Philips Unveils Concepts of Future Living to Launch Livable Cities Awards

AMSTERDAM, May 25, 2010 - Royal Philips Electronics (NYSE: PHG, AEX: PHI) today gave a glimpse of
what our future living environments could be like with the unveiling of three
concepts - 'Healing Bed', 'Air Tree' and 'Soundbarrier'. All three concepts
aim to reconnect us with the natural environment, an increasingly rare
commodity in a today's urbanized world. The three concepts, which are part of
a wider exploration into managing natural elements, mark the launch of
Philips Livable Cities Awards, an initiative to generate simple ideas for
improving the health and well-being of people living in cities. The global
award is open to individuals, community groups and businesses and carries a
total prize fund of over GBP 100,000. All details for the Philips Livable
Cities Awards can be found at www.philips.com/because. The deadline
for submission is October 28, 2010 with winners being announced in 2011.

Healing Bed

Through a fibre-optic bed canopy, natural light is transported from
outside to the Healing Bed. Using UV, infra-red and other frequency spectrum
filters, the canopy brings daylight and moonlight into the bedroom. Specific
therapeutic light frequencies can be filtered for health benefits. The
Healing Bed senses biometric signals and produces relaxing natural light
effects and sound to enhance the waking experience.

Air Tree

Indoor air quality, such as homes, offices and schools, can be up to ten
times worse than the quality of air outside. The Air Tree is created from
textile covering a vaporizer and is designed to 'breathe' in rhythm to the
airflow outside. Unlike an air-conditioner or fan that regulates air by
channeling constant streams of air, this concept creates variation in the
interior atmospheric condition - breeze, moisture variation, etc. The
movement of the 'mobile' relates to the weather outside and is intended to
create a subliminal connection to the nature which surrounds us.

Soundbarrier

Environmental noise pollution is not only more severe and widespread than
ever before, predictions point to an increase in magnitude and severity
because of population growth and urbanization. While noise-cancellation
technology has existed for many years, it has never before been used to
manage the soundscape which surrounds us - letting in-natural sound while
filtering out noise pollution. The concepts are designed for the home, office
or hospital space and create a 'nature' filter to overcome the barriers which
separate us from the natural environment.

Healing Bed, Air Tree, and Soundbarrier from the Metamorphosis Probe,
which is part of a wider initiative from Philips, called Design Probe's
program. The program is a dedicated, far-future research initiative to track
trends and developments to understand better lifestyles over the next few
decades.

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 116,000 employees in more than 60 countries worldwide. With
sales of EUR 23 billion in 2009, 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.

Note to Editors:

Pictures accompanying this release are available through the PA
Photowire. It can be downloaded from www.pa-mediapoint.press.net or
viewed at www.mediapoint.press.net or www.prnewswire.co.uk.

For further information, please contact: Laura Wilkinson, Philips Corporate Communications UK,
+44-(0)1483-298677, Laura.j.wilkinson at philips.com Or Mark Jackson, OneVoice for Philips,
+44-(0)207-554-1648, m.jackson at togorun.net