Bulletin: Koninklijke Philips N.V. Takes Defensive Liquidity Measures To Protect Its Financial Flexibility - S&P Global Ratings’ Credit Research

Bulletin: Koninklijke Philips N.V. Takes Defensive Liquidity Measures To Protect Its Financial Flexibility

Bulletin: Koninklijke Philips N.V. Takes Defensive Liquidity Measures To Protect Its Financial Flexibility - S&P Global Ratings’ Credit Research
Bulletin: Koninklijke Philips N.V. Takes Defensive Liquidity Measures To Protect Its Financial Flexibility
Published Apr 29, 2020
3 pages (1668 words) — Published Apr 29, 2020
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Abstract:

LONDON (S&P Global Ratings) April 29, 2020--Koninklijke Philips N.V. (Philips; BBB+/Stable/A-2) aims to preserve cash and support its liquidity by paying its 2020 dividends in shares, rather than cash. It will also use forward contracts to settle share repurchases and delay the settlement to 2021 from 2020. It has also placed €1 billion worth of notes in March 2020. These moves will support Philips' financial flexibility and bolster its headroom at the current rating level. We currently assume S&P Global Ratings-adjusted leverage will be about 2.5x in 2020, which is below 3x that we view as commensurate with the 'BBB+' rating. As of March 31, 2020, Philips had about €2.1 billion in cash on its balance sheet and a €1

  
Report Type:

Bulletin

Ticker
PHIA@NA
Issuer
Koninklijke Philips N.V.
GICS
Health Care Equipment (35101010)
Sector
Global Issuers, Structured Finance
Country
Netherlands
Region
Europe, Middle East, Africa
Format:
PDF Adobe Acrobat
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Cite this Report

  
MLA:
S&P Global Ratings’ Credit Research. "Bulletin: Koninklijke Philips N.V. Takes Defensive Liquidity Measures To Protect Its Financial Flexibility" Apr 29, 2020. Alacra Store. May 14, 2025. <http://www.alacrastore.com/s-and-p-credit-research/Bulletin-Koninklijke-Philips-N-V-Takes-Defensive-Liquidity-Measures-To-Protect-Its-Financial-Flexibility-2420880>
  
APA:
S&P Global Ratings’ Credit Research. (). Bulletin: Koninklijke Philips N.V. Takes Defensive Liquidity Measures To Protect Its Financial Flexibility Apr 29, 2020. New York, NY: Alacra Store. Retrieved May 14, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/Bulletin-Koninklijke-Philips-N-V-Takes-Defensive-Liquidity-Measures-To-Protect-Its-Financial-Flexibility-2420880>
  
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