Presentation Material

Consolidated Financial Results for the Year
Ended March 31, 2010
andPreliminary Sony Life’s
Market Consistent Embedded Value

Sony Financial Holdings Inc.
May 20, 20100

Content■Consolidated Operating Results for the Year
Ended March 31, 2010

2-27

■ Preliminary Sony Life’
Life’s Market Consistent
Embedded Value as of March 31, 2010

28-29

■ Appendix

30-35

Disclaimers:
This presentation material contains statements concerning the current plans, expectations, strategies and beliefs of the SonyFinancial Holdings Group (the “SFH Group”). Any statements contained herein that pertain to future operating performance andthat are not historic facts are forward-looking statements. Forward-looking statements may include—but are not limited to—words such as “believe,” “anticipate,” “plan,” “strategy,” “expect,” “forecast,” “predict,” “possibility” that describe future operating
activities, business performance, events or conditions. Forward-looking statements, whether spoken or written, are based on
judgments made by the management of the SFH Group, based on information that is currently available to it. As such, theseforward-looking statements are subject to various risks and uncertainties, and actual business results may vary substantially fromthe forecasts expressed or implied in forward-looking statements. Consequently, investors are cautioned not to place undue
reliance on forward-looking statements. The SFH Group disclaims any obligation to revise forward-looking statements in light of
new information, future events or other findings. The information contained in this presentation does not constitute or form part ofany offer for sale or subscription of or solicitation or invitation of any offer to buy or subscribe for any securities, nor shall it or any
part of it form the basis of or be relied on in connection with any contract or commitment whatsoever.

1

Disclaimer

1Consolidated Operating Results for
the Year Ended March 31, 2010

2

2

Highlights of Consolidated Operating Performancefor the Year Ended March 31, 2010 (1)(Billions of yen)

Ordinary revenues

978.9
860.3

Life insurance
business+13.8%
Non-life
insurancebusiness

Bankingbusiness+ 146.3%

84.3

FY08

FY09

766.2

882.0

+115.8+15.1%

Ordinary profit

32.5

79.7

+47.2

+145.2%

Ordinary
revenues

61.8

68.1

+6.2

+10.2%(Billions of yen)

Ordinary profit

Corporate andelimination

Ordinary
revenues

2.1

2.5

+0.3

+17.8%

Ordinary
revenues

33.3

30.5

(2.8)

(8.6%)

Ordinary profit

(0.5)

1.9

+2.5

－

Ordinary
revenues

(1.1)

(1.7)

(0.5)

－

0.1

0.0

(0.0)

(7.8%)

860.3

978.9

+118.6+13.8%

Ordinary profit

34.2

84.3

+50.1

+146.3%

Net income

30.7

48.1

+17.4

+56.7%

Ordinary profit

Ordinary profit
Ordinary
Revenues

34.2

FY08

Consolidated

FY09
Consolidated

Change(Billions of yen)

09.3.3110.3.31

Change from 09.3.31

Total assets

5,313.6

6,001.0+687.4+12.9%Net assets

204.8

269.4

+64.5

+31.5%

Line item amounts are truncated below ¥100 million; percentage change figures are rounded.

3

During the year ended March 31, 2010, consolidated ordinary revenues grew 13.8%
compared with the previous fiscal year, to ¥978.9 billion, owing to increases in ordinary
revenues from the life insurance business and the non-life insurance business, despite adecrease from the banking business. Consolidated ordinary profit increased in all
businesses, up ¥50.1 billion year on year, to ¥84.3 billion. Consolidated net income
increased ¥17.4 billion year on year, to ¥48.1 billion.
Summary of SFH’s consolidated operating performance for the year ended March 31,
2010 is as follows.
In the life insurance business, policy amount in force increased steadily for this period,
due to favorable sales in Sony Life’s mainstay, death-protection insurance products. As
for its asset management performance, gains from investment, net, dramatically improved
year on year, boosted by a relatively favorable financial market environment. We
regarded its solvency margin ratio as of March 31, 2010 as reaching a sufficient level tomaintain financial soundness.
In the non-life insurance business, net premiums written increased by 2-digit growthrate, due to strong sales of new policies in its mainstay automobile insurance.
In the banking business, ordinary revenues decreased from previous fiscal year, due tolower interest rates throughout the world. Although, ordinary income increased owing toan increase in net interest income due mainly to a decrease in interest expenses on deposit
and an increase in interest income on loans led by the growing balance of mortgage loans.

3Highlights of Consolidated Operating Performancefor the Year Ended March 31, 2010 (2) Life insurance: ordinary revenues increased year on year, due to higher income from insurance

premiums associated with an increased policy amount in force, as well as increases ininvestment income boosted by a relatively favorable financial market environment. Ordinary
profit increased, mainly reflecting the increase in ordinary revenues and a substantial decreasein impairment losses on securities held. Despite contingency reserve and reserve for pricefluctuations partially reversed for the previous fiscal year, provisions for the both reserves wererecorded for this period.
 Non-life insurance: Ordinary revenues increased year on year, owing to increases in net
premiums written, reflecting a growing number of its mainstay automobile insurance policies.
Ordinary profit increased due mainly to an increase in premium income and a decline in the net
expense ratio which offset an increase in the net loss ratio.
 Banking business: Despite a decrease in ordinary revenues year on year, affected by globally
lowering interest rates, ordinary profit increased due to increases in net interest income,bolstered primarily by decreases in interest expenses and the growing balance of mortgage
loans.
 Consolidated ordinary revenues increased 13.8% year on year, to ¥978.9 billion, consolidated
ordinary profit increased ¥ 50.1 billion, to ¥84.3 billion and net income grew ¥17.4 billion, to¥48.1 billion.
 Consolidated total assets increased ¥687.4 billion year on year, to ¥6,001.0 billion,
consolidated net assets increased 64.5 billion, to ¥269.4 billion, of which net unrealized gains onother securities, net of taxes increased ¥22.3 billion, to ¥17.5 billion.

4

4

Highlights of Operating Performance:
Sony Life (Non(Non-Consolidated)
Ordinary revenues+15.1%(Billions of yen)(Billions of yen)

Ordinary profit

881.7

765.9

Ordinary revenues

FY09

FY08

881.7

+115.8

Income from insurance premiums

662.0

700.1

+38.0

+5.8%

Investment income

98.7

175.3

+76.6

+77.6%

Interest income and dividends

55.8

70.6

+14.8

+26.6%

Income from monetary trusts, net

－

22.8

+22.8

－

32.1

15.1

(17.0)(53.0%)

Gains on sale of securities

80.0

－

62.7

+62.7

－

801.6

+68.1

+9.3%

Insurance claims and other payments

274.7

274.2

(0.5)

(0.2%)

Provision for policy reserve and others

219.0

395.5

+176.5+80.6%

Investment expenses(84.6%)

32.4
FY08

FY09

133.7

20.5

(113.1)

Losses on sale of securities

16.1

10.0

(6.0)

(37.7%)

Devaluation losses on securities

31.8

－

(31.8)(100.0%)Losses on separate accounts, net

72.2

－

(72.2)(100.0%)

93.9

96.8

+2.9

+3.1%

32.4

80.0

+47.6

+147.1%+12.3+36.6%

Operating expenses

Sony Life

Ordinary profit

Ordinary revenues and ordinary profit increased year onyear.
Income from insurance premiums increased due to anincreased policy amount in force.
Investment income rose.
Ordinary profit rose due to increased in ordinary revenues
and a substantial decrease in impairment losses.

Net income

33.7(Billions of yen)

09.3.3146.1
10.3.31

Change from 09.3.31

Securities

2,819.6

3,539.1+719.4+25.5%

Policy reserve

3,592.3

3,985.6+393.2+10.9%

Total net assets

140.7

191.3

+50.5

+35.9%

4.0

15.4

+11.4

+285.0%3,810.9

4,286.5+475.6+12.5%

275.1

373.6

+98.4

+35.8%Net unrealized gains/losses onother securities
Total assets
Line item amounts are truncated below ¥100 million;
percentage change figures are rounded.

+15.1%

733.5

Gains on separate accounts, net
Ordinary expenses+147.1%

Change765.9

Separate account assets

5

Highlights of Sony Life’s operating performance (non-consolidated basis) are
shown here.
Sony Life’s ordinary revenues increased 15.1% year on year, to ¥881.7 billion,
due to higher income from insurance premiums associated with an increased
policy amount in force, as well as increases in investment income.
Income from insurance premiums grew 5.8% from the previous fiscal year, to¥700.1 billion, associated with a higher policy amount in force. Investment
income increased 77.6% year on year, to ¥175.3 billion, due mainly to an
improved investment performance on separate account assets driven by risingstock prices, and higher interest income and dividends in line with the growing
balance of ultralong-term bonds.
Ordinary profit increased 147.1% year on year, to ¥80.0 billion, due primarily toa substantial decrease in impairment losses on securities held.
Net income increased 36.6% year on year, to ¥46.1 billion, owing to a
substantial increase in ordinary profit despite the negative impact of a change
from the reversal of a reserve for price fluctuations of ¥20.4 billion for
extraordinary gains a year earlier, to a provision of ¥5.9 billion for extraordinary
losses in the year ended March 31, 2010.

5

Overview of Performance:
Sony Life (Non(Non-Consolidated)(Billions of yen)

FY08

FY09

ChangeNew policy amount

3,873.7

4,049.2+4.5%

Lapse and surrender amount

2,135.1

2,342.4+9.7%

Lapse and surrender rate

6.79%

7.21%

+0.42pt

Policy amount in force

32,517.6

33,470.7+2.9%

Annualized premiums from newpolicies

61.6

68.7

+11.5%Of which, third-sector products

13.4

16.2

+21.0%

547.8

573.3

+4.6%

126.6

133.0

+5.0%

Annualized premiums frominsurance in force
Of which, third-sector products(Billions of yen)

FY08

FY09

ChangeGains from investment, net(General account)

37.2

92.0

Core profit

38.0

64.5

+69.8%

Negative spread

21.3

11.5

(46.0%)

09.3.31
Solvency Margin Ratio

2,060.5%

10.3.312,637.3%(Reasons for changes)
 Increased, reflecting the impact of individual customers
conversion to more reasonably priced insurance
products. This included a discount rider for family
income insurance launched in November 2009 for
nonsmokers and other people in excellent health.

 Increased substantially in third-sector products, owing
mainly to favorable sales of cancer hospitalization
insurance, launched in April 2009 and living benefit
insurance.

 Increased due primarily to a substantial decrease inimpairment losses and an increase in interest income
and dividends.

+147.4%

Change＋576.8pt

Notes:*1 Figures for new policy amount, lapse and surrender amount, lapse and surrender rate, policy amount in force,
annualized premiums from new policies and annualized premiums from insurance in force are calculated as the totalof individual life insurance and individual annuities.
*2 The lapse and surrender rate is calculated without offsetting policies that are reinstated.

 Rose owing primarily to increases in income frominsurance premiums, increased interest income anddividends, as well as decrease of a provision of thepolicy reserve for minimum guarantee for variable life
insurance.

 Rose substantially owing mainly to an increased profit,
higher unrealized gains, and lower asset managementrisk.
Line item amounts are truncated below ¥100 million;
percentage change figures are rounded.

6

Here is an overview Sony Life’s performance.

6

Sony Life Operating Performance (1)New Policy Amount

Annualized Premiums from New Policies(Individual Life Insurance + Individual Annuities)(Individual Life Insurance + Individual Annuities)(Trillions of yen)(Thousands of policies)

New policy amount

Number of new policies

+9.0%

5

517

524
3.80

Annualized premiums from new policies

582

Of which, third-sector products
600

534

70

4.04
4

(Billions of yen)

68.7
65.5

63.4

500

3.87

+11.5%

61.6

60

+4.5%

3.42

400 50

3
300

40

30

2
200

20
1

100

10

0

0
FY06

FY07

FY08

FY09

Line item amounts are truncated below ¥10 billion; numbers of policies aretruncated below 1,000 policies; percentage change figures are rounded.

14.4

13.3

13.4 +21.0%

FY06

FY07

FY08

16.2

0
FY09

Line item amounts are truncated below ¥100 million; percentage figures are rounded.

7(Left-hand graph)
New policy amount for the total of individual life insurance and individual
annuities increased 4.5% from the previous fiscal year, to ¥4.04 trillion. Although
new policy amount for the first half of this fiscal year was lower year on year, it
recovered and eventually turned to be higher than the figure a year earlier, owing
to an increase in sales resulting from the launch of the new product in November
2009. It was a discount rider to offer more reasonably priced premiums of family
income insurance for nonsmokers and other people in excellent health. The
number of new policies increased 9.0% year on year, to 582 thousand policies.
(Right-hand graph)
Annualized premiums from new policies increased 11.5%, to ¥68.7 billion, owing
mainly to favorable sales of cancer hospitalization insurance, which commenced
sales in April 2009. Of this amount, the figure for third-sector products was ¥16.2
billion, up 21.0% year on year, owing mainly to favorable sales of cancer
hospitalization insurance and living benefit insurance.

7

Sony Life Operating Performance (2)Policy Amount in Force

Annualized Premiums from Insurance in Force(Individual Life Insurance + Individual Annuities)(Individual Life Insurance + Individual Annuities)(Trillions of yen)(Billions of yen)

(Millions of policies)

Annualized premiums from insurance in force
Of which, third sector

Policy amount in force
Number of policies in force

45

+6.4%

5.01

30

4.14
30.2

32.5

117.4

122.8

126.6

133.0

07.3.3108.3.31

09.3.3110.3.31

500

33.4
31.4

573.3

547.8

504.6

4.43
35

+4.6%

530.0

5.0

4.70

40

600

4.0

+2.9%

400

25

3.0

300
20
2.0

15

200

+5.0%

10
1.0

100

5
0

0.0
07.3.3108.3.31

09.3.3110.3.31

Line item amounts are truncated below ¥100 billion; numbers of policies aretruncated below 10,000 policies; percentage change figures are rounded.

0Line item amounts are truncated below ¥100 million;
percentage figures are rounded

8(Left-hand graph)
Policy amount in force for the total of individual life insurance and individual
annuities grew steadily, to ¥33.4 trillion as of March 31, 2010, up 2.9% fromMarch 31, 2009. The number of policies in force increased 6.4% year on year, to
5.01 million policies.
(Right-hand graph)
Annualized premiums from total policies as of March 31, 2010, were up 4.6%
from March 31, 2009, totaling ¥573.3 billion. Of this amount, the figure for thirdsector products was up 5.0% from March 31, 2009, to ¥133.0 billion.

8

Sony Life Operating Performance (3(3)
Lapse and Surrender Rate*

Income form Insurance Premiums（Individual Life Insurance + Individual Annuities）(Billions of yen)

（％）

10
700

9
+0.42pt

8
6.79

7
6

5.79

648.4

662.0

+5.8%

700.1

605.5

7.21

6.12

600
500
400

5
4

300

3

200

2
100

1
0

0

FY06

FY07

FY08

*Figures for lapse and surrender rates are calculated
without offsetting policies that are reinstated.

FY09

FY06

FY07

FY08

FY09

Line item amounts are truncated below ¥100 million; percentage figures are rounded.

9(Left-hand graph)
The lapse and surrender rate for the year ended March 31, 2010 rose 0.42
percentage point from the previous fiscal year, to 7.21%, reflecting the impact ofindividual customers conversion to more reasonably priced insurance products.
This included a discount rider for family income insurance launched in November
2009 for nonsmokers and other people in excellent health.
(Right-hand graph)
Income from insurance premiums increased 5.8% year on year to ¥700.1 billion,
associated with a steady increase of policy amount in force.

9

Sony Life Operating Performance (4(4)
Core Profit

Ordinary Profit(Billions of yen)(Billions of yen)

90

64.5

70
60

80.0
80
70

+147.1%+69.8%
60

50

50

38.0

40

39.2

40
30

24.3

23.5

32.4

30

20

20

14.8

10

10

0

0
FY06

FY07

FY08

FY09

FY06

FY07

FY08

FY09

Line item amounts are truncated below ¥100 million; percentage change figures are rounded.

10(Left-hand graph)Core profit rose 69.8% year on year, to ¥64.5 billion, due mainly to an increase inincome from insurance premiums and higher interest income and dividends, aswell as a decrease in provision for policy reserves for minimum guarantee forvariable life insurance.
(Right-hand graph)
Ordinary profit increased 147.1% year on year, to ¥80.0 billion as shown on theslide 5.

10

Sony Life Operating Performance (5)Average
Average Assumed
Assumed Interest
Interest Rate,
Rate,
Investment Yield
Investment
Yield forfor CoreCore Profit
Profit andandInvestment yield
yield inin General
General AccountInvestment
Account

Negative Spread
4.00%

Average assumed Interest rate

(Billions of yen)

Investment yield in general accountInvestment yield for core profit
Investment yieldin General
Account

3.00%

40

37.3
2.77%

2.54%
2.68%

2.59%
2.51%

30

26.7

2.17%

2.00%

2.17%

2.02%

21.3

1.90%
Investment Yield forCore Profit

1.73%

20

Average
AssumedInterest Rate

(46.0%)

11.5

1.31%
1.00%

1.11%

10

0
FY06

FY07

FY08

FY09

0.00%
FY06

FY07

FY08

FY09

Line item amounts are truncated below ¥100 million; percentage change figures are rounded.

11(Left-hand graph)
In line with the increase in interest and dividend income, the negative spreadnarrowed 46.0% year on year, to ¥11.5 billion.
(Right-hand graph)
The average assumed interest rate was 2.51%
Investment yield in the general account was 2.54%, andInvestment yield for core profit was 2.17%.
The significant decline in investment yield in the general account, which was
1.11% for the year ended March 31, 2009, was due to impairment losses on
securities held.

11Sony Life Operating Performance (6)Number of Lifeplanner Sales Employees(Employees)

Number of Independent Agents(Agents)

3,000

4,036

+145

4,000
3,891
3,776

2,186

3,779

2,151

2,112

2,000

2,089

(23)

3,500
1,000

0
3,000

0
07.3.3108.3.31

09.3.3110.3.3107.3.3108.3.31

09.3.3110.3.31

12(Left-hand graph)
The number of Lifeplanner sales employees as of March 31, 2010, was 4,036, up
145 from March 31, 2009.
(Right-hand graph)
The number of independent agents decreased 23 from March 31, 2009, to 2,089.

12

Sony Life Operating Performance (7(7)
Breakdown of General Account Assets (based on the real status)
09.3.31<Asset management review>

10.3.31(Billions of yen)Amount％Amount％2,655.0

75.1%

3,310.4

84.6%

298.1

8.4%

13.2

0.3%

61.3

1.7%

72.5

1.9%

124.7

3.5%

75.2

1.9%

Policyholder loans

120.4

3.4%

127.5

3.3%

Real estate

81.7

2.3%

79.9

2.0%

58.0

1.6%

116.4

3.0%

136.1

3.9%

117.4

3.0%

3,535.7

100.0%

3,912.9

100.0％

Japanese governmentand corporate bonds(excl. CBs)
CBs
Japanese stocks
Foreign securities

Cash and call loans

Other
Total

Japanese government and corporate bonds:
Continuously accumulated ultralong-term bonds for
FY09.
↓<Lengthened
assets duration><L
08.3.31

8.7 years

09.3.3113.6 years

10.3.3117.6 years

Held-to-maturity securities as of 10.3.31 amounted to¥2,275.6 billion(58.2% of general account assets)CBs: Substantially decreased the balance of CBs.
Japanese stocks: Maintained the ratio of stock holding
at the end of March, 2009.
Amounts for individual items included in monetary trusts(Japanese government and corporate bonds, CBs, Japanesestocks and other) have been broken down into their original
investment categories.
* The breakdowns shown at left are different from those shownin Chapter 2, “Status of Investment of Assets (General
Account Assets)” on page 3 of the “Summary Information on
Sony Life’s Financial Results for the year Ended March 31,
2010,” announced by Sony Life.

13

Here is a breakdown of Sony Life’s general account assets as of March 31, 2010,
compared with March 31, 2009.
Amounts for individual items included in monetary trusts (Japanese government
bonds and corporate bonds, CBs, Japanese stocks and other) have been broken
down into their original investment categories, aiming at showing the portfolio
breakdown based on the real status.
As Sony Life increased its investment in ultralong-term bonds, mainly Japanese
government and corporate bonds, that ratio rose year on year to 84.6%, while theratios of holding Japanese stocks and CBs were unchanged and lower
respectively.
As a result of lengthening assets duration, it became 17.6 years as of March 31,
2010.
.

13

Sony Life Operating Performance (8(8)
Solvency Margin Ratio

Adjusted Net Assets（％）(Billions of yen)

700

3,000

645.5

2,637.3
2,500

1,852.0<583.8><505.9>

563.4

532.6

2,060.5
2,000

612.0
600

+576.8ｐｔ

+5.8%

500

1,747.9
400

1,500
300
1,000
200
500

100

0

0
07.3.3108.3.31

09.3.3110.3.3107.3.3108.3.31

09.3.3110.3.31※Amount in <> excludes unrealized gains/losses on held-to-maturity securities
and on policy reserve matching bonds.
Line item amounts are truncated below ¥100 million; percentage change figures are rounded.

14(Lest-hand graph)
As of March 31, 2010 , Sony Life’s solvency margin ratio was 2,637.3%, up
576.8 percentage points from March 31, 2009, due mainly to higher profit, an
increase in net unrealized gains on other securities, net of taxes and a reduction in
equity assets to reduce asset management risks.
(Right-hand graph)
Adjusted net assets increased from March 31, 2009, despite a decrease accounted
for due to a significant decline in impairment losses on securities held for theprevious fiscal year.
Sony Life will continue to work on maintaining its financial soundness.

14

Highlights of Operating Performance:
Sony Assurance(Billions of yen)

Ordinary profit

Ordinary revenues(Billions of yen)

+10.2%

61.8

Ordinary revenues+17.8%

2.1
FY08

FY08

FY09

Change

68.1

2.5
FY09

Sony AssuranceOrdinary revenues and ordinary profit increased,
year on year.
Ordinary revenues amounted to ¥68.1 billion, up
10.2% year on year. Net premiums written increased,
owing to an increase in the number of policies inforce for mainstay automobile insurance.
Ordinary profit amounted to ¥2.5 billion, up 17.8%
year on year, due mainly to the increase in ordinary
revenues and a decline in the net expense ratio.

61.8

68.1

+6.2

Underwriting income+10.2%

61.1

Investment income

0.7

67.4

+6.3

+10.4%

0.6(0.0)

Ordinary expenses(5.0%)

59.7

65.6

+5.9

+9.9%

Underwriting expenses

44.2

49.1

+4.9

+11.3%

Investment expenses

0.1

0.0

(0.1)

(92.6%)

Operating, general andadministrative expenses

15.3

16.3

+1.0

+7.1%

Ordinary profit

2.1

2.5

+0.3

+17.8%Net income (loss)

(1.5)

1.6

+3.1

－

(Billions of yen)

09.3.3110.3.31

Underwriting reserves

50.7

58.1

+7.3

+14.4%

Total net assets

13.6

15.4

+1.8

+13.2%

(0.1)

0.0

+0.1

－

86.6

98.3

+11.6

+13.4%Net unrealized gains/losses onother securities (net of taxes)

Total assets

Change from 09.3.31

Line item amounts are truncated below ¥100 million; percentage change figures are rounded.

15

Sony Assurance posted a 10.2% increase in ordinary revenues compared with theprevious fiscal year, to ¥68.1 billion, due to increased net premiums written, as
the number of insurance policies in force grew for strong sales of new policies in
its mainstay automobile insurance.
Ordinary profit increased 17.8% year on year, to ¥2.5 billion, owing mainly tothe increase in net premiums written and a decline in the net expense ratio,
despite a higher net loss ratio.
Net income amounted to ¥1.6 billion, compared with a net loss of ¥1.5 billion in
the previous term, due mainly to a substantial decrease in extraordinary losses
including losses on disposal of fixed assets.

15

Overview of Performance:
Sony Assurance(Billions of yen)

FY09

FY08

ChangeDirect premiums written

60.8

67.0

+10.2%Net premiums written

61.1

67.4

+10.4%Net losses paid

29.9

34.5

+15.4%

Underwriting profit

1.6

1.9

+18.9%

55.0%

57.2%

+2.2ptNet loss ratio
Net expense ratio

26.7%

26.1%

(0.6pt)Combined ratio

81.7%

83.3%

+1.6ptNet expense ratio is equal to the ratio of total underwriting costs to net premiums written.
Net loss ratio is equal to the ratio of net losses paid and loss adjustment expenses to net premiums written.

Number of policies in force
Solvency margin ratio

Change from 09.3.31

09.3.3110.3.31

1.15 million

1.27 million+0.12 million

993.0%

1,018.5%+25.5pt

Number

%+10.6%The number of policies in force is the total of automobile insurance and medical and cancer insurance, which accounts for 99% of net premiums written.
Line item amounts are truncated below ¥ 100 million; numbers of policies aretruncated below 10,000 policies; percentage change figures are rounded.

16

Here is an overview of Sony Assurance’s performance.

16

Sony Assurance’
Assurance’s Underwriting Performanceby Type of Policy
Net Premiums Written

Direct Premiums Written(Millions of yen)

FY08

(Millions of yen)

Change

FY09

379

Fire

278

（26.6%）

Fire

FY08

FY09

18

Change12(32.9%)

－

－

－

41

2

(94.2%)

Personal accident

6,653

6,941

+4.3%

Personal accident

6,932

7,168

+3.4%

Voluntary automobile

53,83559,849+11.2%

Voluntary automobile

53,61959,604+11.2%

493

651+32.0%

61,10667,440+10.4%

MarineCompulsory
automobile liability
Total

－

－

－

60,86867,069+10.2%FY08

FY09

ChangeMarineCompulsory
automobile liability
Total

Net losses paid
(Millions of yen)
Fire

0

0

+45.9%

122▲76.6%

Personal accident

1,368

1,479

+8.1%

Voluntary automobile

28,08832,555+15.9%

484

535+10.5%

29,952

34,573+15.4%

MarineCompulsory
automobile liability
Total

Line item amounts are truncated below ¥ 1 million;
Percentage change figures are rounded.

17

This slide shows direct premiums written, net premiums written and net losses
paid by type.

17

Sony Assurance Operating Performance (1)Net Premiums Written andNumber of Policies in Force(Billions of yen)

Others
Personal accident insurance
Voluntary automobile insurance
Number of policies in force

90

1.15

80
70
60
50

(Millions of policies)

50.4

1.27

5.0

1.2

67.4
61.1

55.0

1.4

(Billions of yen)

1.3

+10.6%

1.02
0.93

Ordinary Profit

1.1

4.0

1.0
+10.4%

0.9
0.8+17.8%

0.7
40

0.6

2.8

3.0

2.5

2.1

2.0
2.0

0.5

30

0.4
20

0.3

1.0

0.2

10

0.1
0.0

0
FY06

FY07

FY08

FY09

The number of policies in force is the total of automobile insurance and medical
and cancer insurance policies, which account for 99% of net premiums written.
More than 90% of personal accident insurance is medical and cancer insurance.

0.0

FY06

FY07

FY08

FY09

Line item amounts are truncated below ¥100 million; numbers of policies aretruncated below 10,000 policies; percentage change figures are rounded.

18(Left-hand graph)
Number of policies in force for the total of accident insurance such automobile
insurance and medical and cancer insurance increased steadily, rising 10.6% year
on year, to 1.27 million policies.
Net premiums written posted an 10.4% year-on-year increase, to ¥67.4 billion.
(Right-hand graph)
Ordinary profit rose 17.8% year on year, to ¥2.5 billion.

18

Sony Assurance Operating Performance (2)Reference
Combined Ratio(Net Expense Ratio + Net Loss Ratio)

Net Expense Ratio + Earned/Incurred Loss Ratio
(%)

100

Earned/incurred loss ratio
Net expense ratio(%)+1.7pt

89.9

89.0

90.2

91.9

80

80
+2.3pt

60
63.6

62.3

65.8

63.5

Net loss ratio
Net expense ratio+1.6pt83.3+2.2pt

57.2

80.3

81.7

53.5

55.0

26.3

26.7

26.7 (0.6pt) 26.1

FY06

FY07

FY08

79.9

60
53.6
40

40

20

100

20

26.3

26.7

26.7 (0.6pt) 26.1

FY06

FY07

FY08

0

0
FY09

FY09

Earned/incurred loss ratio is equal to the ratio of the sum of net losses paid, loss
adjustment expenses and accumulation in provision for reserve for outstanding
losses to earned premiums.
*Note that earthquake insurance and compulsory automobile liability

Net expense ratio is equal to the ratio of total underwriting costs to net premiums written.
Net loss ratio is equal to the ratio of net losses paid and loss adjustment expenses to
net premiums written.

insurance are excluded from the above calculation.

19(Left-hand graph)
To help you understand the actual condition of Sony Assurance, which is in a
growth phase, we show the earned/incurred loss ratio, which is the accrual-basis
loss ratio. For the year ended March 31, 2010, the earned/incurred loss ratio
increased 2.3 percentage points year on year, to 65.8%, due to an increase ininsurance claims payments resulting mainly from a rising number of car accidents.
The net expense ratio dropped 0.6 percentage point, to 26.1%, resulting from anincrease in net premiums written.
(Right-hand graph)
The net loss ratio rose 2.2 percentage points compared with the previous fiscal
year, to 57.2%. This is different from the earned/incurred loss ratio, which reflects
primarily an increase in provision for reserve for outstanding losses, influenced
mainly by higher insurance claims payments.
As a result, the combined ratio (the sum of the net loss ratio and the net expense
ratio) rose 1.6 percentage points year on year, to 83.3%.

19

Sony Assurance Operating Performance (3)Solvency Margin Ratio
（％）

1,500

1,009.7

1,073.9

1,018.5

993.0

1,000
+25.5pt

500

007.3.3108.3.31

09.3.3110.3.31

20

As of Mach 31, 2010, Sony Assurance’s solvency margin ratio was 1,018.5%, up
25.5 percentage points from March 31, 2009. These figures show that Sony
Assurance has maintained financial soundness.

20

Highlights of Operating Performance:
Sony Bank (Non(Non-Consolidated)(Billions of yen)(Billions of yen)

Ordinary revenues

33.3

Ordinary profit(8.6%)

30.5

FY08

2.9
FY09

(2.8)

(8.6%)

Gross operating profit

10.8

14.9

+4.0

+37.6%Net interest income

6.6

13.0

+6.3

+96.1%Net fees and commissions

0.3

(0.1)

(0.5)

－

Net other operating income

3.9

2.1

(1.7)

(45.6%)

10.3

11.6

+1.3

+13.3%+606.5%

Net income
Net operating profit

Sony Bank
Despite a decrease in ordinary revenues, ordinary profit increased
year on year.
Gross operating profit increased ¥4.0 billion year on year due to anincrease in net interest income.
- Net interest income increased ¥6.3 billion due mainly to a decline
in interest on deposits in the lowering of interest rates and higher
interest on loans.
- Net other operating income decreased ¥1.7 billion, mainly
because foreign exchange gains on investment in foreign
currency deposits decreased owing to the lowering interest rates,and gains from derivatives, net, which were held for hedging
purposes, turned into losses.
Net income amounted to ¥1.6 billion, from a net loss of ¥0.7 billion
in the previous fiscal year.
Customer assets increased ¥206.4 billion from March 31, 2009.

Change30.5

Ordinary profit+606.5%

FY09

33.3

General andadministrative expenses

0.4

FY08

Ordinary revenues

0.4

2.9

+2.5

(0.7)

1.6

+2.3

－

0.5

3.2

+2.6

+506.1%09.3.3110.3.31

Change from 09.3.31

Securities

823.1

880.1

+56.9

+6.9%

Loans

477.0

586.6

+109.5+23.0%

Deposits

1,326.3

1,510.0+183.6+13.8%

Customer assets

1,403.6

1,610.0+206.4+14.7%

Total net assets

46.2

58.9

+12.7

+27.5%Net unrealized gains/losses
on other securities(net of taxes)

Total assets

(9.6)

0.9

+10.5

－

1,411.9

1,612.1+200.2+14.2%

Line item amounts are truncated below ¥100 million; percentage change figures are rounded.

21

Highlights of Sony Bank’s operating performance (on a non-consolidated basis)are shown here.
Sony Bank’s ordinary revenues decreased 8.6% compared with the previous
fiscal year, to ¥30.5 billion, mainly reflecting global reductions in interest rates.
Gross operating profit increased 37.6% from the previous fiscal year, to ¥14.9
billion, owing to an increase in net interest income due mainly to a decrease ininterest expenses on deposit in the lowering of interest rates and an increase ininterest income on loans reflecting the growing balance of mortgage loans.
General and administrative expenses expanded 13.3% year on year, to ¥11.6
billion, due mainly to an increase in system-related expenses.
As a result, ordinary profit increased ¥2.5 billion, to ¥2.9 billion. Net income
amounted to ¥1.6 billion for the year ended March 31, 2010.

21

Overview of Performance:
Sony Bank (Non-Consolidated) (1)(Billions of yen)
09.3.31

Change10.3.31

Amount/Number%

Customer assets

1,403.6

1,610.0

Deposits

1,326.3

1,510.0+183.6+13.8%

Yen

1,044.2

1,184.9+140.7+13.5%

282.1

325.0

+42.9

+15.2%

77.2

100.0

+22.7

+29.4%

477.0

586.6

+109.5+23.0%

468.3

555.1

+86.7

+18.5%

8.7

31.5(＊1)+22.7+260.0%

723

796

+72

+10.0%

13.37%

12.09%(1.28 pt)

Foreign currency
Investment trusts
Loans
Mortgage loans
OthersNumber of accounts(thousands)
Capital adequacy ratio(*2)(domestic criteria)+206.4+14.7%*1 Loans in others include syndicated loans of ¥23.3 billion.
*2 Please refer to the graph of the non-consolidated capital adequacy ratio (domestic criteria) on P26.

Line item amounts are truncated below ¥100 million; numbers of accounts are truncated below 1,000 accounts; percentage change figures are rounded.

22

22

Overview of Performance:
Sony Bank (Non(Non-Consolidated) (2)■<Reference> On an Internal Control Basis
FY08
Gross operating profit
Net interest income *1 ①

FY09

Change

10.8

14.9

+4.0

+37.6%

12.1

13.7

+1.5

+12.7%Net operating profit (core profit)
Gross operating profit (core profit)
Operating expenses and other expenses

Net fees andcommissions *2 ②

1.8

0.9

(0.9)

(48.9%)Net other operating
income *3

(3.1)

0.2

+3.4

－

Gross operating profit(core profit) (A)

14.0

14.6

+0.6

+4.4%

10.3

11.7

+1.4

+13.8%

3.7

2.9

(0.8)

(21.7%)= ①＋②
Operating expenses andother expenses ③
Net operating profit(core profit)<Reference>
Net Operating Profit (Core Profit),
Operating Expenses and Other Expenses& Gross Operating Profit (Core Profit)(Billions of yen)

15

(Billions of yen)

14.6

14.0
11.7
10.3
10

= (A)－③●On an Internal Control Basis
The following adjustments are made to the figures on a financial accounting basis toaccount for profits and losses more appropriately.
*1: Net interest income: Includes profits and losses associated with fund investment
recorded in net other operating income, including gains or losses from currency
swap transactions.
*2: Net fees and commissions: Includes profits and losses for customer dealings in foreign
currency transactions recorded in net other operating income.
*3: Net other operating income: After the above adjustment (*1 and *2), consists of profits
and losses for bond and derivative dealing transactions.
●Core profit
Profits and losses exclude net other operating income, including those for bond andderivative dealing transactions, and stands for Sony Bank’s basic profits.

5

3.7(21.7%)

2.9

0
FY08

FY09

Line item amounts are truncated below ¥100 million;
percentage change figures are rounded.

23

The internal control basis is a method we use to describe profit conditions more
appropriately.
(Left-hand table)
Net interest income on an internal control basis increased ¥1.5 billion year on year, to¥13.7 billion, due to a decrease in interest expenses on deposit in the lowering ofinterest rates and an increase in interest income on loans reflecting the growing
balance of mortgage loans.
Net fees and commissions on an internal control basis, which shows a profit, primarily
adjusts gains/losses from the sale/purchase of foreign exchange with individual
customers. This amounted to ¥0.9 billion, down by ¥0.9 billion, owing primarily to a
decline in volume of foreign exchange transactions and an increase in handling fees

for the mortgage loan business.
Consequently, gross operating profit on a core profit basis, an indicator of the changes inSony Bank’s basic profitability, increased ¥0.6 billion year on year, to ¥14.6 billion. This
figure is calculated as the sum of net interest income and net fees and commissions on aninternal control basis.
(Right-hand graph)
Net operating profit on a core profit basis decreased ¥0.8 billion year on year, to ¥2.9
billion, reflecting the decrease in net fees and commissions and an increase in operating
expenses and other expenses, despite the increase in net interest income.

23

Sony Bank Operating Performance (1)<Reference> Interest Spread (Internal Control Basis)
2.50%
Interest spread
Yield on investment
Yield on financing

2.00%

1.73%
1.64%

1.50%

1.00%

0.91%

1.53%

1.50%

0.95%

0.92%

0.92%

0.90%

0.69%

0.61%

0.57%

0.59%

FY09.1Q

FY09.2Q

FY09.3Q

FY09.4Q

1.49%

0.82%
0.50%

0.00%
FY08.4Q

Notes: Interest spread = Yield on investment – Yield on financing
Yield on investment includes primarily gains or losses from currency swap transactions in net other operating income.

24

This chart shows the interest spread on an internal control basis. The yields on
investment and on financing have been dropping continuously due to a loweringof interest rate around world.
As a result, the interest spread has been stable at around 0.9%.

24Sony Bank Operating Performance (2)Customer Assets (Deposits + Investment Trusts)
and Number of Accounts
Yen deposits
Foreign currency deposits
Investment trusts
Number of accounts (thousands)(Billions of yen)Mortgage loans

Other

600

100.0

586.6

+109.5

1,610.0

610

1,600

1,400

*including syndicated loans of ¥23.3billion.

796

723

(Billions of yen)

Loans

477.0

500

31.5(*)

1,403.6

491+206.4

1,247.3

400

1,200

347.0

1,000

300

848.8
800

284.7

Deposits total:¥1,510.0 billion
200

600

400

100
200

0

0
07.3.3108.3.31

09.3.3107.3.3108.3.31
09.3.3110.3.3110.3.31
Line item amounts are truncated below ¥100 million; number of accounts are truncated below 1,000 accounts.

25(Left-hand graph)
As of March 31, 2010, customer assets (the sum of deposits and investment trusts)
were up ¥206.4 billion from March 31, 2009, to ¥1,610.0 billion.
As for the breakdown of customer assets as of March 31, 2010, deposits (the sumof Japanese and foreign currency deposits) amounted to ¥1,510.0 billion, up¥183.6 billion from March 31, 2009, reflecting a higher balance of yen time
deposits, boosted by a special campaign in December 2009, offering higher rates
for deposits made during the bonus season.
Investment trusts were ¥100.0 billion, up ¥22.7 billion from March 31, 2009.
As of March 31, 2010, the number of accounts was 796 thousand, up 72 thousandaccounts from March 31, 2009.
(Right-hand graph)
Loans expanded to ¥586.6 billion, up ¥109.5 billion, from March 31, 2009, owing
to a growing balance of mortgage loans, as well as an increase in corporate loans,especially syndicated loans commenced in October 2009, amounting to ¥23.3
billion.

25

Sony Bank Operating Performance (3)Non-Consolidated Capital Adequacy Ratio(Domestic Criteria)

Balance of Securities by Credit Ratings（％）(Billions of yen)
1,200

AAA

AA

A

BBB

BB

Other

1,000

823.1

800

+56.9

880.1

600

488.7
400

381.2

200

15
14
13
12
11
10
9
8
7
6
5
4
3
2
1
0

13.37

(1.28pt)

12.09

11.49
9.15

07.3.3108.3.31

09.3.3110.3.31

Note: During the fiscal year ended March 31, 2009, Sony Bank raised its capital by

007.3.3108.3.31

Amounts are truncated below ¥100 million.

09.3.3110.3.31¥12.0 billion by allocating its shares to Sony Financial Holdings.
* Sony Bank’s non-consolidated capital adequacy ratio was calculated based on the standard
stipulated by Article 14-2 of the Banking Law of Japan, in accordance with Financial Services
Agency of Japan (“FSA”) public ministerial announcement No. 19 of 2006. The capital
adequacy ratio as of and after March 31, 2009, newly adopted the special exception of thestandard mentioned above, in accordance with the FSA public ministerial announcement No.
79 of 2008.

26(Left-hand graph)
As of March 31, 2010, the balance of securities increased ¥56.9 billion, to ¥880.1
billion from March 31, 2009.
Sony Bank continuously invests in highly rated bonds.
(Right-hand graph)
As of March 31, 2010, Sony Bank’s non-consolidated capital adequacy ratio(domestic criteria) was 12.09%, down 1.28 percentage point from March 31, 2009.
These figures indicate that Sony Bank has maintained a sound financial basis.

26

Consolidated Financial Forecast
for the Year Ending March 31, 2011
(Billions of yen; amounts are truncated below ¥100 million; percentage changes are rounded.)
FY09

Consolidated ordinary revenues
Life insurance business

FY10.1H

FY10Change(Forecast)(Forecast)

FY10 forecast
vs FY09 actual

978.9

483.0

974.0

(0.5％)

882.0

432.1

871.3

(1.2％)

Consolidated Ordinary Revenues(Billions of yen)
1,200

Non-life insurance business

68.1

36.5

72.7

+ 6.6 ％

Banking business

30.5

14.8

30.6

+ 0.3％

1,000

84.3

41.0

74.0

(12.3％)

800

Life insurance business

79.7

39.6

69.6

(12.8％)

600

Non-life insurance business

2.5

0.7

2.2

(14.2％)

Banking business

1.9

1.2

2.8

+ 45.2%

48.1

23.0

40.0

(16.9％)

Consolidated ordinary profit

Consolidated net income

Banking business
Non-life insurance businessLife insurance business

978.9

974.0

(Forecast)
Forecast)

400
200
0

■Life insurance business
Ordinary revenues for FY10 are expected to slightly decrease, as we expect a decrease in investment income
compared with that of FY09 which reflected a recovery in the financial market conditions, though we expect anincrease in income from insurance premiums in line with the steady growth of policy amount in force. We expect
ordinary profit to decrease, due mainly to a decrease in gains on sale of securities held and an increase ininsurance claims and other payments.

■Non-life insurance business
Ordinary revenues for FY10 are expected to rise, as we expect steady business expansion, mainly in its
mainstay automobile insurance. Despite an expected increase in ordinary revenues, ordinary profit is expected todecrease due mainly to an expected rise in the loss ratio, as well as an expense ratio in line with the planned
reinforcement of the corporate system and infrastructure based on the expected expansion of its business
operations.

■Banking Business
Ordinary revenues for FY10 are expected to slightly increase, as interest income is expected to rise due toexpanding business operations, although an influence of the worldwide reductions in interest rates still remains.
Ordinary profit is expected to grow, as gross operating profit, especially net interest income, is expected to grow.

FY09

FY10

Consolidated Ordinary Profit(Billions of yen)
100
90

Banking business
Non-life insurance businessLife insurance business

84.3

80

74.0

70
60
50

(Forecast)
Forecast)

40
30
20
10
0
FY09

FY10

27

Here is our consolidated financial forecast for the fiscal year ending March 31,
2011.
Ordinary revenues for the year ending March 31, 2011, are expected to decreaseslightly year on year, stemming from an expected decrease in investment incomein the life insurance business compared with that of the previous fiscal year whichreflected a recovery in financial market conditions, although three businesses are
expected to steadily expand business operations.
We expect ordinary profit to decrease year on year, due mainly to a decrease ingains on sale of securities held and an increase in insurance claims and otherpayments in the life insurance business.

27

Preliminary Sony Life’s
Market Consistent Embedded Value

28

Preliminary Sony Life’s Market Consistent Embedded Value

28

Preliminary Sony Life’s Market Consistent
Embedded Value as of March 31, 2010□MCEV results 【Preliminary】(Billions of yen)

09.3.31
MCEV

10.3.31

Change

400.9

894.0

+493.1

Adjusted net worth

195.4

206.2

+10.8

Value of existing business

205.4

687.8

+482.4

15.4

55.6

+40.2

Of which, new business value

The rise in MCEV is because value of existing business has largely increased due to a change in the market
environment including steepening of the yield curve of interest swap rates. The reason is also regarded MCEV
as of March 31, 2010 increased compared with those as of March 31, 2009 due to steepening of the yield curveof interest swap rates. The reason of the increase in MCEV is also regarded as a substantial decrease in timevalue of options and guarantees, the MCEV subtractive component, as a result of the changes to its asset
management policy and other factors, which impact was announced in the March 15, 2010 press release,“Impact of Asset Management Policy Changes and Other Factors on Sony Life’s Market Consistent
Embedded Value”.
Please keep in mind that the validity of these calculation has not been verified by outside specialists. Sony Life’s
MCEV as of March 31, 2010 calculated in accordance with the European Insurance CFO Forum Market
Consistent Embedded Value PrinciplesⒸ（MCEV principles) is scheduled to be announced on May 28, 2010.

29

Preliminary Market Consistent Embedded Value (“MCEV”) are also provided
below as part of our efforts to disclose information to our shareholders andinvestors in a timely and appropriate manner.
Preliminary Sony Life’s Market Consistent Embedded Value as of March 31,
2010 increased ¥493.1 billion year on year, to ¥894.0 billion. Of which, newbusiness value increased ¥40.2 billion, to ¥55.6 billon.
The rise in MCEV is because value of existing business has largely increased due
to a change in the market environment including steepening of the yield curve ofinterest swap rates.
Note: Please keep in mind that the validity of these calculations has not beenverified by outside specialists. MCEV as of March 31, 2010 verified by outside
specialists, including information on sensitivity and reconciliation analysis, isscheduled to be announced at May 28, 2010.
This is end of presentation.
Thank you very mach.

29

Appendix

30

Appendix30

Sony Life: Fair value information on securities
Fair value information on securities
zFair value information on securities with market value (except trading-purpose securities)(Billions of yen)zValuation gains/losses of trading-purpose securities(Billions of yen)

09.3.31
Balancesheet
amount22.8

09.6.30

Net valuation
gains/losses
recorded inincome(4.3)

Balancesheet
amount4.7

09.9.30

Net valuation
gains/losses
recorded inincome5.3

Balancesheet
amount0.7

09.12.31

Net valuation
gains/losses
recorded inincome

5.6

Balancesheet
amount0.3

10.3.31

Net valuation
gains/losses
recorded inincome

5.6

Net valuation
gains/losses
recorded inincomeBalancesheet
amount-5.7

Notes:
1) Line item amounts are truncated below ¥100 million.
2) Amounts above include those categorized as “monetary trusts
3) As of March 31, 2010, the weighted-average fair value of convertible bonds held by Sony Life was ¥98.6. The average remaining period was 3.6 years.
(In the event that Sony Life executes put options, the average remaining period would be 1.8 years).

31(Sony Life: Fair value information on securities)

31

Sony Life’s Breakdown of Net Assets
Net Assets on BS, Adjusted Net Assets and Solvency Margin(Billions of yen)

Total shareholder's equity①Net Assets（B/S）②Adjusted Net Assets

09.3.30

09.3.3110.3.3110.3.31③Solvency Margin
09.3.3110.3.31

138.1

177.3

138.1

177.3

131.1

Net unrealized gains on other securities, net of taxes

4.0

15.4

4.0

15.4

－

170.3
－

Net unrealized gains/ losses on available-for-salesecurities

－

－

－

－

17.6

33.0

Land revaluation, net of taxes

(1.4)

(1.4)

(1.4)

(1.4)

－

－

Reserve for price fluctuations

－

－

3.6

9.6

3.6

9.6

Contingency reserve

－

－

45.4

48.4

45.4

48.4

Reserve for possible loan losses

－

－

－

－

0.0

0.0

Notes
③After estimateddistributed income
deducted③Before tax x 90%②Before taxes（after revaluation）
Net unrealized gains on real estate
－

－

6.5

2.6

4.8

1.6

Excess of the amount equivalent topolicy reserve under Zillmer method

－

－

302.2

316.5

302.2

316.5

Unallotted portion of reserve for policyholders' dividends

－

－

0.3

2.3

0.3

2.3

Future profits

－

－

－

－

－

1.0

Deferred tax assets

－

－

－

－

25.7

47.2

Net unrealized gains/ losses on held-to-maturity bonds

－

－

26.7

(20.4)－－

Deferred tax liabilities for available-for-sale securities

－

－

6.9

12.8

－

－

140.7

191.3

532.6

563.4

531.3

630.2

Total

※Adjusted net assets excluding net unrealized gains/losses on held-to-maturity securities and on policy reserve matching bonds, are¥505.9 billion as of March 31, 2009, and ¥583.8 billion as of March 31, 2010.

③Amount before tax(before revaluation)
X 85%②Before taxes

Amounts are truncated below ¥100 million.

32(Sony Life’s Breakdown of Net Assets)32

Sony Life’s Changes in Solvency Margin ratio(Billions of yen)Amounts are truncated below ¥100 million.

33(Sony Life’s changes in solvency margin ratio)

33

Recent Topics (1)AEGON SONY LIFE INSURANCE Commenced Sales
Launch of sales：December 1, 2009
Common stock：¥20 billion（including capital surplus of ¥10 billion）
Equity ownership：Sony Life insurance Co., Ltd. 50%, AEGON・international B.V. 50%
Marketing products:
1) Winning Road (Variable Individual Annuity - Guaranteed Lifetime Withdrawal Benefit (GLWB) type)2) My History (Variable Individual Annuity - Guaranteed Lifetime Withdrawal Benefit (GLWB) type)3) Victory Run (Variable Individual Annuity - Guaranteed Minimum Accumulation Benefit (GMAB) type)
Sales channels: Life Planner and Banks (The Tokyo star bank, SMBC, Minato bank, Fukushima bank) *As of May 20, 2010
Sales results: Number of policies:467, Premiums from new policies: ¥7,441 million*From December 1, 2009 to March 31, 2010

Sony Bank’s Mortgage Loans through Sony Life
Sony Life accounts for approx. 37% of the amount of
new mortgage loans.
* Sony Life started handling banking agency business in Jan. 2008.

Sony Assurance’s Auto Insurance Sold by Sony Life
Sony Life accounts for approx. 5% of new automobile policies.
* Sony Life started handling automobile insurance in May 2001.

34(Recent topics (1))

34

Recent Topics (2)<Recent Topics for FY09>
2009-4-2

Sony Life commenced sales of cancer hospitalization insurance, advanced medical treatment rider and hospitalization surgical benefits rider

2009-4-10

SFH announced a shelf registration arrangement for corporate bond issues

2009-5-11

Sony Assurance launched an overseas travel insurance policy on its websites

2009-7-1

Sony Life opened representative office in Taipei

2009-7- 1

Sony Assurance launched a Mobile GPS Service for automobile insurance policyholders

2009-8-24

Sony Bank Securities commenced offering margin trading

2009-10

Sony Bank entered syndicated loan business2009-10- 1

Sony Assurance commenced committing e-mail response within three hours (if responding between 9 am and 5 pm on weekdays)

2009-10-13

Sony Assurance launched automobile insurance sales via the Jibun Bank mobile phone website

2009-11

Sony Assurance partially revised automobile insurance and medical and cancer insurance policies, effective on February 1, 20102009-11-2

Sony Life began offering Discount Rider for Nonsmokers and Others in Excellent Health2009-12-1

Sony Life commenced sales of ASLIC's variable individual annuity products through its Lifeplanner sales channels

2009-12-7

Sony Bank and F&M tied up in conducting banking agency business for mortgage loans

2009-12-8

ASLIC's variable individual annuity product commenced to be offered at Tokyo Star Bank

2009-12-14

Sony Bank Securities commenced contract for difference (CFD) services

2010-1-18

Sony Bank commenced to offer stock trading service on its mobile phone banking service site through the financial products intermediaryservices of Sony Bank Securities

2010-1-21

Sony Life and AEGON International B.V. established a joint venture life reinsurance company and completed the license registration

2010-2-22

ASLIC’s variable individual annuity product commenced to be offered at SMBC

2010-3-31

Sony Assurance launched automobile insurance sales via Fukuoka Bank

2010-4-1

ASLIC’s variable individual annuity product commenced to be offered at Minato Bank

2010-4-12Sony Assurance launched automobile insurance sales via Bank of Yokohama

2010-4-19

ASLIC's variable individual annuity product commenced to be offered at Fukushima Bank

2010-5-1

Sony Life opened the first one-stop insurance shop, "LIPLA“

2010-5-1

Sony Assurance launched automobile insurance sales via Tama Shinkin Bank

(Note) ASLIC is an abbreviated name of AEGON Sony Life Insurance Co., Ltd.

35

(Recent topics(2))

35Contact:

Corporate Communications & Investor Relations Department
Sony Financial Holdings Inc.
TEL： +81-3-5785-1074

36(Contact)36