...April 29, 2024 This report does not constitute a rating action. MADRID (S&P Global Ratings) April 29, 2024--Koninklijke Philips' settlement deal for its personal injury and medical monitoring claims diminishes further uncertainty over pending litigations, said S&P Global Ratings today. Koninklijke Philips announced that it has agreed to a lump-sum payment of $1.1 billion (around 980 million), to be settled in 2025, relating to its current and potential personal injury and medical monitoring claims. We estimate the full impact of the payment will materialize in its cash flow generation for 2025, but we reiterate our base case published in April 2024 whereby we estimate S&P Global Ratings-adjusted debt to EBITDA will continue to be about 2.5x-3.0x for 2024 and 2.0x-2.5x in 2025. In our base case, we have also accounted for 540 million that the insurers will pay Koninklijke Philips during 2024 to cover other liability claims. We remain cautious in our projections for Koninklijke Philips, given...
