Sony Pictures Entertainment Enterprise Risk Management Status August 2, 2013 WORKING DRAFT

2 Executive Summary Current Status  Conducted meetings with DCFOs from the various business segments, obtained and consolidated input on risks.  Created SPE Enterprise Risk Management Assessment leveraging the SONY Risk Management Framework model and guidance (refer to following slides).  In process of establishing a Governance, Risk and Compliance (GRC) Program.  Executive Sponsors: Dave Hendler (CFO) and Leah Weil (General Counsel)  GRC Program Management Office – Executive Leads: Ron McNair (CAO), Sharon Borak (Legal Affairs) and GRC VP  Key Objectives include:  Establishing ERM baseline.  Ensuring projects, ongoing initiatives, and spending align with SPE’s overall risk mitigation and compliance objectives.  Centralized monitoring and oversight for all GRC related issues, escalation, continuous improvement and integrated reporting.  Reducing risk exposure and audit costs.  Improving overall compliance and enhanced decision making.  Integration of Archer with other GRC related tools and initiatives. Upcoming Action Items  Risk Map approval by Michael Lynton (SPE CEO) and Direct Reports  Review with DCFO’s as part of MRP Process (i.e., one page Addendum added to the current process) Recommendations  Perform detailed risk assessment for a few selected areas (e.g., Corporate and Operational segments).  Potential candidates include:  Corporate: Security Environmental Health & Safety (SEHS), Information Technology (IT)  Operational: Sony Pictures Animation (SPA), Imageworks WORKING DRAFT

3 SPE Enterprise Risk Management Framework WORKING DRAFT

4 SPE Enterprise Risk Management Summary (Example) WORKING DRAFT