February 12, 2010
Sony Financial Holdings Inc.

Summary Information on Sony Life’s Financial Results
for the Nine Months Ended December 31, 2009<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 Assets)(1) Composition 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

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

P.11(2) Policy Amount in Force (Separate Account)

P.11

8. Consolidated Summary(1) Key Performance Results

P.12(2) Scope of Consolidated and Companies Accounted for under Equity Method

P.12(3) Consolidated Balance Sheet

P.13(4) Consolidated Statements of Income

P.14

9.

(Reference) Results for the Three Months Ended December 31, 2009

P.15

10.

(Reference) Holdings of Securitized Papers and Other Sub-prime Related Investments

P.19

1

1. Key Performance Results(1) Policy Amount in Force and New Policy Amount(Number: Thousand, Amount: 100 millions of yen)

Policy Amount in Force
As of December 31, 2008

As of December 31, 2009

Category
NumberIndividual life
insurance
Individual annuities

4,611

YoY Change(%)

Change fromMarch 31,2009 (%)

4,886

105.9

104.9

NumberAmount321,212

As of March 31, 2009

YoY Change(%)

Change fromMarch 31,2009 (%)

329,472

102.6

102.2

AmountNumberAmount4,657

322,291

50

2,853

54

108.5

106.5

3,021

105.9

104.7

51

2,885

4,662

324,066

4,940

106.0

104.9

332,494

102.6

102.3

4,708

325,176

Group life insurance

-

9,867

-

-

-

11,206

113.6

109.9

-

10,194

Group annuities

-

732

-

-

-

721

98.5

98.2

-

734

Subtotal

Notes:

1. Policy amounts for individual annuities are equal to the sum of annuity assets at the time annuity payments commence and policy reserves after annuity payments commence.
2. The policy amount in force for group annuities is equal to the amount of outstanding policy reserve.

(Number: Thousand, Amount: 100 millions of yen)

New policies
For the nine months ended December 31, 2008

For the nine months ended December 31, 2009

Category
NumberIndividual life
insurance
Individual annuities

AmountNew Policies

Increase from
Conversion

NumberYoY Change(%)

AmountYoY
ChangeNew Policies

Increase from
Conversion

407

29,61329,613

-

435

107.0

29,971

101.2

29,971

-

5

322

322

-

4

80.9

232

72.0

232

-

-

-

413

29,93629,936440

106.630,204100.9

30,204

Group life insurance

-

46

46

-

-

48

104.8

48

Group annuities

-

-

-

-

-

-

-

-

Subtotal

Notes:

1. The new policy amount including increase from conversion for individual annuities is 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(Millions of yen)

Policy amount in force
As of December 31, 2008

As of
December 31, 2009

536,623

556,098

103.6

103.3

538,252

Individual annuities

9,529

10,113

106.1

104.8

9,646

Total

546,152

566,211

103.7

103.3

547,898

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

126,028

131,584

104.4

103.9

126,662

Category
Individual Life Insurance

YoY Change(%)

As of March 31, 2009

(Millions of yen)

New policies
Category

Nine months ended
December 31, 2008

Nine months ended
December 31, 2009

YoY Change (%)

Individual Life Insurance

46,47049,634106.8

Individual annuities

1,290

1,027

79.6

Total

47,76050,661106.1

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

10,343

12,251

118.4

Notes:

Change from March
31, 2009 (%)

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 single-payment policies, premiums are divided by the coverage period.)
2. Figures in "Medical protection and living benefit protection, etc" indicateds the annualized premiums for the portion of products with medical protection benefits(hospitalization benefit, surgical procedure benefit, etc.) and products with living benefit protection (benefits for specific illness, nursing care benefits, etc.)22. Status of Investment of Assets (General Account Assets)(Millions of yen)

(1) Composition of General Account Assets
Category

As of December 31, 2009
AmountCash and deposits, call loans

As of March 31, 2009%

101,672

Amount2.7%

58,051

1.6

Securities repurchased under resale agreements

-

-

-

-

Pledged money for bond borrowing transaction

-

-

-

-

Monetary claims purchased

-

-

-

-

Securities under proprietary accounts
Monetary trusts
Securities

-

-

-

-

437,97611.6

607,62517.2

2,961,748

78.1

2,559,237

72.4

Domestic bonds

2,790,921

73.6

2,384,467

67.4

Domestic stocks

68,176

1.8

50,974

1.4

Foreign securities

94,742

2.5

115,279

3.3

Foreign bonds

73,1391.993,7092.7

Foreign stocks and other securities

21,602

0.6

21,569

0.6

7,908

0.2

8,516

0.2

124,805

3.3

120,462

3.4

Other securities
Loans
Real estate

80,5602.1

81,754

2.3

Deffered tax assets

21,2180.6

35,4391.0

Other assets

63,858

1.7

73,407

2.1

(211)

(0.0)

(208)

(0.0)

3,791,629

100.0

3,535,769

100.0

20,4790.5

34,2991.0

Reserve for possible loan losses
Total
Foreign currency denominated assets
Note: Real estate is the total of land, buildings and construction in progress.

3(2) Fair Value Information on Securities
a. Fair value information on secutirites with market value (except trading-purpose securities)(Millions of yen)

As of December 31, 2009
Category

Held-to-maturity securities

Carrying value
before markto-market

Fair value

2,007,479

1,999,545

As of March 31, 2009

Net unrealized gains/losses
Carrying value
Unrealized Unrealized before mark- Fair value
to-market
gains
losses(7,933)

12,52020,453

1,399,011

Net unrealized gains/losses
Unrealized Unrealized
gains
losses1,425,713

26,702

28,991

2,288

Policy reserve matching bonds

-

-

-

-

-

-

-

-

-

-

Stocks of subsidiaries andaffiliated companies

-

-

-

-

-

-

-

-

-

-

1,305,975

1,358,292

52,31756,601

4,284

1,675,529

1,699,732

24,20256,28632,083

Domestic bonds

1,216,824

1,262,099

45,27547,3882,112

1,546,918

1,573,911

26,99351,624

24,630

Domestic stocks

51,644

58,172

6,527

7,979

1,451

56,95058,371

1,421

4,510

3,088

32,36531,653

(712)

6

718

64,21060,569(3,641)

150

3,791

32,36531,653

(712)

6

718

64,21060,569(3,641)

150

3,791

Available-for-sale securities

Foreign securities
Bonds

-

Stocks, etc.
Other securities

5,140

Money claims purchased
Certificates of deposit
Others

-

1,226

6,367

1,227

0

7,450

6,879

(570)

1

572

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

3,313,454

3,357,838

44,383

69,121

24,7383,074,540

3,125,446

50,90585,277

34,372

Domestic bonds

3,182,518

3,213,684

31,16653,73322,5662,904,503

2,958,363

53,86080,61526,755

Domestic stocks

51,644

58,172

6,527

7,979

1,451

56,95058,371

1,421

4,510

3,088

74,15079,613

5,463

6,182

718

105,636

101,831(3,805)

150

3,955

74,15079,613

5,463

6,182

718

105,636

101,831(3,805)

150

3,955

Total

Foreign securities
Bonds
Stocks, etc
Other securities
Monetary claims purchased
Certificates of deposit
Others
Notes:

5,140

-

1,226

6,367

1,227

0

7,450

6,879

(570)

1

572

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

1. The above table includes assets such as certificates of deposits which are permited to be treated as equivalent to securities defined in the Financial Instruments and Exchange Law of Japan.
2. Carrying value before mark-to-market and net unrealized gains/losses on monetary trusts, including items other than trading securities, amounted to ¥424,084 million and ¥13,087 million.
3. Carrying value before mark-to-market represents the amount after deductions for depreciable costs and impairment losses, before mark-to-market.

4

(Millions of yen)b. Carrying value of the securities without market value
As of December 31, 2009

Caregory

As of March 31, 2009

Held-to-maturity securities--

Unlisted foreign bonds--

Others----Stocks of subsidiaries and affiliated companies

13,047

6,047

Available-for-sale securities

24,61824,721

Unlisted domestic stocks

4

4

Unlisted foreign stocks

853

739

Unlisted foreign bonds--

23,76023,977

37,66630,769

Policy reserve matching bonds

Others
Total(Millions of yen)c. Fair Value Information consisting of those stated in the previous table-a and foreign exchange and other gains (losses) for table-b.
As of March 31, 2009

As of December 31, 2009
Category

Held-to-maturity securities

2,007,479 1,999,545

Policy reserve matching bonds
Stocks of subsidiaries and affiliated companies
Available-for-sale securities
Domestic bonds

Net unrealized gains/losses

Carrying value
before mark-to- Fair value
market13,047(7,933)-

13,047

Unrealized Unrealized
lossesgains

Carrying value
before mark-to- Fair value
market20,453

1,399,011 1,425,713

12,520

-

-

-

-

-

-

6,047

Net unrealized gains/losses
Unrealized Unrealized
gains
losses26,702-

6,047

28,991

2,288

-

-

-

-

-

-

1,330,594 1,378,393

47,79957,0059,205

1,700,251 1,719,894

19,64356,761

37,117

1,216,824 1,262,099

45,27547,3882,112

1,546,918 1,573,911

26,99351,624

24,630

Domestic stocks

51,64958,176

6,527

7,979

1,451

56,95458,376

1,421

4,510

3,088

Foreign securities

33,21932,402

(816)

6

823

64,95061,275(3,675)

150

3,825

32,36531,653

(712)

6

718

64,21060,569(3,641)

150

3,791

Bonds
Stocks, etc.

853

749

(104)

Other securities

28,901

25,714(3,186)

1,630

104

739

705

(33)

4,817

31,427

26,331(5,095)

476

33
5,572

Money claims purchased

-

-

-

-

-

-

-

-

-

-

Certificates of deposit

-

-

-

-

-

-

-

-

-

-

-

-

-

-

Others
Total
Domestic bonds

-

-

-

-

-

-

3,351,121 3,390,986

39,86569,52529,6593,105,310 3,151,656

46,34685,75239,4063,182,518 3,213,684

31,16653,73322,5662,904,503 2,958,363

53,86080,61526,755

Domestic stocks

61,64968,176

6,527

7,979

1,451

59,954

61,376

1,421

4,510

3,088

Foreign securities

78,052

83,410

5,358

6,182

823

109,424

105,585(3,838)

150

3,988

Bonds

74,15079,613

5,463

6,182

718

105,636

101,831(3,805)150

Stocks, etc

3,901

3,796

(104)

104

3,787

3,753

(33)

Other securities

28,901

25,714(3,186)

-

4,817

1,630

31,427

26,331(5,095)

3,955
-

476

33
5,572

Monetary claims purchased

-

-

-

-

-

-

-

-

-

-

Certificates of deposit

-

-

-

-

-

-

-

-

-

-

Others

-

-

-

-

-

-

-

-

-

-

5

(3) Fair Value Information on Monetary Trusts(Millions of yen)
As of March 31, 2009

As of December 31, 2009
Category

Monetary trusts

Balance sheet
amountNet unrealized gains/losses
Fair value

437,976 437,976

Unrealized Unrealized
gains
losses---Balance sheet
amountNet unrealized gains/losses
Fair value

607,625 607,625

Unrealized Unrealized
gains
losses---Note: The table above includes 50 million yen of jointly invested monetary trusts.

Monetary Trusts for Investment(Millions of yen)
As of December 31, 2009

As of March 31, 2009

Category
Balance sheet amount

Net valuation gains (losses)

2,181

Monetary Trusts for Investment

Balance sheet amount

5,687

Net valuation gains (losses)

32,020(4,413)

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

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

As of December 31, 2009
Category

Carrying value
before mark- Fair value
to-market

Monetary trusts for held-to-maturity

Net unrealized gains (losses)-

Unrealized Unrealized
gains
lossesCarrying value
before mark- Fair value
to-market---

Unrealized Unrealized
gains
losses

-

-

-

-

-

-

-

-

-

-

-

422,656 435,744

13,087

13,163

76

567,248 575,554

8,306

17,4789,172

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

6-

Net unrealized gains (losses)-

Monetary trusts for policy reserve matching
Other monetary trusts

As of March 31, 2009

-

-

-

3. Non-consolidated Balance Sheets(Millions of yen)
As of December 31, 2009

As of March 31, 2009

AmountAmountAssets:Cash and deposits
Call loans
Monetary trusts
Securities(Japanese government bonds)(Municipal bonds)(Japanese corporate bonds)(Japanese stocks)(Foreign securities)
Loans
Policy loans
Tangible fixed assets
Intangible fixed assets
Due from agencies
Due from reinsurers
Other assets
Deferred tax assets
Reserve for possible loan losses

30,75888,700437,976
3,294,161
2,720,440
28,752
160,754
96,210198,011
124,805
124,805
81,598
13,103

Total Assets
Liabilities:
Policy reserves and others
Reserve for outstanding claims
Policy reserve
Reserve for policyholders' dividends
Due to agencies
Due to reinsurers
Other liabilities
Accrued income tax
Lease liabilities
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
Total stockholder's 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

740
51,324
21,218(211)
4,143,476

25,17445,800607,625
2,819,638
2,196,830
29,190270,253
70,620189,426
120,462
120,462
82,793
12,1871
104
61,91135,439(208)
3,810,929

3,905,839
20,7323,880,794
4,312
1,090
554
28,5086,637
338
21,532
14,431
112
7,992
7,992
706
3,959,236

3,614,027
19,111
3,592,376
2,539
1,216
880
36,891
9,530
388
26,973
12,727
95
3,653
3,653
706
3,670,198

70,0005,865
5,865
87,4709,878
77,591
77,591
163,335
22,380(1,475)20,905
184,240

70,0005,865
5,865
62,325
8,478
53,84753,847138,190
4,015(1,475)
2,539
140,730

4,143,476

3,810,929

4. Non-consolidated Statements of Income(Millions of yen)
For the nine months
ended December 31, 2008

For the nine months
ended December 31, 2009

AmountAmountOrdinary revenues

565,564
489,610489,287
72,25940,8083,954
1,084
20,876
5,120

Income from insurance premiums（Insurance premiums）
Investment income（Interest income and dividends）（Income from monetary trusts, net）
（Income from trading securities, net）
（Gains on sale of securities）（Gains on derivatives, net）
（Gains on separate accounts, net）
Other ordinary income

647,736
512,197
511,266
130,247
50,931
13,21914,553-

3,694
535,356
198,330
45,353
4,570
24,642
120,678
1,458
153,979
1,327
152,62031
104,18132
12,232
17,34066,692
69,705
9,158
30,207
8,012
8,012
8,012
63
46
0

Ordinary expenses
Insurance claims and other payments（Insurance claims）（Annuity payments）（Insurance benefits）（Surrender payments）（Other payments）
Provision for policy reserves and others
Provision for reserves 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 gains
Reversal of reserve for price fluctuations
Reversal of reserve for price fluctuations
Extraordinary losses
Losses on sale or disposal of fixed assets
Impairment losses
Provision for reserve for price fluctuations
Provision for reserve for price fluctuations
Other extraordinary lossess
Provision for reserve for policyholers' dividends
Income before income taxes
Income taxes -Current
Income taxes -Deferred
Income Taxes -Total
Net income

70,995
10,53854,995-16
2,469
35,688
7,883
5,709
13,59222,096

8

50,387
5,291
592,741
204,796
48,7795,027
26,680121,301
1,360
290,042
1,620
288,4173
16,368
22
8,049

4,435
92
4
4,338
4,338
2,009
48,54912,334
4,071
16,40532,144

5. Reconciliation to Core Profit and Non-Consolidated Ordinary Profit(Millions of yen)
For the nine months
ended December 31, 2008
Core profit

Ａ

Capital gains

22,62245,102

27,081

21,509-

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

1,084

Gains on sale of securities

20,876

Gains on derivatives, net

5,120

14,553--

Other capital gains

36,215

Capital losses

9,272

5,511

Losses on monetary trusts, net-

Losses on trading securities, net
Losses on sale of securities

12,232

Devaluation losses on securities

17,3408,049--

Losses on derivatives, net

1,130

Foreign exchange losses, net

774

-

449

Ｂ

(9,133)

12,237Ａ＋Ｂ

13,48857,340

Other capital losses

Core profit plus net capital gains(losses)

6,956

-

Foreign exchange gains, net

Net capital gains (losses)

For the nine months
ended December 31, 2009

16,770

Other one-time gains-

Gains from reinsurance-

16,770

Reversal of contingency reserve

-

Other

51

Other one-time losses

2,345

-

Losses from reinsurance-

Provision for contingency reserve

51

Provision for reserve for specific problem loans

2,341
3

Provision for reserve for specific overseas
receivable assets--

Loans amortization

-

-

-

Other
Total other one-time losses
Ordinary profit-Ｃ

16,718(2,345)

Ａ＋Ｂ＋Ｃ

30,20754,995

Notes: 1. Core profit for the nine months ended December 31, 2008 (A) includes income gains of ¥9,466 million in income from monetary trusts.
2. Core profit for the nine months ended December 31, 2009 (A) includes income gains of ¥6,263 million in income from monetary trusts;
other capital losses include impairment losses of ¥449 million from investment funds.

96. Solvency Margin Ratio(Millions of yen)
Category（A）

Total solvency margin
Net assets (less certain items)

As of December 31, 2009

As of March 31, 2009

625,686

531,321

163,335

131,190

Reserve for price fluctuaions

7,992

3,653

Contingency reserve47,83345,4910

0

Net unrealized gains on other securities (before taxes)
multiplied by 90% if gains or 100% if losses

43,01917,679Net unrealized gains on real estate multiplied by 85% if gains or 100% if losses

4,899

4,899

312,834

302,226

Reserve for possible loan losses

Excess of the amount equivalent to policy reserve under Zillmer method

1,727

Unallocated portion of reserve for policyholders' dividends

382-

Future profits

44,044

Deferred tax assets

25,797

Subordinated debt--

Deductible items--

Total risk

(R1 + R8 )2 +(R2 + R3 + R7 )2 + R4（Ｂ）

48,672

51,571

Insurance risk

R1

19,067

18,595

Third-sector insurance risk

R8

7,185

7,008

Assumed interest rate risk

R2

11,336

11,241

Asset management risk

R320,21824,689Business management risk

R4

1,313

1,375

Minimum guarantee risk

R7

7,861

7,243

2,570.9%

2,060.5%

Solvency margin ratio
(A)
x 100
(1/2) x (B)Notes: 1. Calculations employed in the table above apply the methods povided for under Articles 86 and 87 of the Insurance Business Law of Japan enforcement regulations, as
stipulated in 1996 by the Ministry of Finance Official Notification No. 50. (Excess of the amount equivalent to policy reserve under Zillmer method were calculated
based on Article1-3-1 of the Ministry of Finance Announcement No. 50.)
2. A standard method is used to calculate minimum guarantee risk.

10

7. Status of Separate Account Assets(1) Balance of Separate Account Assets(Millions of yen)
As of December 31, 2009

Category

As of March 31, 2009

351,847

Individual variable life insurance and individual variable annuities

275,160-

Group annuities-

351,847

Total separate account275,160

Note: 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 varialbe life insurance

As of December 31, 2009

Category

NumberAmountAs of March 31, 2009
NumberAmountVariable life insurance （whole life type）

505

6,577,642

483

6,404,908

Variable life insurance （limited term type）

42

139,811

41

136,557

Variable life insurance （term type）

1

59,552

1

62,517550

6,777,005

526

6,603,983

Total
Note: Amounts include the rider portion.

(Number: Thousand, Amount: Millions of yen)

Individual variable annuities

As of December 31, 2009

Category

NumberIndividual variable annuities
Total
Note: The figure indicated in the amount column is for annuity resources.

11

AmountAs of March 31, 2009
NumberAmount28

154,87428

152,525

28

154,87428

152,525

8. Consolidated Summary(1) Key Performance Results
Category(Millions of yen)
For the nine months
ended December 31, 2008

For the nine months
ended December 31, 2009

Ordinary Revenues

565,821647,957

Ordinary Profit

30,37654,877Net Income

22,26432,026

Category

As of December 31, 2009

As of March 31 2009

4,143,032

Total assets

3,810,470(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 method

112

(3) Consolidated Balance Sheets(Millions of yen）
As of December 31, 2009

As of March 31, 2009

AmountAmountAssets:Cash and deposits

31,182

25,675

Call loans

88,70045,800

Monetary trusts

437,976

607,625

Securities

3,293,211

2,818,578

Loans

124,817

120,469

Tangible fixed assets

81,60982,806

Intangible fixed assets

13,104Due from agencies

12,187-

Due from reinsurers

1

40

104

Other assets

51,382

61,989Deferred tax assets

21,21835,439Reserve for possible loan losses
Total Assets

(211)

(208)

4,143,032

3,810,470

3,906,044

3,614,211

20,733

19,1143,880,998

3,592,557

4,312

2,539

1,090

1,216

Liabilities:
Policy reserves and others:
Reserve for outstanding claims
Policy reserve
Reserve for policyholders' dividends
Due to agancies
Due to reinsurers

554

880

Other liabilities

28,53836,924

Reserve for employees' retirement benefits

14,433

12,728Reserve for directors' retirement benefits

112

95

7,992

3,653

7,992

3,653

0

0

706

706

3,959,473

3,670,417

Common stock

70,00070,000Capital surplus

5,865

5,865

Retained earnings

87,013

61,986

Total stockholder's equity

162,878

137,851

Net unrealized gains on other securities, net of taxes

22,443

3,925

Land revaluation, net of taxes

Reserve for price fluctuations
Reserve for price fluctuations
Deferred tax liabilities
Deferred tax liabilities on land revaluation
Total Liabilities
Net Assets:(1,475)(1,475)

Foreign currency translation adjustments

(288)

(248)

Total valuation and translation adjustments

20,6792,201

Total Net Assets
Total Libailities and Net Assets

13

183,558

140,052

4,143,032

3,810,470

(4) Consolidated Statements of Income(Millions of yen)
For the nine months
ended December 31, 2009

For the nine months
ended December 31, 2008
AmountAmountOrdinary revenues

565,821647,957

Income from insurance premiums

489,664

512,241

Investment income

72,462

130,424（Interest income and dividends）

40,992

51,083（Income from monetary trusts, net）

3,954

13,219（Income from trading securities, net）

1,084

（Gains on sale of securities）

20,895（Gains on separate accounts, net）

14,578-50,387

3,694

5,291

Ordinary expenses

535,445593,080

Insurance claims and other payments

198,335

204,804（Insurance claims）

45,35648,783（Annuity payments）

4,570

5,027

（Insurance benefits）

24,642

26,680（Surrender payments）

120,680

121,303

154,019

290,065

Other ordinary income

Provision for policy reserves and others
Provision for reserves for outstanding claims
Provision for policy reserves
Interest on policyholders' dividend reserve
Investment expenses（Interest expenses）

1,332

1,619

152,655

288,44331

3

103,961

16,37032

22（Losses on sale of securities）

12,232

8,054（Devaluation losses on securities）

17,340-（Losses on separate accounts, net）

66,692-

Operating expenses

69,83471,098Other ordinary expenses

9,295

10,741

Ordinary profit

30,37654,877Extraordinary gains

8,013

-

0

-

8,012

-

Gains on sale of fixed assets
Reversal of reserve for price fluctuations

8,012

Reversal of reserve for price fluctuations

-

63

4,435

Losses on sale or disposal of fixed assets

46

92

Impairment losses

04Extraordinary losses

Provision for reserve for price fluctuations
Provision for reserve for price fluctuations

-

4,338

-

4,338

16

Other extraordinary lossess-

Provision for reserve for policyholers' dividends

2,469

2,009

Income before income taxes

35,85748,432

Income taxes -Current

7,883

12,334

Income taxes -Deferred

5,709

4,071

Income Taxes -Total

13,592

16,405

Net income

22,26432,02614

9. (Reference) Results for the Three Months Ended December 31, 2009
New Policy Amount(Number: Thousand, Amount: 100 millions of yen)
For the three months ended December 31, 2008

Category

NumberIndividual life insurance
Individual annuities

AmountNew policies

Increase fromconversion

NumberAmountNew policies

Increase fromconversion

147

10,884

10,884-161

11,935

11,935

-

1

104

104

-

1

83

83

-

10,988

10,988-163

12,01912,019

-

2

2

8

8

149

Sub total

For the three months ended December 31, 2009

Group life insurance-Group annuities

-

-

-

-

-

-

Notes: 1. Policy amounts for individual annuities are equal to the sum of annuity assets at the time annuity payments commence and policy reserves after annuity payments commence.
2. The policy amount in force for group annuities is equal to the amount of outstanding policy reserve.

Annualized Premiums for New Policies
Category(Millions of yen)

For the three months ended December 31, 2008 For the three months ended December 31, 2009

16,399Individual life insurance
Individual annuities
Total
Of which, medical protection,living benefit protection, etc

15

18,263420

368

16,81918,631

3,830

4,536

Non-consolidated Statements of Income (for the Third Quarter)(Millions of yen)
For the three months
ended December 31, 2009

For the three months
ended December 31, 2008
AmountOrdinary revenues

Amount196,644
162,524
162,462
31,861
13,866

Income from insurance premiums（Insurance premiums）
Investment income（Interest and dividends）（Income from monetary trusts, net）-

（Income from trading securities, net）

296
12,596
5,090（Gains on sale of securities）（Gains on derivatives, net）
（Gains on separate accounts, net）

2,258
186,401
72,493
14,584
1,717
9,433
45,583608
13,150292
12,847
10
74,10423
2,872
10,881
14,342
42,58022,833
3,819
10,243
8,581
8,581
8,581
16
4
12
780
18,027
(298)
7,083
6,784
11,242Other ordinary income
Ordinary expenses
Insurance claims and other payments（Insurance claims）（Annuity payments）（Insurance benefits）（Surrender payments）（Other payments）
Provision for policy reserves and others
Provision for reserves for outstanding claims
Provision for policy reserves
Interest on policyholders' dividend reserve
Investment expenses（Interest expenses）（Losses on monetary trusts, net）
（Loss on sale of securities）（Devaluation losses on securities）（Losses on separate accounts, net）
Operating expenses
Other ordinary expenses
Ordinary profit
Extraordinary gains
Reversal of reserve for price fluctuations
Reversal of reserve for price fluctuations
Extraordinary losses
Losses on sale or disposal of fixed assets
Impairment losses
Provision for reserve for price fluctuations
Provision for reserve for price fluctuations
Other extraordinary losses
Provision for reserve for policyholers' dividends
Income before income taxes
Income taxes -Current
Income taxes -Deferred
Income Taxes- Total
Net income

16

216,046
172,838
172,786
38,65818,021
3,620
4,791
12,2034,550
197,491
70,377
16,051
1,822
10,846
40,577508
93,49993,497
1
5,641
6
2,720
23,457
4,515
18,555
1,616
3
0
1,612
1,612
1,784
15,153
6,402(1,658)
4,743
10,410Reconciliation to Core Profit and Non-Consolidated Ordinary Profit (for the Third Quarter)(Millions of yen)
For the three months
ended December 31, 2009

For the three months
ended December 31, 2008
Ａ

Core profit
Capital gains

6,083

16,505

17,983

6,327-

Income from monetary trusts, net

1,536

296

Income from trading securities, net
Gains on sale of securities

12,596

Gains on derivatives, net

5,090

4,791
-

Foreign exchange gains, net--

Other capital gains

32,039

Capital losses

3,393

5,664

Losses on monetary trusts, net-

Losses on trading securities, net
Losses on sale of securities

10,881

Devaluation losses on securities

14,3422,720--

Losses on derivatives, net

1,151

Foreign exchange losses, net

Ｂ
Ａ＋Ｂ

Core profit plus net capital gains (losses)

604
-

67

(14,055)

2,934(7,971)

19,440

Other capital losses
Net capital gains (losses)-

18,253

Other one-time gains-

Gains from reinsurance-

18,253

Reversal of contingency reserve

-

Other

38

Other one-time losses

885-

Losses from reinsurance-

Provision for contingency reserve

38

Provision for reserve for specific problem loans

881
3

Provision for reserve for specific overseas
receivable assets--

Loans amortization

-

-

Other

-

-

Total other one-time losses
Ordinary profitＣ18,215

(885)

Ａ＋Ｂ＋Ｃ

10,243

18,555

Notes: 1. Core profit for the three months ended December 31, 2008 (A) includes income gains of ¥2,791 million in income from monetary trusts.
2. Core profit for the three months ended December 31, 2009 (A) includes income gains of ¥2,083 million in income from monetary trusts;
other capital losses includes impairment losses of ¥67 million from investmnet funds.

17

Consolidated Statements of Income (for the Third Quarter)(Millions of yen)
For the three months
ended December 31, 2009

For the three months
ended December 31, 2008
AmountAmountOrdinary revenues

196,726

216,124

Income from insurance premiums

162,542

172,851

Investment income

31,92538,723（Interest income and dividends）

13,927（Income from monetary trusts, net）

18,070-（Income from trading securities, net）

3,620

296

（Gains on sale of securities）-

12,600（Gains on separate accounts, net）

4,806
-

12,203

2,258

4,550

Ordinary expenses

186,423

197,644

Insurance claims and other payments

72,49470,379（Insurance claims）

14,584

16,051（Annuity payments）

1,717

1,822

（Insurance benefits）

9,433

10,846（Surrender payments）

45,58440,578

13,16793,506

Other ordinary income

Provision for policy reserves and others

298

Provision for reserves for outstanding claims-

12,858Provision for policy reserves
Interest on policyholders' dividend reserve
Investment expenses（Interest expenses）

93,50410

174,020

5,665

23

6

（Losses on monetary trusts, net）

2,872

（Losses on sale of securities）

10,881（Devaluation losses on securities）

14,342（Losses on separate accounts, net）

42,5802,720-

22,870Operating expenses

23,490

Other ordinary expenses

3,869

4,603

Ordinary profit

10,30318,480Extraordinary gains

8,581

Gains on sale of fixed assets
Reversal of reserve for price fluctuations

-

0

-

8,581

-

8,581

Reversal of reserve for price fluctuations
Extraordinary losses
Losses on sale or disposal of fixed assets

-

16

1,616

4

3

Impairment losses-

0

Provision for reserve for price fluctuations

-

1,612

-

1,612

Provision for reserve for price fluctuations

12

Other extraordinary losses
Provision for reserve for policyholers' dividends
Income before income taxes

-

780

1,784

18,08815,079

Income taxes -Current

(298)

6,402

Income taxes -Deferred

7,083(1,658)

Income Taxes -Total

6,785

4,743

Net income

11,303

10,33518

10. (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 December 31, 2009, are as follows. Sony Lifeholds 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
Other
facilitated by Sony Life

Unrealized
gains/losses
－
－
－
－
－
－
－

(Billions of yen)
Gains/losses
recorded in income
－
－
－
－
－
－
－

Unrealized
gains/losses
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－

(Billions of yen)
Gains/losses
recorded in income
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－

(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
EquityOther

SeniorMezzanine
Equity19

(3) Other sub-prime (Alt-A exposure)
Unrealized
gains/losses
－
－
－
－
－
－

Fair value

－
－
－
－
－
－

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

(Billions of yen)
Gains/losses recorded
in income
－
－
－
－
－
－

(4) Commercial mortgage-backed securities (CMBS)(Billions of yen)
Fair value
As of March
31, 2009

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

－
－
－
－
－
－

－
－
－
－
－
－

Unrealized
gains/losses

Gains/losses recorded
in income

－
－
－
－
－
－

－
－
－
－
－
－

(5) Leveraged finance(Billions of yen)
Fair value
As of March
31, 2009

Leveraged financeCommunications
Electronics
Entertainment
Services
Other

－
－
－
－
－
－

－
－
－
－
－
－

Unrealized
gains/losses

Gains/losses recorded
in income

－
－
－
－
－
－

－
－
－
－
－
－

(6) Other notes
Sony Life holds convertible bond repackage notes (fair market value of ¥12.4 billion and unrealized losses of ¥0.08 billion as ofDecember 31, 2009) and principal protected 30 year notes with Nikkei 225 index linked coupon (fair market value of ¥47.9 billion andunrealized gains of ¥6.1 billion as of December 31, 2009). These amounts are included in “Net unrealized gains/losses on other securities,(before taxes)” of Sony Life as of December 31, 2009.

20