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Consolidated ordinary revenues increased 17.8% year on year, to ¥357.3 billion,
owing to increases in ordinary revenues from all the businesses: life insurance,non-life insurance and banking.
Consolidated ordinary profit decreased 13.8% year on year, to ¥18.9 billion. By
business segment, ordinary profit from the banking business increased, whereas
ordinary profit from the life insurance and the non-life insurance businessesdecreased.
Profit attributable to owners of the parent was down 11.9% year on year, to ¥12.8billion.

Sony Life’s ordinary revenues increased 19.7% year on year, to ¥323.9 billion.
This is mainly due to higher gains on separate accounts, benefiting from afavorable market condition in addition to an increase in income from insurance
premiums.
Ordinary profit decreased 14.4% year on year, to ¥15.1 billion, due mainly to anincrease in provision of policy reserves for minimum guarantees for variable life
insurance and an increase in insurance claims and other payment, whereas anincrease in net gains on sales of securities and higher interest and dividend
income in the general account.
Net income decreased 13.1% year on year, to ¥10.2 billion.

(Left-hand graph)
New policy amount for the total of individual life insurance and individual annuities
increased 16.6% year on year, to ¥1,324.2 billion, reflecting a record-high newpolicy amount for the first quarter.
This increase was because of higher sales of variable life insurance and family
income insurance, reflecting the efforts to strengthen sales of death protection typeproducts and benefiting from a favorable market condition.
The numberThb off new policies
li i iincreasedd 14
14.2%2% year on year to 1176
6 thousandhdpolicies.
(Right-hand graph)
Annualized premiums from new policies increased 18.2% year on year, to ¥22.3billion, due to higher sales of variable life insurance.
Of which, the figure for third-sector insurance products was up 6.5% year on year,to ¥3.9 billion.

Sony Life’s policy amount in force which reflects new policy amount and lapse andsurrender amount, is shown here.
(Left-hand graph)
Policy amount in force for the total of individual life insurance and individual
annuities increased 5.2% year on year, to ¥41.6 trillion, due to a steadyacquisitions of new policies.
The number of policies in force increased 5.6% year on year, to ¥6.78 million
policies.
li i(Right-hand graph)
Annualized premiums from insurance in force increased 5.8% year on year, to¥747.6 billion. Of which, the figure for third-sector products was up 3.5% year onyear, to ¥174.8 billion.

The lapse and surrender rate for the three months ended June 30, 2015, increased
0.06 percentage points year on year, to 1.21%.

(Left-hand graph)Income from insurance premiums increased 15.3% year on year, to ¥254.5 billion.
This increase was because of strong sales of a new product, “Lump-sum Payment
Whole Life Insurance (Non-notification type), launched in May 2015, and variable
life insurance, in addition to steady growth in policy amount in force.
(Right-hand graph)
Interest income and dividends increased 8.6% year on year, to ¥35.3 billion,
reflecting a favorable market condition and an expansion in investment assets
along with business expansion.

(Left-hand graph)Core profit was down 28.9% year on year, to ¥13.3 billion, due mainly to anincrease in provision of policy reserves for minimum guarantees for variable life
insurance reflecting its brisk sale and an increase in insurance claims and otherpayments despite an increase in positive spread.
(Right-hand graph)
Ordinary profit decreased 14.4% year on year, to ¥15.1 billion, due to the decreasein core profit despite an increase in gains on sales of securities in the generalaccount.

The number of Lifeplanner sales employees as of June 30, 2015, was 4,352, up 23
from March 31, 2015 and up 124 from June 30, 2014.
The number of Lifeplanner sales employees steadily increased, reflecting Sony
Life’s initiatives to promote skilled personnel to office managers responsible forrecruiting new Lifeplanner sales employees.

Sony Life continued to invest in ultralong-term bonds.

As of June 30, 2015, Sony Life’s non-consolidated solvency margin ratio was2,579.9%, up 24.9 percentage points from March 31, 2015, remaining at a highlevel.

Operating results of AEGON Sony Life Insurance, which sells individual variableannuities, are shown here.
New policy amount for the three months ended June 30, 2015 decreased year onyear. However, the business scale itself has been expanding, shown as steady
growth in policy amount in force.

Sony Assurance’s ordinary revenues increased 2.7% year on year, to ¥24.7 billion,
due to an increase in net premiums written primarily for its mainstay automobile
insurance.
Ordinary profit decreased 21.7% year on year, to ¥2.1 billion, due mainly to a risein the operating expenses despite the increase in ordinary revenues.
Net income decreased 19.9% year on year, to ¥1.4 billion.

(Left-hand graph)
The number of policies in force for the total of automobile insurance and medicaland cancer insurance increased 5.7% year on year, to 1.72 million policies.
Net premiums written increased 4.0% year on year, to ¥24.3 billion, due to a stablesale of automobile insurance.
(Right-hand(Righthand graph)
Ordinary profit decreased year on year as described before.
We also show you adjusted ordinary profit in addition to ordinary profit on thegraph. Adjusted ordinary profit is an profit indicator on a managerial accounting
basis. The figure is calculated by adjusting the amount of provision(reversal) for
catastrophe reserve to ordinary profit.
Adjustedjordinaryyp
profit was ¥2.8 billion.

(Left-hand graph)
The Earned/Incurred (E.I.) loss ratio was up 0.4 percentage points year on year, to58.4%, due to a decrease in reversal of reserve for outstanding losses despite
lower car accident ratio.
The net expense ratio rose 1.9 percentage points year on year, to 26.3%, due
mainly to higher advertising expenses.
Consequently, the sum of the E.I. loss ratio and the net expense ratio was up 2.3
percentage points
iyear on year, to 84
84.7%.
%(Right-hand graph)
The net loss ratio declined 1.3 percentage points year on year, to 53.4%.
This is different from the E.I. loss ratio, which reflects an increase or a decrease inprovision for reserve for outstanding losses.
Th combinedThebi d ratioti (the(th sum off theth nett losslratio
ti andd theth nett expense ratio)ti ) wasup 0.5 percentage points year on year, to 79.6%.

As of June 30, 2015, Sony Assurance’s non-consolidated solvency margin ratio
was 655.1%, up 25.5 percentage points from March 31, 2015.

Sony Bank’s consolidated ordinary revenues increased 0.4% year on year, to ¥9.3
billion and consolidated ordinary profit increased 7.3% year on year, to ¥1.8 billion.
This is because of higher revenues related to foreign currency transactions andmortgage loan business.
On a non-consolidated basis, Sony Bank’s ordinary revenues and ordinary profit
increased year on year as the same reasons as in the consolidated results.
Gross operating profit increased 1.6% year on year, to ¥5.3 billion, due to animprovement in net fees and commissions backed by higher fees on mortgageloans. Net operating profit increased 16.1% year on year, to ¥1.8 billion.

We break down gross operating profit on a managerial accounting basis tofacilitate an understanding of operational sources of revenue and profits.
(Left-hand table)
Net interest income increased 1.0% year on year, to ¥4.5 billion, led by the growing
balance of mortgage loans.
Net fees and commissions increased ¥0.3 billion year on year, to ¥0.2 billion, due
to higher fees on mortgage loans and higher gains on foreign exchangetransactions
istemmingi ffrom customers’’ active
i trading.
diConsequently, gross operating profit on a core profit basis increased ¥0.4 billion
year on year, to ¥4.8 billion, and net operating profit on a core profit basis also
increased ¥0.4 billion year on year, to ¥1.2 billion.
((Right-handggraph)
gp )The yield on investment for FY15.1Q was 1.17%.
The yield on financing for FY15.1Q was 0.27%.
Consequently, interest spread for FY15.1Q was 0.89%.

(Left-hand graph)
As of June 30, 2015, deposits (the sum of Japanese yen and foreign currencydeposits) amounted to ¥1,872.2 billion, down ¥6.0 billion from March 31, 2015. Of
which, yen deposit balance remained at the same level as of March 31, 2015, to¥1,558.9 billion, reflecting severe interest rate competitions despite an increase
due to a conversion from foreign currencies to yen.
Yen-denominated balance of foreign currency deposit amounted to ¥313.3 billion,
down ¥13.9¥13 9 billion from March 31
31, 2015
2015, due to a conversion and a transfer into
yen deposit led by yen depreciation.
(Right-hand graph)
Loan balance as of June 30, 2015 expanded to ¥1,226.0 billion, up ¥38.8 billion
from March 31, 2015, due to the growing balance of mortgage loans.

(Left-hand graph)
As of June 30, 2015, the balance of securities amounted to ¥711.9 billion, down
¥18.0 billion from March 31, 2015.
Sony Bank continuously invests in highly rated bonds.
(Right-hand graph)
As of June 30, 2015, Sony Bank’s non-consolidated capital adequacy ratio((domestic criteria)) was 10.56%,, down 0.10 percentage
pg ppoint from March 31,, 2015,,
maintaining financial soundness.

Consolidated financial forecast for FY15 is unchanged from the forecast
announced on April 30, 2015.
Consolidated ordinary profit for the three months ended June 30, 2015 was lower
than initially expected due to higher sales of variable life insurance in the life
insurance business.
However, we remains unchanged our forecast for FY15 taking into account thepotential impact of sales trends of variable insurance and market pricefluctuations from FY15.2Q onward.

Sony Life’s MCEV as of June 30, 2015 increased ¥66.0 billion from March 31,
2015, to ¥1,388.8 billion, due mainly to a rise in interest rates and an acquisition ofnew policies.
New business value as of June 30, 2015 (3M) was ¥12.5 billion, (¥50.0 billion /annualized).
New business margin as of June 30, 2015 (3M) was down 0.6 percentage points
from March 31, 2015 (12M) , due mainly to a change of product mix despite higherintereste es rates.
a es

The risk amount based on economic value as of June 30, 2015 amounted to¥761.2 billion. Within Sony Life’s risks, insurance risk and market-related risk
amounted to ¥732.8 billion and ¥300.0 billion respectively.
The risk amount based on economic value as of June 30, 2015 was up from March
31, 2015, due to a steady increase in policy amount in force.
However, the economic solvency ratio (ESR), the ratio of MCEV to the risk amountbased oon ecoeconomico c value,a ue, wasas 182%.
8 %Sony Life has maintained financial soundness.