August 12, 2011
Sony Financial Holdings Inc.

Summary Information on Sony Life’s Financial Results
for the Three Months Ended June 30, 2011
<Contents>
1. Key Performance Results(1) Policy Amount in Force and New Policy Amount

P.2(2) Annualized Premiums

P.2

2. Status of Investment Assets (General Account)(1) Portfolio of General Account Assets

P.3(2) Fair Value Information on Securities

P.4(3) Fair Value Information on Monetary Trusts

P.6

3. Non-consolidated Balance Sheets

P.7

4. Non-consolidated Statements of Income

P.8

5. Reconciliation to Core Profit and Non-consolidated Ordinary Profit

P.9

6. Solvency Margin Ratio

P.10(Reference) Solvency Margin Ratio Calculated Under the New Standards

P.11

7. Status of Separate Account Assets(1) Balance of Separate Account Assets

P.12(2) Policy Amount in Force (Separate Account)

P.12

8. Consolidated Summary(1) Key Performance Indicators

P.13(2) Scope of Consolidation and Companies Accounted for under Equity Method P.13
(3) Consolidated Balance Sheets(4) Consolidated Statements of Income and Consolidated Statements ofComprehensive Income

P.14
P.15

(Reference) Holdings of Securitized Papers and Other Sub-prime Related Investment P.17

1

1. Key Performance Results(1) Policy Amount in Force and New Policy Amount
Policy amount in force(Number: Thousand, Amount: 100 millions of yen, %)As of June 30, 2010

As of June 30, 2011

As of March 31, 2011

Category
NumberIndividual life
insurance
Individual annuities

Amount% YoYchangeNumber% change fromMarch 31, 2011

Amount% YoYchange% change fromMarch 31, 2011

NumberAmount5,041

335,066

5,364

106.4

101.5

347,398

103.7

100.9

5,283

344,218

56

3,126

61

109.0

102.6

3,335

106.7

102.1

60

3,266

Subtotal

5,098

338,192

5,426

106.4

101.5

350,734

103.7

100.9

5,344

347,485

Group life insurance－

11,204－－－

12,177

108.7

101.6

－

11,987

Group annuities

－

719

－

－

－

583

81.1

99.0

－

589

Notes:

1. The policy amount in force for individual annuities are equal to the sum of (a) the funds to be held at the time annuity payments are to commence for policies for which annuity payments have not yet
commenced and (b) the amount of policy reserves for policies for which payments have commenced.
2. The policy amount in force for group annuities is equal to the amount of outstanding policy reserves.

New policy amount(Number: Thousand, Amount: 100 millions of yen, %)For the three months ended June 30, 2010

For the three months ended June 30, 2011

Category
NumberIndividual life
insurance
Individual annuities

AmountNew policies

Increase fromconversion% YoYchangeNumber% YoYchangeAmountNew policies

Increase fromconversion

153

10,563

10,563

－

148

96.2

10,45098.9

10,450

－

1

90

90

－

2

111.0

93

103.5

93

－

－

－

Subtotal

155

10,653

10,653150

96.4

10,54499.0

10,544

Group life insurance

－

3

3

－

－

10

317.4

10

Group annuities

－

－

－

－

－

－

－

－

Notes:

1. The new policy amount including increase from conversion for individual annuities is equal to the funds held at the time annuity payments commence.
2. The new policy amount for group annuities is equal to the initial premium payment.

(2) Annualized Premiums
Policy amount in force
Category(Millions of yen, %)As ofJune 30, 2011

As of June 30, 2010

% YoY change% change fromMarch 31, 2011

As of March 31, 2011

Individual life insurance

570,911

599,005

104.9

101.1

592,438

Individual annuities

11,53812,540

108.7

101.5

12,354

Total
Of which, medical protection,living benefit protection, etc.

582,449

611,546

105.0

101.1

604,793135,095

143,162

106.0

101.7

140,776

New policies(Millions of yen, %)Category

Individual life insurance

For the three months ended
June 30, 2010

For the three months
ended June 30, 2011

% YoY change

17,608

16,836

95.6

Individual annuities

502

355

70.8

Total

18,11017,192

94.9

4,165

4,269

102.5

Of which, medical protection,living benefit protection, etc.

Notes:

1. Annualized premiums refer to an amount that is calculated by multiplying individual premium amounts by a coefficient that differs depending on the premium payment methods, thereby
converting the figure to a per-year premium. (For lump-sum payment policies, premiums are divided by the number of coverage years.)
2. “Medical protection, living benefit protection, etc” indicates the portion of annualized premiums for medical protection benefits (hospitalization benefits, surgical procedure benefits, etc.) andproducts with living benefit protection (benefits for specific illness, nursing care benefits, etc.).

2

2. Status of Investment Assets (General Account)(1) Portfolio of General Account Assets(Millions of yen, %)Category
Cash and deposits, call loans
Securities repurchased under resale agreements
Pledged money for bond borrowing transaction
Monetary claims purchased
Securities under proprietary accounts
Monetary trusts
Securities
JGBs, other bonds
Japanese stocks
Foreign securities
Bonds
Stocks, etc.
Other securities
Loans
Real estate
Deferred tax assets
Other assets
Reserve for possible loan losses
Total
Of which, foreign-currency-denominated assets

As of June 30, 2011
Amount%68,130－－－－280,387
3,735,631
3,586,689
62,263
83,01052,73730,273
3,667
134,558
74,59932,43473,573(212)
4,399,104
36,324

Note: Real estate is the total of land, buildings and construction in progress.

3

1.5
－
－
－
－
6.4
84.9
81.5
1.4
1.9
1.2
0.7
0.1
3.1
1.7
0.7
1.7
(0.0)
100.0
0.8

As of June 30, 2010
Amount%80,059－－－－276,475
3,644,781
3,499,914
64,011
74,24044,21230,027
6,615
134,419
75,162
40,73873,799(228)
4,325,208
27,537

1.9
－
－
－
－
6.4
84.3
80.9
1.5
1.7
1.0
0.7
0.2
3.1
1.7
0.9
1.7
(0.0)
100.0
0.6

(2) Fair Value Information on Securities
a. Fair value information on securities with market value (except trading-purpose securities)
Category

Carrying
amountHeld-to-maturity securities
Policy reserve matching bonds

63,287-78,682-

15,395
-

-

-

-

-

969,172 1,011,495
909,950
947,598
47,49551,95910,365
10,234
10,365
10,234
1,360
1,703
3,932,795 4,038,405
3,831,070 3,930,479
47,49551,95952,86954,26352,86954,263
1,360
1,703
-

42,32237,647
4,464
(131)
(131)
342
105,610
99,409
4,464
1,394
1,394
342
-

46,012
38,686
6,983
342
124,695
115,843
6,983
1,526
1,526
342
-

3,689
1,038
2,519
131
131
19,085
16,433
2,519
131
131
-

2,963,622 3,026,909-

Stocks of subsidiaries andaffiliated companies
Available-for-sale securities
JGBs, other bonds
Japanese stocks
Foreign securities
Bonds
Stocks, etc.
Other securities
Monetary claims purchased
Certificates of deposit
Others
Total
JGBs, other bonds
Japanese stocks
Foreign securities
Bonds
Stocks, etc
Other securities
Monetary claims purchased
Certificates of deposit
Others
Notes:

As of June 30, 2011
Net unrealized gains (losses)
Unrealized Unrealized
Fair value
gains
losses-(Millions of yen)
As of March 31, 2011
Net unrealized gains (losses)
Unrealized Unrealized
Fair value
gains
lossesCarrying
amount2,914,365-

2,892,180-(22,184)
-

-

-

-

940,112884,466
49,856
1,919
1,919

964,374
904,194
53,706
1,828
1,828
-

3,869

4,644

-

-

3,854,478 3,856,555
3,756,448 3,749,943
49,85653,70644,30348,26044,30348,260
3,869
4,644
-

24,261
19,727
3,849
(90)
(90)
774
2,077
(6,505)
3,849
3,957
3,957
774
-

25,51847,703----30,90322,921
7,207
-

6,642
3,194
3,357
90
90
-

774
56,42244,392
7,207
4,048
4,048

54,34550,897
3,357
90
90
-

774
-

-

1. The above table includes assets which are permitted to be treated as equivalent to securities defined in the Financial Instruments and Exchange Law of Japan.
2. Carrying amount and net unrealized gains (losses) on monetary trusts, including items other than trading-purpose securities, amounted to ¥268,465 million and ¥13,563 million.
3. Carrying amount represents the amount after deductions for depreciable costs and impairment losses, before mark-to-market.

b. Carrying amount of securities without market value
Category(Millions of yen)
As of June 30, 2011

As of March 31, 2011

Held-to-maturity securities--

Unlisted foreign bonds--

Others----Stocks of subsidiaries and affiliated companies

15,847

15,847Available-for-sale securities

Policy reserve matching bonds

27,214

27,582Unlisted domestic stocks (except OTC stocks)

4

4

Unlisted foreign stocks (except OTC stocks)

991

1,049

-

-

26,21826,52843,06243,430Unlisted foreign bonds
OthersTotal

4

c. Fair Value Information consisting of that stated in the previous table-a and foreign exchange and other gains (losses) for table-b.
As of June 30, 2011
Category

Held-to-maturity securities

Carrying
amountFair value

2,963,622 3,026,909

Policy reserve matching bonds-

As of March 31, 2011

Net unrealized gains (losses)
Unrealized Unrealized
gains
lossesCarrying
amount63,2872,914,365 2,892,180-

78,682
-

-

-

-

-

-

25,51847,703

-

-

-

-

-

-

6,586

967,695

990,829

23,13332,8209,686

38,686

1,038

884,466

904,194

19,72722,921

3,194

6,983

2,519

49,86153,711

3,849

7,207

3,357

143

2,969

2,807

(162)

-

162

131

1,919

1,828

(90)

-

90

11

1,049

978

(71)

-

71

996,387 1,038,189

41,801

48,388

JGBs, other bonds

909,950

947,598

37,647

Japanese stocks

47,49951,963

4,464

Foreign securities

11,357

11,253(104)

38

10,365

10,234(131)

Stocks, etc.

991

1,019

27

Other securities

27,579

38

(205)

-

(22,184)

15,847Available-for-sale securities

27,373Net unrealized gains (losses)
Unrealized Unrealized
gains
lossesFair value

15,847

15,847

Bonds

15,395-

Stocks of subsidiaries and affiliated companies

15,847(Millions of yen)

2,680

30,397

2,885

30,116

(281)

2,691

2,972

Monetary claims purchased

-

-

-

-

-

-

-

-

-

-

Certificates of deposit

-

-

-

-

-

-

-

-

-

-

Others

-

-

-

-

-

-

-

-

-

-

Total
JGBs, other bonds

3,975,857 4,080,947

105,089

127,071

21,982

3,897,908 3,898,857

949

58,33957,3893,831,070 3,930,479

99,409115,843

16,4333,756,448 3,749,943(6,505)44,39250,897

Japanese stocks

57,79962,263

4,464

6,983

2,519

60,16164,011

3,849

7,207

3,357

Foreign securities

59,40860,830

1,421

1,565

143

50,90054,786

3,886

4,048

162

52,86954,263

1,394

1,526

131

44,30348,260

3,957

4,048

90

Bonds
Stocks, etc

6,539

6,567

27

38

11

6,597

6,526

(71)

Other securities

27,57927,373

(205)

2,680

2,885

30,39730,116

(281)

2,691

71
2,972

Monetary claims purchased

-

-

-

-

-

-

-

-

-

-

Certificates of deposit

-

-

-

-

-

-

-

-

-

-

Others

-

-

-

-

-

-

-

-

-

-

5

(3) Fair Value Information on Monetary Trusts(Millions of yen)
As of June 30, 2011

Category

Monetary trusts

As of March 31, 2011

Net unrealized gains (losses)

Balance sheet
amountFair value

280,387

280,387

Unrealized Unrealized
gains
losses---Balance sheet
amountNet unrealized gains (losses)
Fair value

Unrealized Unrealized
gains
losses276,475 276,475

-

-

-

Note: The table above includes ¥50 million of jointly invested monetary trusts.

Monetary Trusts for Investment(Millions of yen)
As of June 30, 2011

Category

As of March 31, 2011

Net valuation gains (losses)
recorded in income

Balance sheet amount-

Monetary Trusts for Investment

Net valuation gains (losses)
recorded in income

Balance sheet amount

-

-

-

Note: Monetary trusts includes cash and call loans held in monetary trusts.

Monetary Trusts for Held-to-maturity, Policy Reserve Matching and Other Monetary Trusts(Millions of yen)

As of June 30, 2011
Category

As of March 31, 2011

Net unrealized gains (losses)

Carrying
amountFair value

Unrealized Unrealized
gains
lossesNet unrealized gains (losses)

Carrying
amountFair value

Unrealized Unrealized
gains
lossesMonetary trusts for held-to-maturity

-

-

-

-

-

-

-

-

-

-

Monetary trusts for policy reserve matching

-

-

-

-

-

-

-

-

-

-

266,773 280,337

13,563

13,563-

268,610 276,425

Other monetary trusts

Note: Monetary trusts includes cash and call loans, etc. held in monetary trusts.

6

7,814

7,814

-

3. Non-consolidated Balance Sheets(Millions of yen)
As of June 30, 2011

As of March 31, 2011

AmountAmountAssets:Cash and deposits
Call loans
Monetary trusts
Securities(Japanese government bonds)(Japanese municipal bonds)(Japanese corporate bonds)(Japanese stocks)(Foreign securities)
Loans
Policy loans
Commercial loans
Tangible fixed assets
Intangible fixed assets
Due from reinsurers
Other assets
Deferred tax assets
Reserve for possible loan losses
Total Assets
Liabilities:
Policy reserves and others
Reserve for outstanding claims
Policy reserves
Reserve for policyholders' dividends
Due to agencies
Due to reinsurers
Other liabilities
Accrued income tax
Lease obligations
Asset retirement obligations
OthersReserve for employees' retirement benefits
Reserve for directors' retirement benefits
Reserve for price fluctuations
Reserve for price fluctuations
Deferred tax liabilities on land revaluation
Total Liabilities
Net Assets:
Common stock
Capital surplus
Capital reserve
Retained earnings
Earned reserve
Other retained earnings
Unappropriated retained earnings for the period
Total shareholders' equity
Net unrealized gains on other securities, net of taxes
Land revaluation, net of taxes
Total valuation and translation adjustments
Total Net Assets
Total Liabilities and Net Assets

7

35,10368,500276,475
4,017,583

26,65565,600280,387
4,119,050
3,642,881
11,35766,454
86,203208,739
134,558
134,53126
75,43018,761
110
54,95332,434(212)
4,807,730

76,014
18,39084
56,25040,738(228)
4,723,332

4,508,431
24,0474,479,641
4,742
1,215
463
31,385
4,518
279
636
25,95018,336
149
18,632
18,632693

4,404,576
28,252
4,371,484
4,839
1,502
684
65,98019,482284
633
45,58017,596143
16,768
16,768693

4,579,306

4,507,945

70,0005,865
5,865
135,098
13,238
121,859
121,859
210,963
18,960(1,499)17,460228,424
4,807,730

70,0005,865
5,865
134,008
11,418
122,590
122,590
209,873
7,013(1,499)5,513
215,387
4,723,332

3,548,082
11,32870,61092,691
192,328
134,419
134,419

4. Non-consolidated Statements of Income(Millions of yen)
For the three months ended
June 30, 2010

For the three months ended
June 30, 2011

AmountOrdinary Revenues
Income from insurance premiums

Amount214,101
182,684
182,418
30,326
20,5592,343
7,423(Insurance premiums)
Investment income(Interest income and dividends)(Income from monetary trusts, net)
(Gains on sale of securities)

229,303
194,652
194,541
29,00723,225
1,322
510-(Gains on separate accounts, net)

Other ordinary income
Ordinary Expenses
Insurance claims and other payments

1,090
195,267
67,79817,9301,766
8,258
38,663681
67,284772
66,506
4
32,95615
479(Insurance claims)(Annuity payments)(Insurance benefits)(Surrender payments)(Refund to policyholders)
Provision for policy reserves and others
Provision for reserve for outstanding claims
Provision for policy reserves
Interest on policyholders' dividend reserve
Investment expenses(Interest expenses)(Losses on sale of securities)(Devaluation losses on securities)(Losses on separate accounts, net)
Operating expenses
Other ordinary expenses
Ordinary Profit
Extraordinary Losses-

30,08323,8703,357
18,834
1,902
1
0
1,610
1,610

Losses on disposal of fixed assets
Impairment losses
Provision for reserve for price fluctuations
Provision for reserve for price fluctuations
Loss on adjustment for changes of accounting standard
for asset retirement obligations
Provision (Reversal) for reserve for policyholders' dividends
Income Before Income Taxes
Income Taxes -current
Income Taxes -deferred
Total Income Taxes
Net Income

8

3,949
5,644
211,399
71,38620,093
1,911
8,271
40,041
617
108,161
108,157
4
3,095
18
435
213
25,1183,636
17,904
1,870
6
0
1,863
1,863

290

-

299
16,632
6,899
(448)
6,450
10,182(6)
16,041
4,387
1,463
5,851
10,189

5. Reconciliation to Core Profit and Non-consolidated Ordinary Profit(Millions of yen)
For the three months ended
June 30, 2010
Core profit

A

Capital gains
Income from monetary trusts, net
Income from trading securities, net

For the three months ended
June 30, 2011

11,791

19,204

8,389

510

965

-

-

-

Gains on sale of securities

7,423

510

Gains on derivatives, net--

Foreign exchange gains, net--

Other capital gains

-

-

574

885

-

-

Capital losses
Losses on monetary trusts, net
Losses on trading securities, net
Losses on sale of securities

-

-

479

435

Devaluation losses on securities-

213

Losses on derivatives, net--

Foreign exchange losses, net

95

236

-

-

Net capital gains (losses)

Other capital losses
B

7,814

(375)

Core profit plus net capital gains (losses)

A+B

19,605

18,829-0

Other one-time gains
Gains from reinsurance--

Reversal of contingency reserve--

Reversal of specific reserve for possible loan losses-

OthersOther one-time losses
Losses from reinsurance
Provision for contingency reserve

0

-

-

770

924

-

-

765

846

Provision for specific reserve for possible loan losses

5-

Provision for reserve for loan losses from borrowers in specific foreign countries--

Write-off of loans--

OthersNet other one-time losses
Ordinary profit

-

78

C

(770)

(924)

A+B+C

18,834

17,904

Notes:
1.Core profit for the three months ended June 30, 2010 (A) includes income gains of ¥1,377 million in income from monetary trusts.
2.Core profit for the three months ended June 30, 2011 (A) includes income gains of ¥1,322million in income from monetary trusts; "Others" of other one-time losses includeds
additional provision of policy reserves of ¥78 million.

96. Solvency Margin Ratio(Millions of yen)
Category
Total solvency margin

As of June 30, 2011

(A)

As of March 31, 2011

729,417690,331

Common stock, etc.

210,963

200,773

Reserve for price fluctuations

18,632

16,768Contingency reserve

52,40551,55900

Net unrealized gains on other securities multiplied by 90% if gains or 100% if losses

37,621

20,820Net unrealized gains on real estate multiplied by 85% if gains or 100% if losses

1,002

1,002

Excess amount of policy reserves based on Zillmer method

337,919334,201

Unallocated portion of reserve for policyholders' dividends

1,069

1,186

628

628

Deferred tax assets

69,172

63,388Subordinated debt

－

－

－

－

48,24047,606

General reserve for possible loan losses

Future profits

Deductible items
Total risk

(R1 + R8 ) + (R2 + R3 + R7 ) + R4
2

2

(Ｂ)

Insurance risk

R1

20,22720,014

Third-sector insurance risk

R8

7,348

7,269

Assumed interest rate risk

R2

11,649

11,573

Asset management risk

R3

17,098

16,822Business management risk

R4

1,310

1,294

Minimum guarantee risk

R7

9,224

9,025

3,024.0%2,900.1%

Solvency margin ratio
(A)
x 100
(1/2) x (B)Notes: 1. The foregoing figures were calculated based on provisions in Articles 86 and 87 of the Ordinace for Enforcement of the Insurance Business Law
Enforcement Regulations and the Ministry of Finance Announcement No. 50 (1996).
2. Minimum guarantee risk was calculated based on the standardized approach.

10(Reference) Solvency Margin Ratio Calculated Under the New Standard(Millions of yen)
Category
Total solvency margin

As of June 30, 2011

(A)

As of March 31, 2011

673,940

625,790

Common stock, etc.

210,963

200,773

Reserve for price fluctuations

18,632

16,768Contingency reserve

52,40551,55900

Net unrealized gains on other securities multiplied by 90% if gains or 100% if losses

37,621

20,820Net unrealized gains on real estate multiplied by 85% if gains or 100% if losses

1,002

1,002

Excess amount of policy reserves based on Zillmer method

337,919334,201

Unallocated portion of reserve for policyholders' dividends

1,069

1,186

Deferred tax assets

69,172

63,388Subordinated debt－－

(54,848)(63,912)－－73,512

72,763General reserve for possible loan losses

The portion of the excess amount of policy reserves based on Zillmer method andsubordinated debt that is not included in the margin
Deductible items
Total risk

(R1 + R8 ) + (R2 + R3 + R7 ) + R4
2

2

(Ｂ)

Insurance risk

R1

20,22720,014

Third-sector insurance risk

R8

7,348

7,269

Assumed interest rate risk

R2

28,05927,902

Asset management risk

R3

29,06628,726

Business management risk

R4

1,873

1,854

Minimum guarantee risk

R7

8,991

8,820

1,833.5%

1,720.0%

Solvency margin ratio
(A)
x 100
(1/2) x (B)Note: Cabinet Office Ordinance No. 23 (2010) and FSA Notification No.48 (2010) prescribe a revision in the methods of calculating total solvency margin andtotal risk (increasing the strictness of margin inclusion, and making risk measurement stricter and more sensitive). These changes are to be applied from theend of fiscal 2011. The above-stated figures are calculated on the assumption that these changes are applied at the end of March 31 and June 30, 2011.

11

7. Status of Separate Account Assets(1) Balance of Separate Account Assets(Millions of yen)
Category

As of June 30, 2011

Individual variable life insurance and individual variable annuities

As of March 31, 2011

408,626

398,124-－

408,626

398,124

Group annuities
Total separate accountNote: Assets relating to individual variable life insurance and individual variable annuities are jointly invested at Sony Life.

(2) Policy Amount in Force (Separate Account)(Number: Thousand, Amount: Millions of yen)

Individual variable life insurance
As of June 30, 2011

Category

NumberAs of March 31, 2011

AmountNumberAmountVariable life insurance (whole life type)539

6,867,215

534

6,826,136

Variable life insurance (limited term type)43

144,35443

143,893

Variable life insurance (term type)1

52,007

1

52,867584

7,063,577

579

7,022,897

Total
Note: Amounts include the rider portion of variable life insurance.

Individual variable annuities(Number: Thousand, Amount: Millions of yen)
As of June 30, 2011

Category

NumberIndividual variable annuities

As of March 31, 2011

Amount28

153,633

NumberAmount28

154,322

Note: The amount of individual variable annuities is equal to the sum of (a) the funds to be held at the time annuity payments are to commence for policies for which annuity
payments have not yet commenced and (b) the amount of policy reserves for policies for which payments have commenced.

12

8. Consolidated Summary(1) Key Performance Indicators(Millions of yen)
Category

For the three months ended
June 30, 2011

For the three months ended
June 30, 2010

Ordinary Revenues

214,171229,356

Ordinary Profit

18,54917,636Net Income

9,898

9,925

Comprehensive Income

20,77921,878Category

As of June 30, 2011

Total assets

As of March 31, 2011
4,805,784

4,721,641(2) Scope of Consolidation and Companies Accounted for under Equity Method
Number of consolidated subsidiaries

1

Number of non-consolidated subsidiaries accounted for under equity method0

Number of affiliated companies accounted for under equity method213

(3) Consolidated Balance Sheets(Millions of yen)
As of March 31, 2011
AmountAs of June 30, 2011
AmountAssets:Cash and deposits

27,13235,578Call loans

65,60068,500

Monetary trusts

280,387

276,475

Securities

4,116,514

4,015,294

Loans

134,579

134,439

Tangible fixed assets

75,44476,029Intangible fixed assets

18,762

18,391

Due from reinsurers

110

84

Other assets

55,00256,314

Deferred tax assets

32,461(212)

40,761(228)

4,805,784

4,721,641

4,508,691

4,404,830

Reserve for possible loan losses
Total Assets
Liabilities:
Policy reserves and others
Reserve for outstanding claims
Policy reserves
Reserve for policyholders' dividends
Due to agencies

24,04928,2604,479,900

4,371,731

4,742

4,839

1,215

1,502

Due to reinsurers

463

684

Other liabilities

31,41966,018Reserve for employees' retirement benefits

18,33917,599Reserve for directors' retirement benefits

149

143

18,632

16,768Reserve for price fluctuations

18,632

16,768Deferred tax liabilities on land revaluation

693

693

4,579,605

4,508,240

Common stock

70,00070,000Capital surplus

5,865

5,865

Retained earnings

133,196

132,370

Total shareholder's equity

209,061

208,235

Net unrealized gains on other securities, net of taxes

18,882(1,499)6,996(1,499)

(264)

(331)

17,1185,165

Reserve for price fluctuations

Total Liabilities
Net Assets:

Land revaluation, net of taxes
Foreign currency translation adjustments
Total accumulated other comprehensive income
Total Net Assets
Total Liabilities and Net Assets

14

226,179

213,401

4,805,784

4,721,641

(4) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income(Consolidated Statements of Income)(Millions of yen)
For the three months ended
June 30, 2010

For the three months ended
June 30, 2011

AmountAmountOrdinary Revenues

214,171229,356

Income from insurance premiums

182,700

194,671

Investment income

30,38420,60929,03623,253(Income from monetary trusts, net)

2,343

1,322

(Gains on sale of securities)

7,430(Interest income and dividends)(Gains on separate accounts, net)

511-

Other ordinary income

3,949

1,086

5,648

Ordinary Expenses

195,622

211,720

Insurance claims and other payments

67,801

71,39917,931
1,766

20,0981,911(Insurance claims)(Annuity payments)(Insurance benefits)

8,258

8,271

(Surrender payments)

38,66440,04867,292

108,166

Provision for policy reserves and others
Provision for reserve for outstanding claims

772

Provision for policy reserves-

66,514

Interest on policyholders' dividend reserve
Investment expenses(Interest expenses)(Losses on sale of securities)

108,1614

432,995

3,111

15
479

18
435

(Devaluation losses on securities)-(Losses on separate accounts, net)

213

30,083Operating expenses

23,90825,157

Other ordinary expenses

3,624

3,886

Ordinary Profit

18,54917,636Extraordinary Gains

0

Gains on disposal of fixed assets-

0Extraordinary Losses

-

1,902

1,870

Losses on disposal of fixed assets

1

6

Impairment losses

0

0

1,610

1,863

1,610

1,863

Provision for reserve for price fluctuations
Provision for reserve for price fluctuations
Loss on adjustment for changes of accounting standard
for asset retirement obligations

290

Provision (reversal) for reserve for policyholders' dividends

-

299

(6)

Income Before Income Taxes

16,347

15,773

Income Taxes -current

6,899

4,387

Income Taxes -deferred

1,459

Total Income Taxes

(450)
6,448

Income Before Minority Interests

9,898

9,925

Net Income

9,898

9,925

15

5,847

(Consolidated Statements of Comprehensive Income)(Millions of yen)
For the three months ended
June 30, 2010

For the three months ended
June 30, 2011

AmountAmountIncome Before Minority Interests

9,898

9,925

Other Comprehensive Income

10,88010,772

11,953
11,887

Foreign currency translation adjustments

108

66

Share of other comprehensive income of affiliates
accounted for using equity method

(0)

(0)

20,79921,878Net unrealized gains on other securities, net of taxes

Comprehensive Income
Comprehensive income attributable to parent company

20,779Comprehensive income attributable to minority interests

21,878-16-

(Reference) Holdings of Securitized Papers and Other Sub-prime Related Investments
Sony Life’s holdings of securitized papers and other sub-prime related investments as of June 30, 2011, are as follows. Sony
Life holds no sub-prime related investments.
(1) Special-purpose entities (SPEs)
Fair value
－
－
－
－
－
－
－

Special purpose entities (SPEs)
ABCP
facilitated by Sony Life
SIV
facilitated by Sony Life
Othersfacilitated by Sony Life(100 millions of yen)
Unrealized
Realized gains
gains (losses)(losses)
－
－
－
－
－
－
－
－
－
－
－
－
－
－

(2) Collateralized debt obligations (CDO)
Fair value
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－

Collateralized debt obligations (CDO)
ABS
CDO
Seniorsub-prime (Alt-A exposure)
Mezzanine
sub-prime (Alt-A exposure)
Equitysub-prime (Alt-A exposure)
CLO

SeniorMezzanine
EquityCBO

SeniorMezzanine
EquityOthersSeniorMezzanine
Equity(100 millions of yen)
Unrealized
Realized gains
gains (losses)(losses)
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－

(3) Other sub-prime (Alt-A exposure)
Fair value
－
－
－
－
－
－

Other sub-prime (Alt-A exposure)Non-securitized loans
RMBS
Derivatives
Commitment line
Others17

Unrealized
gains (losses)
－
－
－
－
－
－

(100 millions of yen)
Realized gains(losses)
－
－
－
－
－
－

(4) Commercial mortgage-backed securities (CMBS)
Fair value
As of March 31, 2011

Commercial mortgage-backed securities (CMBS)
Japan
USA
EU
UK
Others

－
－
－
－
－
－

－
－
－
－
－
－

Unrealized
gains (losses)
－
－
－
－
－
－

(100 millions of yen)
Realized gains(losses)
－
－
－
－
－
－

Unrealized
gains (losses)
－
－
－
－
－
－

(100 millions of yen)
Realized gains(losses)
－
－
－
－
－
－

(5) Leveraged financeFair value
As of March 31, 2011

Leveraged financeTelecommunications
Electronics
Entertainment
Services
Others

－
－
－
－
－
－

－
－
－
－
－
－

(6) Other notes
Sony Life holds principal protected 30 year notes with Nikkei 225 index-linked coupons (fair market value of ¥44.0 billion andunrealized gains of ¥1.5 billion as of June 30, 2011). These amounts are included in net unrealized gains on other securities,(before taxes) of Sony Life as of June 30, 2011.

18