1 Divisional Details Digital Productions

2 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 through re-envisioned pipeline of high-end, live action/animation hybrids, mid-tier, and direct-to- DVD (DTV) productions Digital Productions Key Strategies Pursue Growth Opportunities Pursue Sony United Collaboration Improve Economics of Existing Businesses Prioritize Imageworks around needs of SPA & Columbia, becoming VFX resource for Columbia and using excess capacity to service third parties Continue to reduce facility size and execute on cost reduction initiatives at Imageworks Lower cost of SPA films through higher facility utilization at Imageworks created through third party VFX business

3 Implementing new business plan to diversify portfolio and lower risk profile Fully integrated studio (SPA + Imageworks) Shepard Aardman relationship Explore outsourcing model for DTV Secured highly successful theatrical release of Open Season 2 in select international markets Seeking opportunities for third party financing Aggressively work with Worldwide Marketing to secure optimal promotional partners and develop ancillary revenue opportunities High-end CG animated films ($100mm+ negative costs – e.g., Cloudy, Hotel Transylvania) released every months Mid-tier CG animated films ($25-50mm), released every months Live action/animation hybrids (Smurfs), released annually Direct to video sequels (Open Season 2), release following successful high-end films and prior DTV sequels Key Initiatives Sony Pictures Animation Strengthen Animation Pipeline Diversity development & production slate Utilize multiple business models Mitigate risks of titles in production

4 Sony Pictures Animation Developing World Class Animated Product Under new leadership, streamlined and recalibrated talent mix to execute a first class, diversified and more efficient pipeline of high end, hybrid, mid-tier, and DTV releases Leadership applied new vision to markedly improve Cloudy with a Chance of Meatballs (scheduled for September 2009 release), including innovative production on 3-D version. Team is also focused on projects including Smurfs (hybrid) and Hotel Transylvania (high end) Forged development relationships with Platinum Studios (comics/graphic novel library) and the Gotham Group (representing major publishers for children) to supply re- envisioned pipeline with appealing content After successful release of the first DTV sequel, Open Season 2, continuing to exploit theatrically-released properties as DTV titles, providing bundling opportunities for home entertainment

5 Sony Pictures Animation Sheparding the Aardman relationship Maximizing the relationship through close collaboration between two top creative teams to produce world class animation Integrating key personnel from each studio to facilitate both development and production The first product of the relationship, Arthur Christmas, is tentatively scheduled for release on November 11, 2011 and Pirates is planned for TBD 2012 Currently discussing other promising future projects with Nick Park, creator of Wallace and Gromit

6 Sony Pictures Imageworks Executing on Cost Efficiency Strategy Using excess VFX capacity to serve third parties lowers costs for SPA and Columbia shows, which are charged at “net cost” (no profit) Secured larger budget third-party work (Alice in Wonderland, G-Force) reducing gap costs between shows and aligning with new focus on animation Hiring artists on a production/show basis (vs. staff hire), similar to successful live action production model, further reducing holding costs between shows Reducing compensation levels to prevailing market rates and balancing the senior/junior mix through hiring efforts, such as IPAX program Implementing innovative headcount tracking tools to enhance transparency and improve artist utilization Increasing use of lower cost labor in New Mexico and India, while exploring similar opportunities in Canada