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Southeastern Cuts Stake In Koninklijke Philips NV (ADR) (PHG) Despite Management’s Strategy Shift

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According to a recent filing with the Securities and Exchange Commission, Mason HawkinsSoutheastern Asset Management has trimmed its holding in Koninklijke Philips NV (ADR) (NYSE:PHG) to some 14.07 million shares with shared dispositive power as compared to 16.94 million of the same shares held as of March 31. The aggregate amount of shares under the fund’s possession meanwhile amounts to 44.01 million shares, while the previously known aggregate amount, from a 13G filing submitted on February 13, was 50.88 million shares. The current aggregate holding represents about 4.6% of the company’s outstanding shares and is passive by nature.

01 Mason Hawkins

Hawkins founded Southeastern in 1975 along with three other partners. Prior to that, the money manager served as Director of Research at Atlantic National Bank until 1973 and as Director of Research at First Tennessee Investment Management until 1975. He has also served in the capacity of co-portfolio manager at Longleaf Partners Small-Cap Fund. Southeastern currently has more than $28 billion worth of regulatory assets under management and offices in Tennessee, London, Singapore, Sydney, and Tokyo. The market value of the fund’s  public equity portfolio stood at $15.93 billion at the end of March, with 23% of the value of its holdings held in finance sector stocks.

Mason Hawkins
Mason Hawkins
Southeastern Asset Management

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Southeastern has held a position in Koninklijke Philips NV (ADR) (NYSE:PHG) since the third quarter of 2001. The stock of the $24.79 billion technology company, which operates in the healthcare, consumer lifestyle, and lighting segments, hasn’t been a strong performer lately. So far this year the share price is down by more than 9.5%, and nearly 17% over the past 12 months. In contrast, the industry of diversified industrials has posted average year-to-date gains of 5.78% and is up by 8.62% over the last year.

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