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March 23, 2009 U.S. DEPARTMENT OF ENERGY HONORS PHILIPS FOR SIGNIFICANT ADVANCEMENT IN LED LIGHTING Award recognizes highly-anticipated LED replacement lamp to be launched in late 2009 Burlington, MA - Philips Color Kinetics has been honored by the U.S. Department of Energy (DOE), receiving an award for "Significant Achievement in Solid-State Lighting Research & Development." The award recognizes Philips' exceptional progress on an 18-month project intended to produce a highly efficient LED PAR lamp. For the second consecutive year, Philips was one of a select few research teams honored out of the 50+ solid-state lighting projects currently being funded by the DOE. According to test results, the lamp being developed is already significantly more efficient than comparable LED PAR 38 lamps on the market, and 4-5 times more efficient than incandescent lamps. With an ultimate performance target of approximately 70 lumens per watt, the fully realized lamp will meet or exceed the efficacy of nearly all conventional light sources. "This is terrific recognition by the DOE of our team's strides to date, and yet the truly exciting results are still to come," said Jeff Cassis, CEO, Philips Color Kinetics. "The call for energy-efficient lighting choices has never been greater, and we believe this important program is on track to deliver a fully integrated lamp with widespread market potential." "More than a research effort, this is a program with clear-cut performance and commercialization goals that can drive LED sources further into mainstream lighting." The project is being funded by a $1.7 million grant from the DOE. It incorporates advanced LED package and system integration technology plus novel, highly efficient driver technology and a unique optical arrangement - accounting for all the layers required to make LEDs truly useful for general illumination. PAR lamps are round spotlight "bulbs" that typically utilize incandescent, halogen or HID technologies - none of which can match the energy efficiency and long source life of LEDs. Furthermore, an LED PAR lamp can provide more useful light due to the directional nature of LED sources, which minimizes the loss of light within fixtures. Separately, three of Philips' commercially available LED luminaires recently garnered "Special Recognition" awards as part of the Next Generation Luminaires™ SSL Design Competition. This program, organized by the DOE together with the Illuminating Engineering Society of North America and the International Association of Lighting Designers, is intended to promote LED luminaires that meet expectations of the commercial specification market, implicitly differentiating them from LED products that will not meet the needs of lighting designers, specifiers, and users. Philips' recognized products were eW® Cove Powercore, eW Profile Powercore, and eW Downlight SM Powercore. Additional information is available at http://www.ngldc.org/. For media seeking further information, please contact: Felicia Spagnoli Professional Luminaires North America Philips Lighting 781-418-9292 felicia.spagnoli@philips.com About Philips Color Kinetics Philips Color Kinetics transforms environments through dynamic and more efficient uses of light. Its award-winning lighting systems and technologies apply the benefits of LEDs as a highly efficient, long lasting, environmentally friendly, and inherently digital source of illumination - reinventing light itself as a highly controllable medium. Headquartered in Burlington, MA, USA, Philips Color Kinetics is the leading center of innovation and product development for Philips' global LED lighting systems business. The organization also enables widespread adoption of LED lighting through OEM partnerships in diverse markets. More information is available at http://www.colorkinetics.com. About Royal Philips Electronics Royal Philips Electronics of the Netherlands (NYSE: PHG, AEX: PHI) is a diversified Health and Well-being company, focused on improving people’s lives through timely innovations. As a world leader in healthcare, lifestyle and lighting, Philips integrates technologies and design into people-centric solutions, based on fundamental customer insights and the brand promise of “sense and simplicity”. Headquartered in the Netherlands, Philips employs approximately 121,000 employees in more than 60 countries worldwide. With sales of $38 billion in 2008, the company is a market leader in cardiac care, acute care and home healthcare, energy efficient lighting solutions and new lighting applications, as well as lifestyle products for personal well-being and pleasure with strong leadership positions in flat TV, male shaving and grooming, portable entertainment and oral healthcare. News from Philips is located at www.philips.com/newscenter.