November 14, 2016
Sony Financial Holdings Inc.

Summary Information on Sony Bank’s Financial Results
for the Six Months Ended September 30, 2016
<Contents>
1. Consolidated Balance Sheets
2. Consolidated Statements of Income and Consolidated Statements ofComprehensive Income

P.2
P.3

(1) Consolidated Statements of Income

P.3(2) Consolidated Statements of Comprehensive Income

P.3

3. Fair Value Information (Consolidated)

P.4

4. Non-consolidated Balance Sheets

P.5

5. Non-consolidated Statements of Income

P.6

6. Supplementary Information

P.7(1) Interest spread (Non-consolidated)

P.7(2) Deposits and loans (Non-consolidated)

P.7(3) Balance of time deposits by remaining period (Non-consolidated)

P.8(4) Balance of securities by ratings (Non-consolidated)

P.8(5) Loans by Borrower Category (Non-consolidated)

P.8(6) General and Administrative Expenses (Non-consolidated)

P.9(7) Number of Executives and Employees (Non-consolidated)

P.9(8) Non-consolidated Capital Adequacy Ratio (Domestic Criteria)

P.10(9) Consolidated Capital Adequacy Ratio (Domestic Criteria)

P.101

1. Consolidated Balance Sheets
As ofMarch 31, 2016

(Millions of yen)
As ofSeptember 30, 2016

Assets:Cash and due from banks

114,21383,073884

720

Monetary trusts

23,00023,000

Securities

618,942588,973

1,344,184

1,460,692

Foreign exchanges

1,139

5,458

Other assets

31,50734,267

Tangible fixed assets

1,057

940

Intangible fixed assets

4,711

4,696

Deferred tax assets

1,681

1,354

Reserve for possible loan losses(1,035)(1,091)2,140,286

2,202,085

1,921,805

1,986,610

Borrowed money

60,00060,000Foreign exchanges

87140

78,08475,4677144191,103

1,142

Reserve for directors' retirement benefits

4148

Provision for reimbursement of deposits

5859

2,061,895

2,123,888

Common stock

31,00031,000Capital surplus

21,00021,000Retained earnings

24,41923,653

Total shareholders' equity

76,41975,653Net unrealized gains (losses) on other securities, net of taxes

3,331

3,825

Net deferred gains (losses) on hedging instruments, net of taxes(2,531)(2,497)

Remeasurements of defined benefit plans, net of taxes

(157)

(149)

Total accumulated other comprehensive income

643

1,178

Non-controlling interests

1,329

1,364

Total Net Assets

78,391

78,1962,140,286

2,202,085

Monetary claims purchased

Loans

Total Assets
Liabilities:
Deposits

Other liabilities
Reserve for employees' bonuses
Net defined benefit liability

Total Liabilities
Net Assets:

Total Liabilities and Net Assets

22. Consolidated Statements of Income and Consolidated Statements ofComprehensive Income(1) Consolidated Statements of Income
For the six months
ended September 30, 2015

(Millions of yen)
For the six months
ended September 30, 2016

Ordinary Revenues

19,02018,610Interest income

12,612

12,756(Interest income on loans)

7,192

7,785

(Interest income and dividends on securities)

5,386

4,937

Fees and commissions

3,301

3,502

Other operating income

2,865

2,225

Other ordinary income

240

125

Ordinary Expenses

15,61016,825Interest expenses

4,600

4,345

(Interest expenses on deposits)

2,405

2,518

Fees and commissions

1,806

2,544

Other operating expenses

125

78

8,913

9,712

164

143

3,409

1,784

363

Losses on disposal of fixed assets

356

Other extraordinary losses-7

Income Before Income Taxes

3,406

1,721

Income Taxes —Current

1,053

412

Income Taxes —Deferred94

129

Total Income Taxes

1,147542

Profit

2,258

1,178

16

33

2,241

1,144

For the six months
ended September 30, 2015

(Millions of yen)
For the six months
ended September 30, 2016

2,258

1,178

Net unrealized gains (losses) on other securities, net of taxes(3,263)494

Net deferred gains (losses) on hedging instruments, net of taxes

132

33

Foreign currency translation adjustment

0-Remeasurements of defined benefit plans, net of taxes

59(3,126)

536(867)

1,715(885)

1,680

1835

General and administrative expenses
Other ordinary expenses
Ordinary Profit
Extraordinary Losses

Profit Attributable to Non-controlling Interests
Profit Attributable to Owners of the Parent(2) Consolidated Statements of Comprehensive Income

ProfitOther Comprehensive Income

Total other comprehensive income
Comprehensive Income(Details)
Comprehensive income attributable to parent company
Comprehensive income attributable to non-contorolling interests33. Fair Value Information (Consolidated)(1) Fair value information on securities
i) Held-to-maturity bonds (As of September 30, 2016)(Millions of yen)Held-to-maturity bonds of which fair value exceeds
balance sheet amountJapanese government bonds
Japanese corporate bonds
Subtotal

Balance sheet amount

Fair value

Difference

7,985
245
8,231

8,152
252
8,404

166
6173

8,231

8,404

173

Held-to-maturity bonds of which fair value does not exceedbalance sheet amountJapanese government bonds
Japanese corporate bonds
SubtotalTotalii) Available-for-sale securities (As of September 30, 2016)(Millions of yen)

Available-for-sale securities of which balance sheet amountexceeds acquisition costBonds
Japanese government bonds
Japanese local government bonds
Japanese corporate bonds
OthersForeign bonds
OthersSubtotalBalance sheet
amountAcquisition cost

Difference

169,475
73,58536,73059,160311,684
307,008
4,675
481,160

158,733
66,08435,33957,308304,420
301,4143,006
463,154

10,742
7,500
1,390
1,851
7,263
5,594
1,669
18,006

4,004
4,004
96,22996,229100,303581,463

4,015
4,015
96,56896,568100,584
563,739

(11)
(11)
(269)
(269)
(281)
17,724

Available-for-sale securities of which balance sheet amountdose not exceed acquisition costBonds
Japanese government bonds
Japanese local government bonds
Japanese corporate bonds
OthersForeign bonds
OthersSubtotalTotal(2) Fair value information on monetary trustsi) Other monetary trusts (As of September 30, 2016)(Millions of yen)

Other monetary trusts

Balance sheet
amountAcquisition
cost

Difference

23,00023,000-Of which,
Of which,balance sheet amount balance sheet amount does
exceeds acquisition cost not exceed acquisition cost

Note: “Difference” consists of “Of which, balance sheet amount exceeds acquisition cost” and “Of which,balance sheet amount does not exceed acquisition cost.”

4--4. Non-consolidated Balance Sheets(Millions of yen)
As of
As of
September 30, 2015 September 30, 2016
(A)
(B)

As ofMarch 31, 2016
(C)

Change(B-A)

Change(B-C)

Assets:Cash and due from banks

43,95880,69736,738Call loans

6,000

-

(6,000)

-

720

720

23,00023,000

Monetary claims purchased
Monetary trusts
Securities

110,669-(29,971)
--

884

(163)

23,000-632,226

591,024(41,202)620,993(29,969)

1,266,766

1,460,692

193,925

1,344,184

116,508

Foreign exchanges

2,083

5,458

3,375

1,139

4,319

Other assets

3,338

Loans

20,332

24,611

4,278

21,272

Tangible fixed assets

742

596

(146)

667

(70)

Intangible fixed assets

3,037

3,089

52

3,253

(164)

Deferred tax assets

1,416

1,208

(207)

1,536

(328)

Reserve for possible loan losses
Total Assets(1,219)(1,091)128(1,035)(55)

1,998,343

2,190,007

191,663

2,126,564

63,442

1,795,204

1,989,611

194,407

1,923,506

66,105

Liabilities:
Deposits
Call money

6,000-(6,000)Borrowed money

60,00060,000-Foreign exchanges

85

140

55

8753

Other liabilities--60,000-

59,772

61,8842,112

64,088(2,203)

Reserve for employees' bonuses

336

350

13645(295)Reserve for employees' retirement benefits

706

771

65

731

40

Reserve for directors' retirement benefits

15

23

8

20

3

Provision for reimbursement of deposit

3159

27

58

0

1,922,152

2,112,841

190,6892,049,136

63,705

Common stock

31,00031,000Capital surplus

21,00021,00021,000-Retained earnings

22,974

23,837863

24,627(790)

Total shareholders' equity

74,97475,837

863

76,627

(790)

3,354

3,825

471

3,331

494

(2,137)(2,497)(360)(2,531)

33

1,217

1,327

110

800

527

Total Liabilities
Net Assets:

Net unrealized gains (losses) onother securities, net of taxes
Net deferred gains (losses) on
hedging instruments, net of taxes
Total valuation and translation adjustments
Total Net Assets
Total Liabilities and Net Assets-31,000-

76,191

77,165973

77,428(262)

1,998,343

2,190,007

191,663

2,126,564

63,4425

5. Non-consolidated Statements of Income(Millions of yen)
For the six months
ended September 30,2016(B)

For the six months ended
September 30, 2015
(A)

(Reference)
For the year ended
March 31, 2016

Change(B-A)

Ordinary Revenues

17,572

16,924(648)34,892

Interest income

12,612

12,756143

25,482(Interest income on loans)

7,192

7,785

593

14,739(Interest income and dividends on securities)

5,386

4,937(448)

10,671Fees and commissions

1,853

1,816

(37)

3,842

Other operating income

2,865

2,225(640)5,189(Gains on foreign exchange transactions)

2,161

2,053(107)

4,263

240

125(114)377Ordinary Expenses

14,18815,3001,111

29,035Interest expenses

4,600

4,345

(254)

9,021

Other ordinary income(Interest expenses on deposits)

2,405

2,518

113

4,829

Fees and commissions

1,652

2,320

668

3,692

Other operating expenses
General and administrative expenses
Other ordinary expenses

125

78(46)

181

7,647

8,412

765

15,991

163

142

(20)

148

Ordinary Profit

3,383

1,623

(1,760)5,857

Income Before Income Taxes

3,383

1,623

(1,760)5,857

Income Taxes -Current

1,044

368(675)

1,920

Income Taxes -Deferred801355424

Total Income Taxes

1,124503(621)1,944

Net Income

2,259

1,120(1,139)

3,912(Reference) Non-consolidated Statements of Income for the three months ended September 30, 2016
(Millions of yen)
For the three months
ended
September 30, 2015
(A)

For the three months
ended
September 30, 2016
(B)

Change(B-A)

Ordinary Revenues

8,923

8,513(409)Interest income

6,289

6,435

146

(Interest income on loans)

3,634

3,941

306
(165)

(Interest income and dividends on securities)

2,643

2,477

Fees and commissions

1,015919(95)

Other operating income

1,486

1,088(397)(Gains on foreign exchange transactions)

1,173

1,064(108)132

69(62)

Ordinary Expenses

Other ordinary income

7,401

7,607

205

Interest expenses

2,252

2,168(84)(Interest expenses on deposits)

117

1,161

1,279

Fees and commissions

821

1,236

414

Other operating expenses

125

2(123)

4,104

4,139

34

General and administrative expenses

97

61(36)

Ordinary Profit

Other ordinary expenses

1,521906(614)

Income Before Income Taxes

1,521906(614)

Income Taxes —Current

681

356(325)

Income Taxes —Deferred(168)(77)90

Total Income Taxes

513278(234)

1,007627(379)

Net Income66. Supplementary Information(1) Interest spread (Non-consolidated)(%)
For the six months ended
September 30, 2016

For the six months ended
September 30, 2015
1.26

1.22

Yield on loans

1.17

1.11

Yield on securities

1.54

1.69

Yield on investment

①②

1.29

1.28

③

0.48

0.43

Yield on deposits

0.25

0.25

Yield on external liabilities*

0.54

0.44

0.81

0.86

Financing cost
Yield on financing

Expense ratio
Interest spread①－③0.78

0.78

Overall profit margin①－②(0.02)(0.05)

Note: External liabilities are equal to a total of call money and borrowed money.

(2) Deposits and Loans (Non-consolidated)(Millions of yen, %)For the six months ended
September 30, 2016

For the six months ended
September 30, 2015
Balanceat the end

Averagebalance

1,795,204

1,856,968

1,476,414

Ordinary deposits
Time deposits

Balanceat the end

Averagebalance

0.25

1,989,611

1,941,266

0.25

1,539,355

0.13

1,649,703

1,607,936

0.14

532,021533,584

0.01

529,949

526,182

0.00

944,375

1,005,716

0.20

1,119,538

1,081,507

0.21

Foreign currency deposits

318,790317,6120.83

339,908

333,330

0.79

Ordinary deposits

169,911

161,395

0.13

180,422

176,6280.16

Time deposits

148,879

156,217

1.55

159,455

156,677

1.51

1,266,766

1,223,701

1.17

1,460,692

1,397,321

1.11

1,154,436

1,109,572

1.21

1,362,923

1,291,158

1.08

112,329

114,1290.76

97,768106,163

1.48

Deposits
Yen deposits

Loans
Mortgage loans
Others

Yield

Yield

Note: The average balance of foreign currency deposits during the term is calculated as the average during the period of the yen
equivalent value of each day’s foreign currency deposit balance.

7(3) Balance of Time Deposits by Remaining Period (Non-consolidated)(Millions of yen)

As of September 30, 2016

As of September 30, 2015
Foreigncurrency

Total

Yen

Foreigncurrency

Total

82,650138,731265,852

104,475

370,328

501,130

33,241

534,372

439,372

33,847473,219

6 months or more, less than 1 year

211,972

23,218235,190

232,146

16,884

249,031

1 year or more, less than 2 years

19,647

6,919

26,566

40,7632,602

43,366

2 years or more, less than 3 years

9,092

2,704

11,797

7,606

1,642

9,248

3 years or more

79,294

144

79,43962,097

2

62,100

Total

877,219

148,879 1,026,098

1,047,839

Remaining period

YenLess than 3 months

56,0813 months or more, less than 6 months

159,455 1,207,295

Note: The above table does not include thrift saving deposits.

(4) Balance of Securities by Rating (Non-consolidated)(Millions of yen, %)As of September 30, 2015
Ratings

Balance

As of September 30, 2016

Composition

BalanceComposition

AAA

118,56718.8

122,76620.8

AA

172,806

27.3

171,78529.1

A

323,63251.2

275,11846.5

BBB

10,976

1.7

15,348

2.6

Unrated

6,244

1.0

6,005

1.0

Total

632,226100.0

591,024

100.0

Notes: 1. Sony bank uses the Basel III standardized approach and classifies its securities, based on rating by five rating agencies: Moody's InvestorsService, Standard & Poor's, Rating and Investment Information, Japan Credit Rating Agency and Fitch Ratings.
2. The unrated items on the above table include ￥3,955 million of investments in unrated investment trusts and ￥2,050 million ofinvestments in shares of a subsidiary.

(5) Loans by Borrower Category (Non-consolidated)(Millions of yen)
As of September 30, 2015
Category

As of September 30, 2016
AmountAmount671

688

Doubtful loans

1,002

1,057

Sub-standard loans

1,447

1,321

Normal loans

1,266,339

1,463,705

Total

1,269,461

1,466,772

Bankrupt and quasi-bankrupt loans8(6) General and Administrative Expenses (Non-consolidated)
For the six months ended
September 30, 2015
Personnel expenses
Non-personnel expenses
Depreciation and amortization
Taxes
Total

Amount
2,146
5,060
599
440
7,647%
28.1
66.2
7.8
5.7
100.0

(Millions of yen, %)For the six months ended
September 30, 2016
Amount
2,196
5,677
637
538
8,412%
26.1
67.5
7.5
6.4
100.0

(7) Number of Executives and Employees (Non-consolidated)
As of September 30, 2015
Executive management
Directors
Statutory auditors
Employees

963460(Persons)
As of September 30, 2016
1064470

Notes:1.The number of directors include one outside director and the number of statutory auditors include three nonexecutive statutory auditors.
2.The number of employees exclude temporary employees and subcontracted employees seconded to Sony Bank.

9(8) Non-consolidated Capital Adequacy Ratio (Domestic Standard)

Capital Adequacy Ratio
Total Capital
Total Required Capital

As of September 30, 2015

As of March 31, 2016

10.58
93,18935,2149.89
90,28036,485(Millions of yen, %)As of September 30, 2016
9.57
91,50938,209Note: The non-consolidated capital adequacy ratio (domestic standard) was calculated based on the standard stipulated
by Article 14-2 of the Banking Act, in accordance with FSA Notification No. 19 (2006).

(9) Consolidated Capital Adequacy Ratio (Domestic Standard)

Capital Adequacy Ratio
Total Capital
Total Required Capital

As of September 30, 2015
10.56
93,86035,549As of March 31, 2016
9.84
90,65536,823(Millions of yen, %)As of September 30, 2016
9.53
91,91338,553

Note: The consolidated capital adequacy ratio (domestic standard) was calculated based on the standard stipulated
by Article 14-2 of the Banking Act, in accordance with FSA Notification No. 19 (2006).

10