FAQ

NXP B.V. (the ‘Company’ or ‘NXP’) is the parent company of the NXP Group (the ‘NXP Group’ or the ‘Group’). The NXP Group in its current form was established on September 29, 2006, when Koninklijke Philips Electronics N.V. (‘Philips’) sold 80.1% of its semiconductors businesses to a consortium of private equity investors in a multi-step transaction. In order to carry out this transaction, Philips transferred 100% of these businesses to NXP on September 28, 2006. All of our issued and outstanding shares were then acquired on September 29, 2006 by KASLION Acquisition B.V., which was formed as an acquisition vehicle by the private equity consortium and Philips.

Effective January 1, 2008, the Company implemented a revised corporate governance structure. In order to simplify our organization and increase efficiency, the Board of Management and Management Team (“MT”) have been combined into one management layer. The MT now functions as the primary executive management layer within our organization and is where the leaders of our Business Units, core processes and support functions act together to lead the Company. Under our new structure, members of our Board of Management continue to hold – in addition to their MT duties – responsibility as Board members with fiduciary duties under Dutch company law.

Under the chairmanship of the CEO, the Board of Management is entrusted with the general management of the Company, including setting its strategy and policies. The Board of Management, whose members are appointed and dismissed by the General Meeting of Shareholders upon proposal by the Supervisory Board, and which is embedded in NXP’s MT, is accountable to our Supervisory Board and to our general meeting of shareholders. The MT, in turn is responsible for the deployment of the Company’s strategy and policies and the achievement of its objectives and results, ensuring business matters and practices are shared across our business. Major decisions of the Board of Management require the approval of the Supervisory Board, including decisions relating to the Company’s operational and financial objectives and the strategies it uses to achieve those objectives.

This Annual Report contains the consolidated financial statements of NXP B.V. based on US GAAP.
(Source: Annual Report 2008, page 5)

More info on NXP's corporate structure, please visit:

Where can I find information on NXP's strategy?

Our vision is to be a leading semiconductor supplier in a world where consumers connect to information, entertainment and services through electronic devices containing our system solutions. We aspire to be industry leaders in the markets for our, Home, Automotive & Identification and MultiMarket Semiconductors business units, and to grow revenue, profitability and cash flow. In order to meet these goals, we have adopted the strategies described below:

Build on our market leadership positions.
We believe that our market leadership positions, extensive patent portfolio and strong research and development organization provide us with a strong foundation from which to gain additional market share in our targeted markets. We intend to build on this foundation by continuing to invest in our product portfolio, with a focus on innovations in more profitable and faster growing segments. We look to exploit our application knowledge and strengths in home, automotive, [mobile communications] and identification. We aim to extend our competitive advantage by offering differentiated semiconductor components and solutions that meet the requirements of our customers and that leverage our strong technology and design competencies in RF, analog-mixed signal, interface and interface protection, non-volatile memory, security, audio/video processing and acoustics.

Deepen the relationships with our key customers.
We intend to increase our share of the demand of our customers for semiconductors, with a particular focus on our top 40 OEM and EMS customers, and our top four distribution partners. To realize this objective, we deploy our sales and marketing resources to target and support these top customers effectively. We have created dedicated account teams that work across regions in order to better accommodate our customers’ increasing geographical diversity. We seek to deepen our customer relationships by continuing to expand the application engineering support we provide close to our customers and by increasing the amount of product development work that we conduct jointly with our leading customers.

Improve operational excellence.
We continue on our comprehensive multi-year performance improvement program intended to drive revenue growth and increase profitability. As part of this program, we continue to reduce costs in manufacturing, selling, general and administrative activities, increase our effectiveness in research and development, and improve our organizational efficiency, manufacturing and supply chain performance, time-to-market of new products, product quality and customer service.

Pursue our asset-light manufacturing strategy.
We continue to implement our asset-light manufacturing strategy. Over the next years, we will be restructuring our legacy front-end manufacturing base in Europe and the U.S., and upgrade most remaining facilities to 8” wafer production. By concentrating our in-house production in fewer sites and outsourcing demand beyond that, we will be able to ensure that the remaining facilities can operate at high utilization levels. For all advanced CMOS manufacturing, we will leverage a number of foundry partners. We expect to maintain a major part of our assembly and test processes in house, as we believe that our internal facilities are highly competitive in terms of quality and cost. We believe that our asset-light strategy helps limit capital investment and thus reduces the fixed component of our cost structure and increases our return on invested capital. It also improves our operational flexibility throughout the industry cycle, while ensuring our continued access to world-class manufacturing capacity and leading-edge process technology.
(Source: Annual Report 2008, page 6)

Financial Information

When will NXP report its quarterly and annual results?

For an overview of all upcoming results publication dates, please visit our financial calendar

On which exchanges is NXP listed?

NXP notes are listed on the Irish Stock Exchange. Please visit their website

What are NXP's credit ratings?

For an overview of all ratings, please visit credit ratings

What is NXP's debt structure, i.e. currency amount and matury dates?

Full details of our debt can be found in our Annual Report 2008 on pages 180-183.

How can I invest in NXP?

In October 2006 the company issued 5 series of notes which are listed on the Irish Stock Exchange. For more information, please visit the the website of the Irish Stock Exchange.
In April 2009 the company issued 2 series of notes in an exchange offer of previously issued notes.

Which NXP notes are listed?

For an overview of NXP's listings, please visit the website of the Irish Stock Exchange.

When does NXP's fiscal year end?

NXP's fiscal year corresponds with a calendar year, so ending on December 31.

Where can I find the prospectus/offering memorandum?

The prospectus of the notes that were issued in October 2006 can be found on the SEC website. The prospectus of the notes that were issued in April 2009 is confidential, as these notes were issued in a private placement. In July 2009 additional notes were issued in a private transaction for which no prospectus is available.

Contact Information

How can I contact Investor Relations?

Contact Investor Relations.