Philips Introduces The HD11 Ultrasound System Designed to Give Hospitals and Clinics Advanced Features on a Restricted Budget.

ANDOVER, Mass. -- System is company's third major ultrasound product introduction in 12 months

Royal Philips Electronics (NYSE: PHG, AEX: PHI) announced today the introduction of the first ultrasound system that provides ultrasound departments that serve a diverse patient population and have a restricted budget with advanced High Definition imaging and sophisticated features never before available in their price range.

The role of ultrasound continues to expand throughout public and private hospitals and in satellite clinics and specialized practices. Clinicians in these settings - accustomed to compromising performance and support due to financial constraints - need solutions that fully meet their clinical and budgetary requirements. Often, they have to rely on remanufactured ultrasound equipment or purchase less expensive equipment without state-of-the art capabilities.

The Philips HD11 system addresses these issues with many advanced features and multiple scanning configurations to support the broad needs of an end-referring institution. The improved diagnostic capabilities of the HD11 system result in improved diagnostic confidence for the physician, greater peace of mind for the patient, and potentially reduced medical costs, in part by reducing or eliminating the need for more expensive or invasive tests.

Among its many standard features, the HD11 ultrasound system includes real-time SonoCT compound imaging with XRES technology; broadband beamforming; 3D, 4D and STIC imaging; Stress Echo; panoramic and contrast imaging; and full networking capabilities. In addition, the system features advanced automation to improve workflow and reduce variability between exams, and the choice of more than 20 transducers for a wide variety of scanning needs.

"The HD11 allows us to scan across the full spectrum of exams--from high-resolution breast imaging to deep abdominal--and do it well," said Heidi Clark, director of diagnostic imaging at the Derry Imaging Center in Derry, N.H. "We often have to schedule different systems for different exam types. We found the HD11 gives us one system with great imaging that we can use for all our ultrasound exams."

The core of the HD11 system is its high-definition imaging. Its digital broadband beamformer with beam steering capabilities and powerful signal processing techniques, including Philips exclusive SonoCT real-time compound imaging with XRES technology, provide enhanced edges and margins for more sharply defined structures, reduced noise and speckle, and better visibility and contrast resolution of even the smallest structures.

The HD11 system also takes advantage of Philips exclusive iSCAN Intelligent Optimization technology to replace numerous fine-tuning steps on the control panel. Using one-button, the system automatically samples digital data and adjusts multiple parameters to improve the image quality and help provide image consistency between exams.

"The system is also very intuitive," said Clark. "I just picked up the probe and started scanning."

The ability to quickly scan for a variety of conditions is essential to meeting the imaging needs of a diverse imaging department. The HD11 platform empowers imaging departments to customize their system to their clinical environment and have up to five transducers connected at one time to increase efficiency and workflow. Optional features include Stress Echo, 4D, panoramic and contrast imaging, and STIC (Spatio-Temporal Imaging Correlation) imaging, which allows the perinatologist or obstetrician to view and assess fetal heart function in 3D. This helps plan for life-saving surgery in utero or at birth and is a capability previously not available on systems in this price range. In addition, clinicians can customize their HD11 with specialized application requirements for breast, transesophageal, pediatric, vascular, musculoskeletal and more.

Philips HD11 system is the latest addition to the company's ultrasound portfolio and the third new system introduced in less than 12 months. "The healthcare industry is asking us for high-value, leading-edge technologies, and solutions that help them mange the growing demand for imaging exams," said Barbara Franciose, CEO, Ultrasound, for Philips Medical Systems. "The HD11 is part of our ongoing commitment to create the next generation of ultrasound products that meet the changing needs of clinicians and administrators."

More information on the Philips HD11 ultrasound system is available at: www.medical.philips.com/HD11

About Royal Philips Electronics

Royal Philips Electronics of the Netherlands (NYSE: PHG, AEX: PHI) is one of the world's biggest electronics companies and Europe's largest, with sales of $ 37.66 Billion (EUR 30.3 billion) in 2004. With activities in the three interlocking domains of healthcare, lifestyle and technology and 161,500 employees in more than 60 countries, it has market leadership positions in medical diagnostic imaging and patient monitoring, color television sets, electric shavers, lighting and silicon system solutions. News from Philips is located at www.philips.com/newscenter.