Feb 26, 2001 Royal Philips Electronics of the Netherlands (AEX: PHI, NYSE: PHI) announced today that it is launching a USD 2.5 billion Global Commercial Paper Program (CP Program). Under this Program, Philips will issue commercial paper notes ("Notes") worldwide, which will be sold through a number of dealers. With maturities up to 365 days, it will provide an additional and flexible financing source, which Philips will use for general corporate purposes.
Philips expects to start drawing on the CP Program in the coming weeks. Philips is presently borrowing short-term money from banks. The initial draw downs will be used to refinance maturing bank borrowings and to finance working capital requirements.
The Notes have not and will not be registered under the U.S. Securities Act of 1933 (the "Act") and may not be offered or sold in the United States absent registration under the Act or an applicable exemption from the Act's registration requirements.
