Presentation Material

Corporate Strategy Meetingfor Fiscal Year 2012

Sony Financial Holdings Inc.
June 4, 2012

Sony Financial Holdings Inc. All Rights Reserved

Disclaimers:
This presentation material contains statements concerning the current plans, expectations, strategies and beliefs of the Sony Financial HoldingsGroup (the “SFH Group”). Any statements contained herein that pertain to future operating performance and that are not historic facts are forwardlooking statements. Forward-looking statements may include—but are not limited to—words such as “believe,” “anticipate,” “plan,” “strategy,”“expect,” “forecast,” “predict,” and “possibility” that describe future operating activities, business performance, events or conditions. Forwardlooking statements, whether spoken or written, are based on judgments made by the management of the SFH Group, based on information that iscurrently available to it. As such, these forward-looking statements are subject to various risks and uncertainties, and actual business results mayvary substantially from the 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 of any offer for sale or subscription ofor 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 inconnection with any contract or commitment whatsoever.

Sony Financial Holdings Inc. All Rights Reserved

2Key Message
SFH Group Mid-term Business Developments
Realizing a Stable Business Infrastructure,
Achieving Sustainable Growth andEntering New Business Fields
Expanding revenues for three main businesses(Targeting(Targeting annual
annual growth
growth inin consolidated
consolidated ordinary
ordinary revenues
revenues ofof 5%+
5%+ toward
toward FY2014)
FY2014)

Achieving sustainable and stable profit growth(Targeting(Targeting annual
annual growth
growth inin consolidated
consolidated ordinary
ordinary profit
profit ofof 9%+
9%+ toward
toward FY2014)
FY2014)

Realizing high financial soundness and capital efficiency(Targeting(Targeting consolidated
consolidated adjusted
adjusted ROE
ROE ofof 7.5–8.0%
7.5–8.0% in
in FY2014)
FY2014)

Sony Financial Holdings Inc. All Rights Reserved

3

FY2011 Review &FY2012 Forecast (consolidated)

Sony Financial Holdings Inc. All Rights Reserved

4

FY2011 Review / FY2012 Forecast(consolidated)
FY2011

Consolidated
Consolidated ordinary
ordinary revenues
revenues(Billions of yen)

1,002.2

1,078.0

1,115.0(Billions of yen)
Consolidated ordinary revenues

Actual

FY2012
Forecast

Change1,078.0

1,115.0+3.4%

Banking business

967.5
80.0
32.5

994.5
86.8
34.5

+2.8%
+8.4%
+6.0%

Consolidated ordinary profit

74.6

67.0

(10.2%)

Life insurance businessBanking business

68.1
2.8
3.4

61.5
2.6
3.6

(9.8%)(9.1%)+3.9%

Consolidated net income

32.8

37.0

+12.8%

Life insurance business
Non-life insurance business

Non-life insurance businessComparison with the previous year
74.6

Consolidated
Consolidated ordinary
ordinary profit
profit3.9
4.9

Capitalgains (*2)(Billions of yen)

76.8

74.6

(Billions of yen)
Earthquake
effect (*1)

67.0

67.0

500

FY2011FY2012*1:Insurance claims and other payments relating to the Great East Japan Earthquake were lower
than we had estimated as of the end of FY2010.
*2:Capital gains, net in the life insurance businessSony Financial Holdings Inc. All Rights Reserved5Sony Life

Sony Financial Holdings Inc. All Rights Reserved

6Life Insurance: Key Messagesz Increase the number of Lifeplanner sales employees with◆

Strengthen existingsales channels

outstanding consulting skills
z Reinforce independent agent channel which sales havebeen growing in response to the diverse customer needs
z Further enhance after-sales follow-up services◆

Capture high-growthmarketsz Carry on a full-scale marketing initiatives in the senior

Realize highfinancial soundnessz Achieve steady growth in MCEV and conduct risk◆

marketmanagement based on economic value

Sony Financial Holdings Inc. All Rights Reserved7Sony Life: Lifeplanner Channel
The
The number
number ofof Lifeplanner
Lifeplanner sales
sales employees
employees increased
increased during
during FY2011,
FY2011, dueduetoto thethe aggressive
aggressive recruiting
recruiting effort.
effort. Targeting
Targeting 4,400
4,400 byby thethe endend ofof FY2014
FY2014

NumberNumber ofof Lifeplanner
Lifeplanner sales
sales employees
employees(Figure at 09.3.31 as 100)（09.3.31 as 100%）
Over
Over

Strengthen
Lifeplanner recruiting activitiesz Hire sales people with outstanding

consulting skills via stringent recruiting
activities
z Appoint competent Lifeplanner sales

employees as office manager(responsible for recruiting activities).
z Implement personnel evaluation system

focusing on recruiting and training
performance

Enhance productivity
z Standardize a training program for the

newly recruitedz Get more competent Lifeplanner sales

employees participate in the training
program* The graph above includes the number of Lifeplanner sales employees (rehired on a fixed-term contract basis after retirement).

Sony Financial Holdings Inc. All Rights Reserved8Sony Life: Independent Agent Channel
PursuePursue highhigh growth
growth mainly
mainly at
at nationwide
nationwide shop-style
shop-style agentsagents andand enhanceenhancetie-upstie-ups with
with various
various types
types ofof independent
independent agentsagentsAnnualized
Annualized premiums
premiums fromfrom newnew policies
policies（Figure for FY08 as 100）

Current driver of growthz Nationwide shop-style independent agents- Capture their high-growth market which has
expanded rapidly with the nationwide development

CAGR13%z Large-scaled independent agents run by150

ex-sales experts of life insurers- Provide educational/ training programs toenhance tie-ups with core agents

Potential driver of growth100

z Insurance agents in corporate group- Build closer cooperation with them to utilize theircustomer basez Community-based shop-style

50
FY08

FY09

FY10

FY11

independent agents- Enhance a range of support services to promote
their sales of Sony life’s products

Sony Financial Holdings Inc. All Rights Reserved

9Sony Life:
Enhance After-sales Follow-up Services
Strengthen
Strengthen after-sales
after-sales follow-up
follow-up services
services byby utilizing
utilizing IT
IT
ProvideProvide customers
customers with
with high-quality
high-quality consultation
consultation services
services forfor their
their entire
entire life
life
Strengthen the current advantages

Build a new competitive edge

High-quality
consultation

Lifelong & high-quality follow-up
based on consultation

At the time of contract

After the conclusion of
the contract【The second phase (Oct.) 】【The first phase (May) 】

・Introduce a paperless
contract system
・Introduce a new
business support system

Create a customer-dedicatedwebsite to strengthen
two-way communications

Introduce a new customer management system【Second phase (Oct.) 】“Co-Creation IT project” released in FY12 as an IT platform for enhancing its
after-sales follow-up services based on consultation with its customers.

Sony Financial Holdings Inc. All Rights Reserved10Sony Life: Senior Market Initiatives
PromotePromote consulting
consulting sales
sales approach
approach based
based onon lifelife planningplanning inin thethe seniorseniormarketmarket as
as SonySony life’s
life’s second
second pillar
pillar ofof growth
growth following
following its
its primaryprimary target
target ofofchild-raisingchild-raising generation
generation
NumberNumber ofof new
new policies
policies forfor individual
individual annuities
annuities
andand nursing-carenursing-care insurance
insurance

NumberNumber ofof new
new policies
policies byby ageage(FY10)(%)

35

Child-raising
generation(Figure for FY08 as 100)

Seniorgeneration

Establish
consulting sales
approach in thesenior market＋

30

Develop products
tailored to thespecific needs ofsenior customers

25
20
15

＋

10

Further expand
sales of annuity
products via
Aegon Sony Life
Insurance

5
0
0～19

20～29 30～39

40～49 50～59

60～ (Age)Sony Financial Holdings Inc. All Rights Reserved11Sony Life: MCEV Growth and Risk Control
Achieve
Achieve stablestable MCEVMCEV growth,
growth, ensure
ensure highhigh financial
financial soundness
soundness via
via riskrisk
management
management based
based onon economic
economic value
value
Achieve stable MCEV growth
MCEV
MCEV
z Sony Life’s MCEV exceeded ¥1 trillion

reflecting its stable growth.

(Billions of yen)z Sony Life controlled an interest

rate risk, resulting in less volatile MCEV.

1,200.0
1,041.5
1,000.0

894.0

Risk management
based on economic value

913.5

800.0

z Evaluate risk amount based on economic
600.0

value via market consistent approach

551.5
The
The risk
risk
amountamount based
basedonon economic
economic
value
value (after(after tax)
tax)

400.0

200.0

Maintain high financial soundness
z Keep risk amount based on economic value

0.0
10.3.3111.3.3112.3.31

at a proper level of MCEV.

* MCEV as of 10.3.31, used swap rates and others used JGB yields as risk-free rate for calculation.

Sony Financial Holdings Inc. All Rights Reserved

12Sony Life: Mid-term Target

FY2011FY2014(As of March 31)

Policy Amount in Force(Individual Life Insurance + Individual
Annuities)¥36 trillion

CAGR
Approx.4%¥1,041.5 CAGR

MCEV•*The figure is for Sony Life only.
• JGB yields are used as risk-free rate for the

MCEV calculation.

Number of Lifeplanner
sales employees*Including the number of Lifeplanner sales
employees rehired on a fixed-term contract
basis after retirementbillion 7%-8%4,116

Approx.
300
increaseSony Financial Holdings Inc. All Rights ReservedOver¥40 trillionOver¥1.2 trillion
Over
4,400

13

Sony AssuranceSony Financial Holdings Inc. All Rights Reserved

14Non-Life Insurance: Key Messageszz Establish
Establish an
an overwhelmingly
overwhelmingly leading
leading position
position inin thethe direct
direct

Maintain growthmarket,market, andand reachreach ¥100
¥100 billion
billion inin direct
direct premiums
premiums written
written bybyfiscal2014
fiscal 2014z
z Provide
Provide high-quality
high-quality services
services throughthrough thethe customer
customer response
response

Maximize customer
satisfaction levels

serviceservice department,
department, andand increase
increase convenience
convenience via
via Web
Web andandmobilemobile applications,applications, thereby
thereby maximizing
maximizing customer
customersatisfaction
satisfactionz Address the increase in the loss ratio and improve

Improve profitability

efficiency through aggressive system investment, resulting
in higher profitability

Sony Financial Holdings Inc. All Rights Reserved15Sony Assurance: Maintain GrowthEstablish
Establish an
an overwhelmingly
overwhelmingly leading
leading position
position inin thethe direct
direct market,
market, andandexceedexceed ¥100
¥100 billion
billion inin direct
direct premiums
premiums written
written by
by fiscal
fiscal 20142014
z Maximize customer satisfaction by improving claim services quality and offering high-quality services

by customer center and increase convenience via Web and mobile applications.
z Strengthen automobile insurance products, expand medical insurance and cultivate other types of
insurance through progressive product development and in response to customer needs.
z Continue to invest proactively in marketing
DirectDirect premiums
premiums written
written by
by major
major direct
direct insuresinsures(Billions of yen)

DirectDirect premiums
premiums written
written(Billions of yen)

Over
100.0

67.1

72.8

78.3

60.9

Sony Financial Holdings Inc. All Rights Reserved16Sony Assurance: Improve Profitability
Address
Address thethe increase
increase inin thethe lossloss ratio
ratio onon automobile
automobile insurance
insurance andand invest
investaggressively
aggressively inin systems,
systems, resulting
resulting inin higher
higher profitability
profitability
Promote aggressive system investment

Address increase in loss ratio on
automobile insurancez Increase business efficiency and service quality byreconfiguring backbone systemzRevise products and review premiumsz Enhance functions of Web and mobile sites

zReinforce service network to respond toz Build backup system for disaster recovery andaccident claims

strengthen information security system

Net
Net Expense
Expense Ratio
Ratio ++
Earned/Incurred
Earned/Incurred Loss
Loss Ratio
Ratio

90.2

91.9

95.2

98.1

<PC website (sample)><Smartphone website (sample)>

94*Upcoming release of new PC and Smartphone websites

Sony Financial Holdings Inc. All Rights Reserved17Sony Assurance: Mid-term Targets

FY2011
Direct premiums
written
Net expense ratio+ E.I. loss ratio

FY2014¥78.3 CAGR
billion Approx. 9%
98.1%

Over 4pt
improvement

Over¥100 billion
94%(Total of all type of insurance)

Ordinary profit¥2.8 CAGR¥4.3

billion Over 15%

billionSony Financial Holdings Inc. All Rights Reserved18Sony Bank

Sony Financial Holdings Inc. All Rights Reserved

19

Banking: Key Messages

Increase businessvolume based onstrong customer
satisfactionz Pursue further increases in customer satisfaction
z Expand the retail balance and raise the loan-deposit ratio◆

Strengthen strategic
products

Enhance profitgenerating capacityz Remain steadfast on growth strategies centering on

mortgage loans and foreign currency deposits

z Enhance profit-generating capacity through low-cost

structure and balance sheet expansion
z Increase profit-generating capacity further by promoting
overseas businessSony Financial Holdings Inc. All Rights Reserved20Sony Bank:
Customer Satisfaction & Business Expansion
RankedRanked asas thethe 11stst forfor Nikkei’s
Nikkei’s customer
customer satisfaction
satisfaction survey
survey on
onfinancialfinancial institutions
institutions forfor five
five consecutive
consecutive years
years
Source: Nikkei’s customer satisfaction survey (for the three major metropolitan areas)

RetailRetail balancebalance

Loan-deposit
Loan-deposit ratio
ratio(Billions of yen)Over3,500.0※

2,621.1
2,419.6

Over
70%

※

2,173.4
1,880.7※As of 11.9.30

Source: Nationwide Bank Financial Statement Analysis, Japanese Bankers Association

Sony Financial Holdings Inc. All Rights Reserved21Sony Bank: Mortgage Loans
EnhanceEnhance profit-generating
profit-generating capacity
capacity with
with asset
asset expansion
expansion by
by strengthening
strengthening
mortgagemortgage loan
loan services
services

Mortgage
Mortgage balancebalance && gross
gross operating
operating profit
profitStrengthen mortgage loan services
z Enhance product competitiveness(Billions of yen)

- Increase product lineups, etc.
Over1,150.0
Around0.85%

z Strengthen tie-ups with real estateagentsz Maintain price competitivenessSony Financial Holdings Inc. All Rights Reserved22Sony Bank: Foreign Currency Deposits
Build
Build Sony
Sony Bank’s
Bank’s reputation
reputation asas aa foreignforeign currency
currency specialist
specialist byby enhancing
enhancingproduct
product andand price
price competitivenesscompetitivenessMarketMarket share
share ofof foreignforeign currency
currency deposits
deposits
Promote foreign currency deposits(Trillions of yen)z Enhance product competitiveness- Increase currency lineups, etc.
⇒Began offering Brazilian real deposits (May 2011)z Enhance price competitiveness- Lower handling charges, etc.
⇒Began offering FX transactions free of charge(April 2012)

Source: Statistics of Bank of Japan (Individual foreign currency deposit balance)

Sony Financial Holdings Inc. All Rights Reserved23Sony Bank: Profitability
Steadily
Steadily increase
increase gross
gross operating
operating profit
profit by
by growing
growing net
net interest
interest income
incomeGross
Gross operating
operating profit
profitIncrease gross operating profit(Billions of yen)

25.0

z Expand business volume(in terms of outstanding balance of
deposits and mortgages)z Keep a certain level of interest

spreadz Maintain and improve cost efficiency(expense ratio)Sony Financial Holdings Inc. All Rights Reserved24Sony Bank: Mid-term Targets

FY2011Retail balance¥2.6 CAGR(Fiscal year-end balance)

trillion Over 10%

Gross operating
profit¥18.3 CAGR

Ordinary profit

billion Over 10%¥4.0 CAGR
billion Over 25%

Sony Financial Holdings Inc. All Rights Reserved

FY2014
Over ¥3.5
trillion¥25.0billion
Over¥8.0billion

25

Enter New Business Fields

Sony Financial Holdings Inc. All Rights Reserved

26

Enter New Business Fields

Enter the Nursing Care Business
Create a fourth pillar of business in addition to
our three current major businesses
Move toward being a “Group that provides the foundations
to help customers live fulfilled and securely throughout their lives”
Target area of businessz Residence-type services (pay nursing homes)“The most highly trusted financial
services group by customers”

and visitation-type services (day services)

Entry schedule and methodz Aim to enter business in fiscal 2013

Nursing
Care
Businessz Examine entering business throughM&A or alliances

Sony Financial Holdings Inc. All Rights Reserved27Mid-term Management Targets(Consolidated)

Sony Financial Holdings Inc. All Rights Reserved28Mid-term Management Targets
Revenues and Profit (Consolidated)

FY2011FY2012(Actual)(Forecast)

FY2014*Announced in May 2012

Consolidated
ordinary
revenues¥1,078.0

Consolidated
ordinary profit
Consolidated
net income¥1,115.0 CAGR

billionbillion Over 5%¥74.6¥67.0 CAGR

billionbillion Over 9%¥32.8¥37.0 CAGR

billionbillion Over 8%Sony Financial Holdings Inc. All Rights Reserved¥1,236.0
billionOver¥80.0 billion
Over¥43.0 billion

29Mid-term Management Targets
Adjusted ROE (Consolidated)

FY2011FY201413.1%

7.5-8.0%

14.1%(1.2%)
2.9%

7.5-8.0%
10.0%-11.0%
6.0%-7.0%

Consolidated
adjusted ROE
Of which
Sony Life (non-consolidated)
Sony AssuranceSony Bank (consolidated)

Note: Calculation of consolidated adjusted ROE is as follows.
As for the calculation of MCEV for FY2011 (actual) and FY2014 (target), Sony Life uses JGB yields as risk-free rate.
Numerator
Sony Life(non-consolidated)
Sony AssuranceSony Bank(consolidated)

Denominator

Net increase in MCEV plus dividends

The average of (MCEV at previous fiscal year-end minus
dividends plus MCEV at current fiscal year-end)

Net income+ increase in provision for catastrophe
reserve (after tax)+ increase in reserve for pricefluctuations (after tax)

The average of (net assets + catastrophe reserve (after-tax)
and reserve for price fluctuations (after-tax)) as of the previous
fiscal year-end and the current fiscal year-end

Net income

The average of net assets as of the previous fiscal year-end
and the current fiscal year-end

Sony Financial Holdings Inc. All Rights Reserved30

Financial Soundness

2012.3.31 (Actual)

Sony Life(non-consolidated)

Sony
Assurance

Solvency
margin ratio

1,980.4%

Risk amountbased oneconomic
value¥551.5billionMid-term Policyz Conduct ongoing risk management

which has been incorporating possible
tightening of capital requirements basedon economic value in future.
z Sony Life ensures financial soundness

by keeping its risks within a proper levelof MCEV, which is capital based on

Solvency
margin ratio

557.8%

economic value (MCEV as of the end of
FY2011: ¥1,041.5 billion).
z In preparation for future growth ofbusiness volume and risk assets,

Sony Bank(non-consolidated)

Capitaladequacy ratio

ensure soundness which is consistent

11.58%

with levels ultimately required by BaselIII. Also consider Tier 1 and Tier 2balance from standpoint of capitalefficiency.

Sony Financial Holdings Inc. All Rights Reserved31Capital Policies and Dividends
 We will continue to meet shareholder expectations through achieving stable growth in earnings andprofits by promoting the expansion of Group companies and improving capital efficiency. At thesame time, We will work on returning profit to shareholders in a more positive manner, while
ensuring sufficient internal reserves to guarantee the soundness of Group companies and invest in
their growth.
 Our dividend policy is to basically maintain stable dividends. The policy also aims for steadyincreases in dividends in line with earnings growth over the medium to long term. Our medium-termtarget for the dividend payout ratio is 30% to 40% of Group net income.
 We will determine specific dividend amounts for each fiscal year by taking into overall considerationsuch factors as the sufficiency of capital with regard to Group company risks, investment
opportunities, performance forecasts, and legal and regulatory trends in Japan and overseas.

TrendsTrends inin total
total dividends
dividends andandthethe dividend
dividend payout
payout ratio
ratio

(%)

Increased
dividend

Note: Although dividends for fiscal 2012
have not yet been determined, It
will be set at an appropriate time in
the future based on the abovestated policy.

Sony Financial Holdings Inc. All Rights Reserved

32Key Message
SFH Group Mid-term Business Developments
Realizing a Stable Business Infrastructure,
Achieving Sustainable Growth andEntering New Business Fields
Expanding revenues for three main businesses(Targeting(Targeting annual
annual growth
growth inin consolidated
consolidated ordinary
ordinary revenues
revenues ofof 5%+
5%+ toward
toward FY2014)
FY2014)

Achieving sustainable and stable profit growth(Targeting(Targeting annual
annual growth
growth inin consolidated
consolidated ordinary
ordinary profit
profit ofof 9%+
9%+ toward
toward FY2014)
FY2014)

Realizing high financial soundness and capital efficiency(Targeting(Targeting consolidated
consolidated adjusted
adjusted ROE
ROE ofof 7.5–8.0%
7.5–8.0% in
in FY2014)
FY2014)

Sony Financial Holdings Inc. All Rights Reserved

33

End

Sony Financial Holdings Inc. All Rights Reserved

34

APPENDIX

Sony Financial Holdings Inc. All Rights Reserved35Sony Life: Number and Amount of Policies
NumberNumber andand AmountAmount ofof Policies
Policies inin Force
Force(Individual(Individual Life
Life Insurance
Insurance ++ Individual
Individual Annuities)
Annuities)
Policy amount in force

Annualized premiums from insurance in force

Number of policies in force(Millions of policies)(Trillions of yen)

5.67

+6.2%

50

40

32.5

635.4
600

5.01
5

33.4

36.0

34.7

Of which, third-sector(Billions of yen)

6

5.34
4.70

Annualized
Annualized Premiums
Premiums fromfrom Insurance
Insurance inin Force
Force(Individual(Individual Life
Life Insurance
Insurance ++ Individual
Individual Annuities)
Annuities)

604.7
547.8

573.3

+5.1 %

500

4400+3.8 %

30

3
300

20
2
10

0
2009.3.31

2010.3.31

2011.3.31

2012.3.31

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

200

1

100

0

0

126.6

133.0

140.7

2009.3.31

2010.3.31

2011.3.31+5.8% 148.9

2012.3.31

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

Sony Financial Holdings Inc. All Rights Reserved36Sony Assurance: Automobile Insurance
Auto
Auto insurance
insurance market
market && shareshare ofof direct
direct non-life
non-life insuresinsures
FY10:
FY10: 5.6%
5.6% (+0.4pt(+0.4pt YoY)
YoY)

(Billions of yen)Sony Financial Holdings Inc. All Rights Reserved37Sony Assurance: Automobile insuranceNet
Net expense
expense ratio
ratio

Combined
Combined ratio
ratio
(Net
(Net expense
expense ratio
ratio ++ net
net lossloss ratio)
ratio)

Net
Net lossloss ratio
ratioSony Financial Holdings Inc. All Rights Reserved38Sony Bank: Deposits and Loans Outstanding
Deposits
預金残高
Deposits
Yen deposits

Loans
Loans
貸出金残高
Mortgage loans

Foreign currency deposits

Others(Billions of yen)(Billions of yen)

*Including corporate loans of ¥78.7 billion.

835.5

1,762.2
1,649.1
1,510.0+113.1

85.9*

722.4

371.7

+113.1

1,326.3

586.6
477.0
749.6
1,390.5

Line item amounts are truncated below ¥100 million

Sony Financial Holdings Inc. All Rights Reserved39Sony Bank: Mortgage loans

Cost
Cost ofof credit
credit ratio
ratio

Share
Share ofof new
new loanloan amountamount(Trillions of yen)(Billions of yen)

Total of domestic banks
Sony Bank's share

1.1%

1.2%

1.2%

0.9%
14.8

14.1

13.1

13.3

FY08

FY09

FY10

FY11

Source: Statistics of Bank of Japan(Mortgage loans and other loans)Sony Financial Holdings Inc. All Rights Reserved40Sony Bank: Foreign Currency Deposits

Foreign
Foreign currency
currency deposits
deposits(excluding
foreignexchange(excluding foreign exchange fluctuation)
fluctuation)(Based on exchange rate as of 12.3.31)

Foreign
Foreign currency
currency share
share inin deposit
deposit balancebalance(As of 12.3.31)

Sony Bank(Billions of yen)Domestic Banks (retail banking)(As of March 31)

Source: Statistics of Bank of Japan(Individual foreign currency deposit balance)

Sony Financial Holdings Inc. All Rights Reserved41Sony Bank: Profitability and Efficiency

Trend
Trend ofof interest
interest spreadspreadDepositDeposit expense
expense ratio
ratio

Around0.9%※1H FY11

Sony Financial Holdings Inc. All Rights Reserved42Sony Bank:
Assumption on Interest Rates of Each Currency
Sony Bank: Assumption on interest rates of each currency* Solid lines show the assumption in Feb. 2012, while dotted lines show those set in Feb. 2011.
* Implied forward rates are used for the future assumption.

Sony Financial Holdings Inc. All Rights Reserved

43

Contact:
SFH

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

Sony Financial Holdings Inc. All Rights Reserved

44