CONFIDENTIAL -- Sony Pictures Entertainment Work Product Sony Pictures Digital Productions Fiscal Year 2010 Budget Overview February 18, 2009

CONFIDENTIAL -- Sony Pictures Entertainment Work Product Agenda Page Number FY09 Q4 Forecast Update FY10 Budget Overview Film Ultimates

CONFIDENTIAL -- Sony Pictures Entertainment Work Product FY09 Q4 Forecast Update

CONFIDENTIAL -- Sony Pictures Entertainment Work Product FY09 Q4 Financial Summary ($ in Thousands) page 4

CONFIDENTIAL -- Sony Pictures Entertainment Work Product FY09 Q4 Cost Savings Initiatives Achieved savings of $1.3M vs. original FY09 Budget Challenge SG&A of $700K: –Savings were driven by $1M reduction in maintenance/repair, $300K in materials and supplies Actions taken in response to Michael & Amy’s memo of October 31, 2008: –Eliminated overtime for non-production/overhead employees, producing $300K in annualized savings –Reduced T&E, creating savings of 14% for meetings/conventions expense –Saved 20% in consulting expense by terminating arrangements Broader cost reduction initiatives commenced in March 2008 created $56M in savings for FY09: –Organization. Total savings: $43.2M Reduced production and overhead headcount proportionate to shows in production. All new artists hired for run of production only (show hires) –Compensation. Total savings: $6.0M Reduced average compensation levels by hiring a proportionately younger workforce through the IPAX program, benchmarking compensation against industry averages and establishing narrower salary bands for all employee categories. Reduced fringe rates by redesigning employee benefits, including reducing non-contractual salary increases and bonus plans. –Efficiency. Total savings: $5.4M Improved utilization by creation and implementation of headcount tracking tool Gained significant production efficiencies through use of innovative rendering tool Reduced production employee overtime –Facility & CAPEX. Total savings: $1.4M Designing new office configurations to further increase density of existing space, accelerating termination of building leases Eliminated underutilized office space, equipment and licenses Reduced capital and maintenance expenses, including third party software spend for production page 5

CONFIDENTIAL -- Sony Pictures Entertainment Work Product FY10 Budget Overview

CONFIDENTIAL -- Sony Pictures Entertainment Work Product Prioritize Imageworks around needs of SPA & Columbia, becoming VFX resource for Columbia and using excess capacity to service third parties Reduce facility size and continue to execute on and identify additional cost reduction initiatives at Imageworks Manage visual effects business on a break-even basis, charging internal productions “at net cost” (no profit) Increase SPE’s participation and success in family features market −CG animated films at the high end ($100M+, Hotel Transylvania) and mid-tier ($25-50M) −Animation/live action hybrids (Smurfs) −DTV sequels (Open Season 2) Shepherd Aardman relationship for SPE (Arthur Christmas, Pirates) Expand digital marketing services beyond SPE to third parties via Imageworks Interactive Increase collaboration with Columbia on digital marketing Improve economics FY10 Strategic Objectives page 7 Focus on high margin/growth businesses Explore new opportunities

CONFIDENTIAL -- Sony Pictures Entertainment Work Product Cloudy with a Chance of Meatballs releases September 18, 2009: –Financial target at $85M DBO with 1.5 IBO multiple and breakeven at $78M –Downside risk at $65M DBO with 1.3 IBO multiple –3D assumptions: 65% of DBO, 20% of IBO; domestic glasses cost is $8.5M, international is $4.6M Open Season 2 released January 27, 2009: –Favorable $1.9M due to 21% better-than-forecast home video units sold at Walmart, an unprecedented sales volume for market/genre SPE title –Total IBO of $8.4M, $6.3M in Russia Budget achieves $1.2M in new savings, above Cost Reduction Plan of $800K for Imageworks Interactive and SPDP corporate SPI refocused production: –Total revenue of $155M includes 27% in animation, 73% in VFX; approximately 90% of VFX awarded, 10% remains TBD –Production features a more balanced senior/junior mix through IPAX program and other hiring initiatives Ongoing cost reduction initiatives (total incremental savings of $3.1M+ in FY10): –Ongoing organizational, compensation, efficiency, and facility & CAPEX initiatives begun in FY09 provide incremental savings of $1M –Organizational review and subsequent headcount reductions from eliminating redundancies create at least $2.1M in FY10 incremental savings –Further efficiency gains result from improved utilization of workforce through headcount tracking tool –Increased individual departmental and show budgeting accountability provides added overhead savings Satellite Production: –Imageworks New Mexico provides $2.3M in savings realized through tax rebate as facility expands to 105 headcount in a short-term, rented facility. Costs have been dramatically scaled down from original plan that called for significant investment and build-out of a wholly-owned facility ($6.9M saved in FY09) FY10 Budget Highlights – Changes since MRP page 8

CONFIDENTIAL -- Sony Pictures Entertainment Work Product FY10 Budget Summary Financials ($ in Thousands) page 9

CONFIDENTIAL -- Sony Pictures Entertainment Work Product MRP EBIT Reconciliation to FY10 Budget ($ in Thousands) page 10

CONFIDENTIAL -- Sony Pictures Entertainment Work Product FY10 Budget Summary of Net Cash Flow ($ in Thousands) page 11

CONFIDENTIAL -- Sony Pictures Entertainment Work Product Imageworks FY10 Budget Revenue ($ in Thousands) page 12

CONFIDENTIAL -- Sony Pictures Entertainment Work Product FY10 Budget EBIT Risks & Opportunities ($ in Thousands) page 13

CONFIDENTIAL -- Sony Pictures Entertainment Work Product FY10 Budget Cash Risks & Opportunities ($ in Thousands) page 14

CONFIDENTIAL -- Sony Pictures Entertainment Work Product Film Ultimates

Cloudy with a Chance of Meatballs Ultimate ($ in Thousands) page 16

page 17 Open Season 2 Ultimate ($ in Thousands)

page 18 Open Season Ultimate ($ in Thousands)

page 19 Surf’s Up Ultimate ($ in Thousands)