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( BW)(SONY-CORP.)(SON) Final Results

    Business Editors
    UK REGULATORY NEWS

    TOKYO--(BUSINESS WIRE)--April 25, 2003--

Consolidated Financial Results for the Fiscal Year ended March 31, 2003

 Electronics, Game and Pictures Businesses Lead an Improvement in Full
Year Operating Performance Although Fourth Quarter Sales Decreased and
                           Losses Increased

Sony Corporation announced today its consolidated results for the
fiscal year ended March 31, 2003 (April 1, 2002 to March 31, 2003).

Highlights

--  Although sales decreased slightly year on year to Yen7,473.6
        billion ($62.3 billion), operating income increased Yen50.8
        billion to Yen185.4 billion ($1.55 billion). Net income was
        Yen115.5 billion ($963 million), a year on year increase of
        Yen100.2 billion. The depreciation of the yen against the euro
        had a positive impact on sales and operating income.

--  Although sales in the Electronics business decreased 6.5% due
        to a decrease in sales of Aiwa products and VAIO PCs, an
        operating income of Yen41.4 billion ($345 million) was recorded
        compared to an operating loss of Yen1.2 billion in the previous
        fiscal year. The improved operating performance resulted from
        the benefit of restructuring initiatives primarily in the
        components category, and the contribution to profitability of
        digital still cameras and CCDs. Inventory decreased Yen79.6
        billion year on year.

--  Unit sales of hardware and software in the Game business
        increased mainly in the U.S and Europe. Sales decreased 4.9%
        year on year due, in part, to strategic price reductions of
        hardware in all major regions. Operating income increased
        Yen29.7 billion to Yen112.7 billion ($939 million) because of
        strong software unit sales and reductions of hardware
        manufacturing costs.

--  The Pictures business recorded its highest ever sales and
        operating income, Yen802.8 billion ($6,690 million) and Yen59.0
        billion ($491 million), respectively, for the fiscal year due
        to the strong worldwide theatrical and home entertainment
        performance of current year releases including Spider-Man, Men
        in Black II, xXx and Mr. Deeds.

--  The Music business recorded a Yen8.7 billion ($72 million)
        operating loss due to an increase in restructuring charges at
        the U.S. subsidiary and a decrease in worldwide album sales,
        as a result of the contraction of the global music market
        primarily brought on by increased digital piracy.

--  Cash flow was positive throughout the fiscal year and
        significantly improved compared with the previous fiscal year
        due to an increase in operating income and reduced capital
        expenditures.

--  In the quarter ended March 31, 2003, sales decreased 12% year
        on year to Yen1,654.4 billion ($13.8 billion), operating loss
        increased Yen92.9 billion to Yen116.5 billion ($971 million),
        and net loss increased Yen105.7 billion to Yen111.1 billion
        ($926 million), primarily due to a deterioration in the
        operating performance of the Elect41,170
Operating income (loss)              (1.2)             41.4            -                   345


Unless otherwise specified, all amounts are on a U.S. GAAP basis.

Sales were Yen4,940.5 billion ($41.2 billion), a decrease of 6.5%
year on year (7% decrease on a local currency basis).

--  Product categories with increased sales:

--  "Semiconductors" by 12.3%, "Components" by 2.2%, "Video" by
        2.1% and "Television" by 0.4%.

--  Products categories with decreased sales:

--  "Information and Communication" by 17.9%, "Audio" by 8.7% and
        "Other" (which contains Aiwa) by 2.1%.

--  On a local currency basis:

--  Products with the largest decreases in sales:

~ Aiwa products, VAIO PCs, audio products, CRT computer displays,
cellular phones (now sold mainly to SEMC), video cameras and CRT
televisions.

--  Products with the largest increases in sales:

~ Digital still cameras ("Cybershot"), personal digital assistants
("CLIE"), semiconductors (especially CCDs and LCDs) and projection
TVs.

--  On a geographic basis:

~ Sales fell in the U.S., Japan and Europe.

~ Sales rose in other areas, particularly in East Asia (not
including Japan).
In terms of profitability, operating income of Yen41.4 billion
($345 million) was recorded compared with operating loss of Yen1.2
billion in the previous fiscal year, an improvement of Yen42.5 billion
year on year.

--  The following factors contributed to the improvement in
        profitability:

--  Increased demand for semiconductors, particularly CCDs, and an
        increase in sales in the digital still camera and battery
        businesses.

--  An improvement in the profit structure of businesses such as
        portable audio and components, particularly cathode ray tubes,
        due to the benefit of restructuring (reductions in fixed
        costs, via the sale and disposal of underused production
        facilities, and headcount reductions) carried out in the
        previous year.

--  The positive impact of the depreciation of the yen against the
        euro which exceeded the negative impact of the depreciation of
        the yen against the U.S. dollar.

--  The transfer of the mobile handset business (which recorded a
        loss in the previous year) to SEMC, an affiliate accounted for
        under the equity method.

--  Product categories information:

--  Categories recording operating income:

~ "Audio", which benefited from the effects of restructuring,
"Television", in which demand rose for large-screen televisions, and
"Video", in which there was a significant increase in sales for
digital still cameras. "Components" changed from loss to profit due to
the effects of restructuring.

--  Categories recording operating loss:

~ Losses decreased in "Information and Communications", because
the mobile handset business was transferred to SEMC, and in
"Semiconductors", where there was an increase in demand, particularly
for CCDs. Losses increased in the "Other" segment, principally due to
losses at Aiwa.
Sales of Aiwa products fell year on year. Aiwa recorded an
operating loss due expenses incurred for restructuring including
headcount reductions, inventory write-downs brought about by the
concentration of product lines, and the sale and disposal of
production facilities. Sony absorbed Aiwa by merger on December 1,
2002.
Inventory on M