Financial Targets of the Electronics Businesses

Sony Corporation

November 25, 2014

Financial Targets of the Electronics Businesses

(Tokyo, Japan - November 25, 2014) - Sony Corporation today announced its financial targets for the electronics businesses for the fiscal year ending March 31, 2018, as set out in the table below.

Financial targets for the fiscal year ending March 31, 2018 (Billions of Yen) Sales* 1,400～1,600

Game & Network Services Segment

Imaging Products & Solutions Segment

Home Entertainment & Sound Segment

Devices Segment

Operating income margin 5%～6% Sales* 650～700

Operating income margin 7%～9% Sales* 1,000～1,100

Operating income margin 2%～4% Sales* 1,300～1,500

Operating income margin 10%～12%

The financial targets for the Mobile Communications segment for the fiscal year ending March 31, 2018 will be announced by the end of the fiscal year ending March 31, 2015.

Forecasts for the fiscal year ending March 31, 2015, as announced on October 31, 2014 (Billions of Yen) Sales* 1,350

Mobile Communications Segment Game & Network Services Segment Imaging Products & Solutions Segment Home Entertainment & Sound Segment

Devices Segment

* Includes operating revenue and intersegment sales.

Operating income (loss) (204) Operating income (loss) margin -15.1% Sales* 1,290

Operating income 35

Operating income margin 2.7% Sales* 710

Operating income 52

Operating income margin 7.3% Sales* 1,200

Operating income 10

Operating income margin 0.8% Sales* 890

Operating income 67

Operating income margin 7.5%

Cautionary Statement

Statements made in this release with respect to Sony's current plans, estimates, strategies and beliefs and other statements that are not historical facts are forward-looking statements about the future performance of Sony. Forward-looking statements include, but are not limited to, those statements using words such as "believe," "expect," "plans," "strategy," "prospects," "forecast," "estimate," "project," "anticipate," "aim," "intend," "seek," "may," "might," "could" or "should," and words of similar meaning in connection with a discussion of future operations, financial performance, events or conditions. From time to time, oral or written forward-looking statements may also be included in other materials released to the public. These statements are based on management's assumptions, judgments and beliefs in light of the information currently available to it. Sony cautions investors that a number of important risks and uncertainties could cause actual results to differ materially from those discussed in the forward-looking statements, and therefore investors should not place undue reliance on them. Investors also should not rely on any obligation of Sony to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Sony disclaims any such obligation. Risks and uncertainties that might affect Sony include, but are not limited to:
(i) the global economic environment in which Sony operates and the economic conditions in Sony's markets, particularly levels of consumer spending;
(ii) foreign exchange rates, particularly between the yen and the U.S. dollar, the euro and other currencies in which Sony makes significant sales and incurs production costs, or in which Sony's assets and liabilities are denominated;
(iii) Sony's ability to continue to design and develop and win acceptance of, as well as achieve sufficient cost reductions for, its products and services, including televisions, game platforms and smartphones, which are offered in highly competitive markets characterized by severe price competition and continual new product and service introductions, rapid development in technology and subjective and changing consumer preferences;
(iv) Sony's ability and timing to recoup large-scale investments required for technology development and production capacity; (v) Sony's ability to implement successful business restructuring and transformation efforts under changing market conditions; (vi) Sony's ability to implement successful hardware, software, and content integration strategies for all segments excluding the
Financial Services segment, and to develop and implement successful sales and distribution strategies in light of the Internet and other technological developments;
(vii) Sony's continued ability to devote sufficient resources to research and development and, with respect to capital expenditures, to prioritize investments correctly (particularly in the electronics businesses);
(viii) Sony's ability to maintain product quality;
(ix) the effectiveness of Sony's strategies and their execution, including but not limited to the success of Sony's acquisitions, joint ventures and other strategic investments;
(x) significant volatility and disruption in the global financial markets or a ratings downgrade; (xi) Sony's ability to forecast demands, manage timely procurement and control inventories; (xii) the outcome of pending and/or future legal and/or regulatory proceedings;
(xiii) shifts in customer demand for financial services such as life insurance and Sony's ability to conduct successful asset liability management in the Financial Services segment;
(xiv) the impact of unfavorable conditions or developments (including market fluctuations or volatility) in the Japanese equity markets on the revenue and operating income of the Financial Services segment; and
(xv) risks related to catastrophic disasters or similar events.
Risks and uncertainties also include the impact of any future events with material adverse impact.

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