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Delivering innovation that matters to you

Ángeles Barrios Directora de Comunicación y RREE

Junio 2015

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Royal Philips

44% Healthcare

33% Lighting

23% Consumer Lifestyle

Est. 1891 Headquarters in Amsterdam, Netherlands

105,000+ Employees worldwide in 100+ countries

€ 21.4 billion

Sales in 2014 Portfolio ∽70% B2B

$10.3 billion

Brand value in 2014

* Based on sales last 12 months December 2014 Note - Prior-period financials have been restated for the treatment of the combined businesses of Automotive and Lumileds as discontinued operations.

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a year by 2025

We’re aiming to improve the lives of

three billion people

We strive to make the world healthier and more sustainable through innovation

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We see a growing need for healthcare

The world’s population aged 60 and older

2000 2050

11% 22%

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We see increased focus on personal well-being

Only 62% of people around the globe rate their current state of health and well-being as “good” or “very good”

Well-being of people around the world

62%

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We see rising demand for energy-efficient solutions

Lighting

The world’s electricity consumption

Average saving we can make by switching to energy efficient LED lighting

40%

19%

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Focused on the EUR 60+ billion Lighting solutions opportunity

Focused on the EUR 100+ billion HealthTech opportunity

Establishing two focused companies Capturing highly attractive market opportunities

Lighting solutions

Philips Lighting

HealthTech

Royal Philips

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Our unique approach to the health continuum

Prevention

We provide digital solutions to measure, monitor, and motivate people to manage their own health.

Diagnosis

We drive definitive diagnosis, ensuring the right diagnosis is delivered the first time.

Treatment

We create new clinical procedures for safer and more effective adaptive therapies.

Recovery

We support recovery through ubiquitous monitoring that improves health quality at a lower cost.

Home Care

We connect hospital to home to support transitions, independent living and aging in place.

Healthy Living

We support people to live a healthy life based on personal hygiene and wellness and nutrition in a healthy home environment.

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Building the leader in HealthTech

Share of HealthTech sales1

Healthy Living Home Care Prevention Diagnosis Treatment Recovery

Imaging Systems

23%

Customer Services

18%

Personal Care 11%

Domestic appliances

16%

Health & Wellness

7%

Healthcare Informatics, Solutions & Services

4%

1 Sales last 12 months December 2014

Patient Care & Monitoring Solutions

21%

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Rechargeable toothbrushes

We hold unique leadership positions globally

Ultrasound Patient monitoring

Image-guided interventions

Sleep and respiratory care

Cardiovascular X-ray

Electric hair care Male electric shaving

Mother and child care

Kitchen appliances

1 Global or Regional #1 or #2 position in the market

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Providing (connected) propositions for healthy living

Connecting care in the hospital for better patient outcomes

Connecting care in the home to improve quality of life

Healthy Living Home Care Prevention Diagnosis Treatment Recovery

We innovate across the health continuum

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Healthcare Tomorrow A Programmatic Approach Is Needed

As providers focus on efficiently caring for a growing population of chronically ill patients, Philips helps transform care delivery model:

• Philips provides telehealth technology for care across all patient settings.

• Philips creates comprehensive telehealth-enabled clinical transformation programs for hospital and home.

• Philips combines these technologies and programs with behavioral and social sciences to develop scalable, personalized medicine from hospital to home.

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The Philips Approach Hospital to Home Value Proposition

A holistic operating model Program design, workflow software, clinical decision support, implementation services, patient engagement and devices

Advanced engagement of patients

Labor productivity of employees

Consulting and services to guide the transformation

Program services to supplement staff when needed

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Qu

alit

y o

f Li

fe

Estimated Cost of Care / Day

$10,000 $1,000 $100 $10 $1

H2H: Higher Quality of Life at Lower Cost

ACUTE CARE

ED/OBS

Medical/Surgical

Intensive Care Unit

RESIDENTIAL CARE

Skilled Nursing Facility

Assisted Living

HOME CARE

Independent, Healthy Living

Aging in Place

Hyper-Chronic Disease Mgmt

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A few examples of our innovation focus areas around hospital to home

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A few examples of our innovation focus areas around hospital to home

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The Core Components for Hospital telehealth

Clinical Decision Support

eLert Call Button

Care Coordination

Two-Way A/V

Integrated Video Assessment

• Hospitalist • Nurse Practitioner • Nurse • Admin • IT Support

Centralized Clinical Team 24/7

Population Management

eCareManager (technology platform)

Telehealth Center

Philips Clinical Program

Interoperability with Devices and the EMR

Vital Sign Monitor

Early Warning Score

Bedside Care

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eICU Programs

• Clinically transformed the ICU and critical care delivery

• Provided proactive care

• Helped to address physician and nurse shortages

• Supported quality of care

• 20% more likely to survive

• 30% shorter length of stay

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eAcute Care Program

• Monitor high acuity inpatients to prevent avoidable complications – reducing hospital LOS and cost

• Use centralized resources to drive best practices (sepsis, falls)

• Video-visitation: Increase patient/family satisfaction

• Facilitate transitions from hospital to home

Virtual Sepsis Unit

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A few examples of our innovation focus areas around hospital to home in ambulatory care…

25 February 27, 2014 Healthcare Confidential

Enabling Technology & Software for Home Healthcare

Infrastructure Provider Patient

• Interoperable environment across the continuum

• Device and data cloud enabling interaction between stakeholders

• Identity / security tools

• Intuitive and interactive solutions for the home

• Wi-Fi and Bluetooth enabled measurement technologies

• eCareCoordinator Platform encompassing patient and population management protocols and CDS (clinical decision support)

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Home Emergent care

Home Perpetual chronic care

Post discharge care Aging in place

Hospital ICU, Med Surg,

LTACH, SNF

Digital Health Suite Platform

Modular Telehealth & Care Coordination Center

Coordinated Telehealth Across the Care Continuum

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Thank You.