LONDON (Standard&Poor's) Aug. 15, 2005--Standard&Poor's Ratings Services said today that its ratings and outlook on Dutch diversified technology group Koninklijke Philips Electronics N.V. (A-/Stable/A-2) are unaffected by the group's announcement that it is to acquire a further 47% stake in Lumileds Lighting Int. B.V., the U.S.-headquartered leading manufacturer of high-power light-emitting diodes, for approximately €765 million and will additionally undertake a new share-repurchase program of €1.5 billion within the next 12 months. After the increase of its stake, Philips will hold a 96.5% stake in Lumileds. Standard&Poor's considers Philip's financial flexibility is sufficient to undertake the acquisition and share-repurchase program, given the combination of the group's cash balance and financial holdings totaling €16 billion
