EX-7 3 d330553dex7.htm EX-7 EX-7

Exhibits 16.5

 

16.5 Exhibit 7

Ratio of earnings to fixed charges

Philips Group

Unaudited calculation of ratio of earnings to fixed charges in millions of EUR unless otherwise stated

2012 - 2016

 

  

 

 

  
     2012      2013      2014      2015      2016  
  

 

 

  

Income (loss) before taxes

      263        1,525        185        623        1,389  

Fixed charges

      401        366        338        391        431  

Dividend received from associates

      15        6        41        17        48  
  

 

 

  

Total earnings

      679        1,897        564        1,031        1,868  

Interest paid to third-party on loans and borrowings

      271        245        224        271        303  

Costs related to indebtedness

      12        9        9        14        21 1) 

Interest included in capital lease payments

      7        7        7        7        7  

One third of rental expense (being that portion of rental expense representative of the interest factor)

      111        105        98        100        101  
  

 

 

  

Total fixed charges

      401        366        338        392        431  

Ratio of earnings to fixed charges

      1.7        5.2        1.7        2.6        4.3  
  

 

 

  

 

1)

the cost related to indebtedness has been adjusted for the early redemption of USD bonds for EUR 153 million. If it had not been adjusted, the ratio would have been 3.5.

 

Annual Report 2016      271