LONDON (Standard&Poor's) Dec. 21, 2007--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 will acquire U.S.-based respiratory medical technology company Respironics Inc. for $5.1 billion (€3.6 billion). Standard&Poor's considers Philips' financial flexibility to be sufficient to undertake the acquisition, assuming that the group's €5 billion share buyback is executed gradually over a two-year period without putting pressure on liquidity or leverage (see Standard&Poor's Research Update titled "Dutch Philips Electronics Ratings Affirmed On Two-Year Share Buyback Plan; Outlook Stable," published on RatingsDirect on Dec. 19, 2007. The acquisition should be accretive to our business
