CDP. Module: Introduction. Page: Introduction. CDP 2017 Climate Change 2017 Information Request CC0.1

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1 CDP CDP 2017 Climate Change 2017 Information Request Sony Corporation Module: Introduction Page: Introduction CC0.1 Introduction Please give a general description and introduction to your organization. Sony*1 is a leading global innovator of audio, video, communications and information technology products for both the consumer and professional markets. Offering a complete end-to-end value chain and with its electronics, music, pictures, game and online businesses, Sony is one of the world s leading digital entertainment brands. Sony recognizes the importance of preserving the natural environment that sustains all life on the earth for future generations and thereby ensuring that all humanity can attain a healthy and enriched life. In order to realize such a sustainable society, Sony strives to achieve a zero environmental footprint throughout the lifecycle of our products and business activities through our Road to Zero Environmental Plan. Our environmental plan consists of actions from four key perspectives, one of which is climate change. Sony seeks zero emissions of greenhouse gases by 2050, not only at factories and offices but also throughout product life cycles. Our ongoing efforts to reduce energy consumption at all lifecycle stages parts and materials procurement, manufacturing, distribution, product use, and take-back and recycling helps us continuously minimize our greenhouse gas emissions. *1 In this questionnaire, Sony refers to the Sony Group, while Sony Corporation refers to the parent company Sony Corporation. Sony Group companies refer to consolidated subsidiaries and joint ventures in which Sony Corporation holds a capital stake of 51% or more. They include all manufacturing sites, all nonmanufacturing sites with more than 1000 employees, and all logistic sites with more than 100 employees worldwide. CC0.2 Reporting Year

2 Please state the start and end date of the year for which you are reporting data. The current reporting year is the latest/most recent 12-month period for which data is reported. Enter the dates of this year first. We request data for more than one reporting period for some emission accounting questions. Please provide data for the three years prior to the current reporting year if you have not provided this information before, or if this is the first time you have answered a CDP information request. (This does not apply if you have been offered and selected the option of answering the shorter questionnaire). If you are going to provide additional years of data, please give the dates of those reporting periods here. Work backwards from the most recent reporting year. Please enter dates in following format: day(dd)/month(mm)/year(yyyy) (i.e. 31/01/2001). Enter Periods that will be disclosed Fri 01 Apr Fri 31 Mar 2017 CC0.3 Country list configuration Please select the countries for which you will be supplying data. If you are responding to the Electric Utilities module, this selection will be carried forward to assist you in completing your response. Select country China Japan Malaysia Rest of world Thailand United Kingdom United States of America Austria CC0.4

3 Currency selection Please select the currency in which you would like to submit your response. All financial information contained in the response should be in this currency. JPY( ) CC0.6 Modules As part of the request for information on behalf of investors, companies in the electric utility sector, companies in the automobile and auto component manufacturing sector, companies in the oil and gas sector, companies in the information and communications technology sector (ICT) and companies in the food, beverage and tobacco sector (FBT) should complete supplementary questions in addition to the core questionnaire. If you are in these sector groupings, the corresponding sector modules will not appear among the options of question CC0.6 but will automatically appear in the ORS navigation bar when you save this page. If you want to query your classification, please respond@cdp.net. If you have not been presented with a sector module that you consider would be appropriate for your company to answer, please select the module below in CC0.6. Further Information Module: Management Page: CC1. Governance CC1.1 Where is the highest level of direct responsibility for climate change within your organization? Board or individual/sub-set of the Board or other committee appointed by the Board CC1.1a Please identify the position of the individual or name of the committee with this responsibility

4 Kazuo Hirai, who is the Representative Corporate Executive Officer, President and CEO of Sony Corporation, is the highest person directly responsible of environment and climate change for the Sony Group. He is also a member of the Board and is appointed to this role by the Board. CC1.2 Do you provide incentives for the of climate change issues, including the attainment of targets? Yes CC1.2a Please provide further details on the incentives provided for the of climate change issues Who is entitled to benefit from these incentives? The type of incentives Incentivized performance indicator Comment Executive officer Monetary reward Emissions reduction project Emissions reduction target Energy reduction project Energy reduction target Efficiency project Efficiency target Other: Behaviour change related indicator Notable performance on environment and climate change issues (e.g. site activities for GHG reduction and product design that contributes to energy efficiency) and prevention of environmental incidents are reflected on the annual performance evaluation of Business Units. The amount of compensation is determined by the actual results which performance achieved the targets. Executive officer Recognition (nonmonetary) Emissions reduction project Emissions reduction target Energy reduction Notable performance on environment and climate change issues (e.g. site activities for GHG reduction and product design that contributes to energy efficiency) and prevention of environmental incidents are reflected on the annual performance evaluation of Business Units. Awards are given annually at the global levels to recognize outstanding activities in core businesses.

5 Who is entitled to benefit from these incentives? The type of incentives Incentivized performance indicator Comment project Energy reduction target Efficiency project Efficiency target Other: Behaviour change related indicator Management group Monetary reward Emissions reduction project Emissions reduction target Energy reduction project Energy reduction target Efficiency project Efficiency target Other: Behaviour change related indicator Notable performance on environment and climate change issues (e.g. site activities for GHG reduction and product design that contributes to energy efficiency) and prevention of environmental incidents are reflected on the annual performance evaluation of Business Units. The amount of compensation is determined by the actual results which performance achieved the targets. Management group Recognition (nonmonetary) Emissions reduction project Emissions reduction target Energy reduction project Energy reduction target Efficiency project Efficiency target Other: Behaviour change related indicator Notable performance on environment and climate change issues (e.g. site activities for GHG reduction and product design that contributes to energy efficiency) and prevention of environmental incidents are reflected on the annual performance evaluation of Business Units. Awards are given annually at the global levels to recognize outstanding activities in core businesses.

6 Who is entitled to benefit from these incentives? The type of incentives Incentivized performance indicator Comment Business unit managers Monetary reward Emissions reduction project Emissions reduction target Energy reduction project Energy reduction target Efficiency project Efficiency target Other: Behaviour change related indicator Notable performance on environment and climate change issues (e.g. site activities for GHG reduction and product design that contributes to energy efficiency) and prevention of environmental incidents are reflected on the annual performance evaluation of Business Units. The amount of compensation is determined by the actual results which performance achieved the targets. Business unit managers Recognition (nonmonetary) Emissions reduction project Emissions reduction target Energy reduction project Energy reduction target Efficiency project Efficiency target Other: Behaviour change related indicator Notable performance on environment and climate change issues (e.g. site activities for GHG reduction and product design that contributes to energy efficiency) and prevention of environmental incidents are reflected on the annual performance evaluation of Business Units. Awards are given annually at the global levels to recognize outstanding activities in core businesses. Other: Environment/sustainability managers Monetary reward Emissions reduction project Emissions reduction target Energy reduction project Energy reduction Notable performance on environment and climate change issues (e.g. site activities for GHG reduction and product design that contributes to energy efficiency) and prevention of environmental incidents are reflected on the annual performance evaluation of Business Units. The amount of compensation is determined by the actual results which performance achieved the targets.

7 Who is entitled to benefit from these incentives? The type of incentives Incentivized performance indicator Comment target Efficiency project Efficiency target Other: Behaviour change related indicator Other: Environment/sustainability managers Recognition (nonmonetary) Emissions reduction project Emissions reduction target Energy reduction project Energy reduction target Efficiency project Efficiency target Other: Behaviour change related indicator Notable performance on environment and climate change issues (e.g. site activities for GHG reduction and product design that contributes to energy efficiency) and prevention of environmental incidents are reflected on the annual performance evaluation of Business Units. Awards are given annually at the global levels to recognize outstanding activities in core businesses. All employees Recognition (nonmonetary) Emissions reduction project Emissions reduction target Energy reduction project Energy reduction target Efficiency project Efficiency target Other: Behaviour change related indicator Notable performance on environment and climate change issues (e.g. site activities for GHG reduction and product design that contributes to energy efficiency) and prevention of environmental incidents are reflected on the annual performance evaluation of Business Units. Awards are given annually at the global levels to recognize outstanding activities in core businesses. Board/Executive board Monetary Emissions Notable performance on environment and climate change issues (e.g. site activities for

8 Who is entitled to benefit from these incentives? The type of incentives Incentivized performance indicator Comment reward reduction project Emissions reduction target Energy reduction project Energy reduction target Efficiency project Efficiency target Other: Behaviour change related indicator GHG reduction and product design that contributes to energy efficiency) and prevention of environmental incidents are reflected on the annual performance evaluation of Business Units. The amount of compensation is determined by the actual results which performance achieved the targets. All employees Monetary reward Emissions reduction target Energy reduction project Energy reduction target Efficiency project Efficiency target Other: Behaviour change related indicator Notable performance on environment and climate change issues (e.g. site activities for GHG reduction and product design that contributes to energy efficiency) and prevention of environmental incidents are reflected on the annual performance evaluation of Business Units. The amount of compensation is determined by the actual results which performance achieved the targets. Further Information Page: CC2. Strategy CC2.1

9 Please select the option that best describes your risk procedures with regard to climate change risks and opportunities Integrated into multi-disciplinary company wide risk processes CC2.1a Please provide further details on your risk procedures with regard to climate change risks and opportunities Frequency of monitoring To whom are results reported? Geographical areas considered How far into the future are risks considered? Comment Annually Board or individual/sub-set of the Board or committee appointed by the Board Sony Group's geographical area of consideration is "worldwide " since we sell products globally and our plants and offices are located worldwide. > 6 years CC2.1b Please describe how your risk and opportunity identification processes are applied at both company and asset level i) Company level Each Sony Group business unit, subsidiary or affiliated company, and corporate division reviews and assesses business risks on a regular basis. (1)With regard to environmental risks, Quality and Environmental Department (QED), who governs the environmental activities in the entire Sony Group, assesses overall risks and opportunities for the entire Sony Group during its annual assessment of environmental aspects. Our evaluations are including climate change, and across all product lifecycle stages and business activities. (2) Regulatory risks/opportunities are assessed by QED. Through Regional Environmental Offices (REO) that are located in six regions (North America, Central and South America, Europe, Japan/East Asia, Pan Asia, China), QED collects information on regulatory movements and trends on a continual basis to identify and assess risks/opportunities worldwide. QED also conducts audits on all sites and business units in conjunction with the REOs. Audits are conducted mostly to identify and assess operational and legal compliance risks. (3) Reputational risks/opportunities are assessed by the CSR Group. It communicates with NGOs and Socially Responsible Investors on a regular basis to identify and assess risks/opportunities. (4) Market risks/opportunities are assessed by Product Groups and Sales Companies on a continual basis worldwide. (5) General Risk Office whose executive in charge is the General Council, takes a different, comprehensive approach in assessing risks. It conducts internal audits from a company-wide point-of-view which includes the environment. Results are reported to the executive board. Risks are disclosed qualitatively on filings such as Form 20-F for the U. S. Securities and Exchange Commission.

10 ii) Asset level (1) Physical risks are assessed by the Corporate Workplace Solutions Department. It continuously evaluates Sony factory and office facilities globally. CC2.1c How do you prioritize the risks and opportunities identified? Materiality for defining contents has been identified by two axes (materiality matrix): 1. impact to company's business performance, and 2. Interest of stakeholder assessments. Each risk/opportunity is plotted against the two axes and the righter and higher the axes, the higher on the priority list. Each Sony Group business unit, affiliated company and corporate division is expected to review and assess business risks on a regular basis and to detect, communicate, evaluate and respond to risks in its particular business area.risk to be addressed is prioritized by the impact to our business. Depending on the degree of impact on Sony by the confirmed risks and opportunities, the Board of Directors, which consists of the directors appointed at the shareholders' meeting, will determine the response and other matter.in line with its corporate strategy and in response to a changing environment, with an aim to maintain the most appropriate way to manage the Sony Group's business operation, Sony continually works to enhance its governance functions. CC2.1d Please explain why you do not have a process in place for assessing and managing risks and opportunities from climate change, and whether you plan to introduce such a process in future Main reason for not having a process Do you plan to introduce a process? Comment CC2.2 Is climate change integrated into your business strategy? Yes

11 CC2.2a Please describe the process of how climate change is integrated into your business strategy and any outcomes of this process i. Influence on business strategy: Each Business Unit conducts a Business Plan Deliberation Meeting annually, and risks/opportunities related to climate change are deliberated on this occasion. ii Example of how the business strategy has been influenced: In Sony mid-term corporate business strategy, Sony aims to achieve the following goals: ROE of more than 10% and consolidated operating profit of more than 500 billion yen for the Sony Group in FY2017. In order to achieve these goals, Sony is proactively investing in R&D of car-use image sensors. Sony regards device business including image sensors as one of its growth drivers. In the image sensor market which is expected to grow up to $2000 million by 2020, sensors for car-, monitor- and IoT-uses are especially expected to grow. Automobile makers are requesting devices that are more energy efficient for their products as next-generation cars are put on market. Sony s image sensors consume less power while having imageprocessing LSIs and memories that realize making compact products, so by expanding business on energy-efficient image sensors, Sony will not only contribute to prevention of climate change but also is able to help grow its business. By utilizing technical superiority of our image sensors, together with Sony s acclaimed camera technology such as power, Sony is differentiating itself from competitors by its superior technology. Challenging into the new market of image sensor business is one of the key strategies for Sony to become a highly profitable company in a sustainable way. iii. Climate change aspects that influenced the strategy: Sony is implementing its environmental actions based on our environmental plan "Road to Zero" announced in April The plan, which includes a long-term goal of achieving a zero environmental footprint by 2050, uses back casting methods to set specific mid-term environmental targets for the next five years in line with that goal. Targets are based on four environmental perspectives that includes climate change across all product lifecycle stages. We eliminate or minimize risks and seize or maximize opportunities by taking actions according to this plan. Regulatory risks/opportunities and customer behaviour-related risks/opportunities are the climate change aspects that have are most influential on our business strategy. Our current business strategy is to increase the number of industry-leading energy efficient products and to contribute to realization of a more sustainable infrastructure. We are putting utmost efforts on seizing market opportunities by developing and marketing various energy efficient products, especially televisions, audio products, PlayStation, and B2B products such as projectors. iv. Influence on short term strategy: Sony introduced Green Management 2020, which sets new environmental mid-team targets for FY2016-FY2020.When formulating the targets, Sony examined its past environmental activities and conducted a materiality analysis in order to incorporate the viewpoints of its stakeholders outside the Sony Group. Based on these results, Sony specified, among other things, energy and atmospheric emissions as priority areas to tackle by The new target for climate change in Product Planning and Design is to reduce energy consumption by 30% from the fiscal 2015 level. For Operations, the new target aims to reduce greenhouse gas emissions by an absolute value of 5% from FY2015 level. For the supply chain, reduction targets were set for the first time in our history of environmental activities. The target is to request main manufacturing contractors to monitor GHG emissions and reduce GHG intensity by 1% per year. The climate change targets have been approved by the Science Based Targets Initiative. v. Influence on long term strategy: Beyond our mid-term environmental targets towards 2020, Sony s Road to Zero environmental plan has a long-term goal of achieving a zero environmental footprint throughout the life cycle of our products and business activities by This includes the goal of zero emissions of greenhouse gases by 2050 at our factories, offices throughout product life cycles. Our long-term and mid-term strategies are linked since we have used back casting methods to set 2020 mid-term targets in line with our 2050 long term goal. vi. Influence from the Paris Agreement on the business strategy: Our environmental mid-term targets Green Management 2020 were established before the adaptation of the Paris Agreement, so there was no direct influence. However, when we set the targets, we not only reviewed and reflected our previous environmental activities but also referred to the IPCC 5th Report and the opinions of stakeholders. One of our key stakeholders is WWF (World Wide Fund for Nature), who is a strong proponent of the Paris Agreement. Our climate change related targets have been verified and approved by WWF s Climate Savers Programme. As a result of these activities, we believe that the concept of Sony's environmental plan "Road to Zero" and our environmental mid-term targets Green Management 2020 are aligned with the Paris Agreement. In addition, Sony's climate change related targets in Green Management 2020 have been approved by the

12 Science-based Targets Initiative. Sony was the first Japanese company to get approved. vii. Strategic advantage over your competitors: The actions mentioned above enable Sony to be at the forefront of environmental R&D and the development of ecoconscious products. There are numerous examples of Sony electronic products that lead the industry in energy efficiency. The internal architecture of the new PS4 system has been revamped, reducing its volume by more than 30% compared to the previous models and reducing its weight by 25% and 16% compared to the first (CUH-1000 series) and current (CUH-1200 series) models respectively. Also, the new PS4 system is more energy efficient, as the power consumption has been cut by more than 34% and 28% compared to the very first and current models. Of all the components that go into a game console, the main users of energy are the CPU and GPU. PS4 offers improved graphics with HDR support while greatly reducing power consumption. viii. Use of forward-looking scenario analyses, including a 2-degree scenario, to inform our organization s businesses, strategy, and/or financial planning:climate change related targets of our Green Management 2020 environmental mid-term targets are approved in 2015 as science-based targets, which means that they are in line with the 2-degree scenario. We will study using it in forward-looking scenario analyses to inform our organization s strategy after we receive the content of TCFD s final recommendation and report to Financial Stability Board and the trends in G20 finance ministers meeting and Central Bank Governors' Meeting. CC2.2b Please explain why climate change is not integrated into your business strategy CC2.2c Does your company use an internal price on carbon? No, and we currently don't anticipate doing so in the next 2 years CC2.2d Please provide details and examples of how your company uses an internal price on carbon CC2.3

13 Do you engage in activities that could either directly or indirectly influence public policy on climate change through any of the following? (tick all that apply) Trade associations CC2.3a On what issues have you been engaging directly with policy makers? Focus of legislation Corporate Position Details of engagement Proposed legislative solution CC2.3b Are you on the Board of any trade associations or provide funding beyond membership? Yes CC2.3c Please enter the details of those trade associations that are likely to take a position on climate change legislation Trade association Is your position on climate change consistent with theirs? Please explain the trade association's position How have you, or are you attempting to, influence the position? Japan Electronics and Information Technology Industries Association Consistent The objective of the Japan Electronics and Information Technology Industries Association (JEITA) is to promote the healthy manufacturing, international trade and consumption of electronics products and components in order to contribute to the overall development of the electronics and information technology (IT) industries, and thereby further Japan's economic development and cultural prosperity. Japan s EE industries have been actively We make appeal to others regarding the need of the global target through a committee.

14 Trade association Is your position on climate change consistent with theirs? Please explain the trade association's position How have you, or are you attempting to, influence the position? working on global warming prevention on a global scale by promoting innovative technological development and creation of environmentally conscious products that contribute to stable energy supply and achievement of a low-carbon society as well as by striving for and strengthening of industrial competitiveness in light of the global market. We participate in Keidanren s Commitment to a Low-Carbon Society and are aiming to improve energy efficiency of production processes by 1% annually on average. For the purpose of contributing to emission reductions in society through products and services, we will establish calculation methods for the amount of emission reduction contribution and publish the achieved amount in the entire industries every fiscal year CC2.3d Do you publicly disclose a list of all the research organizations that you fund? CC2.3e Please provide details of the other engagement activities that you undertake CC2.3f What processes do you have in place to ensure that all of your direct and indirect activities that influence policy are consistent with your overall climate change strategy? We engage in policy making activities through industry associations. The employees who participate in those associations report the latest developments to the regular internal meeting and confirm consistency with our overall climate change strategy. The regular meeting is held every week by top in charge of environmental affairs in the Sony Group. If our targets are stricter than the trade association's targets, our targets are prioritized.

15 CC2.3g Please explain why you do not engage with policy makers Further Information Page: CC3. Targets and Initiatives CC3.1 Did you have an emissions reduction or renewable energy consumption or production target that was active (ongoing or reached completion) in the reporting year? Absolute target Renewable energy consumption and/or production target CC3.1a Please provide details of your absolute target ID Scope % of emissions in scope % reduction from base year Base year Base year emissions covered by target (metric tonnes CO2e) Target year Is this a science-based target? Comment Abs1 Scope 1+2 (marketbased) 100% 5% Yes, and this target has been approved as science-based by the Science Based Targets initiative Years are both fiscal, that is, base year is FY2015 and target year is FY2020.

16 CC3.1b Please provide details of your intensity target ID Scope % of emissions in scope % reduction from base year Metric Base year Normalized base year emissions covered by target Target year Is this a sciencebased target? Comment CC3.1c Please also indicate what change in absolute emissions this intensity target reflects ID Direction of change anticipated in absolute Scope 1+2 emissions at target completion? % change anticipated in absolute Scope 1+2 emissions Direction of change anticipated in absolute Scope 3 emissions at target completion? % change anticipated in absolute Scope 3 emissions Comment CC3.1d Please provide details of your renewable energy consumption and/or production target

17 ID Energy types covered by target Base year Base year energy for energy type covered (MWh) % renewable energy in base year Target year % renewable energy in target year Comment RE1 All energy consumed % % Years are both fiscal, that is, base year is FY2015 and target year is FY2020. Sony has been a global frontrunner in reducing the environmental footprint of its operations by utilizing renewable energy sources in the most suitable ways for each region, such as by installing solar panels and utilizing Renewable Energy Certificates. In Japan, Sony jointly established a Green Energy Certificate System with an electric power company in And in Europe, Sony production sites have been running on 100% renewable electricity since By fiscal 2020, Sony will utilize renewable energy equivalent to reducing 300,000 tons* of CO2 emissions for its sites through the use of renewable energy certificates. * 539,568 MWh (Calculated from the fiscal 2013 emission coefficient announced by the Federation of Electric Power Companies of Japan and the Japan Business Federation) CC3.1e For all of your targets, please provide details on the progress made in the reporting year ID % complete (time) % complete (emissions or renewable energy) Comment Abs % % We have achieved the Green 2020 target in FY2016, reducing approximately 13.80% from the base year emissions because semiconductor production decreased due to the 2016 Kumamoto Earthquakes, three manufacturing sites going out of our reporting scope (scope of Sony s GEMS ISO unified certification) and a transfer of one manufacturing sites. Although we achieved the target in FY2016, the image sensor production which is the core business area of Sony will increase after FY2017. Therefore, we recognize that it is necessary to keep implementing reduction activities. In order to achieve the target

18 ID % complete (time) % complete (emissions or renewable energy) Comment RE % 33.06% which is reduction of 5 % compared with FY2015 level, abatement equipment and higher energy-efficiency manufacturing facilities are introduced as a part of facility renewal to reduce CO2 emissions. Particularly in recent years, Sony has implemented the Eco Challenge Project on an ongoing basis as a bottom-up initiative to promote improvements in energy saving. In addition to upgrading buildings and equipment, the project seeks to improve efficiency throughout Sony's business activities, including facility operations and in the manufacturing process. The success of the Eco Challenge Project depends heavily on the active participation of Sony employees, who are encouraged to provide solutions on how to save energy at Sony's production facilities-which consume more electricity than any of Sony's other operations. To assist with identifying energy saving opportunities, participating employees attend an energy awareness and efficiency training session as part of the Eco Challenge project launch at each site. Combining their experience and the knowledge gained from the training, the employees then re-examine their own production workplaces to identify possible energy-saving measures. Sony has been a global frontrunner in reducing the environmental footprint of its operations by utilizing renewable energy sources in the most suitable ways for each region, such as by installing solar panels and utilizing Renewable Energy Certificates. In Japan, Sony jointly established a Green Energy Certificate System with an electric power company in And in Europe, Sony production sites have been running on 100% renewable electricity since By fiscal 2020, Sony will utilize renewable energy equivalent to reducing 300,000 tons* of CO2 emissions for its sites through the use of renewable energy certificates, renewable energy credits, renewable electricity procurement and on-site generation of renewable electricity. * 539,568 MWh (Calculated from the fiscal 2013 emission coefficient announced by the Federation of Electric Power Companies of Japan and the Japan Business Federation) In FY2016, we purchased the renewable energy certificates for 121,435 MWh and it reduced 22.51% compared with 539,568 MWh. CC3.1f Please explain (i) why you do not have a target; and (ii) forecast how your emissions will change over the next five years CC3.2

19 Do you classify any of your existing goods and/or services as low carbon products or do they enable a third party to avoid GHG emissions? Yes CC3.2a Please provide details of your products and/or services that you classify as low carbon products or that enable a third party to avoid GHG emissions Level of aggregation Description of product/group of products Are you reporting low carbon product/s or avoided emissions? Taxonomy, project or methodology used to classify product/s as low carbon or to calculate avoided emissions % revenue from low carbon product/s in the reporting year % R&D in low carbon product/s in the reporting year Comment Product Digital Cinema System Avoided emissions Other: Calculated by our methodology,our assumptions, emission factors and global warming potentials 13.09% More than 10% but less than or equal to 20% An estimate of the amount of emissions that are/were avoided over time: Approximately 160 tons of CO2 reduction per a 2-hour movie. The methodology, assumptions, emission factors and global warming potentials used for your estimations: Digital cinema replaces 6 rolls of positive films for a 2-hour movie to just one HDD. Assuming that a 2-hour movie is distributed to 300 theaters in Japan and comparing the emissions associated with the process of packaging, screening to disposing of the digital cinema with that of conventional film cinema, our study shows that approximately 160 tons of CO2 emissions can be reduced. Because % revenue from low carbon products in the

20 Level of aggregation Description of product/group of products Are you reporting low carbon product/s or avoided emissions? Taxonomy, project or methodology used to classify product/s as low carbon or to calculate avoided emissions % revenue from low carbon product/s in the reporting year % R&D in low carbon product/s in the reporting year Comment Product Video Conferencing System Avoided emissions Other: Calculated by our methodology,our assumptions, emission factors and global warming potentials 13.09% More than 10% but less than or equal to 20% reporting year and % R&D in low carbon product in the reporting year for the target product cannot be disclosed, we calculated those values using the following formula, "% revenue from low carbon products" = "segment revenue to which the target product belongs" / "revenue of the Sony electronics business". "% R&D in low carbon product in the reporting year" = "segment R&D to which the target product belongs" / "R&D of the Sony electronics business". An estimate of the amount of emissions that are/were avoided over time :Approximately 1 ton of CO2 will be saved per meeting The methodology, assumptions, emission factors and global warming potentials: Assuming that 2 people from 5 branch offices (located in Fukuoka, Sapporo, Hiroshima, Osaka, and Nagoya) participate in a 2-hour meeting in Tokyo, approximately 1 ton of CO2 will be saved per meeting if those people participate via video conferencing as opposed to in person. 1. Round trips between Fukuoka and Tokyo, Sapporo and Tokyo, and Hiroshima and Tokyo are by airplane. Emission factor: kg-co2/person-km. 2. Round trips

21 Level of aggregation Description of product/group of products Are you reporting low carbon product/s or avoided emissions? Taxonomy, project or methodology used to classify product/s as low carbon or to calculate avoided emissions % revenue from low carbon product/s in the reporting year % R&D in low carbon product/s in the reporting year Comment Product Recycled Plastics. In 2011, Sony began practical use of Sustainable Oriented Recycled Plastic (SORPLAS ), a flame-retardant recycled plastic made possible by a proprietary compounding technology that combines an original, nonhalogen and non-phosphorus, flame retardant itself produced using a Avoided emissions Other: Calculated by our methodology,our assumptions, emission factors and global warming potentials 9.92% Less than or equal to 10% between Osaka and Tokyo, and Nagoya and Tokyo are by train (bullet train). Emission factor: kg-co2/personkm video conferencing systems are used. The system is comprised of PCS- XG80 and display monitor FWD-S42H1. Emission factor (for both products): 0.39 kg-co2/kwh. Because % revenue from low carbon products in the reporting year and % R&D in low carbon product in the reporting year for the target product cannot be disclosed, we calculated those values using the following formula, "% revenue from low carbon products" = "segment revenue to which the target product belongs" / "revenue of the Sony electronics business". "% R&D in low carbon product in the reporting year" = "segment R&D to which the target product belongs" / "R&D of the Sony electronics business". Sony began practical use of Sustainable Oriented Recycled Plastic (SORPLAS), a flame-retardant recycled plastic made possible by a proprietary compounding technology that combines an original, non-halogen and non-phosphorus, flame retardant itself produced using a Sony-developed process and waste plastics (polycarbonate resin) from

22 Level of aggregation Description of product/group of products Are you reporting low carbon product/s or avoided emissions? Taxonomy, project or methodology used to classify product/s as low carbon or to calculate avoided emissions % revenue from low carbon product/s in the reporting year % R&D in low carbon product/s in the reporting year Comment Sony-developed process and waste plastics (polycarbonate resin) from various sources in an optimal blend. various sources in an optimal blend. Thanks to Sony's novel flame-retardant, which makes it possible to impart flameretardancy by the addition of a very small amount of less than 1% or less of total content, SORPLAS not only surpasses conventional flame-retardant plastics in terms of durability, flameretardancy and recyclability, but also achieves an outstanding utilization rate of up to 99% waste plastics. The effective utilization of SORPLAS has been shown to reduce CO2 emissions in product manufacturing by up to 80%. In fiscal 2016, SORPLAS was used in Sony products like the 4K-compatible LCD TV Bravia XE80 series and other products. Additionally, in October 2014, sales of three different types of SORPLAS outside of Sony began. Sony will continue to make SORPLAS widely available also outside the group, promote resource recycling, and contribute to a society with a reduced environmental impact. Because % revenue from low carbon products in the reporting year and % R&D in low carbon product in the reporting year for the target product cannot be disclosed, we calculated those values using the following formula, "% revenue from low carbon products" = "segment revenue to

23 Level of aggregation Description of product/group of products Are you reporting low carbon product/s or avoided emissions? Taxonomy, project or methodology used to classify product/s as low carbon or to calculate avoided emissions % revenue from low carbon product/s in the reporting year % R&D in low carbon product/s in the reporting year Comment which the target product belongs" / "revenue of the Sony electronics business". "% R&D in low carbon product in the reporting year" = "segment R&D to which the target product belongs" / "R&D of the Sony electronics business". CC3.3 Did you have emissions reduction initiatives that were active within the reporting year (this can include those in the planning and/or implementation phases) Yes CC3.3a Please identify the total number of projects at each stage of development, and for those in the implementation stages, the estimated CO2e savings Stage of development Number of projects Total estimated annual CO2e savings in metric tonnes CO2e (only for rows marked *) Under investigation To be implemented*

24 Stage of development Number of projects Total estimated annual CO2e savings in metric tonnes CO2e (only for rows marked *) Implementation commenced* Implemented* Not to be implemented 0 0 CC3.3b For those initiatives implemented in the reporting year, please provide details in the table below Activity type Description of activity annual CO2e savings (metric tonnes CO2e) Scope Voluntary/ Mandatory Annual monetary savings (unit currency - as specified in CC0.4) Investment required (unit currency - as specified in CC0.4) Payback period lifetime of the initiative Comment Low carbon energy purchase Low carbon energy purchase Purchased 16,948 MWh of renewable energy thought "Green Power Certification Council, Japan" were retired by our company in FY2015. Purchased 16,948 MWh of renewable energy thought "Green Power Certification Council, Japan" were retired by our company in FY Scope 2 (marketbased) Scope 2 (marketbased) Voluntary Voluntary >25 years >25 years <1 year <1 year Sony has utilized the Green Power Certification Council, Japan since Sony has utilized the Green Heat Certification Council,

25 Activity type Description of activity annual CO2e savings (metric tonnes CO2e) Scope Voluntary/ Mandatory Annual monetary savings (unit currency - as specified in CC0.4) Investment required (unit currency - as specified in CC0.4) Payback period lifetime of the initiative Comment Energy efficiency: Building services Energy efficiency: Building services Energy efficiency: Processes Process emissions reductions Behavioral change Installation of High Efficiency Air Conditioning System and Chillers in Semiconductor Factory(Thailand) Activities include upgrading of facilities including building controls, HVAC, lighting, motors and drives, and introduction of inverters. Activities include reducing emission in process : the efficient equipment such as chiller, air compressor, pump and other was Introduced, and improved to exercise efficiently operation of equipment. Activities include enhancing energy efficiency of production processes and yield improvement. We also stopped using HFE, a gas with high global warming potential used in cleaning, by changing production processes. Activities include raising temperature settings or halting of air-conditioners in various places of within sites; reduction of lighting; and raising temperature settings of cooling water. A comprehensive campaign called "Eco Challenge" was conducted in Japan, China and Scope 2 (marketbased) Scope 2 (marketbased) Scope 2 (marketbased) Scope 2 (marketbased) Scope 2 (marketbased) Voluntary Voluntary Voluntary Voluntary Voluntary years 4-10 years 1-3 years 6-10 years <1 year <1 year <1 year <1 year <1 year <1 year Japan since 2012,.

26 Activity type Description of activity annual CO2e savings (metric tonnes CO2e) Scope Voluntary/ Mandatory Annual monetary savings (unit currency - as specified in CC0.4) Investment required (unit currency - as specified in CC0.4) Payback period lifetime of the initiative Comment South East Asia with support from headquarters. This is an educational campaign in which engineers and other staff form teams investigate the production floor to identify places where energy efficiency can be improved by optimising temperature, lighting conditions and existing production methods. The emphasis is on optimizing the use of the already-highly-efficient facilities by behavioral change of employees. CC3.3c What methods do you use to drive investment in emissions reduction activities? Method Comment Compliance with regulatory requirements/standards Dedicated budget for energy efficiency Dedicated budget for low carbon product R&D Compliance with regulations and standards is the minimum level that needs to be met and therefore necessary investment is made to achieve compliance. Energy efficiency at sites are achieved mainly by introducing cutting-edge facilities and equipment that are the most energy efficient at the time of facility renewal. Necessary investment is made to achieve this goal. "Energy and environment" is one of the focus points of our R&D.

27 Method Comment Internal incentives/recognition programs Dedicated budget for other emissions reduction activities Quality and Environmental Management Awards are awarded to business units and sites that excel in environmental and climate change prevention activities. GHG abatement equipment is installed as necessary to achieve our GHG reduction target at sites. CC3.3d If you do not have any emissions reduction initiatives, please explain why not Further Information Page: CC4. Communication CC4.1 Have you published information about your organization s response to climate change and GHG emissions performance for this reporting year in places other than in your CDP response? If so, please attach the publication(s) Publication Status Page/Section reference Attach the document Comment In mainstream reports (including an integrated report) in accordance with the CDSB Framework In voluntary communications Complete Underway - previous P10-P11, P33, P68 From page 217 to page 464.Sony's Environmental plan/ Sony's four Change 2017/Shared Documents/Attachments/CC4.1/CC4.1FY2016_20F_PDF.pdf Change 2017/Shared Documents/Attachments/CC4.1/CC4.1

28 Publication Status Page/Section reference Attach the document Comment year attached environmental perspectives/six stages of product life cycle/ Environmental Data (Environmental Data Collection Methods and Rationale/ISO14001 Certified Sites/Sony's Environmental Performance /Greenhouse Gas Emissions/Environmental Data for Sites/Environmental Data for Products/Independent Verification Report) CSR2016E_PDF_all_e.pdf Further Information Module: Risks and Opportunities Page: CC5. Climate Change Risks CC5.1 Have you identified any inherent climate change risks that have the potential to generate a substantive change in your business operations, revenue or expenditure? Tick all that apply Risks driven by changes in regulation Risks driven by changes in physical climate parameters Risks driven by changes in other climate-related developments CC5.1a Please describe your inherent risks that are driven by changes in regulation

29 Risk driver Description Potential impact Timeframe Direct/ Indirect Likelihood Magnitude of impact financial implications Management method Cost of Carbon taxes In China, the State Council announced the 13th Five-Year Plan for National Environmental Protection Standards on April 5, This is the successor plan to China's 12th Five-Year Plan, and in order to realize its overall target, the present plan sets sub-targets for each of its headings, including targets addressing low carbon emission and climate change. Main targets addressing low carbon emission and climate change - Reduce CO2 emissions per unit of GDP by 18% from 2015, and reduce the amount of energy consumed per unit of GDP by 15% relative to Maintain energy self-sufficiency at a rate of 80% or higher. Every province and city is responding to this plan by setting target values for CO2 emissions to reach by For example, the target value in Beijing, Tianjin, Shanghai, and other Increased operational cost >6 years Direct More likely than not Mediumhigh Improvements in plant facilities and operations, as well as measures for energy saving on the production plant floor, have been carried out in China. The saving in FY2016 was 130 million yen. In case of Beijing city, the reduction target for Sony was 2% reduction per year. If we were not able to achieve 2% per year, 1.1 million yen/year would have been necessary to pay taxes or to purchase renewable energy. This would have certain influence on the net income. Abatement equipment and higher energyefficiency manufacturing facilities are introduced as a part of facility renewal to reduce CO2 emissions. Particularly in recent years, Sony has implemented the Eco Challenge Project on an ongoing basis as a bottom-up initiative to promote improvements in energy saving. In addition to upgrading buildings and equipment, the project seeks to improve efficiency throughout Sony's business activities, including facility operations and in the Operation cost: The cost of improvement activities at production plants in China was 125 million yen. The main components of this activity expense were equipment purchase costs.

30 Risk driver Description Potential impact Timeframe Direct/ Indirect Likelihood Magnitude of impact financial implications Management method Cost of such cities is 20.5%. Sony has electronics manufacturing sites in China. In case of Beijing, for example, the CO2 emissions target for each industry has been set according to the city target of 20.5%. For the Sony smartphone plant in Beijing, this means that a 2% reduction per year is necessary. Details are in process of being confirmed, and we will formulate our response to be taken if target cannot achieve upon confirmation. manufacturing process. The success of the Eco Challenge Project depends heavily on the active participation of Sony employees, who are encouraged to provide solutions on how to save energy at Sony's production facilities-which consume more electricity than any of Sony's other operations. To assist with identifying energy saving opportunities, participating employees attend an energy awareness and efficiency training session as part of the Eco Challenge project launch at each site. Combining their