this loan
(EUR 8 million) was in the course of 2015 reclassied to
Current nancial assets. The remainder of the loan will
be redeemed in 2017.
FReceivables
Koninklijke Philips N.V.
Receivables in millions of EUR
2014 - 2015
2014 2015
Trade accounts receivable 105 91
Aliated companies 7,916 7,966
Other receivables 48 64
Advances and prepaid expenses 15 19
Derivative instruments - assets 370 158
Receivables 8,454 8,298
GShareholders’ equity
Common shares
As of December 31, 2015, the issued and fully paid-up
share capital consists of 931,130,387 common shares,
each share having a par value of EUR 0.20.
In June 2015, Philips settled a dividend of EUR 0.80 per
common share, representing a total value of EUR 730
million. Shareholders could elect for a cash dividend or
a share dividend. Approximately 59% of the
shareholders elected for a share dividend, resulting in
the issuance of 17,671,990 new common shares. The
settlement of the cash dividend resulted in a payment
of EUR 298 million including tax and service charges.
The following table shows the movements in the
outstanding number of shares:
Koninklijke Philips N.V.
Outstanding number of shares in number of shares
2014 - 2015
2014 2015
Balance as of January 1 913,337,767 914,388,869
Dividend distributed 18,811,534 17,671,990
Purchase of treasury shares (28,537,921) (20,296,016)
Re-issuance of treasury shares 10,777,489 5,338,743
Balance as of December 31 914,388,869 917,103,586
Preference shares
The ‘Stichting Preferente Aandelen Philips’ has been granted
the right to acquire preference shares in the Company. Such
right has not been exercised. As a means to protect the
Company and its stakeholders against an unsolicited attempt
to (de facto) take over control of the Company, the General
Meeting of Shareholders in 1989 adopted amendments to
the Company’s articles of association that allow the Board
of Management and the Supervisory Board to issue (rights
to acquire) preference shares to a third-party. As of
December 31, 2015, no preference shares have been issued.
Options, restricted and performance shares
The Company has granted stock options on its common
shares and rights to receive common shares in the
future. Please refer to note 28, Share-based
compensation, which is deemed incorporated and
repeated herein by reference.
Treasury shares
In connection with the Company’s share repurchase
programs, shares which have been repurchased and are
held in treasury for (i) delivery upon exercise of options,
performance and restricted share programs, and (ii)
capital reduction purposes, are accounted for as a
reduction of shareholders’ equity. Treasury shares are
recorded at cost, representing the market price on the
acquisition date. When issued, shares are removed
from treasury shares on a FIFO basis.
When treasury shares are reissued under the
Company’s option plans, the dierence between the
cost and the cash received is recorded in retained