May 14, 2009
Sony Financial Holdings Inc.

Summary Information on Sony Life’s Financial Results
for the Year Ended March 31, 2009<Contents>
1. Key Performance Results
2. Policy amount in force by insurance function as of March 31, 2009
3. Example of Policyholder Dividend, based on Figures
for the Year Ended March 31, 2009
4. Investment in General Account Assets for the Fiscal Year Ended March 31, 2009
5. Balance Sheets (Non-consolidated)
6. Statements of Income (Non-consolidated)
7. Reconciliation to Core Profit and Non-consolidated Ordinary Profit
8. Loans of Borrower Category
9. Risk-Monitored Loans
10. Solvency Margin Ratio
11. Status of Separate Account Assets
12. Consolidated Summary
13. (Reference) Results for Three Months Ended March 31, 2009
14. (Reference) Holdings of Securitized Papers andOther Sub-prime Related Investments

1

P.2
P.4
P.5
P.6
P.14
P.15
P.16
P.17
P.17
P.18
P.19
P.21
P.24
P.25

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

New Policy Amount

Category

As of March 31, 2008
NumberAmount% Changefrom March
31, 2007

As of March 31, 2009
NumberAmount% Changefrom March
31, 2007% Changefrom March
31, 2008% Changefrom March
31, 2008

4,392

106.9

312,370

104.0

4,657

106.0

322,291103.2

Individual annuities

45

126.8

2,602

126.1

51

112.3

2,885

110.9

Group life insurance

－

－

9,372

103.2

－

－

10,194108.8

Group annuities

－

－

733

100.9

－

－

734

100.3

Individual life insurance

Notes:

1. Policy amounts for individual annuities are equal to the sum of annuity assets at the time annuity payments commence and policy
reserves after annuity payments commence.
2. The policy amount in force for group annuities is equal to the amount of outstanding policy reserve.
（Number: Thousand, Amount: 100 million yen)

New Policy AmountFor Year Ended March 31, 2008
AmountCategory
Number

New Policies

For Year Ended March 31, 2009
AmountIncrease from
Conversion

Number

New Policies

Increase from
Conversion

Individual life insurance

514

37,44637,446－526

38,34638,346－

Individual annuities

10

579

579

－

7

391

391

－

Group life insurance

－

59

59

－

151

151

Group annuities

－

－

－

－

－

－

Notes:

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

(2) Annualized Premiums（Million Yen, %）Policy amount in force
Category

Individual life insurance
Individual annuities

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

Change fromMarch 31,2007

As of March 31, 2008

As of March 31, 2009

Change fromMarch 31,2008

521,197104.7

538,252

103.3

8,814

123.8

9,646

109.4

530,011105.0

547,898

103.4

122,854104.6

126,662

103.1（Million Yen, %）New policies

Category

For Year Ended
March 31, 2008

YoY Change

For Year Ended
March 31, 2009

YoY Change

Individual life insurance

61,25095.4

60,10898.1

Individual annuities

2,225

166.4

1,585

71.2

63,47596.8

61,693

97.2

13,35892.3

13,443

100.6

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

Notes:

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

（Million Yen, %）(3) Major P/L Items

Category

For Year Ended
March 31, 2008

YoY Change

For Year Ended
March 31, 2009

YoY Change

Income from insurance premiums

648,406

107.1

662,011102.1

Investment income

87,493111.1

98,781

112.9

Insurance claims and other payments

241,106

109.9

274,778114.0

Investment expenses

69,895854.0

133,777

191.4

Ordinary profit

39,290263.8

32,40982.5（Million Yen, %）(4) Total assets

Category
Total assets

As of March 31, 2008

3,659,786

3

YoY Change

106.2

As of March 31, 2009

3,810,929

YoY Change

104.1

2. Policy amount in force by insurance function as of March 31, 2009
（thousand policies, 100 million yen）

Individual life
insurance

Category

Individual annuities

Group life insurance

Total

AmountNumberAmountNumberAmountNumberAmountStandard death

3,971

311,335

－

－

2,926

10,193

6,898

321,529

Accidental death871

83,043

－

－

34

32

906

83,076

Death protection
with otherconditions

265

3,560

－

－

－

－

265

3,560

685

10,955

51

2,885

0

1

737

13,841

2,182

160

－

－

73

0

2,256

161

2,182

160

－

－

－

－

2,182

160

840

71

－

－

－

－

840

71

Disability protection

532

－

－

－

76

－

609

－

Surgery protection

1,533

－

－

－

－

－

1,533

－

Death protection

NumberLiving protection
Hospitalization protection

Accidental
hospitalization
Sickness
hospitalization
Hospitalization
with otherconditions

Category
Living protection

Category
Hospitalization
protection

Asset-formation insurance,
asset-formation annuities

Group annuitieis

Total

NumberAmountNumberAmountNumberAmount

378

734

－

－

378

734

Medical protection
insurance
Number Amount0

Category
Disability protection

0

Disability insurance
NumberAmount－－Notes: 1. The number of policies for group life insurance products, group annuity products and medical
protection insurance (group type) products indicates the total number of insured parties.
2. Of the policy amount in the pure endowment insurance column, policy amount in force forindividual annuities and group life insurance (annual policies) is equal to the sum of (a) the funds
to be held at the time annuity payments are to commence for policies for which annuity payments
have not yet commenced and (b) the amount of policy reserve for policies for which payments
have commenced. For group annuities, the policy amount indicates the amount of policy reserves.
3. The policy amount in the hospitalization insurance column indicates an amount equivalent to
the number of days of hospitalization benefits.
4. For medical protection insurance, the policy amount in the hospitalization insurance column
corresponds to the figure for hospitalization due to sickness.

43. Example of Policyholder Dividend, based on Figures for the Year Ended March 31, 2009(1) Standard dividend yields for individual annuity with policyholder dividend every five years
For year ended
March 31, 2008

For year ended
March 31, 2009

2.30％

0.20％

2.20％

0.10％

2.10％

0.00％

Policies with assumed interest rates of 2.00% or less
Policies with assumed interest rates of more than
2.00% and 2.50% or less
Policies with assumed interest rates of more than
2.50%

(2) Below is an example of semi-participating endowment insurance with policyholder dividend every five years, using
figures for the fiscal year ended March 31, 2009.
Example: Semi-participating endowment insurance with policyholder dividend every five years
Entered at age 30, 10-year maturity, male, lump-sum payment, policy amount of ¥1 million

Contract Date
2-Aug-08
2-Aug-07
2-Aug-06
2-Aug-05
2-Aug-04
2-Aug-03
2-Aug-02
2-Aug-01
2-Aug-00
2-Aug-99

Assumed interest rateYears elapsed

1.50％
1.50％
1.00％
1.00％
1.00％
1.50％
1.50％
1.50％
1.90％
1.90％

Ongoing policy(yen)

1 year
2 years
3 years
4 years
5 years
6 years
7 years
8 years
9 years
10 years

29,994-

Policies ending at
maturity or deathof policyholder
(yen)
0
0
14,934
22,37829,99400575
001. The policies ending at maturity or death of policyholder column shows the amount receivable at maturity or upon death.
The number of years elapsed is the number through August 2, 2009.
2. The above-stated dividend amount is the sum of the pro-rated dividend amount (policy reserve x dividend participation
ratio) and interest through August 2, 2009 (excluding dividends already paid).
Note: dividend participation ratio = standard dividend yield - assumed interest rate(3) Dividend participation ratio on group annuities
The dividend participation ratio on group annuities is zero, using figures for the year ended March 31, 2009.
Note: Dividend participation is calculated as follows.
Dividend amount = policy reserve x dividend participation ratio
Dividend participation ratio = standard dividend yield - assumed interest rate
Note that the standard dividend yield was 1.80% for the year ended March 31, 2008.

(4) For group annuities and other products, a reserve for policyholders’ dividends is accumulated in accordance witheach product’s characteristics

5

4. Investment in General Account Assets for the Year Ended March 31, 2009(1) Investment of Assets for the Year Ended March 31, 2009
1. Investment Environment
During the year ended March 31, 2009, the Japanese economic deceleration grew more pronounced. Real GDP grew at a rate of negative
1.2% during the April–June quarter, negative 0.4% in the July–September quarter and negative 3.2% in the October–December quarter.
Negative growth is also expected for the January–March quarter. During the year, personal consumption was lackluster, and the global
economic crisis prompted drastic drop-offs in capital investment and exports.
The bond market was turbulent during the period. Following a sudden drop in bond prices (rise in yields) towards mid-June,
prices began rising sharply (fell in yields) through the end of December. Against a background of recessionary fears in the U.S. economy,
coupled with inflationary concerns and interest rate rises in Japan, yields on 10-year Japanese government bonds (JGBs) climbed (pricesfell) from 1.275% on March 31, 2008, to 1.895% at one point in mid-June. Yields fell (prices increased) thereafter, fueled by concerns ofdomestic economic worsening and U.S. financial turmoil. In September, concerns about the financial system grew more pronounced as
Lehman Brothers, a major U.S. investment bank, filed under the U.S. Federal Bankruptcy Act, and AIG—a leading insurancecompany—appealed for emergency government support. Yields on 10-year JGBs consequently dropped (prices rose) to 1.355% in early
October, then shot up to 1.630% (prices fell) by mid-month, owing to liquidation sales responding to financial turmoil. By loweringinterest rates twice, in late October and mid-December, the Bank of Japan succeeded in reducing the unsecured call rate to its target of
0.1%, and the Federal Reserve Board brought U.S. interest rates down to zero for the first time in U.S. history. As this monetary easing inJapan and the United States caused interest rates to fall, in Japan yields on 10-year JGBs dropped (prices rose) to 1.155% at the end of
December. From the beginning of the year, interest rates began gradually climbing, responding to expectations of the effects of various
government stimulus packages and concerns about the issuance of large amount of JGBs. Rising in tandem, on March 31, 2009, yields on
10-year JGBs had climbed to 1.340%, up 0.065 percentage point from one year earlier.
Turning to the stock markets, the global economic crisis caused share prices to fall to new lows, below even those reachedduring the bursting of Japan’s economic bubble. The Nikkei Stock Average, which was ¥12,525.54 on March 31, 2008, rose to¥14,489.44 in June before sharply falling below ¥7,000 in late October during one day of continuous trading. Price decline spurred as aresult of the economic downturn that started in the United States and spread globally, which triggered concerns that business performance
would worsen, as well as the observation of liquidation sales by overseas funds. Barack Obama’s successful bid for the U.S. presidency inNovember sparked optimism that measures would be implemented to stem the economic crisis, encouraging the Nikkei Stock Average torecover to the ¥9,000 level, but the market remained bearish as a result of management concerns at U.S. automakers and financial
institutions, coupled with doubt about the efficacy of measures to achieve financial stabilization. In response, in early March stock prices
closed at a post-bubble low, with the Nikkei Stock Average at ¥7,054.98. Moving toward the end of the fiscal year, performance concerns
at major financial institutions abated. This factor, allied with signs of improvement in U.S. economic indicators, caused the Nikkei Stock
Average to return to ¥8,109.53 as of March 31, 2009, down ¥4,416.01 from one year earlier.
In foreign exchange markets, yen appreciation continued. In mid-August, the yen/dollar exchange rate reached into the latter
range of ¥110 to the U.S. dollar, but the U.S.-driven financial crisis inspired more widespread yen purchasing, causing the yen to
appreciate from October. By December, the yen had risen into to the lower ranges of ¥87 to the dollar, and trading continued in a bandaround ¥90 to the dollar through early February. After that point, growing concerns about the Japanese economy caused some selling offof the yen, and on March 31, 2009, the yen reached ¥98.23 to the U.S. dollar, ¥1.96 of yen’s appreciation against dollars from its
level one year earlier.
2. Investment Strategy
General account investment targets stable interest and dividend income , as well as sound investment portfolio, aiming to strike an
invesment balance between profitability and market risk. The company, investing in bonds centered on JGBs, lengthened its duration of6its investment portfolio by selling off bonds of shorter durations and acquiring bonds with longer maturities.
3. Results of Investment
As of March 31, 2009, general account assets totaled ¥3,535.7 billion, up 5.9% or 197.7 billion from March 31, 2008. Within the generalaccount, Japanese government and corporate bond investment totaled ¥2,384.4 billion (accounting for 67.4% of total general accountassets), Japanese stocks ¥50.9 billion (1.4%), Foreign government and corporate bonds ¥93.7 billion (2.7%), Monetary trusts ¥607.6
billion (17.2%), Policyholder loans ¥120.4 billion (3.4%), Real estate ¥81.7 billion (2.3%) and Cash and call loans ¥58.0 billion (1.6%).

7

(2) Composition 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
Domestic bonds
Domestic bonds
Foreign securities
Foreign bonds
Foreign stocks and other securities
Other securities
Loans
Real estat
Deffered tax assets
Other assets
Reserve for possible loan losses
Total
Foreign currency denominated assets(Million Yen, %）As of March 31, 2009
Amount％As of March 31, 2008
Amount％82,106

2.5

58,051

1.6

－

－

－

－

－

－

－

－

－
－
893,952
2,086,557
1,722,804
172,911
178,795
154,195
24,59912,046108,688
82,867－
83,898-74
3,337,997
106,361

－
－
26.8
62.5
51.6
5.2
5.4
4.6
0.7
0.4
3.3
2.5
－
2.5
-0.0
100.0
3.2

－
－
607,625
2,559,237
2,384,467
50,974
115,279
93,70921,5698,516
120,462
81,75435,43973,407-208
3,535,769
34,299

－
－
17.2
72.4
67.4
1.4
3.3
2.7
0.6
0.2
3.4
2.3
1.0
2.1
-0.0
100.0
1.0

(3) Changes of General Account Assets by Categories(Million Yen)
Category

For Year Ended March 31, 2008

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
Domestic bonds
Domestic bonds
Foreign securities
Foreign bonds
Foreign stocks and other securities
Other securities
Loans
Real estat
Deffered tax assets
Other assets
Reserve for possible loan losses
Total
Foreign currency denominated assets

8

For Year Ended March 31, 2009

-155,389-24,055

－

－

－

－

－
－
175,459
169,402
187,169-71,468
57,17753,465
3,711-3,475
11,884-4,158－17,506-5
214,699
54,874－－-286,326
472,680
661,663-121,936-63,516-60,485-3,030-3,53011,773-1,11335,439-10,491-134
197,772-72,062(4) Investment Income（Million Yen）

区分

For Year Ended
March 31, 2008

Category

Interests 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 domestic bonds
Gains on sale of domestic stocks
Gains on sale of foreign securities
Other
Gains on redemption of securities
Gains from derivatives, net
Foreign exchange gains, net
Other investment income
Total

47,913476
31,346
4,319
11,609161－
14,776324
24,023
7,959
16,043
20
－
145
－
310
0
87,493

For Year Ended
March 31, 2009
55,803
039,033
4,732
11,632
404
－
－
1,084
32,11518,321
12,409
1,384
－
807
8,937
－
32
98,781(5) Investment Expenses（Million Yen）

区分

For Year Ended
March 31, 2008

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 domestic bonds
Losses on sale of domestic stocks
Losses on sale of foreign securities
Other
Devaluation losses on securities
Devaluation losses on domestic bonds
Devaluation losses on domestic stocks
Devaluation losses on foreign securities
Other
Losses on redemption of securities
Losses from derivatives, net
Foreign exchange losses
Provision for reserve for possible loan losses
Write-off loans
Depreciation of real estate for rent
Other investment income
Total

For Year Ended
March 31, 2009
15
－
－
－
1,563
674
888
－
－
6,697
－
6,697
－
－
21
4,858
－
10
－
3,149
5,262
21,579

9

42
－
856
－
16,157316
15,725114－
31,899－30,708
1,191
－
262
－
2,614
134
－
2,932
6,664
61,564

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

Category
Cash and deposits, call loans

For Year Ended
March 31, 2008

For Year Ended
March 31, 2009

0.47

0.33

-

-

-

-

Monetary claims purchased--

Securities under proprietaryaccounts--

Monetary trusts

1.93

-0.11

Securities

2.43

0.89

Domestic bonds

1.90

1.70

Domestic stocks

6.66-14.69Foreign securities

4.33

1.37

Loans

4.25

4.14

Real estate

5.09

5.38

Total

2.17

1.11

Overseas investment

4.33

1.38

Securities repurchased underresale agreements
Pledged money for bondborrowing transaction(Notes)1. Denominator of investment yield calculation is a daily averaged carrying value, while the numerator is investment income
minus investment expenses.
2. Valuation gains for Article 112 of Insurance Law is not accounted for.
3. Foreign investment is a total of foreign currency denomineted assets and yen denominated assets.

(ii) Valuation Gains/Losses on Trading-Purpose Securities（Million Yen）

As of March 31, 2008
Category
Trading-purpose securities

Balance sheet amount

As of March 31, 2009

Net valuation gains/losses
Net valuation gains/losses
Balance sheet amount recorded in income
recorded in income-3,062

43,864

Note: The chart above includes trading-purpose securities in "monetary trusts" etc.

1022,871-4,318

(iii) Fair Value Information on Securities
a. Fair value information on secutirites with market value (except trading-purpose securities)（Million Yen）
As of March 31,2009

As of March 31,2008
Carrying value
before mark-tomarket

Category

Carrying value
Unrealized Unrealized before mark-tomarket
gains
lossesNet unrealized gains/losses
Fair value

Net unrealized gains/losses
Fair value

Unrealized Unrealized
gains
losses

Held-to-maturity securities

-

-

-

-

-

Policy reserve matching bonds

-

-

-

-

-

-

-

-

-

-

Stocks of subsidiaries and affiliatedcompanies

-

-

-

-

-

-

-

-

-

-

Available-for-sale securities

1,399,011

1,425,713

26,702

28,991

2,288

2,724,973

2,852,831

127,858

153,987

26,1291,675,529

1,699,732

24,20256,28632,083

Domestic bonds

2,379,927

2,463,423

83,49592,887

9,391

1,546,918

1,573,911

26,99351,624

24,630

Domestic stocks

152,955

203,830

50,87455,765

4,890

56,95058,371

1,421

4,510

3,088

Foreign securities

184,945

175,407-9,5382,309

11,84764,21060,569-3,641

150

3,791
3,791

184,872

175,107-9,764

2,082

11,84764,21060,569-3,641150

Stocks, etc.

72

299

226

226

-

-

-

-

-

-

Other securities

7,145

10,170

3,025

3,025

-

7,450

6,879

-570

1

572

Money claims purchased

-

-

-

-

-

-

-

-

-

-

Certificates of deposit

-

-

-

-

-

-

-

-

-

-

Others

-

-

-

-

-

-

-

-

-

-

Total

2,724,973

2,852,831

127,858

153,987

26,1293,074,540

3,125,446

50,90585,277

34,372

Domestic bonds

2,379,927

2,463,423

83,49592,8879,391

2,904,503

2,958,363

53,86080,61526,755

Domestic stocks

152,955

203,830

50,87455,765

4,890

56,95058,371

1,421

4,510

3,088

Foreign securities

184,945

175,407-9,5382,309

11,847

105,636

101,831-3,805

150

3,955

Bonds

Bonds

184,872

175,107-9,764

2,082

11,847

105,636

101,831-3,805150

3,955

Stocks, etc

72

299

226

226

-

-

-

-

-

-

Other securities

7,145

10,170

3,025

3,025

-

7,450

6,879

-570

1

572

Monetary claims purchased

-

-

-

-

-

-

-

-

-

-

Certificates of deposit

-

-

-

-

-

-

-

-

-

-

Others

-

-

-

-

-

-

-

-

-

-

Notes:

1. The above table includes assets such as certificates of deposits which are permited to be treated as equivalent to securities defined in the Financial Instruments and Exchange Law of Japan.
2. Carrying value before mark-to-market and net unrealized gains/losses on monetary trusts, including items other than trading securities, amounted to ¥557,410 million and ¥8,306 million.
3. Carrying value before mark-to-market represents the amount after deductions for depreciable costs and impairment losses, before mark-to-market.

b. Carrying value of the securities without market value(Million Yen)
Category

As of March 31, 2008

As of March 31, 2009

Held-to-maturity securities--

Unlisted foreign bonds--

Others----Stocks of subsidiaries and affiliated companies

4,047

6,047

Available-for-sale securities

22,406

24,721

Policy reserve matching bonds

Unlisted domestic stocks

4

4

Unlisted foreign stocks

573

739

Unlisted foreign bonds

1,125

-

Others

20,703

23,97726,45330,769Total

11

c. Fair Value Information consisting of those stated in the previous table-a and foreign exchange and other gains (losses) for table-b.
（Million Yen）
As of March 31, 2008
Category

Carrying value
before mark-tomarket

As of March 31, 2009

Net unrealized gains/losses

Carrying value
Unrealized Unrealized before markto-market
gains
lossesFair value

Net unrealized gains/losses
Fair value

Unrealized Unrealized
gains
losses

Held-to-maturity securities

-

-

-

-

-

Policy reserve matching bonds

-

-

-

-

-

-

-

-

-

-

4,047

4,047

-

-

-

6,047

6,047

-

-

-

Stocks of subsidiaries and affiliatedcompanies
Available-for-sale securities

1,399,011

1,425,713

26,702

28,991

2,288

2,747,379

2,877,089

129,709

156,874

27,1641,700,251

1,719,894

19,64356,761

37,117

Domestic bonds

2,379,927

2,463,423

83,49592,887

9,391

1,546,918

1,573,911

26,99351,624

24,630

Domestic stocks

152,959

203,834

50,87455,765

4,890

56,95458,376

1,421

4,510

3,088

Foreign securities

186,643

177,061-9,581

2,309

11,89164,95061,275-3,675

150

3,825
3,791

185,997

176,232-9,764

2,082

11,84764,21060,569-3,641150

Stocks, etc.

645

828

183

226

43

739

705

-33

-

33

Other securities

27,84832,769

4,920

5,911

991

31,427

26,331-5,095476

5,572

Money claims purchased

-

-

-

-

-

-

-

-

-

-

Certificates of deposit

-

-

-

-

-

-

-

-

-

-

Others

-

-

-

-

-

-

-

-

-

-

Total

2,751,427

2,881,137

129,709

156,874

27,164

3,105,310

3,151,656

46,34685,75239,406

Domestic bonds

2,379,927

2,463,423

83,49592,8879,391

2,904,503

2,958,363

53,86080,61526,755

Domestic stocks

153,959

204,834

50,87455,765

4,890

59,954

61,376

1,421

4,510

3,088

Foreign securities

189,691

180,109-9,581

2,309

11,891

109,424

105,585-3,838

150

3,988

Bonds

Bonds

185,997

176,232-9,764

2,082

11,847

105,636

101,831-3,805150

3,955

Stocks, etc

3,693

3,876

183

226

43

3,787

3,753

-33

-

33

Other securities

27,84832,769

4,920

5,911

991

31,427

26,331-5,095476

5,572

Monetary claims purchased

-

-

-

-

-

-

-

-

-

-

Certificates of deposit

-

-

-

-

-

-

-

-

-

-

Others

-

-

-

-

-

-

-

-

-

-

12

(iv) Fair Value Information on Monetary Trusts（Million Yen）
As of March 31, 2009

As of March 31, 2008
Category

Balancesheet
amountFair value

893,952

893,952

Monetary trusts

Unrealized Unrealized
gains
lossesBalancesheet
amountFair value－

607,625

607,625

Net unrealized gains/losses－－

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

Monetary Trusts for Investment（Million Yen）
As of March 31, 2008
Category

Balance sheet amount

Monetary trusts for investment

As of March 31, 2009

Net valuation
gains (losses)

63,203

Balance sheet amount-2,831

Net valuation
gains (losses)-4,41332,020

Monetary Trusts for Held-to-maturity, Policy Reserve Matching Secutirites and Others（Million Yen）
As of March 31, 2008
Category

Carrying
value before
Fair value
mark-tomarket

As of March 31, 2009

Net unrealized gains (losses)
Unrealized Unrealized
gains
lossesCarrying
value
beforemark-tomarket

Fair value

Net unrealized gains (losses)
Unrealized Unrealized
gains
lossesMonetary trusts for held-to-maturity

－

－

－

－

－

－

－

－

－

－

Monetary trusts for policy reserve matching

－

－

－

－

－

－

－

－

－

－

802,634

830,698

28,06331,9903,926

567,248575,5548,306

17,478

9,172

Other monetary trusts

13

5. Balance Sheets (Non-consolidated)(Million Yen)
As of
As of
March 31, 2008 March 31, 2009

AmountAmountAssets:Cash and deposits
Cash
Deposits

22,99919
22,97925,17415
25,158Call loans

72,30045,800893,952
2,388,932
1,425,010
35,869371,852
198,233
271,423
86,542
108,688
108,688
83,651
32,99649,787

607,625
2,819,638
2,196,830
29,190270,253
70,620189,426
63,317
120,462
120,462
82,79333,07647,498

－

337

84
783
8,095
8,045
－
49
－
144
81,09640,402845
29,724
5,336
2,183
1,288
1,316

1,179
701
12,187
12,1360
49
1
104
61,911
29,096992
11,252
3,969
13,583
1,336
1,679

－

35,439-74-208

Monetary trusts
Securities(Japanese government bonds)(Japanese municipal bonds)(Japanese corporate bonds)(Japanese stocks)(Foreign securities)(Other securities)
Loans
Policy loans
Tangible fixed assets
Land
Buildings
Leased assets
Construction in progress
Other tangible fixed assets

Intangible fixed assets
SoftwareLeased assets
Other intangible assets
Due from agencies
Due from reinsurers
Other assets
Accounts receivable
Prepaid expenses
Accrued income
Deposits
Initial margins of future markets
Suspense payments
OthersDeferred tax assets
Reserve for possible loan losses

Total Assets

As of
As of
March 31, 2008 March 31, 2009

3,659,786

3,810,929

AmountLiabilities:
Policy reserve and others
Reserve for outstanding claims
Policy reserve
Reserve for policyholders'
dividends
Due to agencies
Due to reinsurers
Other liabilities
Income taxes payable
Accounts payableaccrued expenses
Unearned revenue
Deposits received
Guarantee deposits received
Securities borrowed
Derivatives
Lease obligations
Suspense receipt
Reserve for employees' retirement
benefits
Reserve for directors' retirement benefits
Reserve for price fluctuations
Reserve for price fluctuations
Deferred tax liabilities
revaluation
Total Liabilities
Net Assets:
Common stock
Capital surplus
Capital reserve
Retained earnings
Earned reserve
Other retained earnings
Unappropriated retained earnings
Total stockholder's equity
Net unrealized gains on other securities,
net of taxes
Land revaluation, net of taxes
Total valuation andtranslation adjustments
Total Net Assets
Total Liabilities and Net Assets

14

Amount3,397,003
17,405
3,375,090

3,614,027
19,111
3,592,376

4,506

2,539

1,308
740
37,704
3,925
11,29011,754
971
361
5,803
1,812
63
－
1,721

1,216
880
36,891
9,530
6,032
11,883
883
360
6,252
－
－
388
1,560

11,324

12,72771
24,09924,0994,155
706
3,477,115

95
3,653
3,653
－
706
3,670,198

65,000865
865
35,542
7,078
28,46428,464
101,407

70,0005,865
5,865
62,325
8,478
53,84753,847138,190

82,7394,015-1,475-1,475

81,263

2,539

182,6713,659,786

140,730
3,810,929

6. Statements of Income (Non-consolidated)(Million Yen)

For year ended
March 31, 2008
Ordinary revenues
Income from insurance premiums
Insurance premiums
Ceded reinsurance commissions
Investment income

For year ended
March 31, 2009

741,250
648,406
646,976
1,430
87,493
47,913476
31,346
4,319
11,609161
14,776324
24,023
145
310
0
5,350
2,485
1,605
277
982
701,959
241,106
60,0526,350
28,457
141,8422,054
2,349
286,215
286,202

Interest income and dividends

Interest income from deposits
Interest income and devidends from securities
Interest income from loans
Rent revenue from real estate
Other interest income and dividends
Income from monetary trusts, net
Income from trading securities, net
Gains on sale of securities
Gains on redemption of securities
Gains on derivatives, net

Ordinary profit/loss

Foreign exchange gains, net
Other investment income
Other ordinary income
Payments for deferred insurance
Proceeds from deferred insurance
Reversal of reserve for outstanding claims
Other ordinary income
Ordinary expenses
Insurance claims and other paymenbts
Insurance claims
Annuity payments
Insurance benefits
Surrender payments
Other payments
Reinsurance premiums
Provision for policy reserve and others
Provision for reserve for outstanding claims
Provision for policy reserve
Interest portion of reserve for policyholders'
dividends
Investment expenses
Interest expenses
Losses on monetary trusts, net
Losses on sale of securities
Devaluation losses on securities
Losses one redemption of securities
Losses on derivatives, net
Foreign exchange losses, net
Provision for reserve for possible loan losses
Depreciation of real estate for rent and others
Other investment expenses
Losses on separate accounts, net
Operating expenses
Other ordinary expenses
Deferred annuity payments
Taxes
Depreciation
Provision for reserve for employees' retirement
benefits
Provision for reserve for directors' retirement benefits

Extraordinary gains/losses

OthersOrdinary profit
Extraordinary gains

Gains on disposal of fixed assets
Reversal of reserve for price fluctuations
Reversal of reserve for price fluctuations
Extraordinary losses
Losses from disposal of fixed assets
Impairment losses
Provision for reserve for price fluctuations
Provision for reserve for price fluctuations
Other extraordinary losses
Provision (reversal) for reserve for policyholers' dividends
Income before income taxes
Income taxes -Current
Income taxes -Deferred
Income taxes -Total
Net income

15765,910662,011
660,642
1,368
98,78155,803
039,033
4,732
11,632404
1,084
32,115
807
8,937
32
5,117
1,779
2,351
987
733,500
274,778
62,0907,111
32,898168,135
2,172
2,370
219,0311,706
217,285

13

39

69,895
15
1,563
6,697
21
4,858
10
3,149
5,262
48,31594,367
10,375
1,286
6,257
1,097

133,77742856
16,15731,899
262
2,614
134
2,932
6,664
72,212
93,928
11,983
1,898
6,226
1,836

1,696

1,995

-

24

37
39,290
0
0
3,406
63
125
3,216
3,216
3,159
32,725
4,897
9,313
18,5142
32,40920,446
20,446
20,446
97
60
20
16
-429
53,18814,087
5,317
19,40433,783

7. Reconciliation to Core Profit and Non-Consolidated Ordinary Profit(Million Yen)
For year ended
March 31, 2008
Core profitＡ

23,571

38,00529,963
5,304
324
24,023－310－
13,119
－
－
1,563
6,697
4,858
－
－

42,137－
1,084
32,115
8,937－－
63,914
12,842－
16,15731,899
－
2,614
399

Ｂ

16,844-21,776

Ａ＋Ｂ

40,416

16,228

1,662
－
－
1,662
2,787
－
2,776
10

16,315－
16,315
－
134
－
－
134

－

－

－
－

－
－

Ｃ

-1,125

16,180

Ａ＋Ｂ＋Ｃ

39,29032,409

Capital gains
Income from monetary trusts, net
Income from trading securities, net
Gains on sale of securities
Gains on derivatives, net
Foreign exchange gains, net
Other capital gains
Capital losses
Losses on monetary trusts, net
Losses on trading securities, net
Losses on sale of securities
Devaluation losses on securities
Losses on derivatives, net
Foreign exchange losses, net
Other capital losses
Net capital gains
Core profit plus net capital gains

Other one-time gains
Gains from reinsurance
Reversal of contingency reserves
Other
Other one-time losses
Losses from reinsurance
Provision for contingency reserves
Provision for reserve for specific problem loans
Provision for reserve for specific overseas receivable
assetsLoans amortization
Other
Total other one-time losses
Ordinary profit

For year ended
March 31, 2009

Notes:
1. Core profit for the fiscal year ended March 31, 2009 includes income gains of 11,986 million yen in income from monetary trusts. Other
capital losses for the fiscal year ended March 31, 2009 includes impairment losses of 399 million yen at investment fund.
2. Core profit for the year ended March 31, 2008 includes income gains of 9,471 million yen in income from monetary trusts. Other in otherone-time gains of 1,662 million yen for the year ended March 31, 2008 are the amount of reversal of policy reserves that were previously added
on for the purpose of maintaining future financial soundness with respect to certain insurance policies.

168. Loans by Borrower Category（Million Yen）

Category

As of March 31, 2008

As of March 31, 2009

Bankrupt and quasi-bankrupt loans--

Doubtful loans--

Sub-standard loans

-

-

-

-

(-)

(-)

110,662

122,600

110,662

122,600

Sub-total（% to total）

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 andresults 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 renegotiated schedule
4. Normal loans are all other loans.

9. Risk-Monitored Loans
None.

17

10. Solvency Margin Ratio（Million Yen）

Category

As of March 31, 2008

As of March 31, 2009

604,078

531,321

Net assets (less certain items)

94,407

131,190

Reserve for price fluctuaions

24,0993,653

Contingency reserve

61,80745,4910

0116,735

17,679

5,172

4,899

287,332

302,226

2,347

382

787

－

Deferred tax assets

11,38825,797

Subordinated debt－－

Deductible items－－

69,11951,571

17,98918,595

6,926

7,008

（A）

Total solvency margin

Reserve for possible loan losses
Net unrealized gains on other securities (before taxes)
multiplied by 90% if gains or 100% if losses
Net unrealized gains on real estate multiplied by 85% if gains
or 100% if losses
Excess of the amount equivalent to policy reserve underZillmer method
Unalloted portion of reserve for policyholders' dividends
Future profits（Ｂ）

Total risk
Insurance risk

R1

Third-sector insurance risk

R8

Assumed interest rate risk

R2

11,095

11,241

Asset management risk

R345,376

24,689Business management risk

R4

1,750

1,375

Minimum guarantee risk

R7

6,120

7,243

1,747.9%

2,060.5%

Solvency margin ratio
（A)
x

100

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

18

11. Status of Separate Accounts Assets(1) Balance of Separate Account Assets（Million Yen）

Category

As of March 31, 2008

As of March 31, 2009

AmountAmountIndividual variable life
insurance and individual
variable annuities
Group annuities
Total separate account321,789

275,160－-

321,789

275,160

Note: Assets relating to individual variable life insurance and individual variable annuities are jointly invested at Sony Life.

(2) Status of Individual variable life insurance and individual variable annuities (Separate Account)(i) Policy Amount in Force
1) Individual varialbe life insurance（Number: Thousand, Amount: Million Yen）

Category

As of March 31, 2008
NumberVariable life insurance（limited term type）
Variable life insurance（whole life type）
Variable life insurance（term type）
Total

As of March 31, 2009

AmountNumberAmount34

119,427

41

136,557439

5,921,840

483

6,404,908

1

61,2591

62,517475

6,102,527

526

6,603,983

Note: Amounts include the rider portion of term life insurance.

2) Individual variable annuities
Number: Thousand, Amount: Million Yen）
Category
Individual variableannuities

As of March 31, 2008
NumberAs of March 31, 2009

Amount25

137,531

Note: The figure indicated in the amount column is for annuity resources.

19

NumberAmount28

152,525

(ii) Asset composition*（Million Yen, %)Category

As of March 31, 2008
AmountAs of March 31, 2009%

Amount%Cash and deposits, call loans

13,192

4.1

12,923

4.7

Securities

302,375

94.0

260,401

94.6

Domestic bonds

109,92834.2

111,806

40.6

Domestic bonds

25,322

7.9

19,645

7.1

Foreign securities

92,62828.8

74,147

26.9

Foreign bonds

36,565

11.4

35,566

12.9

Foreign stocks and othersecurities

56,062

17.4

38,581

14.0

74,49523.2

54,801

19.9

Loans

－

－

－

－

Other

6,221

1.9

1,836

0.7

－

－

－

－

321,789100.0

275,160

100.0

Other securities

Reserve for possibls loan losses
Total(iii) Net investment gains / losses（Million Yen）
Category

For year ended March 31, 2008

For year ended March 31, 2009

Interests, dividends and income

5,251

5,854

Gains on sale of securities

6,276

1,865

817

77

Valuation gains on securities

24,78722,727

Foreign exchange gains, net

23－

Gains from derivatives, net－

85

Other investment income

0

0

4,245

3,712

Losses on redemption of securities

351

236

Devaluation losses on securities

80,24996,344Foreign exchange losses, net

－

2,298

Losses from derivatives, net

363－

Other investment expenses

261

232

Net investment gains/losses-48,315-72,212

Gains on redemption of securities

Losses on sale of securities2012. Consolidated Summary(1) Key Performance Results（Million Yen）
Category

Fiscal year ended March 31, 2008 Fiscal year ended March 31, 2009

Ordinary Revenues

741,340766,245

Ordinary Profit

39,07732,540Net Income

18,30033,915

Category

As of March 31, 2008

As of March 31, 2009

3,660,554

Total assets

3,810,470(2) Scope of Consolidation and Companies Accounted for under Equity Method
Number of consolidated subsidiaries

1

Number of non-consolidated subsidiaries accounted for under equity method0

Number of affiliated companies accounted for under equity method

121

(3) Consolidated Balance Sheets(Million Yen）
As of
March 31,
2008

As of
March 31,2009

AmountAmountAssets:As ofMarch 31,
2008

As of
March 31,2009

AmountAmount3,397,208

3,614,211

17,406

19,114

3,375,295

3,592,557

4,506

2,539

1,308

1,216

Liabilities:

Cash and deposits

24,16525,675 Policy reserve and others:

Call loans

72,30045,800

Monetary trusts

893,952

607,625

2,388,425

2,818,578

108,697

120,469

Policy reserve
Reserve for policyholder
dividends
Due to agancies
Due to reinsurers

740

880

37,75536,924

11,32912,72871

95

61,989 Reserve for price fluctuations

24,0993,653-

35,43924,099

3,653

-74

-208

4,156

0

706

706

3,477,377

3,670,417

Common stock

65,00070,000Capital surplus

865

5,865

Securities
Loans

Reserve for outstanding claims

Tangible fixed assets

83,66482,806

Intangible fixed assets

8,097

12,187 Other liabilities

Due from agencies-

1

Due from reinsurers

144

104

Other assets
Deferred tax assets
Reserve for possible loan losses

81,181

Reserve for employees' retirement
benefits
Reserve for deirectors' retirement
benefits
Reserve for price fluctuations
Deferred tax liabilities
Deferred tax liabilities on land
revaluation
Total Liabilities
Net Assets:

Total Assets

3,660,554

3,810,470

Retained earnings

35,102

61,986

Total shareholder's equity

100,967

137,851

Net unrealized gains on othersecurities, net of taxes

82,8983,925

Land revaluation, net of taxes
Foreign currency translation
adjustments
Total valuation and translation
adjustments-1,475-1,475786-248

82,2092,201

Total Net Assets

183,177

140,052

3,660,554

3,810,470

Total Libailities and Net Assets

22

(4) Consolidated Statements of Income(Million Yen)

For year ended
March 31, 2008

Ordinary profit (loss)

Ordinary revenues
Income from insurance premiums
Investment income
Interest income and dividends
Income from monetary trusts, net
Income from trading securities, net
Gains on sale of securities
Gains on redemption of securities
Gains on derivatives, net
Other investment income
Other ordinary income
Ordinary expenses
Insurance claims and other paymenbts
Insurance claims
Annuity payments
Insurance benefits
Surrender payments
Other payments
Provision for policy reserve and others
Provision for reserve for outstanding claims
Provision for policy reserve
Interest portion of reserve for policyholders'
dividends
Investment expenses
Interest expenses
Losses on monetary trusts
Losses on sale of securities
Devaluation losses on securities
Losses on redemption of securities
Losses on derivatives, net
Foreign exchange losses, net
Provision for reserve for possible loan
Depreciation of real estate for rent andothersOther investment expenses
Losses on separate accounts, net
Operating expenses
Other ordinary expenses
Ordinary profit
Extraordinary gains
Gains on sale of fixed assets
Reversal of reserve for price fluctuations
Reversal of reserve for pricefluctuations
Extraordinary losses
Losses on sale or disposal of fixed assets
Impairment losses
Provision for reserve for price fluctuations
Provision for reserve for pricefluctuations
OthersProvision for reserve for policyholers' dividends
Income before income taxes
Income taxes -Current
Income taxes -Deferred
Income taxes -Total
Net income
Extraordinary gains/losses

23

For year ended
March 31, 2009
741,340
648,505
87,484
48,17014,776324
24,068145
05,350
702,263
241,11460,0566,350
28,457
141,8454,404
286,271286,257

766,245
662,078
99,04956,041
1,084
32,145
807
8,937
33
5,117
733,704
274,793
62,102
7,111
32,898168,137
4,544
219,075
1,708
217,32713

39

69,903
15
1,563
6,697
21
4,858
7
10

133,54542856
16,15731,899
262
2,382
134

3,149

2,932

5,263
48,31594,551
10,42339,0770
0-

6,664
72,212
94,091
12,19832,54020,4471
20,446-

20,446

3,406
63
125
3,216

97
60
20
-

3,216

-

3,159
32,511
4,898
9,313
9,313
18,30016-429
53,32014,087
5,317
19,40533,915

13. Reference - Results for Three Months Ended March 31, 2009

(1) New Policy Amount（Number: Thousand, Amount: 100 million yen)

For three months
ended March 31, 2008
Number

For three months
ended March 31, 2009

AmountNumberAmountYoY Change
Individual life insurance
Individual annuities
Annualized Premiums for
New Policies(Third sector)

YoY Change

121
2

8,793
123

119
1

98.6%
61.5%

8,732
68

99.3%
55.4%

-

151
30

-

-

139
30

92.2%
101.8%(2) Major P/L Items(Million Yen, %)For three months
ended March 31, 2008

For three months
ended March 31, 2009
YoY Change

Income frominsurance premiums

168,701

172,400

102.2%

Insurance claims andother payments

61,66576,447124.0%

24

Reference (2) Holdings of Securitized Papers and Other Sub-prime Related Investments
Sony Life’s holdings of securitized papers and other sub-prime related investments as of March 31, 2009, are as follows. Sony
Life holds no sub-prime related investments.

(1) Special-purpose entities (SPEs)
Fair value
Special purpose entities （ＳＰＥｓ）
ＡＢＣＰ
ＳＩＶ
Other

－
－
－
－

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

Collateralized debt obligations (CDO)
ABSCDO
SeniorMezzanine
EquityCLO

SeniorMezzanine
EquityCBO

SeniorMezzanine
EquityOther

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

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

25

Unrealized
gains/losses－－－－(Unit: 100 million yen)
Gains/losses recorded
in income－－－－（Unit: 100 million yen）
Unrealized
Gains/losses recorded
gains/losses
in income
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
－
（Unit: 100 million yen）
Unrealized
Gains/losses
gains/losses
recorded in income
－
－
－
－
－
－
－
－
－
－
－
－

(4) Commercial mortgage-backed securities (CMBS)
Fair value
As of March 31, 2008

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

－
－
－
－
－
－

－
－
－
－
－
－

(5) Leveraged financeFair value
As of March 31, 2008

Leveraged financeCommunications
Electronics
Entertainment
Services
Other

－
－
－
－
－
－

－
－
－
－
－
－

（Unit: 100 million yen）
Unrealized
Gains/losses
gains/losses
recorded in income
－
－
－
－
－
－
－
－
－
－
－
－
（Unit: 100 million yen）
Unrealized
Gains/losses
gains/losses
recorded in income
－
－
－
－
－
－
－
－
－
－
－
－

(6) Other notes
Sony Life holds convertible bond repackage notes (fair market value of ¥19.1 billion and unrealized losses of ¥1.4 billion as ofMarch 31, 2009) and principal protected 30 year notes with Nikkei 225 index linked coupon (fair market value of ¥41.2 billion
and unrealized gains of 0.1 billion as of March 31, 2009). These amounts are included in “Net unrealized gains on other securities,(before taxes)” of Sony Life as of March 31, 2009.

26