May 15, 2015
Sony Financial Holdings Inc.

Summary Information on Sony Life’s Financial Results
for the Year Ended March 31, 2015
<Contents>
1. Key Performance Results

P.2

2. Policy Amount in Force by Insurance Function as of March 31, 2015

P.4

3. Example of Policyholder Dividend, based on Figures for the Year Ended March 31, 2015

P.5

4. Status of Investment Assets (General Account) for the Year Ended March 31, 2015

P.6

5. Non-consolidated Balance Sheets

P.14

6. Non-consolidated Statements of Income

P.15

7. Reconciliation to Core Profit and Non-Consolidated Ordinary Profit

P.16

8. Loans by Borrower Category

P.17

9. Risk-monitored Loans

P.17

10. Solvency Margin Ratio

P.18

11. Status of Separate Account Assets for the Year Ended March 31, 2015

P.20

12. Consolidated Summary

P.21

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 March 31, 2014
Category

Number% change fromMarch 31, 2013

AmountAs of March 31, 2015
% change fromMarch 31, 2013

Number% change fromMarch 31, 2014

Amount% change fromMarch 31, 2014

Individual life insurance
6,236
104.6
386,280
103.4
6,552
105.1
403,910104.6
Individual annuities
94
114.8
4,669
113.1
119
126.5
5,976
128.0
Group life insurance－－
14,052104.4－－
14,421
102.6
Group annuities
－
－
551
97.7
－
－
172
31.2
Notes: 1. Policy amounts for individual annuities are equal to the sum of (a) the funds to be held at the time annuity payments commence for policies for which annuity payments have notyet commenced and (b) the amount of policy reserves for which payments have commenced.
2. The policy amount in force for group annuities is equal to the amount of outstanding policy reserves.
(Number: Thousand, Amount: 100 millions of yen, %)New policy amountFor the year ended March 31, 2014
Category

For the year ended March 31, 2015

NumberNumberAmountAmount
% YoY
% YoY
% YoY
Increase from
New policies
conversion
changechangechangeIndividual life insurance
517
85.3
38,142
86.8
38,142－578
111.8
46,257
Individual annuities
15
117.8
750
129.6
750
－
27
177.0
1,459
Group life insurance
－
－
51
91.1
51
－
－
52
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.

% YoY
New policies
change121.3
46,257
194.3
1,459
103.7
52
－
－

(2) Annualized Premiums(Millions of yen, %)Policy amount in force

Category
Individual life insurance
Individual annuities

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

As of March 31, 2014

% change fromMarch 31, 2013

As of March 31, 2015

% change fromMarch 31, 2014

680,005
16,980696,986

103.9
111.6
104.0

714,620
21,107735,728

105.1
124.3
105.6

167,075

105.3

172,800

103.4(Millions of yen, %)New policies

Category
Individual life insurance
Individual annuities

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

For the year ended
March 31, 2014
61,2692,723
63,992% YoYchange
86.2
124.1
87.3

13,48673.3

For the year ended
March 31, 2015
71,795
4,816
76,612% YoYchange
117.2
176.9
119.7

15,285

113.3

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 and other products" indicates the portion of annualized premiums for medical protection benefits (hospitalization benefits,surgical procedure benefits, etc.) and products with living benefit protection (benefits for specific illness, nursing care benefits, etc.)

2

Increase fromconversion－－

(3) Major P/L Items
Category(Millions of yen, %)For the year ended
March 31, 2014

% YoYchangeFor the year ended
March 31, 2015

% YoYchangeIncome from insurance premiums

960,986103.8

914,034

95.1

Investment income

212,323106.3

280,148131.9

Insurance claims and other payments

327,257

111.3

382,902

117.0

Investment expenses

8,506

72.8

9,727

114.4

Ordinary profit

69,205

92.7

79,665

115.1(4) Total Assets
Category
Total assets(Millions of yen, %)As of March 31, 2014
6,624,903

3% change fromMarch 31, 2013

111.3

As of March 31, 2015
7,301,350% change fromMarch 31, 2014110.2

2. Policy Amount in Force by Insurance Function as of March 31, 2015
(Number: Thousand, Amount: 100 millions of yen)
Total

Individual life insurance

Individual annuities

Group life insurance

NumberNumberNumberAmountNumberAmountCategory
AmountAmount5,366

385,521

－

－

1,819

14,421

7,185

399,943

Accidental death

737

65,905

－

－

12

3

750

65,908Death protection
with otherconditions

308

12,794

－

－

－

－

308

12,794

1,186

18,388

119

5,976

0

0

1,305

24,365

Accidental
hospitalization

2,640

181

－

－

48

0

2,688

181

Sickness
hospitalization

2,640

181

－

－

－

－

2,640

181

Hospitalization
with otherconditions

843

72

－

－

－

－

843

72

Disability protection

535

－

－

－

48

－

583

－

Surgery protection

1,680

－

－

－

－

－

1,680

－

Death protection

Ordinary death

Living protection
Hospitalization protection

Asset-formation insurance,
asset-formation annuities

Group annuities
Category
NumberLiving protection

Category

81

172

NumberAmount－－Medical protection
insurance
NumberHospitalization
protection

Amount－

Total
NumberAmount81

172

Disability insurance
Category

Amount－Disability protection

NumberAmount－－Notes: 1. The number of new policies for group life insurance products, and group annuity products reflects the total numberof insured parties.
2. Of the policy amount in the living protection column, policy amount in force for individual annuities
and group life insurance (annuity payment rider) is equal to the sum of (a) the funds to be held at the timeannuity 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.
The policy amount in force for group annuity products is the amount of outstanding policy reserves.
3. Figures for hospitalization protection show the daily claims for hospitalization.

4

3. Example of Policyholder Dividend, based on Figures for the Year Ended March 31, 2015
(1) Standard dividend yields for semi-participating individual life insurance with policyholder dividends
every five years
For the year ended
March 31, 2014

For the year ended
March 31, 2015

Assumed interest rates of 2.00% or lessLevel-premium
Lump-sum premium and others

1.55%
1.20%

1.55%
1.20%

1.40%
1.05%

1.40%
1.05%

Assumed interest rates of more than 2.00%
Level-premium
Lump-sum premium and others(2) Below is an example of policyholder dividends for semi-participating whole life nursing-care insurance(before annuities commence) using figures for the fiscal year ended March 31, 2015.
Example: Semi-participating whole life nursing-care insurance (before nursing care annuity payments commences)Entered at 30, male, lump-sum payment, 10x death benefit, basic care annuity amount of 0.5 million yen

Contract Date
November 2, 2014
November 2, 2013
November 2, 2012
November 2, 2011
November 2, 2010
November 2, 2009
November 2, 2008
November 2, 2007
November 2, 2006

Assumedinterest rate
1.00％
1.00％
1.50％
1.50％
1.50％
1.50％
1.50％
1.50％
1.50％

Years
elapsed1 year
2 years
3 years
4 years
5 years
6 years
7 years
8 years
9 years

Ongoing
policy(yen)

Policies to which nursing
care applies, ending at
death of policyholder (yen)

0
-

7,533
15,185
0
0
0
0
0
0
0

Note: 1. The “Policies to which nursing care applies, ending at death of policyholder” column shows theamount receivable for nursing care or upon death. The number of years elapsed is the number
through November 2, 2015.
2. The above-stated dividend amount is the sum of the pro-rated dividend amount(policy reserve x dividend participation ratio) and interest through November 2, 2015
(excluding dividends already paid).
Dividend participation ratio = Standard dividend yield - Assumed interest rate(3) Standard dividend yield on group annuities
The standard dividend yield on group annuities is 1.30%, using figures for the year ended March 31, 2015
Note: Dividend participation is calculated as follows:
Dividend amount = Policy reserve x Dividend participation ratio
Dividend participation ratio = Standard dividend yield - Assumed interest rate(4) For group annuities and other products, a reserve for policyholders’ dividends is accumulated inaccordance with each product’s characteristics

5

4. Status of Investment Assets (General Account) for the Fiscal Year Ended March 31, 2015
(1) Status of Investment Assets for the Fiscal Year Ended March 31, 2015
1) Investment Environment
During the fiscal year ended March 31, 2015, the Japanese economy experienced a modest recovery. Economic
growth was negative in the first half, as the consumption tax increase prompted a demand backlash, particularly indurable goods, while unseasonable summer weather held down personal consumption. In the second half, an
expanded quantitative easing program introduced by the Bank of Japan (BOJ) in October 2014 prompted yen
depreciation and a recovery in exports. In addition, falling crude oil prices led to an improved balance of trade,turning economic growth positive.
Real GDP growth, year on year, was a negative 6.4% for the April–June quarter, followed by negative 2.6% in
the July–September quarter. Economic growth turned positive thereafter, at 1.5% for the October–December quarter,and is estimated at a positive 2.26% for the January–March quarter.
The Japanese bond market was affected significantly by the BOJ’s expansion of quantitative easing in October
2014. The BOJ announced plans to expand the monetary base and increase holdings of long-term Japanese
government bonds (JGBs) and exchange-traded funds (ETFs) and to extend its average holding period for long-term
JGBs to around 7–10 years. The market responded to the introduction of these policies with growing concern aboutliquidity, which prompted greater fluctuation in bond yields. Yields on 10-year JGBs, an indicator of long-term
interest rates, fell to 0.201% at one point at the end of October 2014 following increased quantitative easing. Yields
turned back upward after that point, heading to 0.405% as of March 31, 2015 (down 0.237 percentage point year onyear).
Stock market performance was up substantially. Stock prices remained firm throughout the year on rising
corporate performance and expectations of growing shareholder returns. The BOJ’s increased quantitative easing
measures at the end of October 2014, combined with investment asset reallocations by the Government Pension
Investment Fund and other public pension funds buoyed expectations of share purchases, driving up stock prices. Asof March 31, 2015, the Nikkei Stock Average was ¥19,206.99, up ¥4,379.16 from its level on March 31, 2014.
On foreign exchange markets, the yen continued to depreciate. In the first half of the year, movement against the
U.S. dollar centered in a tight range around ¥103 against the dollar. Yen depreciation picked up pace, however,following the BOJ’s increased quantitative easing in October 2014, pushing the exchange rate down to ¥121.46 to
the U.S. dollar at one point in December. Thereafter, observations of a rise in U.S. interest rates, falling commodity
prices and the introduction of quantitative easing in Europe caused the yen–dollar exchange rate to seesaw. As of
March 31, 2015, the yen was trading at ¥120.13 to the U.S. dollar, depreciating ¥16.9 from ¥103.23, its level one
year earlier.

62) Investment Policy
Our investment policy is based on asset liability management (ALM), a strategy stemming from an understanding of
the characteristics of insurance liabilities and prioritizing investments in assets that have corresponding
characteristics. Specifically, as life insurance policies represent long-term liabilities, we invest primarily inultralong-term JGBs that have a long term remaining until maturity. This approach allows us to appropriately
control the risks associated with interest rate fluctuations on insurance liabilities. Meanwhile, we limit ourinvestments in risky investments such as equities.

3) Results of Investment
As of March 31, 2015, general account assets totaled ¥6,508.0 billion, up 8.8%, or ¥523.6 billion, from a year earlier.
Within general account assets, domestic bond investment totaled ¥5,606.8 billion (accounting for 86.2% of total
general account assets), foreign bonds ¥105.5 billion (1.6%), Japanese stocks ¥42.4 billion (0.7%), monetary trusts¥313.2 billion (4.8%), policy loans ¥162.3 billion (2.5%), real estate ¥117.7 billion (1.8%), and cash and cash
deposits and call loans ¥56.8 billion (0.9%).

7

(2) Portfolio of General Account Assets
Category
Cash and deposits, call loans
Securities repurchased under resaleagreements
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
Foreign-currency denominated assets

0.5(Millions of yen, %)As of March 31, 2015
Amount%56,818
0.9

－

－

－

－

－

－

－

－

－
－
305,346
5,334,049
5,190,065
33,205
106,752
79,835
26,916
4,026
154,219
66,532
13,64378,173(242)
5,984,341
58,195

－
－
5.1
89.1
86.7
0.6
1.8
1.3
0.4
0.1
2.6
1.1
0.2
1.3
(0.0)
100.0
1.0

－
－
313,276
5,783,292
5,606,885
42,496
131,627
105,556
26,0702,283
162,399
117,764－
74,722(268)
6,508,006
82,158

－
－
4.8
88.9
86.2
0.7
2.0
1.6
0.4
0.0
2.5
1.8
－
1.1
(0.0)
100.0
1.3

As of March 31, 2014
Amount%32,617

Note: Amount for real estate is equivalent to the total amount of land, buildings and construction in progress.

(3) Changes in General Account Assets by Categories(Millions of yen)
Category

For the year ended March 31, 2015

For the year ended March 31, 2014

Cash and deposits, call loans
Securities repurchased under resaleagreements
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
Foreign-currency denominated assets(70,704)

24,201

－

－

－

－

－
－
(775)
650,301
629,017
2,099
19,323
17,812
1,510
(138)
9,114
(3,769)(80)(1,864)(6)582,215
16,438－－7,929
449,242
416,8199,290
24,87525,721(845)(1,743)
8,180
51,231(13,643)(3,451)(26)
523,665
23,963

Note: Amount for real estate is equivalent to the total amount of land, buildings and construction in progress.
8(4) Investment Income(Millions of yen)

For the year ended
March 31, 2014

Category
Interest income and dividends
Interest income from deposit
Interest income and dividends from securities
Interest income from loans
Income from real estate for rent
Other income from interests and dividends
Gains on securities under proprietary accounts
Income from monetary trusts, net
Income from trading securities, net
Gains on sale of securities
Gains on sale of JGBs, other bonds
Gains on sale of Japanese stocks
Gains on sale of foreign securities
Other
Gains on redemption of securities
Gains on derivatives, net
Foreign exchange gains, net
Reversal of reserve for possible loan losses
Other investment income
Total

122,160
0
106,187
5,691
10,250
31
－
5,311
－
773
1
673
98
－
2
172
1,183
－
47
129,652

For the year ended
March 31, 2015
133,592
0
117,276
5,921
10,327
66
－
5,283
507
8,899
7,601
1,298
－
－
1
－
5,068
－
7
153,359(5) Investment Expenses(Millions of yen)

For the year ended
March 31, 2014

Category
Interest expense
Losses on securities under proprietary accounts
Losses from monetary trusts, net
Losses on trading securities, net
Losses on sale of securities
Losses on sale of JGBs, other bonds
Losses on sale of Japanese stocks
Losses on sale of foreign securities
Other
Devaluation losses on securities
Devaluation losses on JGBs, other bonds
Devaluation losses on Japanese stocks
Devaluation losses on foreign securities
Other
Losses on redemption of securities
Losses on derivatives, net
Foreign exchange losses
Provision for reserve for possible loan losses
Write-off of loans
Depreciation of real estate for rent and others
Other investment expenses
Total

48
－
－
－
528
－
487
41
－
－
－
－
－
－
－
－
－
6
－
2,077
5,845
8,506

9

For the year ended
March 31, 2015
31
－
－
－
0
0
－
－
－
－
－
－
－
－
0
2,099
－
32
－
1,931
5,630
9,727

(6) Investment Efficiency(i) Investment yield by type of asset(%)

Category
Cash and deposits, call loans

For the year ended
March 31, 2014

For the year ended
March 31, 2015

0.05

0.06

Securities repurchased underresale agreements--

Pledged money for bondborrowing transaction--

Monetary claims purchased--

Securities under proprietaryaccounts--

Monetary trusts

1.98

1.97

Securities

2.18

2.40

JGBs, other bonds

2.06

2.17

Japanese stocks

2.22

3.35

Foreign securities

8.30

12.69

Loans

3.80

3.74

Real estate

5.65

4.39

Total

2.20

2.36

Overseas investment

8.19

12.57

Notes: 1. The denominator of investment yield calculation is a daily averaged carrying amount, while the numerator isinvestment income minus investment expenses.
2. Valuation gains for Article 112 of Insurance Law is not accounted for.
3. Yield on overseas investment is a total of foreign-currency-denominated assets and yen-denominated assets.
(ii) Valuation gains (losses) on trading-purpose securities(Millions of yen)

As of March 31, 2014
Category
Trading-purpose securities

As of March 31, 2015

Net valuation gains(losses) recorded inincomeBalance sheet
amount-Balance sheet
amount-Note: The chart above includes trading-purpose securities in "monetary trusts" etc.

10

1,062

Net valuation gains(losses) recorded inincome40

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

As of March 31, 2014
Category

Net unrealized gains (losses)

Carrying
amountHeld-to-maturity securities

As of March 31, 2015

Fair value

4,409,662

Unrealized Unrealized
gains
losses4,839,983

430,320

430,39473

Net unrealized gains (losses)

Carrying
amountFair value

4,878,792

Unrealized Unrealized
gains
losses5,718,258

839,466

839,567

101

Policy reserve matching bonds

-

-

-

-

-

-

-

-

-

-

Stocks of subsidiaries and affiliatedcompanies

-

-

-

-

-

-

-

-

-

-

Available-for-sale securities

1,065,514

1,189,899

124,384

124,42035

1,007,822

1,176,698

168,875

168,984

JGBs, other bonds

1,035,912

1,146,757

110,844

110,86622

974,613

1,120,126

145,512145,512-

Japanese stocks

12,236

21,205

8,968

8,972

3

13,421

29,496

16,075

16,075-

Foreign securities

15,891

19,403

3,511

3,521

10

19,451

26,412

6,961

7,069

15,891

19,403

3,511

3,521

10

19,451

26,412

6,961

7,069

Bonds
Stocks, etc.

-

Other securities

-

1,474

2,533

-

-

1,059

-

1,059

-

-

336

-

-

663

108

108
108
-

326

-

326

-

Monetary claims purchased

-

-

-

-

-

-

-

-

-

-

Certificates of deposit

-

-

-

-

-

-

-

-

-

-

Others

-

-

-

-

-

-

-

-

-

-

Total

5,475,177

6,029,882

554,705

554,814109

5,886,614

6,894,956

1,008,341

1,008,551

210

JGBs, other bonds

5,385,143

5,913,448

528,305

528,327

22

5,775,323

6,736,583

961,259

961,361101

Japanese stocks

12,236

21,205

8,968

8,972

3

13,421

29,496

16,075

16,075

Foreign securities

76,323

92,695

16,371

16,45584

97,533

128,21430,68030,788108

76,323

92,695

16,371

16,45584

97,533

128,21430,68030,788108

Bonds
Stocks, etc.

-

Other securities

1,474

2,533

-

-

1,059

-

1,059

-

336

663

326

-

326

-

Monetary claims purchased

-

-

-

-

-

-

-

-

-

-

Certificates of deposit

-

-

-

-

-

-

-

-

-

-

Others

-

-

-

-

-

-

-

-

-

-

Notes: 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 ¥268,742 million and ¥45,208 million.
3. Carrying amount represents the amount after deductions for depreciable costs and impairment losses, before mark-to-market.

b. Carrying amounts of the securities without market value(Millions of yen)

Category

As of March 31, 2015

As of March 31, 2014

Held-to-maturity securities--

Unlisted foreign bonds--

Others----

Policy reserve matching bonds
Stocks of subsidiaries and affiliated companies

16,000Available-for-sale securities

17,28918,50014,492-Unlisted Japanese stocks (except OTC stocks)
Unlisted foreign stocks (except OTC stocks)

823

Unlisted foreign bonds

663-

Others
Total

11

-

16,466

13,82833,28932,992

c. Fair value information consisting of that stated in the previous table-a and foreign exchange and other gains (losses) for table-b as follows:(Millions of yen)

As of March 31, 2014
Category

Held-to-maturity securities

Stocks of subsidiaries and affiliatedcompanies
Available-for-sale securities

Net unrealized gains (losses)

Carrying
amountFair value

4,409,662

Policy reserve matching bonds

As of March 31, 2015
Unrealized Unrealized
gains
losses4,839,983-

430,320-

16,00016,000430,39473

Net unrealized gains (losses)

Carrying
amountFair value

4,878,792

-

-

-

-

-

-

Unrealized Unrealized
gains
losses5,718,258-

839,466-

18,50018,500839,567

101

-

-

-

-

-

-

1,082,804

1,214,309

131,504

131,986481

1,022,315

1,198,889

176,574

177,188

JGBs, other bonds

1,035,912

1,146,757

110,844

110,86622

974,613

1,120,126

145,512145,512-

Japanese stocks

12,236

21,205

8,968

8,972

3

13,421

29,496

16,075

16,075-

Foreign securities

16,714

21,129

4,414

4,424

10

20,11528,488

8,373

8,482

108

15,891

19,403

3,511

3,521

10

19,451

26,412

6,961

7,069

108

Stocks, etc.

823

1,725

902

902

663

2,076

1,412

1,412

Other securities

17,940

Bonds

25,217

7,277

-

7,723

446

14,165

20,778

6,613

614

-

7,118

505

Monetary claims purchased

-

-

-

-

-

-

-

-

-

-

Certificates of deposit

-

-

-

-

-

-

-

-

-

-

Others

-

-

-

-

-

-

-

-

-

-

Total

5,508,467

6,070,292

561,825562,381555

5,919,607

6,935,647

1,016,040

1,016,756

715

JGBs, other bonds

5,385,143

5,913,448

528,305

528,327

22

5,775,323

6,736,583

961,259

961,361101

Japanese stocks

24,23633,205

8,968

8,972

3

26,42142,496

16,075

16,075

Foreign securities-

81,14698,42017,273

17,357

84

103,697

135,790

32,09232,201108

Bonds

76,323

92,695

16,371

16,45584

97,533

128,21430,68030,788108

Stocks, etc.

4,823

5,725

902

902

6,163

7,576

1,412

1,412

Other securities

17,94025,217

7,277

-

7,723

446

14,165

20,778

6,613

-

7,118

505

Monetary claims purchased

-

-

-

-

-

-

-

-

-

-

Certificates of deposit

-

-

-

-

-

-

-

-

-

-

Others

-

-

-

-

-

-

-

-

-

-

12

(iv) Fair value information on monetary trusts(Millions of yen)

As of March 31, 2015

As of March 31, 2014
Category

Monetary trusts

Balancesheet
amount305,346

Net unrealized gains (losses)
Fair value
305,346

Unrealized Unrealized
gains
losses－－－Balancesheet
amount313,276

Net unrealized gains (losses)
Fair value313,276

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

Monetary trusts for investment(Millions of yen)

As of March 31, 2014
Category

Balance sheet amount

As of March 31, 2015

Net valuation
gains (losses)
recorded income－－

Monetary trusts for investment

Balance sheet amount

Net valuation
gains (losses)
recorded income－－

Monetary trusts for held-to-maturity and policy reserve matching and other monetary trusts(Millions of yen)

As of March 31, 2014

As of March 31, 2015

Net unrealized gains (losses)

Category

Carrying
amountFair value

Net unrealized gains (losses)

Unrealized Unrealized
gains
lossesCarrying
amountFair value

Unrealized Unrealized
gains
lossesMonetary trusts for held-to-maturity

－

－

－

－

－

－

－

－

－

－

Monetary trusts for policy reserve matching

－

－

－

－

－

－

－

－

－

－

268,042

305,296

37,25337,253－

268,017313,225

45,20845,208－Other monetary trusts

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

13

5. Non-consolidated Balance Sheets(Millions of yen)
As ofMarch 31, 2014

As ofMarch 31, 2015

AmountAmountAssets:Cash and deposits
Cash
Deposits
Call loans
Monetary trusts
Securities(Japanese government bonds)(Japanese municipal bonds)(Japanese corporate bonds)(Japanese stocks)(Foreign securities)(Other securities)
Loans
Policy loans
Commercial loans
Tangible fixed assets
Land
Buildings
Leased assets
Other tangible fixed assets
Intangible fixed assets
Software
Other intangible fixed assets
Due from reinsurers
Other assets
Other receivable
Prepaid expenses
Accrued income
Money on deposits
Initial margins of futures markets
Variation margins of futures markets
Derivatives
Advance payments
Other
Prepaid pension costs
Deferred tax assets
Reserve for possible loan losses
Reserve for possible investment losses

15,827
4
15,82334,628305,346
5,954,716
5,316,110
3,869
38,74670,442
342,187
183,359
154,219
154,18038
67,10030,10336,42919548
23,86923,8599
138
53,78730 95430,954
1,532
16,600
4,182
－
－
－
400
117
1,867
13,643(242)－

16,535
1
16,534
71,234313,276
6,543,703
5,742,140
2,060
28,66492,564
451,613226,659
162,399
162,3972
118,232
83,00734,75715452
21,59021,5809
18158,52133 79133,791
1,220
17,059
4,061
813
867
248
373
85
2,295
－
(268)
(6,352)

Total Assets

6,624,903

7,301,350

As of
As of
March 31, 2014 March 31, 2015
AmountAmountLiabilities:
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
Other payables
Accrued expenses
Unearned income
Deposits received
Deposits received for guarantee
Derivative liabilities
Lease obligations
Asset retirement obligations
Policy suspense and other suspense
Reserve for employees' retirement benefits
Reserve for directors' retirement benefits
Reserve for price fluctuations
Reserve for price fluctuations
Deferred tax liabilities
Deferred tax liabilities on land revaluation

6,152,574
24,702
6,123,633
4,237
2,169
567
32,812
8,702
1,213
13,566
939
823
5,058
－
21
654
1,832
25,38966
41,556
41,556－536

6,756,882
25,4496,727,241
4,191
2,450
585
45,61916,742
1,412
15,399
953
1,783
5,076
728
16
665
2,842
19,72591
42,84542,845120
503

Total Liabilities

6,255,673

6,868,824

Net Assets:
Common stock
Capital surplus
Capital reserve
Retained earnings
Earned reserve
Other retained earnings
Unappropriated retained earnings
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

70,0005,865
5,865
211,461
18,138
193,323
193,323
287,327
83,416(1,513)
81,903369,230
6,624,903

70,0005,865
5,865
240,028
22,128217,900
217,900
315,893
118,113(1,480)116,632
432,526
7,301,350

14

6. Non-consolidated Statements of Income(Millions of yen)

For the ｙear ended
March 31, 2014
1,197,109
960,986
959,660
1,325
212,323
122,160
0
106,187
5,691
10,250
31
5,311
－
773
2
172
1,183
47
82,67023,7992,151
17,197
4,451
1,127,904
327,257
77,413
10,76855,510178,402
3,203
1,959
650,76455
650,703
5
8,506
48
528
－
－
6
2,077
5,845
113,868
27,507
10,884
7,981
5,064
3,532
－
44
69,205
9,389
41
36
9,291
9,291
－
19
2,232
57,583
21,953
ᇞ 1,433
20,51937,063

Ordinary Revenues
Income from insurance premiums
Insurance premiums
Ceded reinsurance commissions
Investment income
Interest income and dividends
Interest income from deposits
Interest income and dividends from securities
Interest income from loans
Rent revenue from real estate
Other interest income and dividends
Income from monetary trusts, net
Gains on trading securities
Gains on sale of securities
Gains on redemption of securities
Gains on derivatives, net
Foreign exchange gains, net
Other investment income
Gains on separate accounts, net
Other ordinary income
Income for annuity riders
Income from deferred payment of claims
Other ordinary income
Ordinary Expenses
Insurance claims and other payments
Insurance claims
Annuity payments
Insurance benefits
Surrender payments
Refund to policyholders
Reinsurance premiums
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
losses on redemption of securities
Losses on derivatives, net
Provision for reserve for possible loan losses
Depreciation of real estate for rent and others
Other investment expenses
Operating expenses
Other ordinary expenses
Payments of deferred claims
Taxes
Depreciation and amortization
Provision for reserve for employees' retirement benefits
Provision for reserve for directors' retirement benefits
OthersOrdinary Profit
Extraordinary Losses
Losses on disposal of fixed assets
Impairment losses
Provision for reserve for price fluctuations
Provision for reserve for price fluctuations
Provision for reserve for possible investment losses
OthersProvision for Reserve for Policyholders' Dividends
Income Before Income Taxes
Income Taxes - current
Income Taxes -deferred
Income Taxes -total
Net Income
15

For the year ended
March 31, 2015
1,223,827
914,034
912,497
1,537
280,148
133,592
0
117,276
5,921
10,327
66
5,283
507
8,899
1
－
5,068
7
126,789
29,644
3,617
22,154
3,872
1,144,162
382,902
79,622
11,28063,166
223,130
3,675
2,027
604,357746
603,607
3
9,727
31
0
0
2,099
32
1,931
5,630
115,603
31,571
12,184
10,571
5,267
3,523
24
0
79,665
7,683
31
10
1,288
1,288
6,352
(－)
2,153
69,82827,055247
27,30342,524

7. Reconciliation to Core Profit and Non-consolidated Ordinary Profit(Millions of yen)
For the year ended
March 31, 2014
Core Profit

A

Capital gains
Income from monetary trusts, net

For the year ended
March 31, 2015

72,36576,5052,130

14,447

－

－

－

479

Gains on sale of securities

773

8,899

Gains on derivatives, net

172－

Foreign exchange gains, net

1,183

5,068

－

－

949

6,011

－

－

Income from trading securities, net

Other capital gains
Capital losses
Losses on monetary trusts, net

－

－

528

0

Devaluation losses on securities－－

Losses on derivatives, net

－

2,099

Foreign exchange losses, net

－

－

420

3,910

Losses on trading securities, net
Losses on sale of securities

Other capital losses
Net capital gains (losses)

B

1,180

8,435

Core profit plus net capital gains (losses)

A+B

73,54584,940－－Gains from reinsurance－－

Reversal of contingency reserve－－

Reversal of specific reserve for possible loans losses－－

Others

－

－

4,340

5,275

－

－

4,110

5,035

6

31

－

－

－

－

223

207

C

(4,340)(5,275)

A+B+C

69,20579,665

Other one-time gains

Other one-time losses
Losses from reinsurance
Provision for contingency reserve
Provision for specific reserve for possible loans losses
Provision for reserve for loan losses from borrowers in specificforeign countries
Write-off of loans
OthersNet other one-time gains (losses)
Ordinary Profit

Notes: 1. Core profit for the fiscal year ended March 31, 2015 (A) includes income gains of ¥5,283 million in income from monetary trusts
and interest income and dividends of ¥28 million in income from trading securities, net; other capital gains include provision ofpolicy reserves and others of ¥3,693 million for currency market fluctuations of products dominated in foreign currencies andimpairment losses of ¥217 million from investment partnership; "Others" of other one-timelosses included provision of additional
policy reserve of ¥207 million.
2. Core profit for the fiscal year ended March 31, 2014 (A) includes income gains of ¥5,311 million in income from monetarytrusts; other capital lossesinclude provision of policy reserves and others of ¥227 million for currency market fluctuations of
products dominated in foreign currencies; impairment lossesof ¥193 million from investment partnership; "Others" of otherone-time losses included provision of additional policy reserve of ¥223 million.

16

8. Loans by Borrower Category(Millions of yen)

Category

As of March 31, 2014

As of March 31, 2015

Bankrupt and quasi-bankrupt loans－－

Doubtful loans－－

Sub-standard loans－－

Sub-total－－[ ] % to total

[－]

[－]

156,815

165,075

156,815

165,075

Normal loans
Total

Notes: 1. Bankrupt and quasi-bankrupt loans are loans to borrowers who are subject to bankruptcy, corporate reorganization or
rehabilitation or other similar proceedings and other borrowers in serious financial difficulties.
2. Doubtful loans are loans to obligors (other than bankrupt and quasi-bankrupt obligors) with deteriorated financial
condition and results of operations from which it is unlikely that the principal and interest on the loans will be recovered.
3. Sub-standard loans are loans on which principal and/or interests are past due for three months or more and loans with aconcessionary interest rate, as well as loans with renegotiated conditions in favor of the borrower, including renegotiatedschedule and/or waivers, in each case, other than the loans described in notes 1. and 2. above.
4. Normal loans are all other loans.

9. Risk-monitored Loans
Not applicable1710. Solvency Margin Ratio (Current Standard)(Millions of yen)

Category

As of March 31, 2014

As of March 31, 2015

954,157

1,078,363

Common stock, etc.

274,027

301,193

Reserve for price fluctuations

41,55642,845

Contingency reserve

63,671

68,70700118,354

158,917

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

75

15,325

Amount excluded from deferred tax assets

－

－

174

212

Deferred tax assets

78,86881,201

Excess of the amount equivalent to policy reserve under Zillmer method

400,056

429,392－－

The portion of the excess amount of policy reserves based on Zillmer method
and subordinated debt that is not included in the margin(20,626)(16,433)

Deductible items(2,000)(3,000)80,904

84,411

Total solvency margin(A)

General reserve for possible loan losses
Net unrealized gains on other securities (before taxes) multiplied by 90% if
gains or 100% if losses

Unallotted portion of reserve for poricyholders' dividends

Subordinated debt

Total risk

(B)

Insurance risk

R1

22,512

23,045

Third-sector insurance risk

R8

8,368

8,422

Assumed interest rate risk

R229,61630,138Minimum guarantee risk

R712,896

14,373

Asset management risk

R330,02331,493Business management risk

R4

2,068

2,149

2,358.7%

2,555.0%

Solvency margin ratio
(A)
x

100

(1/2) x (B)Notes:1. The figures were calculated based on provisions in Articles 86 and 87 of the Ordinance for Enforcement of the Insuranceof Japan and the Ministry of Finance Public Notice No. 50 of 1996.
2. Minimum guarantee risk was calculated based on the standardized approach.

18

(Reference)Consolidated Solvency Margin Ratio
Although Sony Life is not required to prepare consolidated financial statements since it does not have any consolidated subsidiaries, Sony
Life quarterly discloses consolidated solvency margin ratio which includes its affiliated companies.
(Millions of yen)

Category
Total solvency margin

As of March 31, 2014

As of March 31, 2015

931,256

1,066,059

Common stock, etc.

267,645299,756

Reserve for price fluctuations

41,55642,845

Contingency reserve

63,671

68,707

Catastrophe reserve－－

General reserve for possible loan losses

00118,354

158,91775

15,325(2,768)(1,918)Amount excluded from deferred tax assets－－

Unallocated portion of reserve for policyholders' dividends

174

212

Deferred tax assets

78,86881,201

Excess amount of policy reserves based on Zillmer method

400,056

429,392－－

The portion of the excess amount of policy reserves based on Zillmer
method and subordinated debt that is not included in the margin(27,008)(17,870)

Deductible items(9,369)(10,510)

77,16080,300(A)

Net unrealized gains on other securities multiplied by 90% if gains or
100% if losses
Net unrealized gains on real estate multiplied by 85% if gains or 100% if
lossesTotal amount of unrecognized actuarial gains and unrecognized past
service costs

Subordinated debt

(B)

Total risk
Insurance risk

R1

22,512

23,045

Ordinary insurance risk

R5

－

－

Major Catastrophe risk

R6

－

－

8,368

8,422

－

－

29,61630,13812,896

14,373

Third-sector insurance risk

R8

Insurance risk of small-amount short-term insurance providers
Assumed interest rate risk
Minimum guarantee risk

R9

R2
R7

Asset management risk

R326,023

27,118Business management risk

R4

1,988

2,061

100

2,413.8%

2,655.1%

Solvency margin ratio(A)x(1/2) x (B)Notes: 1. The above-stated figures were calculated based on provisions in Articles 86-2 and 88 of the Ordinance for
Enforcement of the Insurance Business Law and FSA Public Notice No. 23 (2011).
2. Minimum guarantee risk was calculated based on the standardized approach.
3. From March 31, 2014, calculations have included the total amount of unrecognized actuarial gains and unrecognized past service costs.
(Figures shown as of March 31, 2013, are in accordance with the previous method.)1911. Status of Separate Account Assets for the Year Ended March 31, 2015
(1) Balance of Separate Account Assets
Assets relating to individual variable life insurance and individual variable annuities are jointly invested at Sony Life.

(Millions of yen)

Category

As of March 31, 2014

As of March 31, 2015

AmountAmountIndividual variable life
insurance and individual
variable annuities
Group annuities

793,344

640,562--

640,562

Total separate account793,344(2) Status of Individual variable life insurance and individual variable annuities (Separate Account)(i) Policy amount in forcea) Individual variable life insurance(Number: Thousand, Amount: Millions of yen)

Category

As of March 31, 2014
NumberVariable life insurance（whole life type）
Variable life insurance（limited term type）
Variable life insurance（term type）
Total

As of March 31, 2015

AmountNumberAmount610

7,302,062

685

7,826,857

47

164,508

61

222,4431

45,8071

44,356659

7,512,377

748

8,093,657

Note: Amounts include the rider portion.

b) Individual variable annuities(Number: Thousand, Amount: Millions of yen)

Category
Individual variableannuities

As of March 31, 2014
NumberAs of March 31, 2015

Amount30

161,758

NumberAmount46

252,266

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 policies for which payments have commenced.

20

(ii) Portfolio of separate account assets in individual variable life insurance and individual variable annuities
Assets relating to individual variable life insurance and individual variable annuities are jointly invested at Sony Life.

(Millions of yen, %)Category

As of March 31, 2015

As of March 31, 2014
Amount%Amount%Cash and deposits, call loans

17,8382.8

30,950

3.9

Securities

620,66696.9

760,411

95.8

JGBs, other bonds

168,66126.3

165,980

20.9

Japanese stocks

37,2375.8

50,0686.3

Foreign securities

235,43536.8

319,985

40.3

Foreign bonds

51,863

8.1

59,9187.6

Foreign stocks, etc.

183,57128.7

260,067

32.8

179,33228.0

224,376

28.3

Loans

－

－

－

－

Other

2,057

0.3

1,982

0.2

－

－

－

－

640,562100.0

793,344

100.0

Other securities

Reserve for possible loan losses
Total(iii) Net investment gains (losses) of separate account assets in individual variable life insurance and individual
variable annuities
Assets relating to individual variable life insurance and individual variable annuities are jointly invested at Sony Life.

(Millions of yen, %)Category

For the year ended March 31, 2014

For the year ended March 31, 2015

Interest income and dividends

11,773

13,175

Gains on sale of securities

16,052

17,27574

16

Valuation gains on securities

143,031232,096

Foreign exchange gains, net

5,036

8,458

Gains from derivatives, net－－

Other investment income

0－

Losses on sale of securities

680

993

Losses on redemption of securities

141

103

Devaluation losses on securities

92,255

142,989

Foreign exchange losses, net－－

Losses from derivatives, net－－

Other investment expenses

221

146

Net investment gains (losses)

82,670126,789

Gains on redemption of securities

12. Consolidated Summary
Not applicable21