UPDATE 1-Philips health boss optimistic on European markets

* Spain and UK areas of concern

* Imaging boss wants to add 3-4 pct points market share

* Philips 2009 imaging market share was 21 pct

* Global imaging market was worth 14.2 bln euro in 2009
(Adds comment, background, details)

ANDOVER, Mass., May 7 (BestGrowthStock) – Dutch Philips Electronics
(PHG.AS: ) (PHG.N: ) is optimistic about short-term growth in its
European healthcare markets, and current economic difficulties
in southern Europe will not affect its outlook for flat to
modest growth in 2010, the unit’s chief said on Friday.

“There are some areas of concern such as Spain and United
Kingdom … but we have no concern that the west European
market will shrink,” Steve Rusckowski, chief executive of the
healthcare unit, told reporters on Friday.

Philips is the world’s biggest lighting maker, a top-three
hospital equipment maker and Europe’s biggest consumer
electronics producer.

Philips expects the global healthcare market to grow 4
percent to 5 percent annually in the coming years, while it
expects the healthcare equipment market to grow 2-3 percent in
2010.

Philips said the U.S. market decline is leveling off, with
modest growth expected in 2010. At the same time, high
single-digit growth is expected in emerging markets, driven by
China and India.

Gene Saragnese, chief executive of Philips’ imaging
equipment unit — which sells X-ray and ultrasound machines —
added that he expects to win 3 to 4 percentage points of market
share in the coming three to four years.

Philips had a 21 percent share of the 14.2 billion euro
($19.05 billion) global imaging market in 2009. Its main
competitors in this market are General Electric CO (GE.N: ) and
Siemens AG (SIEGn.DE: ).

“We want to drive growth in cardiology, oncology and
women’s health,” Saragnese said. “This should get us closer to
our main competitors, GE and Siemens.”

The imaging unit accounts for about 40 percent of the
group’s healthcare sales, which were 7.8 billion euros ($10.5
billion) in 2009.

It has suffered a severe blow from the credit crisis in the
United States, where hospitals have cut back on big-ticket
items such as brain scanners because of difficult financing
conditions.

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($1=.7453 Euro)
(Reporting by Harro ten Wolde, editing by Gerald E.
McCormick)

UPDATE 1-Philips health boss optimistic on European markets