Philips announces exchange ratio for 2019 dividend

July 6, 2020

Amsterdam, the Netherlands – Royal Philips (NYSE: PHG; AEX: PHIA) today announced that the exchange ratio for the dividend for the year 2019 has been determined. The exchange ratio is 1 new common share for every 49.2971 existing common shares. This ratio was based on the volume weighted average price on Euronext Amsterdam of June 30, and July 1 and 2, 2020, of EUR 41.8725 and was calculated in a manner that the gross dividend in shares will be approximately equal to EUR 0.85. As a result, Philips will issue a total number of 18,080,198 new common shares.

The dividend will be made payable to shareholders from July 7, 2020. Upon payment of the dividend, the total issued share capital will amount to EUR 182,210,600.20, representing 911,053,001 common shares. After deduction of treasury shares, the total number of outstanding shares will be 909,395,209 shares (2019: 909,194,188).

For further information, please contact:

Ben ZwirsPhilips Global Press OfficeTel.: [phone]E-mail: [e-mail]

Derya GuzelPhilips Investor RelationsTel.: [phone]E-mail: [e-mail]

About Royal PhilipsRoyal Philips (NYSE: PHG, AEX: PHIA) is a leading health technology company focused on improving people's health and enabling better outcomes across the health continuum from healthy living and prevention, to diagnosis, treatment and home care. Philips leverages advanced technology and deep clinical and consumer insights to deliver integrated solutions. Headquartered in the Netherlands, the company is a leader in diagnostic imaging, image-guided therapy, patient monitoring and health informatics, as well as in consumer health and home care. Philips generated 2019 sales of EUR 19.5 billion and employs approximately 81,000 employees with sales and services in more than 100 countries. News about Philips can be found at www.philips.com/newscenter.

Forward-looking statements This release contains certain forward-looking statements with respect to the financial condition, results of operations and business of Philips and certain of the plans and objectives of Philips with respect to these items. Examples of forward-looking statements include statements made about the strategy, estimates of sales growth, future EBITA, future developments in Philips’ organic business and the completion of acquisitions and divestments. By their nature, these statements involve risk and uncertainty because they relate to future events and circumstances and there are many factors that could cause actual results and developments to differ materially from those expressed or implied by these statements.