1 Confidential Material IT Finance Sony Pictures Entertainment Information Technology October Review November 22, 2013

2Confidential Material IT Finance Agenda Approved & Potential GL projects Financials –Operating Expense –Capital Projects –Headcount Projects –Actual Spend, Forecast and Revised Budget  Appendix contains Spend by Month and projected Cash Flow & Project View reports Appendix –External Labor Rates –FY Budget Challenges –LOB Operating Expense Comparison –MTD/YTD/FY Operating Expense Comparison Rolling Forecast to Actuals –Capital Detail  SAP and Corporate –Capital spend by actual and forecast by month by LOB Updates –Audits, Avasant, IT Spend Benchmarks, TCO, Time Compliance, Labor Analytics

3Confidential Material IT Finance

4Confidential Material IT Finance Upcoming Green Light Project Requests - TV Networks business is without a Rights Mgmt system; all 122 channels track their rights in excel spreadsheets. Hundreds of man-hours a week are spent maintaining worksheets across the channels, the quality is inconsistent, unreliable which result in challenges for Home Office Network Business Affairs. This project will deliver a Rights Management system for Networks that can be the platform for RM throughout the studio. -Sun IDM is end of life in Dec 2014 and no longer supported by Oracle. A new technology and a full re-implementation of IDM is needed. - SEHS needs to manage visitors on a global basis. The current PassagePoint visitor management system meets business needs for VMS in Los Angeles but is not easy to rollout or support globally. Since international and U.S. offices outside of Los Angeles are not using PassagePoint, it's not possible to extract global reporting about visitors and easily share information with other offices. Also, PassagePoint is not integrated with other SEHS applications which causes redundant work. Inception Funding approved, $44k, to determine solution.

5Confidential Material IT Finance October approved Projects exceeding $1.0M Master Data Management (MDM) $3.4M –Metadata for every program played out on a Sony Pictures Television (SPT) Networks channel must be manually entered into each scheduling and playout facility operated by SPT. This information must be entered multiple times across multiple regions and multiple channels. Financial reconciliation is manually intensive due to the constant reconciliation between corporate titles and Networks titles based solely on the name of the program which is often not consistent with what is tracked in corporate systems Pegasus to SAP $3.5M –financial and procurement functions in HEG are duplicative within the broader SPE organization. A highly customized version of JDE (“Pegasus”) is used to support these functions in addition to inventory movements. Pegasus accounts for transaction level detail and feeds summary level data into SPE’s enterprise SAP system. Pegasus is older technology and needs to be replaced. SAP is the proper home for the Financials. TrinTech $2.5M –Rollout of Trintech to SPE Finance organizations across the globe in three phases: 1. Migrate on-premise solution to hosted solution 2. Rollout to Europe & Domestic - including Poland GBS 3. Rollout to Asia Pacific & Latin America - including Manila SGBS

6Confidential Material IT Finance Unfavorable YTD to Budget ($1.1M) ($ in 000’s)

7Confidential Material IT Finance Favorable to Full Year Forecast $0.7M ($ in 000’s)

8Confidential Material IT Finance October FY Project Spend Forecast by LOB ($ in 000’s) ** Current annual run rate equals ~$45.3M

9Confidential Material IT Finance October Headcount Unfilled positions equates to a vacancy rate of 5.9%

10Confidential Material IT Finance Appendix

11Confidential Material IT Finance External Labor Rate Analytics

12Confidential Material IT Finance Budget Challenges - YTD $4.7M

13Confidential Material IT Finance October 2013 – LOB Comparison to Budget

14Confidential Material IT Finance October 2013 – MTD – YTD – Full Year ($ in 000’s)

15Confidential Material IT Finance Corporate & SAP Project Spend by Month

16Confidential Material IT Finance October FY Project View Forecast by LOB ($ in 000’s)

17Confidential Material IT Finance YTD Capital Spend by Month by LOB ($ in 000’s)