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Sony Pictures Imageworks Rate Assumptions As of July 7, 2014

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Sony Pictures Imageworks Rate Assumptions As of July 7, 2014 SONY PICTURES IMAGEWORKS RATE ASSUMPTIONS AS OF JULY 7, 2014 CURRENT PRIOR (V110) ISSUED 7/8/13 NOTES LAX VAN LAX VAN REBATE RATE N/A 53.4% N/A 52.4% Increased Rebate Rate by 1%. FRINGE RATE Staff 27.0% 10.0% 27.0% 10.0% Show Hire 20.0% 10.0% 20.0% 10.0% Production Hire 15.0% 10.0% 15.0% 10.0% No Benefits 15.0% 10.0% 15.0% 10.0% Fringe on Additional Compensation 7.5% 4.0% 7.5% 4.0% OVERTIME ASSUMPTIONS Overtime Fringe % 7.5% 4.0% 7.5% 4.0% OT fringe is based on FICA limit per payroll. Overtime % Factor a. FLSR 0.0% 0.0% 0.0% 0.0% b. SFB Rates 0.0% 0.0% 0.0% 0.0% STAFF RENT ASSUMPTIONS (BASED ON FY15 BUDGET) Total Facility Rent $5,850,000 $1,100,000 $5,850,000 $1,100,000 Total Facility Utilities $0 $675,000 $0 $675,000 Grand Total Rent/Utilities $5,850,000 $1,775,000 $5,850,000 $1,775,000 Budget Headcount - Artists 151 239 182 133 Excludes CG Supervisors. Rent Allocation Per Artist Per Budget HC $38,742 $7,427 $32,143 $13,346 $0 $0 Grand Total Rent/Utilities to Keep Allocation per Artist Flat $3,003,000 $2,542,960 $3,003,000 $1,776,880 Revised Avg Budget Heacount - Artists 151 239 182 167 Rent Allocation Per Artist to Stay Flat $19,887 $10,640 $16,500 $10,640 Variance (Inc)/Dec ($2,847,000) $767,960 ($2,847,000) $1,880 CREW - ANNUAL COST ESTIMATES Other Overhead $1,000 $1,000 $1,000 $1,000 UTILIZATION (BASED ON FY15 BUDGET) Org Level Finance has all groups set at 79% to recover all billable departments for LAX and VAN Creative Group - Billable All 75.0% 75.0% 75.0% 75.0% Development Group - Billable All 80.0% 80.0% 80.0% 80.0% Digital Productions - Billable All 80.0% 80.0% 80.0% 80.0% Editorial - Billable All 70.0% 70.0% 70.0% 70.0% Editorial - Non Billable All 70.0% 70.0% 70.0% 70.0% Feature Production - Billable <7 78.0% 78.0% 78.0% 78.0% Modeling - Billable All 80.0% 80.0% 80.0% 80.0% Prod Svcs & Resources - Billable All 80.0% 80.0% 80.0% 80.0% Systems Engineering - Billable All 80.0% 80.0% 80.0% 80.0% BONUS (BASED ON FY15 ASSUMPTIONS) Based on Org Level, Status, Benefit Type, Based on Org Level, Status, Benefit Type, Reduced Bonus Payouts from 100% to 85% in cell E14 on the Aspire Funding - and 85% payout. and 100% payout. FY15 tab. Car allowance will no longer be paid out to new hires starting in calendar year 2014. CAR ALLOWANCE See Notes Varies Paste valued car allowance formulas to ensure none are added. $0 $0 $0 $0 $0 $199,999 $0 $0 $0 $0 $200,000 $12,000 $12,000 $12,000 $0 $299,999 $12,000 $12,000 $12,000 $0 $300,000 $15,600 $15,600 $15,600 $0 $399,999 $15,600 $15,600 $15,600 $0 $400,000 $19,200 $19,200 $19,200 $0 JOULE AWARD $10,000 $10,000 $10,000 $10,000 LUMP SUM/VISA Varies Varies Varies Varies PROCESSORS/DISK SPACE/LIMBO Processor Rate $0.75/core $1.20/core Disk Space Rate $15.00/TB $25.00/TB ($0.02 Per GB) Limbo Rate $5.00/TB $0.00 SYSTEM/DEVELOPMENT FEES (BASED ON FY15 BUDGET) 19.3% 8.3% 32.5% 0.0% Prior bid template assumes a 14% allocation to Vancouver. New bid template assumes a 30% allocation to Vancouver and a 70% allocation to LAX. 1 SONY PICTURES IMAGEWORKS RATE COMPARISON - NET AS OF 07/07/14 Prior Issued Bid Template Rates (v110) New Bid Template Rates Variance (Inc)/Dec SPI Culver City SPI Vancouver SPI Culver City SPI Vancouver SPI Culver City SPI Vancouver 40-Hour 45-Hour 50-Hour 40-Hour 45-Hour 50-Hour 40-Hour 45-Hour 50-Hour 40-Hour 45-Hour 50-Hour 40-Hour 45-Hour 50-Hour 40-Hour 45-Hour 50-Hour Current Rates Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Fixed Template VFX Supervisor $2,375 $2,375 $2,375 $1,026 $1,026 $1,026 $2,070 $2,070 $2,070 $907 $907 $907 $305 $305 $305 $118 $118 $118 VFX Supervisor- A $4,074 $4,074 $4,074 $1,727 $1,727 $1,727 $4,139 $4,139 $4,139 $1,759 $1,759 $1,759 ($65) ($65) ($65) ($32) ($32) ($32) Sr. VFX Producer $1,544 $1,544 $1,544 $672 $672 $672 $1,494 $1,494 $1,494 $676 $676 $676 $50 $50 $50 ($4) ($4) ($4) DFX Supervisor $1,817 $1,817 $1,817 $840 $840 $840 $2,028 $2,028 $2,028 $783 $783 $783 ($211) ($211) ($211) $57 $57 $57 Animation Supervisor - A $1,863 $1,863 $1,863 $802 $802 $802 $1,838 $1,838 $1,838 $805 $805 $805 $25 $25 $25 ($3) ($3) ($3) Animation Supervisor - B $1,121 $1,121 $1,121 $577 $577 $577 $1,102 $1,102 $1,102 $594 $594 $594 $19 $19 $19 ($16) ($16) ($16) Digital Producer $1,154 $1,154 $1,154 $516 $516 $516 $1,213 $1,213 $1,213 $506 $506 $506 ($59) ($59) ($59) $10 $10 $10 Digital Production Manager - A $741 $741 $741 $345 $345 $345 $743 $743 $743 $339 $339 $339 ($2) ($2) ($2) $6 $6 $6 Digital Production Manager - B $594 $594 $594 $295 $295 $295 $613 $613 $613 $296 $296 $296 ($19) ($19) ($19) ($1) ($1) ($1) CG Supervisor - A $1,371 $1,371 $1,371 $612 $612 $612 $1,362 $1,362 $1,362 $654 $654 $654 $10 $10 $10 ($41) ($41) ($41) CG Supervisor - B $1,212 $1,212 $1,212 $524 $524 $524 $1,256 $1,256 $1,256 $530 $530 $530 ($45) ($45) ($45) ($6) ($6) ($6) Art Director $930 $930 $930 $414 $414 $414 $919 $919 $919 $401 $401 $401 $11 $11 $11 $13 $13 $13 Assoc Production Manager - A $460 $460 $460 $243 $243 $243 $466 $466 $466 $235 $235 $235 ($5) ($5) ($5) $9 $9 $9 Coordinator $259 $291 $324 $139 $156 $173 $263 $297 $330 $147 $166 $184 ($5) ($5) ($6) ($9) ($10) ($11) PA $180 $203 $226 $94 $106 $117 $234 $264 $294 $93 $104 $116 ($54) ($61) ($68) $1 $2 $2 Editor $648 $721 $795 $296 $330 $363 $613 $682 $751 $275 $307 $338 $36 $39 $43 $20 $23 $25 Software/Dev - A $1,208 $1,208 $1,208 $492 $492 $492 $1,194 $1,194 $1,194 $516 $516 $516 $14 $14 $14 ($24) ($24) ($24) Software/Dev - B $758 $761 $764 $272 $272 $272 $815 $815 $815 $280 $283 $287 ($57) ($54) ($51) ($8) ($12) ($15) Digital Template Lighting, Comp, Shaders (Look Dev) $762 $854 $947 $360 $393 $427 $846 $949 $1,051 $345 $377 $409 ($84) ($94) ($104) $14 $16 $18 Match Move $708 $792 $876 $347 $379 $411 $731 $816 $900 $344 $376 $408 ($22) ($23) ($24) $3 $3 $3 Dust Bust, Roto $744 $833 $922 $363 $397 $431 $655 $730 $806 $314 $342 $371 $90 $102 $115 $50 $55 $61 Texture Paint $776 $860 $943 $403 $436 $469 $803 $898 $993 $353 $385 $417 ($27) ($38) ($50) $50 $51 $52 FX Animation $770 $862 $955 $362 $395 $429 $862 $959 $1,055 $367 $402 $436 ($93) ($96) ($100) ($6) ($6) ($7) Simulation (Cloth & Hair) $723 $810 $896 $358 $392 $425 $836 $935 $1,033 $376 $411 $446 ($112) ($125) ($138) ($17) ($19) ($21) Matte Painter $718 $803 $889 $353 $386 $419 $871 $974 $1,078 $346 $377 $409 ($153) ($171) ($188) $8 $9 $10 Animator $706 $790 $874 $298 $324 $351 $815 $911 $1,007 $295 $322 $348 ($108) ($120) ($132) $2 $2 $3 Modeler $648 $705 $762 $648 $705 $762 $480 $519 $559 $480 $519 $559 $168 $186 $203 $168 $186 $203 Setup (Char Setup) $782 $852 $922 $308 $336 $364 $865 $941 $1,017 $331 $361 $392 ($83) ($89) ($95) ($23) ($25) ($28) Pipeline (Shot Support) $782 $852 $922 $308 $336 $364 $865 $941 $1,017 $331 $361 $392 ($83) ($89) ($95) ($23) ($25) ($28) HSC $848 $960 $1,073 $424 $465 $506 $848 $960 $1,073 $424 $465 $506 $0 $0 $0 $0 $0 $0 HSC Coordinator $440 $500 $559 $176 $198 $220 $440 $500 $559 $168 $189 $210 $0 $0 $0 $8 $9 $10 Layout $664 $742 $820 $326 $356 $386 $758 $847 $935 $365 $399 $433 ($95) ($105) ($116) ($39) ($43) ($47) PST $331 $375 $419 $160 $177 $195 $344 $389 $433 $158 $174 $191 ($13) ($14) ($15) $3 $3 $4 MoCap Tracking $826 $936 $1,045 $416 $456 $496 $826 $936 $1,045 $416 $456 $496 $0 $0 $0 $0 $0 $0 MoCap Integration $1,006 $1,134 $1,262 $480 $526 $572 $1,006 $1,134 $1,262 $480 $526 $572 $0 $0 $0 $0 $0 $0 2 SONY PICTURES IMAGEWORKS RATE COMPARISON - GROSS AS OF 07/07/14 Prior Issued Bid Template Rates (v110) New Bid Template Rates Variance (Inc)/Dec SPI Culver City SPI Vancouver SPI Culver City SPI Vancouver SPI Culver City SPI Vancouver 40-Hour 45-Hour 50-Hour 40-Hour 45-Hour 50-Hour 40-Hour 45-Hour 50-Hour 40-Hour 45-Hour 50-Hour 40-Hour 45-Hour 50-Hour 40-Hour 45-Hour 50-Hour Current Rates Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Weeks Fixed Template VFX Supervisor $2,375 $2,375 $2,375 $2,026 $2,026 $2,026 $2,070 $2,070 $2,070 $1,826 $1,826 $1,826 $305 $305 $305 $200 $200 $200 VFX Supervisor- A $4,074 $4,074 $4,074 $3,415 $3,415 $3,415 $4,139 $4,139 $4,139 $3,545 $3,545 $3,545 ($65) ($65) ($65) ($130) ($130) ($130) Sr.
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