Annual Report 1991
SONY
Annual Report 1991 Year ended March 31, 1991 ony Corporation is one of the world's leading manufacturers of video and audio Sequipment, televisions, displays, semicon ductors, computers, and such information-related products as micro floppydisk systems. Keenly aware of the interrelated nature of software and hardware, Sony is bolstering its presence in the music and image-based software markets through Sony Music Entertainment Inc. and Columbia Pictures Entertainment, Inc. A firm commitment to research and development has helped Sony build a reputation as a pacesetter in the electronic equipment industry. Having also garnered recognition as one of Japan's most international corporations by manufacturing in the markets where its products are sold, Sony is expanding its other corporate functions, such as management and R&D, on a global basis.
CONTENTS
Financial Highlights
To Our Shareholders 2
Review of Operations 5
Video Equipment 6
Audio Equipment 9
Televisions 12
Other Products 15
Music Entertainment 18
Filmed Entertainment 21
Directors and Officers 24
History 25
Glossary 26
Financial Review 27
Quarterly Financial and Stock Information 31
Five-Year Summary of Selected Financial Data 32 Composition of Net Sales by Area and Product Group 33 COVER: Consolidated Balance Sheets 34 Sony seeks to create synergies between its hardware and software Consolidated Statements of Income and Retained Earnings 36 businesses. Shown on the cover of Consolid9ted Statements of Cash Flows 37 this year's annual report is a scene Notes to Consolidated Financial Statements 38 from the Columbia Pictures' film Report of Independent Accountants 49 Awakenings (simulated picture) displayed on a Sony home-use Principal Subsidiaries and Affiliated Companies 50 HD (high-definition) Trinitron Investor Information 52 color television. FINANCIAL HIGHLIGHTS
So ny Corporation and Co nso lidated Subsidiari es Year ended March 31
OPERATING RESULTS Thousa nds of U.S. doll ars · Millions of yen (Note 1) pe rcent change 1990 1991 1991/1990 1991
FOR THE FISCAL PERIOD Net sal es ¥2,879,856 ¥3,616,517 + 25.6% $25,649,057 Operating inco me . 295,191 297,449 + 0.8 2,109,567 Net income. 102,808 116,925 +13.7 829,255
Per Depos itary Share (Yen and U. S. dollars): Net in co me ¥ 279.0 ¥ 285.9 +2.5 $ 2.03 Cash dividends 50.0 50.0 0.35 Cash dividends (Note 2) 45.5 45.5 0.32
AT FISCAL PERIOD-END Stockhol ders' equ ity ¥ 1,430,058 ¥1,476,414 +3.2 $10,471 ,021 Total assets. 4,370,085 4,602,495 + 5.3 32,641,809
Number of employees 95,600 112,900
Notes: 1. U.S. doll ar amounts have bee n tra nslated from yen, for convenience only, at the rate of ¥141 = U.S.$1 , the approximate Tokyo foreign exchange market rate as of March 29, 1991 , as described in Note 2 of Notes to Consolidated financial Statements. 2 . Cash dividends per Depositary Share after giving effect to the free distribution of common stock determined on May 22, 1991 are ¥45.5 ($0.32) for the years ended March 31, 1990 and 1991, as described in Note 12 of Notes to Co nso lidated financial Statements.
NET SALES (Billion ¥) 11 '91 3,6 17
'90 2,880
'89 2,145
'88 1,555
'87 * 609
NET INCOME (Billion '¥)
'9 1 11 7
'90 103 '89 72 '88 37
'87 *-- 13
NET INCOME PER DEPOSITARY SHARE M
'91 285.9
'90 279.0
'89 219.7
'88 137.2
'87 * 52.1 *Five-month fiscal period ended March 3 1, 1987 TO OUR SHAREHOLDERS
During the fiscal year ended March 31, a consulting firm in the United States, R&D expenditures during the year
1991, Iraq's invasion of Kuwait, which and other sources. We believe this in review amounted to ¥206 billion eventually led to the Gulf War, had severe recognition reflects vigorous activities ($1 ,459 million), an increase of 24.5% repercussions in the world economy. In to globalize operations and introduce over the corresponding period a year addition, the U.S. economy entered a new products incorporating the latest ago, and represented 5. 7% of consoli
recession in the second half of the year, technological advances-such as 8mm dated net sales. Capital investments
influenced by such factors as declining video products and CD systems-as well during the period increased 27.2%
consumer spending and a sharp drop as the expansion of our software over the previous year, to ¥412 billion
in capital investment. The European business. ($2,920 million), reflecting endeavors to
economy was expected to gain momen- strengthen Sony's production capabilities,
tum with the reunification of Germany; Performance Highlights particularly for semiconductors,
however, rising · inflation and sluggish Sony's consolidated net sales for the image-based devices, VTRs, and
growth in consumer spending prompted fiscal year ended March 31, 1991, magnetic products.
economic deceleration. In contrast, the amounted to ¥3,617 billion ($25,649 Subject to shareholders' approval
Japanese economy continued to grow as million), an increase of 25.6% over at the General Meeting of Shareholders
capital investment remained the driving the previous year. Although growth to be held in Tokyo on June 27, 1991,
force behind domestic demand, despite in operating income was held at Sony will pay to shareholders of record
significantly higher interest rates and 0.8%, amounting to ¥297 billion as of March 31, 1991, a cash dividend
slower economic growth toward the end ($2, 11 0 million), net income advanced of ¥25 (before deduction of withholding
of the term. 13. 7%, to ¥117 billion ($829 million). taxes) per Depositary Share for the six-
Within this operating environment, Sony attained unprecedented results month period ended March 31, 1991.
Sony was successful in attaining the in net sales, operating income, This payment, combined with the ¥25
highest sales and profits in its history. and net income. Primary net income per Depositary Share paid in December
Such results were underpinned by the per Depositary Share (each Depositary 1990, will bring the total annual cash
active development and introduction Share represents one share of Common dividend for the fiscal year ended
of attractive products, which secured Stock) rose 2.5%, to ¥285.9 ($2.03). March 31, 1991, to ¥50 ($0.35) per
continued strong growth in electronics, In addition, stockholders' equity per Depositary Share (before adjustment to
and the contribution of advancing sales Depositary Share was ¥3,964 ($28.11 ), give effect to the free distribution of
from our entertainment businesses. compared with ¥3,917 the previous year. Common Stock determined on May 22,
Moreover, in areas not limited to its Sony actively engaged in research 1991, at a meeting of the Board of
business performance, Sony's corporate and development activities targeted Directors), equivalent to the previous year.
image won extremely high acclaim in at creating competitive new products.
Japan and overseas, as indicated by
surveys conducted by Landor Associates, Akio Morita, Chairman of the Board (left), and Norio Ohga, President and Chief Executive Officer, in the boardroom of Sony's headquarters in Japan
Electronics years ahead, Sony will pursue the since January 1, 1991) and Columbia
In electronics, Video Equipment following medium- and long-term Pictures Entertainment, Inc., while sales continued to be strong, under policies to build a stronger corporate creating synergies with its electronics scoring the phenomenal success of the structure capable of responding to any businesses.
Handycam 8mm camcorder and large change in the operating environment, Fourth, in addition to promoting the advances in our highly regarded digital steadily develop its businesses, and more efficient allocation of its capital,
VTRs in broadcast- and professional-use improve its corporate performance. personnel, and other management equipment. Sales of Audio Equipment First, in consumer electronics, we resources as well as improving its were brisk, reflecting the expansion of will strive to accelerate the development financial soundness, Sony will remain our lineup of such products as CD and marketing of attractive and original committed to upgrading efficiency in players, headphone stereo Walkman products and revitalize established all areas, from design to distribution models, and mini-component stereos. markets while creating new ones. We and marketing.
In Televisions, sales of color TVs were will also work to expand our operations Finally, Sony will seek to bring healthy, and we significantly expanded in HDTV (high-definition television) all facets of its overseas operations, our computer display business. In the products and information-related including procurement of components,
Other Products category, sales of such equipment for use in the home. R&D, production, and marketing, in even devices as semiconductors and electronic Second, in industrial electronics, we closer contact with local communities. components rose significantly. will seek to further strengthen our oper
ations in broadcast- and professional May 22, 1991
Entertainment use VTRs and displays while addressing
In Music Entertainment, records released a wide spectrum of market needs. We
by established stars and hit albums by will also focus our energies on expand
promising newcomers contributed to ing the scope of operations in areas
sales growth. In Filmed Entertainment, that are vital for future growth, such as Akio Morita
Columbia Pictures and Tri-Star Pictures recording media, semiconductors, Chairman of the Board
unveiled a succession of popular movie electronic components, and equipment
releases, and in February 1991, Tri-Star related to computers, information
Pictures began filming the epic fantasy processing, and telecommunications.
adventure Hook. Third, Sony will intensify its activities
to strengthen its music and image-based
future Operating Environment software operations, centering on President and Chief Executive Officer
and Managerial Policies Sony Music Entertainment Inc.
Sony has overcome various hurdles to (as CBS Records Inc. has been known
become the company it is today. In the REVIEW Of OPERATIONS
VIDEO EQUIPMENT
Comprises home-use VTRs, laserdisc players, video equipment for broadcast and professional use, still-image video cameras, and videotapes. AUDIO EQUIPMENT
Encompasses CD players, mini-component stereos, hi-fi components, radio-cassette tape recorders, headphone stereos, DAT players, radios, TELEVISIONS
car stereos, audiotapes, Includes color televisions/ and professional-use audio monitors, satellite broadcast equipment. reception systems, projectors, professional-use displays, and giant display systems. OTHER PRODUCTS
Spans semiconductors, electronic components, computers, information-related equipment, telephones, tele communications equipment, and FA systems.
MUSIC ENTERTAINMENT
Composed of music and image-based software produced by Sony Music Entertainment Inc. and Sony Music Entertainment (Japan) Inc. FILMED ENTERTAINMENT
Represented by Columbia Pictures Entertainment, Inc., which comprises Columbia Pictures, Tri-Star Pictures, Columbia/Tri-Star International Releasing Corp., Columbia Pictures Television, Merv Griffin Enterprises, and Loews Theatre Management Corp. • l:lectronics VIDEO EQUIPMENT
SALfS OF V/DfO fQUIPMfNT (Billion ¥') '9190 ------744 908 '89'88 ------· 451 573 '87*Fi*ve·---·-month fiscal period e189nded March 3 1, 1987
I/ideo Equipment sales for the I' fiscal year ended March 31, 1991,
climbed 22. 1% over the previous year, uncovered new opportunities, such as
to ¥908 billion ($6,443 million), when on vacation, for people to enjoy
accounting for 25. 1% of consolidated using video equipment. In summer Sony fortified its offerings of VHS decks with this Super-VHS (5-VHS) net sales. Sales of 8mm video products 1990, Sony introduced two successors: model that boasts superior picture quality with 400 horizontal lines recorded major gains on the strength an even lighter model with a body of resolution as well as excellent of camcorders, and home-use 112-inch weighing a mere 690 grams (1.5 pounds) functionality.
VTRs sold well, supported by VHS decks. and one with such sophisticated features
Sales of broadcast- and professional as an advanced charge-coupled device
use VTRs were strong due to brisk (CCD) for improved picture quality as
sales of digital models. well as hi-fi stereo and an eight-times hi-fi stereo, a 10-times power zoom lens,
power zoom lens. Both models and high-resolution editing functions.
8mm Video Products displayed strong market appeal. And, in June 1991, Sony will launch a
First introduced in 1989, Sony's In February 1991, Sony launched in compact and lightweight camcorder with
ultracompact and lightweight Handycam Japan a new camcorder in its "video a body weighing 790 grams (1. 7 pounds)
8mm camcorders achieved sensational Hi8" line of high quality 8mm video in the series. We plan to market these
success; their superior portability products. The unit is equipped with units successively overseas. This upcoming addition to our "video HiS" series of high quality 8mm camcorders offers over 400 In addition, in November 1990, as a horizontal lines of resolution and, with a body weighing only 790 grams complement to its video editing equip Sales of laserdisc players were favorable (1. 7 pounds), is smaller and lighter ment targeted at discerning video than its predecessors. as we continued to augment our offer- enthusiasts, Sony marketed the Family ings with new and lower-priced models.
Studio series, which allows users to readily edit images taken with video Broadcast· and cameras, even at home. Sony intends Professional-Use VTRs to introduce the series overseas from Digital VTRs offer exceptional picture summer 1991. high quality video equipment and con quality even after repeated dubbing-
tinued to actively expand our lineup of a characteristic that has earned strong
Home-Use 1/2-inch VTRs VHS decks, from conventional models support from broadcasting stations and and Laserdisc Players to hi-fi units and Super-VHS (S-VHS) production houses and promoted robust
In 1 /2-inch VTRs, we launched new models. In fall 1990, we began sales during the year under review. At models in the Hi-Band Beta series of production of VHS decks in Malaysia. the National Association of Broadcasters Sony produces a diverse lineup of videotapes renowned for excellence in picture and sound quality in such formats as Bmm, VHS, and Beta. Sony's digital VTRs, with a reputation for superior picture quality after dubbing and long-lasting reliability. are meeting with rapid market acceptance among broadcasting stations and production houses around the globe.
In HDTV (high-definition television),
Sony has already commercialized a full
(NAB) Show held in April 1991 in line of HDTV-related equipment, includ sJ Las Vegas, in the United States, Sony company at the Asian Games held in ing digital VTRs, videodisc players, exhibited a selection of products and Beijing in fall 1990. In addition, we monitors, cameras, and projectors,
attracted wide attention for its D-1 announced the commercialization of and is marketing these products to
format component digital VTR, which is a portable VTR capable of extended broadcasting stations and production
smaller and lighter than previous models, recording and a studio-use VTR that houses around the world. In the future,
its D-2 format composite digital VTRs allows for digital input. We expect to Sony aims to intensify its product
with highly advanced functions, and launch these products in Japan from development activities.
many of its latest broadcasting-related summer 1991.
equipment. In broadcast- and professional-use Videotapes
Sony's Betacam SP systems for video cameras, Sony actively worked to In our videotape business, we achieved
electronic news gathering, studio commercialize new models incorporating large sales gains in 8mm videotapes
editing, and broadcasting are utilized a state-of-the-art CCD, and this, in turn, and expanded our offerings of 1 /2-inch
by broadcasting stations and production helped to expand sales of these products. units. Our metal tape technology, winner
houses worldwide. During the period We also launched a broadcast-use of a 1990 Emmy Award from the
under review, these systems continued three-chip CCD color video camera National Academy of Television Arts and
to build a solid reputation and were with twice the sensitivity of past models Sciences, has continued to earn praise
used extensively by the China Central as well as a new professional-use in the broadcast- and professional-use
Television, the host broadcasting video camera. equipment markets. • ~lectronics AUDIO EQUIPMENT
SALES OF AUDIO EQUIPMENT (Billion ¥')
'91 ------· 882 '90 ------· 722 '89 '88 ------479 561 '87*·---· 190 *Five-month fis cal period ended March 31, 1987
udio Equipment sales expanded A revolution in digital recording and playback, the Mini Disc system A 22.1 %, to ¥882 billion ($6,254 combines the smallness and million), comprising 24.4% of consoli- A wireless remote control and an LCD portability of compact cassette readout that displays the unit's oper· tapes with such advanced features dated net sales. During the term under ational status at a glance make this found in disc media as high-speed accessing, digital sound quality, review, sales of virtually all products Walkman exceptionally easy to use. and superior functionality. in this category were brisk, led by exceptionally strong growth in CD players and the headphone stereo
Walkman series. priced products to upper-end models Mini-Component Stereos
and by marketing new portable units The superior sound quality and func-
CD Players with further improvements in sound tions of Sony's mini-component stereos
Since launching the world's first home- quality and ease of operation. We also continued to attract a loyal following. use CD player in 1982, Sony's CD players accelerated our product development During the year under review, the launch have enjoyed steady sales expansion. activities for CD players incorporated of a wide spectrum of new models
During the period, Sony continued into radio-cassette tape recorders, from units that offer improved capabili its activities to spur demand for its mini-component stereos, and car ties at lower prices to top-of-the-line
CD players by offering a wide range of stereo units, achieving notable sales models with further advances in sound separate component types-from low- growth in these products. quality-yielded healthy sales gains. Sony's OAT Walkman provides up to four hours of crisp and clear digital stereo recording and playback in a compact and light body weighing only 420 grams (0.9 pounds). The unit features a built-in AID convertor to introduce new models to the series. that can change analog input signals to digital signals. During the year under review, Sony
met diverse customer needs, marketing
Digital Audio Tape (OAT) Players a Walkman that allows users to operate
During the term, Sony commenced CDs and other digital sources. In the the player with a wireless remote control full-fledged activities to popularize DAT future, we will strive to expand our receiver and a model equipped with technology, launching consumer-use lineup of DAT players that meet the an automatic rewind function that can
DAT players-separate component, car new standard while actively promoting replay a set portion of the tape, making stereo, and portable models-in Japan, the expansion of the DAT market. it a handy tool for language study. the United States, and Europe. These products meet the new standard for Headphone Stereo Cassette Players Car Stereos
DAT equipment, permitting one genera Since the first headphone stereo Walk- Sales of car stereos were robust due to tion of digital to digital recording from man was launched, Sony has continued the favorable market reception of models Sony has launched the PCM- 7000 series, a professional OAT system that meets the rigorous requirements of broadcasting stations and produc tion houses. The system provides the superb sound quality that only digital technology can offer as well as a rich variety of features appreciated by professionals, such as time code recording, which allows for more sophisticated editing capabilities.
featuring CD players that incorporate
10-disc autochangers and the introduction of lower-priced units. which uses an ultrasmall magneto-optical
disc only 64mm (2.5 inches) in diameter
Audiotapes that allows up to 74 minutes of digital speaker systems that use infrared
Sony actively promoted its audiotape recording and playback. We expect the beams to eliminate the need for speaker operations, introducing cassette tapes Mini Disc's exceptional portability and cords, thereby affording users exceptional each with distinctive characteristics, such ease of operation will help to create a new freedom in laying out their systems as units with recording times that meet genre in personal audio entertainment. and a new way to enjoy music. specific needs and models equipped Sony's professional-use audio with the "ES Mecha" drive mechanism Other Audio Products equipment has earned the praise of that controls vibration. In radios, Sony released a range of broadcasting stations and production
unique products, including a portable houses. We are developing this business,
Mini Disc Systems model that through its built-in ultrasonic centering on digital audiotape recorders,
In May 1991, Sony announced the sensor operates automatically when a CD players, CD mastering systems, development of the Mini Disc system, person approaches. Sony also introduced and other products. • t:lectronics TELEVISIONS
SALfS OF TflfVISIONS (Billion ~ '91 11111... 552 '89'90 ------342 446 '88'87* ------_____ 129 315 *Five -month fiscal period ended March 3 1, 1987
Sony strengthened its production
system-from the manufacture of color
Television sales during the fiscal picture tubes to the assembly of finished J year ended March 31, 1991, televisions-in Japan and other Asian expanded 23. 7%, to ¥552 billion countries, the United States, and Europe.
($3,918 million), representing 15.3% of In the United States, augmenting
consolidated net sales. During the period, Sony's color TV plant in San Diego are 1991. In Southeast Asia, we operate
sales of large-screen color TVs continued a facility in suburban Pittsburgh that is plants producing color TVs in Malaysia
to be robust, and in professional-use scheduled to begin assembling color and Thailand and are constructing a
equipment, projectors and computer TVs in spring 1992 and a plant under facility in Singapore that is due to
displays posted impressive growth. construction at this site slated to produce begin manufacturing color picture
color picture tubes as of fall 1992. In tubes at the end of 1991.
Home-Use Color TVs Europe, Sony operates plants in Bridgend,
and Monitors in the United Kingdom; Wega, in HDTV Monitors and Projectors
Sales of home-use color televisions rose Germany; and Barcelona, in Spain. Our H DTV operations had previously
substantially, reflecting endeavors to ac- During the year under review, in addi- centered on professional-use equipment,
tively introduce new products in overseas tion to expanding the Bridgend Plant, but in December 1990, we launched
markets. In Japan, we also worked to Sony began building a second facility a 36-inch home-use HD Trinitron color
fortify our lineup of models equipped in the suburbs of Barcelona that is television in Japan. The unit features a
with built-in satellite broadcast tuners. scheduled to become operational in fall newly developed color picture tube and Trinitron color displays, long appreciated for their use as computer displays, are also employed in medical equipment, where vivid images are demanded in a wide spectrum Sony's giant display system of applications, from research JumboTron has been installed in the to education. main stadium for the 1992 Summer Olympics to be held in Barcelona. The JumboTron is in place in indoor and outdoor stadiums around the world, providing spectators with instant replays, close-ups of the action and competitors' expressions, and an overall heightened spirit of competition.
a wide aspect ratio (16:9), providing
for high resolution and brightness. In
addition to receiving ordinary ground
and satellite broadcasts, by connecting
a MUSE decoder to the new model,
users can enjoy HDTV broadcasts,
which are expected to gradually
increase in the future, and a variety
of other image-based media.
In professional-use HDTV equipment,
Sony launched sales of the HD Trinitron
color monitor, equipped with the myriad
functions required by professional users. The home media center La Vue incorporates a television. video and audio equipment. and a laserdisc player in a fully integrated system. The number of events that are using La Vue can be operated by a single HDTV equipment is rising sharply. remote control to turn the power on The fmi Wada Bridal Costume or off and otherwise manipulate the Exhibition used a 300-inch HD equipment individually. projector that enabled the audience to admire even the most delicate qualities of the fabrics and added a theatrical air to the music and images in the show. has been selected as the official display
for the Seville '92 Universal Exposition
in Seville, also in Spain.
141 We expect the unit to have applications
not only in broadcasting but also in Professional-Use Projectors
such areas as special events, marketing Sony has taken advantage of rising
presentations, and corporate advertising by broadcasting stations, educational demand for large displays and main-
as well as in medical institutions. Sony's organizations, medical institutions, and tained a leading share in the market
HD projectors, videodisc players, and a wide range of other discriminating for projection systems by establishing
other equipment have been installed users. Demand remained robust for a strong market niche for their use in
in The Coca-Cola Company's memorial personal computer displays and graphics presentations and information displays.
pavilion in Atlanta, where they are used displays, contributing to significant During the year in review, Sony's
to introduce Coca-Cola's corporate sales growth. 15-screen projection system was installed
activities and show its commercials. in Japan's largest aquarium, and other
Giant Display Systems of Sony's color video projectors were
Professional-Use Displays Sony vigorously developed its operations purchased by major corporations,
Sony's Trinitron color displays are well involving its giant display system computer manufacturers, and airline
recognized for superior picture quality JumboTron. The system has been companies for use in audiovisual systems
and resolution. These products are used installed in Monjuic Stadium, the main on aircraft. The easy projection of high
by computer manufacturers in the United stadium for the 25th Summer Olympics quality images has supported healthy
States and other countries as well as to be held in Barcelona in 1992, and sales of these products. • 1:/ectronics OTHER PRODUCTS
SALES OF OTHER PRODUCTS (Billion ¥')
'91 542 '90 420 '88'89'87 *------____ 102 271 329 *Five-month fiscal period ended March 3 1, 1987
ales in the Other Products category Sony's late$t optical pickup boasts a simplified architecture that accom S rose 29.2%, to ¥542 billion plishes with one laser lens what ($3,846 million), constituting 15.0% Sony's ACCES in-flight entertainment previously required two, enabling system is now available aboard the smaller and more reliable products. of consolidated net sales. During the international flights of All Nippon term in review, such products as semi- Airways Co., Ltd. ACCES provides personalized filmed and music conductors, electronic components, entertainment and video games and information-related equipment for passengers as well as flight technologies. Also, full-scale production, information. showed healthy sales increases. centering on assembly of bipolar ICs,
commenced at Sony Semiconductor
Semiconductors (Thailand) Company Limited, which
Sony produces a range of devices, ¥160 billion ($1, 135 million), 50% of operates our first overseas semiconductor including metal oxide semiconductors which was sold to other manufacturers. manufacturing facili(¥ In the United States,
(MOSs), such as static random access In August 1990, we completed a new we installed at Sony Microelectronics memory (SRAM) chips; charge-coupled wing at Sony Nagasaki Corporation Co., Ltd.-which was established in devices (CCDs); and bipolar ICs for with a clean room for the manufacture February 1990 in San Antonio, Texas- consumer audiovisual equipment. Sony's of SRAMs and other leading-edge a semiconductor wafer processing line total semiconductor production for semiconductor devices and a design that we expect to bring on stream the year under review amounted to center for large-scale integration (LSI) at the end of 1991. Sony's PalmTop may be operated entirely-including inputting characters-with its attached pen, bringing humans and computers closer together. This model, to be launched in July 1991, weighs only 355 grams (0.8 pounds) and offers significant improvements in portability.
Concerning R&D, in October 1990,
Sony announced the successful
development of the world's fastest
large-scale gallium arsenide gate array.
This device is expected to be applied
: in microprocessors used in workstations, I I • I . • graphics processors in image-processing I • ~ I ~ ~ • ~ " equipment, and other equipment requiring ~ • '" .. .. . \ " '" , I ~ , " .. •I,. high-speed data processing capabilities . , \ r ; " I.._ ... " ~ " , ~ , "· , f ... . , Components I '' I I I In addition to playing a role in supporting
production and quality of its pace-setting
visual, audio, and information-related
equipment, Sony has increasingly sup
plied such components as video heads ·
for VTRs, mechanical decks, optical
pickups for CD players, and heads disk in 1988, Sony is now establishing
systems for volume production of both
disks and drives.
Also in magneto-optical disks, in Such leading-edge products and for 3.5-inch micro floppydisk drives technologies as 8mm camcorders February 1991, Sony announced that it are manufactured with Sony's own to other manufacturers. had developed the I RISTER (IRIS Thermal FA systems. Incorporating our wide In May 1991, Sony's production of experience in manufacturing, our Eclipse Reading) technology, which production lines optimally meet optical pickups for CD players reached diverse needs and have earned high enables the readout of data in the 63 million units, which means about praise from our customers. sequence of very small recording half of all the CD players in use in the pits much shorter than the resolution world today contain Sony's pickups. limit of conventional optical theory.
Sony is dedicated to improving its When used with conventional lasers, production capabilities for optical pickups offerings in its 32-bit super workstation I RISTER technology provides for a sixfold as well as to upgrading their quality NEWS series and, in summer 1990, increase in the storage capacity of through automation. To keep abreast of introduced a portable laptop model current magneto-optical disks. With rising demand, in addition to its facilities to the line. Further, in July 1991, the development of blue-light lasers in Japan, Sony produces optical pickups we will introduce a new model in the in the future, even greater densities in Singapore and the Republic of Korea PalmTop series of personal information can be expected with the IRISTER and expects to bring a plant in Bayonne, tools, which enables data entry with MO disks, theoretically achieving
France, on stream in summer 1991. handwritten characters. a storage capacity of more than
In 8mm camcorders, the ingenuity 20 times that of existing disks. and quality of Sony's multilayer printed Information-Related l:quipment wiring board technology have won Responding to an anticipated rise in Telecommunications l:quipment acclaim worldwide. We will continue demand for 3.5-inch micro floppydisks, Sony's still-picture transmission working to develop technologies and Sony began production of 3.5-inch micro technology received a 1990 Emmy Award expand production with the aim of floppydisk drives in Malaysia in May 1990. from the National Academy of Television creating products that feature even Able to record 650 megabytes of in- Arts and Sciences. Following its launch higher density capabilities. formation on one disk, magneto-optical in 1987, our Electronic Still Video
disks are anticipated to lead the data System-including cameras, recorders,
Computers and media fields and register rapid and still-image transceivers-has found
Since launching its first model in 1987, market growth. With the launch of the wide-ranging applications in news
Sony has continued to expand the world's first 5.25-inch magneto-optical reporting and business communications. • ~ntertainment MUSIC ENTERTAINMENT
MUSIC ENTERTAINMENT SALES (Billion '¥)
'91 474
'90 ------· 455
'89'88 *------·- 39 340 *Sales after the date of acquisition of CBS Records group
usic Entertainment sales for the Myear in review increased 4. 1%, to ¥474 billion ($3,362 million), representing 13. 1% of consolidated net sales. Sales were buoyed by a number of hit releases by international super- achievements were made by vocalist stars and newcomers around the world. Mariah Carey. Virtually unknown a year
ago, Carey won two Grammy awards,
Sony Music l:ntertainment Inc. and her debut album has sold seven
Sony's recorded music and music million copies worldwide and remains video group in the United States and near the top of the U.S. charts. The who enjoyed multimillion sellers included other international markets excluding worldwide phenomenon of New Kids George Michael, Billy Joel, Michael
Japan-officially renamed Sony Music on the Block continued unabated, with Bolton, Gloria Estefan, the Vaughan
Entertainment Inc. (SMEI) on January sales of their five albums passing the Brothers, and Harry Connick, Jr. The
1, 1991-continued to enjoy great 1 0 million mark. New Kids' home-video CD reissue of 55-year-old recordings sales success around the world. offerings also remained the main con- by the blues master Robert Johnson
In an industry that thrives on new tributors to Sony Music Video Enterprises' became a surprise best-seller worldwide talent, the year's most outstanding industry-leading results. Other artists and won another Grammy. Mariah Carey's Columbia debut album reached number one on New Kids on the Block continued the U.S. charts and propelled the their phenomenal success during 21-year-old singer to two Grammy the year. Sales of the group's five awards, Best New Artist and Best albums topped 10 million units, female Vocalist. and their music home-video releases were major contributors to Sony Music Video Enterprises' sales performance.
Sony Music International launched new subsidiaries in the Republic of Korea and Taiwan during the year and again produced a long list of successful recordings around the world. Artists whose releases became hits in a variety of countries included Spain's Julio Iglesias and Australia's Midnight Oil. Sony
Classical G.m.b.H., of Germany, scored a rare double success by simultaneously reaching number one on Billboard's classical and "crossover" charts with Hit recordings by l division of SMEI, but following con clusion of the agreement has been accounted for under the equity method. During the year under review, Columbia House registered sales of ¥99.1 billion recordings by the late Vladimir Horowitz ($703 million), of which ¥79.8 billion and John Williams with the Boston Pops. ($566 million) were included in Sony's Sony Classical also opened new record consolidated sales. CD reissues of past hit recordings, ing facilities in New York and Hamburg, gained market appeal across generations where the division is now based. Sony Music Entertainment of music enthusiasts. On January 8, 1991, SMEI and Time (Japan) Inc. Warner Inc. concluded their previously At Sony Music Entertainment (Japan) CD Software Business announced agreement to form a joint Inc., as CBS/Sony Group Inc. has been The Sony group produces CD software venture-now called The Columbia House known since April 1, 1991, major hit in three countries-Japan, the United Company-for the direct marketing of releases by such Japanese artists as States, and Austria-and expands its music and home-video products in the Princess Princess, Shogo Hamada, manufacturing capabilities virtually every United States and Canada. The new Dreams Come True, and Kome Kome year. As a leader in the CD market, company is expected to expand on Club were accompanied by strong Sony will continue to be active in the Sony's long-standing leadership in this sales of albums by overseas stars. In music entertainment business, with field. Columbia House was formerly a addition, the CD Masterpiece Series, primary emphasis on CDs. • entertainment FILMED ENTERTAINMENT FILMED ENTERTAINMENT SALES (Billion ¥) '91 ------· 258 ·go ·•••••••• 93 *Sales after the dates of acquisition of Columbia Pictures Entertainment, Inc. , and Th e Guber-Peters Entertainment Company J:= ilmed Entertainment sales for the Columbia Pictures' Misery, starring Kathy Bates and James Caan, J fiscal year ended March 31, 1991, achieved huge commercial success were ¥258 billion ($1,827 million), CPE is currently developing its new and critical acclaim, with Kathy Bates Columbia Studios into the most earning the Best Actress Oscar for accounting for 7.1% of Sony's consoli- technologically advanced and her performance in the film. dated net sales. Led by Chairman of the service-oriented facilities in the industry. Columbia Studios is Board and Chief Executive Officer Peter already becoming a showcase for Guber, Columbia Pictures Entertainment, state-of-the-art digital sound tech a single home for all of its employees nology and Sony's high-definition Inc., comprises Columbia Pictures, Tri-Star video lab. and creating a magnet for the industry's Pictures, Columbia!Tri-Star International creative talent at its new Columbia Releasing Corp., Columbia Pictures Studios' facilities. Television, Merv Griffin Enterprises, and Loews Theatre Management Corp. of the entertainment industry, CPE has Motion Pictures a strong infrastructure now in place and The U.S. box office showed continued Columbia Pictures Entertainment, Inc. is well positioned to become a premier strength with its second consecutive (CPE), began building the foundation for force in global entertainment through $5 billion year in 1990. CPE continues long-term success in 1990. Assembling the 1990s and beyond. to drive this growth, again ranking a dynamic management team that has CPE also made significant progress among the top studios in U.S. and attracted proven leaders from all areas last year in moving toward establishing international market shares. Tri-Star Pictures' Total Recall, starring CPE's 1991 release schedule features Arnold Schwarzenegger, has earned some of the most exciting talent $120 million in U.S. box office receipts CPE management has moved rapidly in the entertainment business and is already generating enthusiastic alone. Look Who's Talking Too, Tri-Star's to strengthen motion picture development anticipation among moviegoers worldwide. Key releases include sequel to the 1989 blockbuster, has and production and to form long-term the titles featured above. generated substantial profits for CPE relationships with such leading creative and, like its predecessor, has been forces in the industry as James L. Brooks, highly successful in the international Penny Marshall, Danny DeVito, and marketplace. Sydney Pollack and visionary young theatrical operations reported their best Columbia Pictures' Misery, talent, such as the Hudlin Brothers year ever in 1990. Investment in new Awakenings, and Postcards from the and 23-year-old director John Singleton. theater construction is expected to Edge all performed strongly at the box CPE's schedule of upcoming releases enhance the growing importance of the office and earned major Academy Award for the remainder of 1991 has generated international marketplace, which already nominations, with Kathy Bates winning unprecedented excitement throughout accounts for more than 40% of CPE's a Best Actress Oscar for her brilliant the creative and business communities. motion picture revenues. performance as an obsessed fan in Propelled by the success of Tri-Star's Misery. Flatliners was a major summer Look Who's Talking, which last year be Television and fall hit for Columbia Pictures, came CPE's biggest and most profitable Columbia Pictures Television (CPT) breaking new ground in the thriller genre. international hit, CPE's international continued its strategy of building the Hook, to be released this winter in the U.S., stars Dustin Hoffman as Captain Hook, Robin Williams as the adult Peter Pan, and Julia Roberts as Tinkerbe/1. With changing moviegoer demographics spelling success for many family-oriented films, Hook will become the family entertainment event of the decade. strongest creative roster in the industry to maintain its position as a leading supplier of programming for the four breaking sixth straight year and con- major U.S. television networks. During a half-hour comedy from James L. tinued to generate substantial revenues the 1990-1991 television season, CPT Brooks, creator of The Simpsons. for CPE. produced a total of 15 shows for network Operating within CPE's newly stream- television and continued to rank first lined international organization, Columbia fxhibition in the production and distribution Pictures International Television devel- In May 1990, CPE brought a new of prime-time half-hour comedies. oped new ways of exploiting CPE's management team to its Loews Theatre In addition to its long-running hits vast library of filmed entertainment. Management Corp. exhibition circuit. Who's the Boss?, Married ... With CPE recently sold the largest package The team is already capitalizing on Children, and Designing Women of feature films and television series in Loews' powerful strategic base of theaters CPT's new series, Baby Talk, had one the history of the Spanish marketplace. in major population centers and is of the most successful debuts of any Merv Griffin Enterprises' popular game planning to add more than 150 screens show this season. CPT's powerful show Wheel of Fortune and quiz show in 18 key locations over the next two lineup for the 1991-1992 season will Jeopardy! ranked first and second in years, bringing the circuit to over the feature several new shows, including U.S. first-run syndication for a record- 1 ,000-screen mark. DIR~CTORS AND OFFIC~RS (As of March 31, 1991) Founder-Honorary Chairman Masaru lbuka Chairman of the Board and Representative Director Akio Morita President and Representative Director, Chief Executive Officer Norio Ohga Senior Managing Directors Tsunehiko lshizuka Tsunao Hashimoto Koji Adachi Kozo Ohsone Minoru Mario Managing Directors Kazuyuki Shirakura Fumio Kohno Standing Statutory Jiro Aiko Auditors Kiyoshi Yamakawa Toshio Sakai Junichi Kodera Eijiro Oki Yoshiyuki Kaneda Akira Nagano Statutory Auditor Kenji Tamiya Kazuaki Morita Masahiro Takahashi Senri Miyaoka Shiro Koriyama Directors Yoshiro Kato Koichi Momoi Toshitada Doi Ryoichi Matsuda Akihisa Ohnishi Nobuyuki ldei Jakob J. Schmuckli Teruaki Aoki Deputy President and Deputy President and Deputy President and Michael P. Schulhof Representative Director Representative Director Representative Director Hisanaga Shimazu Masaaki Morita Nobuo Kanoi Ken lwaki Sumio Sana Masayuki Takano Seiichi Watanabe Yusuke Kashiwagi (Chairman of the Board of Directors of The Bank of Tokyo, Ltd.) Kenichi Kamiya (Director and Advisor of The Mitsui Taiyo Kobe Bank, Limited) '( HISTORY ./ '· -· .../ -~ (_ ·-r; -~ -:~- , \. -::, ,., '...... , .. ,, / I~ .!' '.--. '>,' ) ' ,(/: ' ' . ~------;> . - __,· ~(· . ' . I . - "- . '--·· . .;,_ . ' J .- • . :'-). '1'946. , 5 .. Tok)Jo:lTsushin Kogyo (Tokyo Telecommuniq1tions , . ./ 1982. 4 Production of hom~ c.use ·VTBs . commenced in .Stuttgart, EngineeriJlg Corporation) established in To'kyo with _paiq-in · Germany ·- · · " . : . · ~). 2a-pital of ¥190,00,0-.for 'the research· and manufacture cif. 1-98.2.10 .. (:D play~r . m irk~~ed . · .. , ~ , . , r ~ _ - ,.- ' '. ;/ .. / l - ~el~-_o .m__ · mu~f~~tio ris a~d . me_ ~ ~ uri ng ·eq_ i.Ji Pfl)_~ nt '<:'- • -~ • • , ' -- '·- \ -- _ · 1 1 . .-- . 1982.11 · 1/2-inch Beta videocassette Betacam broadcast-use · \ 1950. 7 Japan's first magnetic tape recbrder marketed ,. ' _ c~ mcorder launched "..,_ A. 1~ ~55. 8 -Co,rppany, listed O!l: the ' over-the ~ co~ ~- t~r-- market ' . 1984. 7- So~ . Magnesca)le' !Jl( listed on tJl ( S~co ~ d Section_ ~ ~· bf the Tokyo Stock Exchange {fSE). . · ,_ · of the-lSE , . \. . ) , J __ . -; -· . ·. ~·· . . - -. ....' . ·r:-- """"' ' "" ). 1955. 8 J~pari 's f!.r:sniJI ~ transistor •fadio '· lal!nched ~-, , i _ ,. ". 1984. 9 Magnetic tape' plant. QPened ·in Dax, france · , ~ . ~ 1 ~?8. J~ Co;;,pany -name chahged t~ Sony Corporation . 1985. _1 8mm cam~ order ' based on ~ni~er?al standarq launch ~d - .. -~. (' ',_ ~-·\ 1958.12· .S _,_. (. '_--'_:;_ · .· ( . , )960. -r 5 Wortd's.'iirs,t t~ansistor TV_J aqpcll"e{ \ ~- 1987. 1 32_:bit·NEWS, w~rkJJafion intro9uc~d _ . ~ I. < / l t.~60.<12 · Sony Ove~ ea~ S. ~ : establish'~~ . i~ . Switzerlan·d ~' , . , . 1987. 2 -Subsidia ry' to m.anufacture. precisidn 1 parts anQJprovide\ :r . ',. ,I 1961. 6 Sor.w's ~bares · off~ red on the_over-the-counter market · / ' productionr technology s'uppqrt for other_ Sony group ~ -!. / -;-- of_the New York Stock Excli~nge ( NYS'E) I_ • • • - menibers· in rAsia -. established iri Singapore ?l. ;.,' 1961\ 6 Research -Center .opened ·' :'f • , 198.7 • .;3 Saies 9f digital ~ .udio tape (DAl). de~ ks - l~uncneg 1-963. 7 -~ World'~ fir;st· compact tsansistor -VTRJ iaujlc;:he(f--, 1:9,87., 4 Plant -·for produ<::tion of key c a,r:ny orten t s ~· for -Cil ' play~rs ;- --·. - 1965.__}_3 Sohyrfektronix Corp. o~ation, a '50-50 ·oin't ~entur~ ~ith ... · ' . --~md Bmm video eqwiprdent br~ught on stream in Afs.ace, .· ·. ' ) 1 • ' \ - ( j' " ..... Tektronix Inc:; of t ~e United States, established . ·r · . ·- france _ - · _ \\ · (1 __ J.968. 3 ' cBS/So~ Grou~ il -a s'o-so' 'joi~t ventu~e 'with .CBS· Irk .. ~ .. .- 1987. 7 S9ny 'chemica)s GorporatiQn )isted oo the Second s~.cF ion - I;; 2 1 :; /. ·~ ofthe Uni.ted-5~ates, _ ~ fablis~ _ed ~ (So nY · pcquired _-1 QO%_ " ~-:...l'ofthe lSE . .- -~. ·-·{ : i · • ----:_ 'I / \ ! ~terest in J ~ 11uary_ 1988 an~ · rena~~ so.ny Music Entert~inme ~t SJ~pan) ln<;_,) r:l AprJI 19.91)__ :--- _J C0(1lm ~ nced ~era_!: io~s' ' ~ ·> \ . . ; ' l -. / ·} 1968. 5 Sony (U.K:)· Limited 'founded in the United 1\in_gdom . , . 1987.10 " ED Beta" 11in__e Qf high quality VTRs laundi_ed ... . -:--..: ;. > ""1968.1 0. / World's first Trinitron· cdlor TV ~ old .. -- ~~- . . . .1986? ·1 ---' C~S ~ecords..,_ l~c- ., _the, re~ rd divisJon pt CBS,_-~cquired . fc • ~ 197o:· 7"- sony G. ~ .b. H. ~~ta b li sh~d in ·Germany· (renam~d.Sony (renamed Sony Music Entertatnrflent Inc. in January 1991) - , ,. .· -f. I · ·, ·_·Deyt?chl:and q.itl.b. .~ . in Ju!le 1980) ~ 1988. 4 ~ Plant for the manufa-cture of audio ·equipment.opened -! - ~ · (, r . . ) 1970. 9 Sooy's -shares !liSted on the NYSE ' ' I ' ' in ' M_? laysi ~ . ~ r • . -'). ,' ' ( I 25 '-.: 1971.1 o 3/4-irich U-matic co_lor' VTR launched - 5 pi-a.nt brought on stream _ ,. ·,. · . · .._ / 1.~88. Tele-:isi~n i~ ~ a_laiia ~( 1972. ··8 . Color TV ,assembly plant in .$an [;)iego, Cal_ifornia ." . . . ~ ._ >-198&. '7 , VHS-fbr~at vi_deo ::,e(l~ipm ~ nt intn)~yced . _ 1 •• ------:--, -, • ' '..- ' { J :;. ·<-;'._:. . b[bu.ght ori stream . . --' .: • , ·-< .. 1988. 9 ·. Audiotape plant opened l ~ · )t~ ly _·, -~ __ ~".' .', _ ·. ;, · 19_7.3. 2 ~ Sony Fra·n,ce S.A·;· establi~ hed i ~ ·i franc~ - / > ~ _ ~1988. ~ ·9· ~ .Op ~r9tions c?mmericed at S~ny 's _ videot~pe pla~t- \. ~ _. ,: f ,, , ,, . 1974. '6 ' 'Color TV a'ssembly plant in ~ Bridgend, . . . . I ', ~ .'' l \ ' l . in Thajla'nd ·): ·. "' ' /t . ; • \, · :... .· ~ the-- United Kingdom, corii ~ ~nced operations L.. : (o· ' ( ~ 988.10 Corporate Research Laboratories esta blished:~ through the · \- ' ' . 1974. 8 . 'colp'r 'pic~ ure-:tube plant in' Sa~ Die~o · commen ~~d int~gration of resear<;h facilities for technology, __ produd . . ' )_,;'. _ \l . ·~ perati dns, C(;mplementing the previously open~ d color . , . development; and · i!lformation p rocessing · . · . ~, ·. ~ TV as~ embly plan~ and forrt:~ing the fhst' i~te grate{l color · 1988.1,2 \- Subsid,i-ary to produc-e se'mic"onductors estaoli.shel ...... :" ,. 1 , ... ). I rrv produCtion facility established by- a Japanese company '· '·. - : ~ in Thailand ' "--~ ' ;.,. \ - . ' .- "/. - ' 1975) .2 ' s~ny-Eyeready l~c. ,' 'a · so ~§O,jo in ' t ven,tuie \Nitti · · . --~ 1988.12,-· M ~ica home--use stiil ~id eo syst~ m introduc {d · "'. ''' , -\. \.·· Union Carbide Cqrp. ,. of the United Sfa tes, establi~hed ' ; 1989. 4' ~ . ~ id.e o \ ~i8 '' series of;,HJ:Baod 8~m yjq~o . f q~ipm~ ~t · ~""' ' ' ' _~· -.. \ . · (Sony acquired· 100% . interest in March 1.986 and · -- featuring over 400 ,horiz_p ntal ·· lines of resolution launched · · , ~;_ · . renamed the _,.<;: .o~pany Sony'Ene_rgy_tec In ~ .? · . (...( • · 1 / r . . 1989 6 Handycam· ultta<;Oml?aCt 8mm cam ~orde-\ introd ~c g d ,~ 0 ·'. ~ 975. 5l\. H me-use 1/2 - i ~~h Beta max VT.R launched -- 19S9}- 7 Subsidi~ r)t fo_r. manufa ~ t~re of; 112 :i1J c~ vTRs ·.estab~shed : ·)_ ·-. .: .- -1'977. 1 Broadcast-use one-i'ncb VTR' introduced _/ ,in Malaysia , ' ' · •. ' ' ~,t . ..,. \ ' . ,· - ' r';··' J .. • . ,- ·, • . " :'·,... 197?. ·2 .- ~ ~g~e ~ ic ~~~e ;pl,9 nt in .Pothan, Alab~ma, opene_d_ ·.. · . .1989 ~ 9 ·Materia_ls Re?e~ rc~ C0rporation, ofJ h~ . !Jnite~ State~ 1979. 7 first headphone Stereb' WC!Ikman ·launched . / ·"" acquired -r: I__, / . ' ;- . / ) ' 'I' 197 8 1 1989 1 /·-· ') : .. ) ~ ~_" ..~:~ru~ c~~~~~~~eL~~u ~{~;i~i~~s~~~·~~~dco~~~-~~~t~t -_ - . t ~~~~;~~t;~c~u~~:rt; ·~~~~~rt~~~!~~:·P~~th;:e~ --. c::· · ,. America; ~stablished_ -(In September 1987; __? ony ac~uired ~ 1989.12 . ' Super-VtiS (S-VHS( video pecks. m,arketed ~ ·. I • . ·60% interest and rena~ed the compa~y S_ony ~ruco Lif\ ..' ~ · 1~90 . 4 So nY~S PalmTop per5onal c~rnput~ r ~llowi ~ g h9ndwrltten ·' lnsurant e _Co., ltd., wh~eh · was renamed Sonx L1fe · · d ta ' t . h d :._ ,· . - 1 :--: \ . c' L d . A 'I 1991) '- . . . a en ry 1aunc e . . . InSU(qno2' 0., r ., In pn ' . . \_ -... ' ·'-- . ' . ..:... ·, I L .. .- J · ~- A ~ • · . ' d' . -i B ~ · . F- 199_0.~· 2~ HD Trinitrori, 36 - inEh , horfie .tJ~ e color TV Gbmpatible \ 1 98 0 ;~12 tvtagnetiC tape pant1 opene 1n ayonne, ranee 'th' H. v· · · - h' d . · _ '- -- - . . , - - WI 1 ~ ISIOn (lmages, · 1aunc ,e 19fh.· 4 _ Sony's , HDTV..s o ~ pat j ble. video syst~m ~evelop~d 1991. 6 · " video H18" model in the H-a~ ·dyeam line of _'_) 1 . 1-982. 4 Color picture _tube plan.t in Bridge_nd brought on stre~m ultracompact 8mm ca~co ~:.de ~ -- to be .launahed ) . _,• ~ •/ - \ ,.. -. ' - \ : ~-. ; .. . '-- ; . ) . ( ) . ' ) ' ') ," ; - r r. ; . . ' \ . J ' / ' - \. ~- ' • ) . ,,.f ( / '. ' .) ') . I "' ~-- . ~ ~; ... '; '.· / \.'. ./ : T t' -r '.; ;:.. -.. '· ./ ,-, .. / _.7' , • ~ • .Jl ~· ' 'l • ,_ "/.-' .. . ~'. ~ .{,_. i GLOSSARY l (' ( ) • bipolar integrated ·<;i~cuit : (bipolar I C) ' • metal-oxide~emicondudor integ~ted circuit (MOS I C) An IC that uses both pcisi.tive and negative. charges; · A~ IC ma~e of silicon_or other materials with an .architecture· ' an IC . b~ing a. c_omplet~ circuit with ·extremely miniaturized in which el~ctronic terminals are placed on an external surface -~ ~components_ anc;f highly integrated el~ctronic circuits. Bipolar . that has been oxidized .to enhance insulating properties. The : ICs operate faster th'an MOSJCs, although PO\:Ver'consumption MOS ICaffords ·greater levels of, integratio.n and lower power is larger) :md degree of integration is smaller. - cons_y_mption compared w'ith bip91ar l~s; . ~ • charge-coupled device_·(CCD)· . • ~ultilayer . printed wiring board '- . A charge~coupled device that transfers electrical signals. A wiring _15oard that has circuits sandwiched on top of each - CCD image s~nsors eria.ble smaller and lighter equip.ment other internally in addition to those printed on the surface . . CO[Tlpared With i~age orthicons and do not cause searing and ·.. T~is technoiogy is· typically utilized in Jndustrlal-use: el~ctronic . have no lag and; as a result, have been .increasingly used Ln equipment where• ~igh-density circuits are required; however, / video camer~s 9rid· o~her eciuipment as new electro-nic eyes. Sony_·has incorporated a four-layer wiriryg . board into its . • di~»'ital VTR , . ·-. .- . ·. \ .- , __ · _ --_. Handycam 8"illm camcorders to achieve ·lighter weight ~ ' and more compact. equipment~ . VTRs that record 9nd ._reproducedlgital video/audio signals. _ Appreciatin~.th~ virtual absence of loss ln pictu· r~ quality .after • multiple sub·nyquist sampling .encoding (~USE) editing o~~ repeated dubbing, broadcasting statiqns ~ production decoder · -houses, -~nd other organization$ have been ac;ti~e-ly replacing "A receiver for/ Hi-~ision broadcasts. MUSE- is a <;:ompression . analog VTRs with digital VTRs .. Sony's :digital VTRs include technology .designed to facilitate satellite and. other types -of D-1 for~ at comp~nenC modeJs, which ~ process luminance and broadcasting. Hi-Vision broadcasts nprm~lly require five times ·- color signals separately: enabling image-p-r~cessing . capabilities the transmissior:~ bandwidth of conventional TVs; however, " of high pictur~ q-uality/ These ch~r \.. . J' . {. ·-....__: ~ .. ' • J ./ ·.,· fiNANCIAL REVIfW '·--~-·I. . ' .'• • ''i j. ~~ --= -' / ~~~ I l I '~ ·r. I . .. . . I • 'i < ~~- >.:-.·,(:<;'. '. . 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' ,• ,. . Ma!ch/31- ~' ~ 199J, .~ i~cr~as_ e1 _ ~5 ~_ 6°/oi ..M ~-3,61 ~·? bi_lli_9n .···>s- ,· _.~_,·. CB?-'· ~~G~rd~ lnc ~- has ~~e ,n ;_ ~no~h -~i~~ : ~:~nu.~ry~~1 '. 1_9_9J). -~--::: ... . [·· ~ . > • • . . ., < . "'- ..,._ ~- \ • " . ·.• ~ • • - • / ~ ' •-.. • • r· . ' - . ' ·. ). .. ~-~',~_;·f _- '7' (~?,5 ~649 · ~ ii~~~): •T~is t~e:~~~teq s?lgs W~wtli ~ ~n all .~ -~J-~7t~o~.. :c -~ ·-.~~ }ndJ-- ~~.ub; i~ . i -~ry pf ~~i .m~ Warri"ef.- ln~: - ~?r~-~.' !~ 9.~- C~Iu~ . ?~a~ ) : \:-; _ -~ :prod, u~~~ -- categ~ ~ re7s~~~~ across: ~ ~L~eogra~-r~c · r~g~~~ ~ a ·ri~ _--in ·-~ :---~-_l1o~se ~c:2 tnpa 11i' ?_- 5o:,~o~ pgrtn ~fs"~;~.~P:~onsjst~n: g - ~f t~e ~ t~r~e;_..;, <- · -,n ~v,. ;?_ .. '-~ ~j8bo ~~dd--'· by :fu~or~bte·- ~ ~ ~: exp;n;i~n: of:_8~[,n cam~e>fd~r~'- f ~--s ~~y ~~~ ··a~~ou_p~ed to/·c~u~~;~:; tt~u~'e :~.nd~r:· ~he' ~ uity - '-~--. /. ·tt ...... ~- r . '/ ... ~ .' ·-"''-.' Cr- -, ( . ..: '-' . J. ~ , .'· ,.-..:.· ··.....: "1·.:...,.1--.:.. -~_·, ·. ·; . ·. )~ ·.... ··'.. '..... ~--- ,_ andrg_aiqs i_n brqadcast::..,and prowssioriai,_U'se . v~deo_ eqt~_ip· r:nent~ ·· .· _metho.d wh~rea? .. ~ r.eviously the results - ~rthe - ~usi~~ss ha.d;_~ ,- ._;- ~- .: ...., ?"--:,..._: ...... " . { : /"' \..;...... • • ' . ' ;- <;. ... > - - •, ;- ; . ·,"';. •. • - ..--_>- ... -· -~ ' . . . . - . . . . _j.~ . ~ -:_ ' : ~ eS'p~~ially _ digl: tai.YTR-s. Audio Equi~~~-e,~t sal~s - al~9> r~se 2~ J o/o, ·: ;_been wh611~ - ~- ~ -soliq~t~d. : l}urif1_i_: th ~· year : ~nde cif ~arc: h 3.1: :.. ;- ,,_ ~ '· _...... ) . , ' , . . ' r- - "'-; '' • ~ ) / . ' . ./' , ' r ,, ;---·' refLseti~g · a. ~~vr~ies:. to _ }o_ rti ~ :0-u' r.- ~in fup · ?t s .u~ ~ pr~dwc ~a$ '· -~-- :·; (.. J 991( _~o~u ·rn~fa )~~u~-~ r~· c;orge~ - ~~J e~·· of ~~~- :- 1 ·?rllfon_ --~- -~. _ .\. -' "'''))' ·' .. -.- ·.,.,,, ...... , ·'·~ .:.._... _( ·.__.. r,. ~/"',,, -- ·•. "'~ ., . _.!. ••;;,, ,') .. :> S~ ~p · l9~er:s; . he.adpho~ ~~ s fereo jWaJ~man :· ~~d~l_ s~ an~ -~!n' i ~ . :· .-- _ ($70J . }liiJ ii_~ri), 9f ~hic!J _ ¥~9 .- ~ _ J>i~liQn ~(~?~6 · million Lvt_a~ ~-:.; . _ "~- . . ·.··-~·· ,;( ·~.~'G?mp_?~ent- ste~ ~s : s~· ~~~ i p -·T~j ey is) b~~ ro,se ~~~.. 7~o, \lith c?loc ) re_~~gniz~9 ;i!l -the - ~qris~iaa-~·d ~~suJ.t~:··.·. ~- :~~I''!'/-., ) . . ~-. . ., . ....-/.. ~.'-,. ~.·---;-' ..... /"" I . . -..·- ·.... :;-''-:,I :. ., .· ,) '- .··_./· ··r •: .··,."'\. • '. :-·-·.J: - .__,·\;.·· 0 /~--~ _<~ ~TV:.~selli~~ ·'.weiJ, an~ we sr~,rlJ,f i. c~~~~y ,. ex p~nded: o\u~ comptit~r :r-- ·~·:--:; S~le~ of Filrn~?"_ E~n~l~iri~,e~t j~:JFDp:d : 1 .7~_.~_ /o · , · ~omp~re9 , :' >. .--. I -~ ) isplay ousjri~s ~ -JIJ~- ~he .,.Q(her Product~ - ca EegdrY/~ales 't>("' ·.. · _-·. '· \Yr~h the )p ~viou~ per~od ~ . w h .ich -- coriiprise~d ~ re~~lts for-,the '· ',. I ·• •• '~ --='·-- . ' . / ?' ,_·.. -. ) . -:;. . . . ', "0;;.,;· :·· --:-_ -:__~:; ._ . ;) ' ' :. _,, ... ~. -:'· ...... · ·'- '...:.·· . - ' /;.. .. - -·~ ?uch'- p£0du~t$ · ~":'~ell)k_onduc~rs _- an~ eleetr6riic Gompone~t~;- ·:. ·'four monthsJollo"W ing ·- ~he "'ac,quisi~ions of- _Columbia, P! ~ tures '· '.· .. ~ ~~-~---~' \>,t : 2~~?% . ..:~0 ~ ~ '/ .~. . -~ ~~--' ~ ~ . ' ' :-:.··- ~! - : ~~-" -~. •c c~:~ .p~n~: . ~~c~~~f~i.: '~~~ '' r~l~~~~s ~_ ;sa-;~6rte~ - ~~,a-.di ~~i ·e~~-· ;> ·. -~. -_ ... ~-.i - . ..~ ···,. ~ ...... ·, .. r., _...-., . i-\ \ .. _'_~··. ~_,,,_ ·r- .{ ) ..-' . \~ , -, ~"' .L..._. \.\"' ..• _.~, 1 ·. : hl '~ur e ht~rt"aih(ber1r divisiori.s,: M~sic' · E(lt~c_tain~ ~lii't . _ . ·~ resultS. ; (·:,..._ ~ - 1 ., •r ->· _:.,,._/ - ,.-<';--• ·_( .. :, ·' l. ;:._ ' • • ' • . •'' . fil :~ d ·\ <:""\", • •·. '- Y." . t 'r -. • ' I •'- . '' ' ....>~·. ' ... .,.;1-0o---"';...__-~·~. E11te r fain ine nt 1 _ · · ·. _..'>\- ., . /"- ~ ~ .· I~~ .<-...'' .. ' .;- __::;-J:_' . .- . -' - ~ : ~,.. J .• / ~ •. ; ,- .·, -:'/ ->.; ·~~: :-- . ~· .~ -.. ·) ~- i-:.:/) :: • --'t"' ' ,I' (. .·-- ·, c r:. ':'__ :.:-:.?_~,~,r7 ·.:::...... - ,.- ' ... ( -· ...... ,, ~ ·1- .-. . <·~-' ·'-':, . ( :~. •.. ' r - ·, 'r . (, .;..,\ ... "':\, ·"' ') .. : _J . ) -· (' . ·r ...'!.-. ' ...... I·, /· (' ...... "., . . ( - . I . l. ,._ ·, i 1 '· ..__,.. •• • • ,"":-- )- -) '. ·, • /"( __ .. •' ~ .J J ) • i . ~ """'' ~was sev~re. Sales.increased 9.5% in J.e_pan, .22.9% ·in the 3 Operating income. edged up 0.8% over the previous year; . - . : ' -- ' . . '-·"- . _; ...:.~_, .. . - - . . \ - ....,; - ' . ' ' . - · Un'ited States; 42.2°/6 in Eurdpe, and- 35-:.7% in other ov¢rseas ' - to '¥297.4 'billion· ($2. ~ 1.0 million), front ¥295.2.-billk)n. ~ · ,. 1 . ·c~ rr~Jke~. - $ ale~ . .i; · J~~pan a~c~u -nted for 26.3% of conso!idated - . ' , Go,~sequently,; the r~~o .cl o' per~~ i~g i ~ co~e to net. · ~ ales · .) -, _ ( ~~~ et sale~. · ~it~ qv;;~~as ~~les . a_~~o~nti~~- for 73. 7~/o: -an >> j .-dedi Qed _to ~-2%, J~orl} the~ pr~viousyear_ ~ 10~3%. _ 1 ., I' i'ncrease of3.9 percentage points over the previous yea r~ _. . ·dtrfler-Jncome rose)5 ,?. 7% p\/'er the ·previous ,yea-r, < \ ::_. Cost of s~/es ' c t imbed . 2 9.3 o/o, tb ¥2,50S.6 pill;on ($1~7.77.o ' ~~' to'-- ¥~4:?;.6 bi-llio.(l ($1.,01 r ~illion). This '· nse was -largely ). ' , 1 millio.n): exceeding ;h ; ' Se~~i~g, ge'!,_ei;at,arid admi~istra~fve ~xpenses ~ose .. /'-' fro) ~)5 ..~%. - A~ r re :ult,ineo~~ fronrc~~soli~~ted · s mnpa~i~s . 1 ,-_,. ·24.7%, to ¥887.8 billion-{$6,296 million), primarily asso-ci.ated advanced: 11.7%, _to ¥1'12_.2 oilllon ($796. rn_illion). ·, ·' \'J ·- ..- • • ' 1 ...... _ r ... : .... · . . '1 • with / th~ ~~e !~- ~~pens:{ ~- c~omp ~y ihg - t~he [ ise i ~ net s'!l~s . . ·'-> Equity: ~IJ ea~nfqgs ~~ affiliated__ _,~ o~p~~ie$) umped -_ ·These expenses as-. a percentage--of net ?ales,' however,. . 100.9%,, to ¥4.i bill'ion ($34 million), due -primarily to th~- ,_ • - ·' • ~ ·_' 1 • • ,• _ • ...-/ J~- ·,.. - I . ·,.,- ..- • •, -- -...._ I fell slightly i to _ ~4.?%, versuf 24-7% _t~e previous year. 1:formatio_n of Jhe Columbia House CompanY: .- . ·- \.',. ) . )'I ~. . I. .---( ... :·- ~\.' ...)' -~- ./ \I ( . '\.. ) c.-~'. . ., .. ·•.) . / j I ' ( I. ·' \. ·_ :·--c. ~ '' \ •_;/ (, . ' I ~ ' • . . 1/, '. ----) ) \ '· ..... , OPI:RATI~G tNCOMi (Billiqn~ ':i) (...... -. '91 29i -- ,1. ·-·--~·········---·---· ./ '9P •. •••••••••••••••••••••) ' / • 'J 'I I ~ /)o. 29s ; 1 · 1 'B9 •••••••••••••. . l,, .. 16o -' .-r~- '88' 61 -~ <.. 'J . \ i• . l ~; ; '·s?*- 1,9 .· . -- ·r .:- ) - ·. -1 '·· ( .- '\ _y I} ~.·, . \ :• I " . ·. ',; ·. \ ' . ) ·_J . • ) ·.' ! . . / '87*ililililimi&Bf!Bl 51 .. 1· -· ( ) J ' J .. / *Five-mon'th fisciil perio'd,ended March· 31, 1987 ;..__ . / ·) ../ . ·-). r ',- I ., ( ' " • .I \ ( . I . -' . -\ \, \' ~ .~ ...... I .-" ~ • ..._ .;--· ~-.. ./ ) . ·---, ... ·. ) . -( /' I ('I . ' -· .( ·- ,'\ ' - \. ~ - . _:...... , ~-~ '':::-.,. I ,- ~( 'I - ~ '" -\ -- 1 !,'-\a \', ' ;.,'> )~ / - ( • '\ ::__ • ~ \I i, ' \ ' . [ - . ',' \ _r :.._ ( ' ./ ' ·' - ~ / ; : ~'\- ::- -- '- r :; . ' -: .' /- ' . /' / : ~._ ~ -~ ~ I - - -, I .. _'-- . ' 'j . • '- .. ::- \,_ I "'[ -, ____ ' ,) ~;,c c repr~ se~t~ on_-e - _sh~~e 9~ ~d r~m~ n - ~~ock) ri~c;r~ ~s ~ ~ ~ . · - --__-· D~posita{Y-- ~hare_, was ¥~,964.p4 _($28 .' 11-), _cgm~ared _ wi~ h' ~:' . --.J ;,· , to . ¥285:~- ($2.03), up f;om ¥27Q.O_the previous ~ ye ~ '"·· <··~ '¥3.~16J56 -- ffi ¢>pr~vip u5~ ye~r: -~.r-: . )_ .. I ·~ . r ' . . <- --- ,:_ ·:_ -·, ' • ' ' • - • • '.- '\ • ....:_ )•• , • ) • , r . . . . ·;·· /:. "/ '--c / : ~na (LI!IY ~ dil~ted - net/~COJ!le . l?f!' ' Depo~i~a_ ,.Y Sharf! ' rose; ' '' - -::-U_ude! .. ca.sh flows f~~m _ (nve~~,~ ~(tl~i~ie~ ,'-~otakex?end:- . f ._-, I'_ 1 \ • Jl, to· ¥.285.7 .?(~2'.03); upJro~ ' ¥2_78 ; 9 for the_' prevjous ~e~r. _ ~·-: ·: ~t~re_: a_m9\yn~ed · to ¥578) ' !:>11fion - ~$~-10f:-. 01i_ llio~ k wi~arily ' __ ~~ _, _, I I I - I ' ~ /\.,./ - -- -:- - •.• I . . -- - .... . • - . ' - ' -- ~. - . . . ~ ~ - ' " \ / . < 7 - . '(. ',_.'' . •\ . ',.,: ~ I ) - . "' " - us~d for- ~h S:ac,quisitjor.~-of property, ~ 'plant q.rd eqtJiPf!l~nt and ( 1 -,_ " ' '• Fi~~iiciill P~~~~~n ~n~ !oiq_Uid~tr < ' • :,-_ '• ' -' . • ·. ~~f'~~r~ a ~ of , ,;a;~e~bie ~ew( itie ~as Zkj1 ~S ~~ym inl:; toi ~ '.. _~. · ·:, _'<' ( ·/. -j\t1March ~ 1, 19.j4 ,_to~al . assets .ofi:-Sori\ arid:_its \onsolidated ~.' _, inv.~dn-lentsl, a ~d ad~ rce.s~ lnflow~Jet91~a ¥2~9._3' ~ b~lio·n _ .- v / \ . . . -- / ' . '"':" - ; . - _., ....._ \ . -!t-· .i • 7 ' c . f I --~ 1 ::_.· _' s ' ubf i?ia \ i ~~ ~a: f\l ~ un ~'d to · ¥4~ ~02.5 ' billiori · ($32 ~64Z ruiil~n), _;· · ($t919~~miflion) and incluged , coll~c~ioQs . __g_finv~st~ent:; , a_~d __ .: -~~< J' up/ 5.3.9/o:!Or- -¥232.4. billion! ($1 ,64&milliofi), from '¥4,]70.1- . ' ~ .adyances, 'the -sale ~(shQrt" t~rm· · m~'rket_gble secur;itie's a · ~d : --_ \ -'\ '1 1 .I -qill lo~ : the fig~ re al - M , ar~ h~·:3 i ;' 19eo: ;Q _h~~ . a c tive ' ~ ?Pi-~al - ~_, '- '. fixed' a s .se~s.; and · t'h ~ .: w;th~raw~_l· ot' time' d £ pp~ts. - Con~i-;ue~tly, :_. ,. "' ·\- " ·- ... . "· ; · · . - · - ..... _,.,., · ; __ ·-r - , , .t-.· - ' - ' • 1 inve~tmentsf resulted in a_2o.-6o/o : or '¥'178. 7 billion ($1 ,267 .- .: .. ( n'et - ~ ash used in\ i'nvesting acti ~ities - wa ~ ¥309 ~0 bi(!ioljl ·,· '.'. '' ; - .· I I l ·;_ .:1 ~ , ./- t - . • • ~- .• ' .I ,.. ' ' . . . .- . , . - ' ...__ - ·, ' - . ·'- t: r --,;:__: oT/. ,,; ., - -- ~( -- _,i 1 I rrnilliQn),_advance j'n rproperty; plan(gnd, equi.pmen. t~less )- ,· ' ($?, 191 mOiion) L\ . - . . - \ - -> ' ~ ' ,.- •/ - '- / . - / - I . '· - ' , ' / - . - ....:_ ' ( - ' · '?'c_cu-mulatej 9epLecia~ioh -, principaltyju( to · iJ.l~~~ tiJl ~n~~ h _ ;:;. , _Am go~ ca_~h 'f{o~s .from ~p~iating ~ctj~fties; cff!..prec;i~tion r. 1 -- ~rod~ctio ·n: ~~dlit~~~ . ~ n -'~~9iti~ n ,' i~qy~~~-e~ts ~-nd;_ a ·d-~all~~ ( · f. __ anda/njrfif~~~on r6se ,Jci~p~o r · ta - .¥2_}4.:1/D-i ~ li 'on ).($-1 _ ,5- 1 9 :-- .~ I :· , , 1 ' . '' cehtering on affiliate·d companies, 'increase-d 26.9%, or ,¥45-.3 ' . ·million), refleciing intensive·capi(al · investmen~. This 'amqunt - - I I ~· - - - ) .... • ' - .... ' l-( \ ( .. - '.., - "\ ' ... ,I' I \ \ / J ..... \ , , - ; ~ . \ '( ' - ...... / I I' , . ./I "-~---)\_~ .. billi~fl · ($32~ - rn~llio~).T.h ~ ri-s~ in ~ss~ts iwasprim _~ril ~_; gener~e~ ,.~: c~mpris ~ ~ _ l ifrgel y _t~~~-am~'rt~i~tiDii 1 _ e:. g~odwiU and - irJtat;l~ibl ~- -~ :.< ,, ;~ · _- · fro_m,a cumutative' _\n ~(e~s e in - c~rren_t ,and; iong·term liabiliti~s · .; ;. as·set~~ arising from the acqJ!i-siti .on · ~ ~ - ,\1'\-- /' ..._ //"7 -~ · · / ~~,' / ~..:· •• / ,.·-- .. :.__ /,'-. \( ·-_, J ..... ,'1 ,I"-', \ -, , ('_. r:-- __ ,,. r ... -.,_ .,.- 1,• :; ·-'-~-...-. 7· '\ • _'/--·~-£'' ,., ~- r·. _._.':. ;·· -'-. \ ~. -, \ - "J ;'\~ ,,'-' 'i! ., \. '•'•,.,·_/~', I " 'T =' > ,- 1 • ~~, ) . ' ' . ' : '-') ~' :;" > ' ! '\ ' ' ';:- ~ /: \ ~_;-; '" 1 ,. • • - =-:.' _ 7 ~ ··- 1iJTA(.4SSt:TS AND ST(!CI I • "' \ ./ (' - v·-.-- -~ . 'ly_ ...__') \...... ' : .(' ,, " .----,- ,_)_' 'IJ ) 1' ·~ J '\ 'I . , !_ r (~ VI · .I ' - - ('., '\ ' - \ '- ' ·'I·, /". ')-. .. / ' :;___ ... --; - .::.__ _/ - \'\ . -'- ,, \'' \. \ . (',' ) I .· \'" _,_ / __ - ,. '~ . ( . ·-'. .., ·)' ~~~. ~ ...( ~· \ ' '', .. - \ .. ' y' ' -. . ·--··' /· ( J ) ..:..I . /'' r .. /'( \- r... ,....__J ---1 _: -/. /.,. . ,;' ...... ',-I . ...._...... , r\" ...... l \ j '/ :\<.'--. ./ ) } '' o I·. . .. ! 'r_, . ' . -~ '~ . ··;~-~~ .\. ' \·-:- , __ . .1, '·I,.' .., .·- . ', QlJARTfRLV FINANCIAL ~ _.. _ AND STOCK iNfORMATION _!\ /•- I ~ \. . _, ·'-'-'-- \I/_ I "' !' , < • ~: .$ony. Corpor~ti o n ancrCo Asofldated'-Su_bsidianes '\ -- \ / - ;,__ / · · ·, \ / (Un}iudited) • ,;"- ' / . ~ ..... ~-, ·. ''L '"'--'"' Year ended March.31 - ~' · J ..· .. \I / . ,... t ~ . t-.;' =' ;;...· r' •J ,. ~ ' """":{ \ .. -~ '-. - .-' : -'V • I \ ' ~ :; .-. ~ . Millions of .u.:s, dollars ,. -~· Blllio ~s of_,.y_en ex;;ept be; share amounts· eXCfP.t ,per share amo~nts ' ( 1.. ' ·\ _ ' ,._. i "' .-.. If I i> ...., /· ~J6.6 _ =-; \ / 1-,559.5 / .: ~M :9 ' 24.9 .' ·.\·'' 3-7.8 .. ~ 2&8.- o '~~ -~ . , . ~ >oct1> · ·~ (12.7) _(5.3)- r '. '- (37.6)' i •• ../ J .( ,( . /. • I • -~ (6.8) __,-. . 2~.8_ - 84 . f _\ (11~ 6), / . . - .. :... 59 ~ 7 , / r - . - ~ · ?2.9 ~ ~ / •104.7 ·-'45.8, 3i.:5 / ) 5.2.2 (._ -- , ~$-.6 ·34.5 19.7 ·- 1-39.9· '\ • .~~ ' I ·.,..... 41.9 50.1 . 11.9 . 1;4.~ 1 105;6 ~ .·. I ·•. / ~' ·, :I ·-J' \' · 60.~ · '!i¥""69.; -, \' ~7.0 r-....¥-1(10:7 < \~ ·1.21'.3 '-I¥ 3 0: ~ ,,.¥· \3£.1:' J J .. · 6o ; 1 ~~---- - 69 ~ 6 · ~7.p ~-., "r1o.6 · / ' 1'?1;:r · 30:7 · - 3.7_. ~ _ \ - ( i) / . . ' ' • ') I· ,- (" .,-_. i , ( r ~_: , D ~preci~tfon and' --'~ .. "" '~ ·-- \..; ·' / ( '1.\ '·. . ( · .~ ~ mortization. ·' --- ·,'- ." '¥. 32.1;. -:¥ 46.2 '¥. 36~,9 ·\' SL5 '¥. 46 ~ 1 - -\'' 56.0-. ¥ 49:7 \'- 601.4 r· ~- \ y \.- ',; --~:.. (, . C~pi~~l in't~St;;,ents '1 ,-, '-. I . ' f .. ·'. r~ ( -- \ t 1 ~ ~ 6 -<( :_:: . -\ ~!.... (additionsto Jfixe99 .ssets) . · ~~ : - '.6'1'.1 --~. 77: 6 ·· 8Q_4_ . ..._ )2-3.4 9-2.:.z 953' . J 836.7 ' ''- - -. . / \ \ . 1- - - ( ' ':"'".~" 1 I/ : R&D , exp_end1tures ~ . ·. '. . ·- . . , 35.7- A4.7, · .~:...-- 3"'8:2 _ 53.0 49.~ ·46.0 ,5&.2 • 412 ..7 .. ' - -. - . ( . ? ( "- ~ ,- l.' ) '/ Tok~yo ' Stcick Exchange priGe . ' ,, \. \ ~. :''-" .• . I· .• per share of 'common Stock: . ·..,.. /, r · · \ -.~c-.· ~\~ · \ ''• J \ r. j ,, t 1 \ _ ~ -;; ~' ' .-, \ -...... (' \.. :\ . - ' Hi.E_~· \·· . · . 'f · · .. ·/ . . : · . ~ ¥.8,020 ·-¥~,_160 ¥~,070,J \'9,J59 -¥9,500 - \'_ 7.! 2~0 < ¥8,810 ·\'7, 180 • . Low . -~ -~· ·l · ·'::....: :.< :,- 6 ;ssa·~. ·"· 7~ 5.2o . ·...-:;· ?,sso· _5,soo ,,, '-- 8~ o8o :-- 5,3§.0 !,...-~ 6,8~0 5,9po: ·. ~ '-· i -./ • I f-c- '\ • ) ) I ' ~~~ \~/~., I I_ \ .. New York Sto~k · ,Exc~aoge pricer . \ ~~ .~ , -~ •/ 1 1 :./ .... American _Depositary < ") __ ' · ' ' ' • -"; ~ ·.. ,, I: "": p ~r· 1 Sh~re: 7 1 7 J, _ :;_(:· - ) , • - , - /z / H, • 7 --- ' o' ,I / ~igh, $ ss '/i, -'$' 58)~8' ·~;$,. ,6;2' ·$ 61lr;: $, 65 w $ /~-~J- l); --$ 6,0 '$ 54 {~ - ., ,,... -- ..-- \' 3 3 3 ' , Ld-.y- ~ ; .1/ / -. __49. (4 48,'/"- . 53 /4 ) UP/4- 56 (/4 --. 4.l.. /4 -48- "·4i '/2 ~- . "~\ ·' \. 1 1 I / . 'r 1 ' N ore~ ;~ . -U.S. ;~liar a.mou~ts : ~-a ~~ b'eeh fransfa ted f~m yen, for - ~ p n ~e~ n -ce on~, ~t ~he · ta~e ~ f ¥1'4.1~ : u:S.$1: ~he _ app ;o: irn .at~ · Tok;o· fJ eign ~:·ha~~e - ~ a~ ~et rate :: :, ---: .A. 1 1 \ I ~" a s of M J \ - \ .. -... ; . .. J ~ --- \ ·,.,;-· ' 1 • ·•' -...,, I " ;- ./ , L- •. ., - . .·' ~. ·-· , .. ' (' /' / ' ·I _r \. _;-- .-- r ·.. ~..:. ' ·.(_. ·., .\ .. ..,:; :. t;r .. ,..-: I) L .( -/- ,, } . ':. ·,_z· . I ~ • I . .. \;,_. I • ~ -_·_) ' ... , , ,~_ . { :;.-- I _.,. ~- _,/ . /,. \. \..... ,·- '; ' ,..·-· -. f ·-..,.. / -" I• '/ •• --: /1 -~ I" '_).' ·- :) -.!.· .~ . l \ t'; "":.,.,..- _;- -,_ J -( '-- . (~ ~; ~ '· ,if I / '<_'I ' ,I ~· _. J-: , ,-I .! : :·~ ) ' --./·. , r' /, I• (, ... I '• '';: :-~' -,~-· ,.I ,l ( l. /. ,< '\ .r· I • (0 ,-,..., _-4'. ···-~-- ./ ./ \ - • I _, \ •( .· '.,;... J fiVE~VEAR SUMMAR\' ,..,.. __ '-\ .i_ 'I \I . I ' I-; ·' _I '-: ',> \'.'_ :.-<' I·' Of SfLECTEO fiNANCIAl DATA 1·', ). ../, \ ·,- I • - ·- · ' ., '-- ~ / "- '- J'" ,... -~ony 1:orporation an d Co n s oliaate d':Sub~gl ~ rie s ' I ; . _::;;- -; ..... ______'\.:...·: (J;.I , · .,,. -'-"'{\'/ ' - ,.~. ""'" '\' :-- ' ' :') . \ ,-, . ' )< ·, - r' I I' ;(__ > ; '\ ·\ I -~ } _./ / :-- ·: ·~ -...--=----;:-;-C----"-f.---r-----:--~----:---=-=--r_· __-:::::- ___~ _ cl_,_- _-,· _- _·--:·,--:.--:-___,-----,"--. ::L-··;· ---:--.....,...:----'---=· ::--~-~-L--,--_L__J::_'_·· _-_: -'-~-!_ · - ';----. ~ ,', .,~/ (. __ ,·\.'-'' 'y -. · - •. - . , , ': .,_, ~\· ' Thousands -of ·!"-- 1 1 ' • J ,_. ''~ MilliQfls o~ yeq - ·· ., I _::.. • • ~~- , . _,, , ' U.S. dollars exc,g!pt _ _ . '· 1 . _\ \- -:: . I J:. -- ·p \ except per share-amounts ·' •· 1 .., , "~. p ~ r shlare !J m ~l!ry ts 1 ) ·) -~- 1 1 1 .' · '~ ...:.r : ~--<.. '... , ; \) > ··.Year e nd ~ d , O c t o b~ 3J-:. / -- Year ended ivl:rsh 31, , ,,· .·· · ~ ' ' •• · ? 1 , 1 ( ,_ ?I' - ' · 1 l... , 1 Year ended March 31, :;.. 1 J ' :- ,\-:>.-< - -r;-:-. .1986 -. 1987: · __..;'1988 1989 " t990 '· ~- 199 { . · ,1 1 '\991 . ,;-' '. - . ) - - .,.... __, . I ?-.- '~ '(.. ..____. ~-- I ) .... ' .._. ·fOR !tiE fi,S(Al PERI_OD ..,. -:----.. . J ~ / ,, r . "- -::. ', ·. ·-..:_. • , , . . , , . \. , · Net sales: :.c·' .?<' -. ~ · , r_ -'_,. -'-- · ( . '-' v '- , ,· 1 · ~ ;' ,> <· .. J 1 ;...-·),..,_v ' overseas , . ' · . ,. . . ._ ": .¥1 ;001_,'(5.1r ¥ · 3~ 7 :tl94 ¥-1,017,_? 77 ':i1.4l4-:D32 ~2 : 010,3]8 • ¥2,664 (0s~r:. - $1S,8.~4~~29 Japa q_ ,.._. ·,.: . l.~ 4?0,339 \2 11 ,931' ·2 537,942 · , 731 .2~ -h 869An~ )' _ 95~ ;459 6,155,02S ··' - '"-' - ) '- - , , ) . . , )- . ~~ I • j ., :rota I . ., ~~ .· . :;. ~~- J : -1A52 ;090 - 609,425 - .1,555,219 2,145,329 ... 2,879,856 . .3,616.5_17 \' r 25·,649,.057 I > - • ' I' J ~ ) : I - . ) ) '-:-.5. - ' ::y I • ' . ·, I ' '1.' -, - ' ·':..., ' I I ) I. ) ¥ ( \. • ' / . ·' ,,; ' . -. ·- ( . :_.' ~ \ 'I- : ) ,:._ •. i- I > • - -<. - L) -. ) ")' 0 . . I- .. • . ' 42 144 f9 477 -:- b0,664, -; 60 499 ( 295 191 . 297 449- ( rl' ( • ~ _ p,eratu;~ g mcorn e · --. y . . ·- . ." , -- ; . ,. , ' _~ · ,. . , ,_. ~ ; · ... ' . ~ _, '· ·" 1 ~, _ 2;1 ~9,567 1 > ~~ 1 • ~'- -:- ln c?; rne ' b e,f~re in\: om~ taxes· . 84~ 128 25,62'6 ' ?1,836 - 165,5"1 6 ~ 227,429 264)59·1 1 1 1&] 6,532 1 - ,,. •• -:___· ln c_o'me ' taxes· - . '- ~ \ .' ;. ·-; 48:802 16,105 1 4.:J ,465: -~ ~9?71 ?-6 ....[ ,. 126,976 · f52,398 · '., . ' 1 ,080,837 ) 1 1 .- /• ,/ . 1 J \ I \ _\ ), Ne,H nFome · . ~ . . -.. ,.1 . • 41,244_ 1:3 :254 :._,-, "37,236 .":-..l- 72.49~ '· 102,808_ \ ,. 11_,6,,925 y '( · 829,'255· I i' '\,\ -..,, _.-: - I, I 1_ - , \ , . • .: .c \ ·\ ' ' ,' t ).. , - \ ·~ I r' • I /' ' \ 1 Net' income per Depositary-Share: A~' _ _L, _ - -\;;; > • - -;;~ '-- "'' . 1 , :; ~- -':Ft i~a ~ : ,- .. -- ~ : _ . _ ..:_ : . · • .'~ ¥ · 162:2 ¥ "· 52.1- ¥ ·-,1'3-7.2 --¥· 2'19.7 ¥ '· .2 '?9~o ¥ ~ 285.9 ' .... Full y dilu~ed' -tl.. ·. :,~ . ·:-"'\ 15·1,.4 - ~~: 49 ~3 -=-"-· 132.4 '..-~·-' 218.9 ~· -278,9 -'' 28~.7 - ,( I I ( .r ,..,._ 'J' t '.\ I ~ , I' I ' t_ ' • ·'_.1 - ,· .... l >-"' .. •r--t. \: I' .. - ' ( ,;. -) <' ' and - ';) ( \ I . - \ • ,, r ' r' . I I ,. D~pr :C iatioil ~ ~ 1 "~· '· ; amortization -.. ~ ~- · _( -'., ,' · " ¥ 86,029 ,¥ ·· ~37 ;t~61 1 ¥ . 92,511 -¥ '... 125,790 ¥ 164,751 ¥ 2·14,116 . $~ ;~18 ; 553 ~ - ·' ~ ). ,r -~- r' . (~ pital in~es~me nts . ~- \. ' < ,·' · ·'l ;.~"' ~ · '\ .. !._ -·~' ~--~-·-:__,__· 1 _ ·--._ '' - '" • • -I egdditions _to fhxed -assetst .: . ; '\ ; .. \ -1OS ,207 58( 150 - 1;34 f049 21;5;6.B :.___ 3f . 750 4 1'1 '- \. 2:91 9:518 .~_52, . -\ + / J \• '- R '&D -~ exp ~ r:~diture s · · . ' · " . :-·.· .. ·- "'' f 22,383, 1 51 ~ 182~ 128) 07 ~ 1 _42 , 077' ~ 165,227 205/ 787 · 1 ~45 ,9,482 - . ) -. \ ·' -::,_ . . ~/ ' ' .> 1. .-· ' ,__..) . ~ . ( -' I ~ I ,· - ( - - . ·' -- -· } - -· ~ . "'- . 0 ', .• ' . \ . .' ·\ ..,. - - AT FISCA( ~~RI9E>~ E. NP ',· ' . , ·. - '- I " . . - G - ( ; ~ ,I I \ -) ,) ·/ ' ) \ ' J 1 ,· . 1 Net y.torking capita!. . -__. y_ · 359,405 ¥J\347,93S ¥ -140,'353 '¥ - 348,4'Z6 ¥, 205 ;~fl2 c ¥ 1.29,,04 $ . 921-~304 ' /o:• '<-<' 7 . ·;: ~2 1 -:- _§ t~ck~' olders' ~·guit;. ,' ~ ·-.. -'><. -: ~' 60'0 ~9f~ 6,03,8-16 - } 646',0.76~ . 91 ~ 8 -1'6 ,1_,430,0S8 ~· ~ 76,41-4' . ~ / 1 o.4 71 ,02·1·, I) 1 1 1 · ;_ · ~ _, $tockholderS,:_e,quity 1_ • "' '- .' :. - -.. ~- - ( vi' ·, .' --r· I:-.; .... ~ / ·: I • I ( ' ' ' - -''· -z '- A~erage numbi r of · ,.,-,_.-~). ... 1. ~-- ·J "'"' .- ' : : / .' c . , 1 ;< ·(,. -. 1'. "· ·-:-'. .. ··shares outst"anding '... - /. :1 ·- I, .::.. -- :.. \' , I·.·· 1 '-I 1 '' d~ ~ i~g' th ~ fiscal p e ri~ cl . ";; \ -~ :; ?:. r . ' • - / ( \ - ''-~ '-. ~-- - ;..-·· .-· .:. (tbotJ sq_nds of~ hpres),.... ~ .<. 254,346 254.360 274,560 \ 3~4.· 3'3 ~ 371 ,45Q I >417,2\)t' "' ~ ..__: ··, · : /, . ~ (', N~mber .ofsha-re s ·iss.Lied . 'J' - -:~...... l< ·~--,, ~~ ,_ • \"~. /~ • • -·''· 'A' -L·~.<- ·0 I -_.J -' .. \ ·~ t'fis~al - pe qlO'd-enc( '·· ' ·, , ~ ' -· , ( • ,.. ~ i , .-~ 1 1 1 1 - '(thousan,qs, of shares) · . 1 /.·. ·231 ,225 1.... ·~ 23:1,236 ''238,769 f 82';6_Q3 "3) ~.i_2~) · 3'38,593 ._- '·. :r \ '._\ . .'·' ·,- '- ~ I' . ' ....._ . . . ' . /; ; ' 0 • ' A I ) \ ,. - ,; . I -- . • : ,, ,.. I \".. ·I". ,_ "' \ ' I . ... ~ • \ .!.. " •• 1 ·\ " ~ T ~~; ~ f'! ot; ; f ~Fd ;llar a' ~p unts ; a-v~ b:{n tr~~ ~ ~ ~. t~d- ;ro ~ -ye n ~ for' ~o~~~ i ~ n te o nl y ;~at " th ~-. r 1991, as-desFribed _iJl J~o'te 2) of N o te~ to Con_so lidated fin ~ nci ~ l S t a t e m e~~ - ~ \ · / \ , . 'l"' ·I )- , 1 ";·.. • • 1 :~ . . . \ ' ,.. 2. As ot'-M arcjl 21, 1991, the Compa11y had 62~ conso l(aa te-d ·SL! bsigiaries. It )las adopted _the eq'uity accounting method in respect to.l_ts 7 affiliated co mpani es. ' /· ' ' ,, . ;;-- 1 , '3 . .P r i rn ~rv -o~t - ~nc o m e p ed) e p ~s i ~ry Sha; e' is c6rh pu te d -,~: ;d on _the) a vet~ ge nul)1ber o\ common ·s~ ares ~ utsta n.ding during e~~ h period a ft~r c~- ~sidefa~o n · of 5he dilutive' / < - > ~~ .,_ ~. - /. effect of 'comm_p n stpck equ1valents whJC.h 1nclude warrants ,and certam c1nvert1b.le bondt>- fully ~ ~~ ~ te d !let InC,? me pe! D e p o s1ta ry~ S ~ a re furthe r [email protected] th_at all other :. , >- 1 t '· I :'· ; ', ' " • • • convert1Di e._9onps and• debentu res were con\e r~ d Jnt oc ~ mm o n ~s tock . ./ :I 1/ - \ ·-: ' ' '~ . \ - : -I -_ • ' • I { 1 '( ' -' • • 4. All _per share data a o.d t l(e~ve ra ge numhl.erbf shares in!g_rrn ation have, been .a 9 j ~s ted to giv] e~Jes t t O\ t ~e . tfee distrrbOtion of com f)·ion;:stock d e te rmi ~e d on May 22, ) 991 . (.....',·' '- -·-~ However, n·o adjustment 'has beenr made 'to' the number of shares issued -a t the fiscaVp er,iOd-end, as described in Note 12 of - No ~ s to Consolidated financial Statements . 1 1 ':\ ·"" ·5. ~ n J a nu ary- 5,' 1 ~88 : Son y ~ ur c h as ~d 1GBS.Inc.'s Records gro·up and now' holds 1oo%,of'{he sha-res of So ny Musk Ente rtainm e ~t ! ~c. (formerJy CBS R~co ~d s '~lnc.) , . 1 )· . I ' as wei( 65 th'e form er joint venture- Sony Music Entertpinment (Japan) 'Inc. (formi rly I, I_, ,"- -~ I '• ·< -::. ;_ ) '·~.,-.:'~...... :.-- .: :;-- / >·.- 1•- . ( . I y- , / I 1 .....-; ,t / ~r ··- \ : )- - "'S . ; I ~/.~-- ..:· :~ \, ' f ,_ .--; '. \· ' .. I .. ,\, ~· ' '; ...... "' ,• \· ' I •\," ' - 1/ \ ~-- .· I " '> . \ l· \ ' / '\- . ·{ ,. ~ ;.::: •( ) . J. \ -- -~~- ..• ,, /' -...' .( I ; ) . ~ ... - (' (· '' I .1 1 '. . . ·1 I . • • J • ,, ' ., I. ·I I ·; ,.,· . ." ~ . ' i . ' ' ' , I . . I .;.--' I . -- ., . ·' , "( ' ,/ . ' ' - i '\- ,;.\ ., ' ) 1-' /, I \, I : / . '/ ._,. . I '>, ' .-1 COMPOSITION Of NET SALES BV AREA ;- . ) -\ ~:'. ,'' AND PRODUCT GROUP ('' ~· ,., 1 ...._ .'-. r- ~ \. \ ' \ '\ (;. .£.' '\\ ,· :' \-~ ,, f I (. ·.:'·-;""--_· '\' ~ ./ I ~ ------·~- ~~~, ------~\~---:--\~--, ----~-/-~- ~. ---+---~----~;__ - _·__ ~/~~,~~-~~~~--~--~~r~~~~----~.~-,-~--~-·--~-. -~L: -T-h_o_u-sa_n_d_{~o-f-.- -~~~ -- r -/ - ,.-- ··' '- . / ,,- _ -Millions of y~ n _ , -•. , U.S .. dollarS" , J -\ Year' endei-Gctober 31 J ;I Y€ar ended March 31- :\ - · "' \ - ' / ' - '- - ..._ )· , Year ,ende.d March 31, \ I\ 19'86 ' / .,_' ' 1987*, 1988 ' 1989 J/ - __19_ 9_0--"'-----,., '1 199-1 j 199-J - i ', "-, I• r / ' I· 1-. '.! '- li' . :-~r I:: 'I' ,I \ : ~- ' .t ':1.1 45Q~ :39 ':1.211 ;93·1- '¥. 53?-,942 _. ¥ Tfi .;297 . '¥. · 869 ,'4~8 "\:'. '-'9§-2.._4159 ·$, 6;75~5~28', - - ~ f I - ' ' j -- '. I "- . '- '' • > 3 1-.0?Jo . I 34.'8°~0 - 34:'6°/; 34.1 °Jq· .;:,. ._. 3Q.2o/o 26:).% .. ,; ?, --;,' ' ' ) . .... ·;-.::- 4.:35,21"4 434-.473 586-,278 " .ss1,8·1·2-' -1,053,949 .._ ~_nit~d l States ·. ·' :::. ~ ~ -64, s23_ ~ 7;474,8 · 16 '·-~-~ ", \ \ / '' ~o~d ~ - 27.0 27.9; r ' 27;3 -,._ '-- 29.8_._ . 29.2' ;::-- \ / \ -' ':__ .. ··~ ' ! '· / ~ Ehrope '. ·' ,• :7J 15,o45 ·p- . 146.a1 - · 351 ~_ ;262' · \ 497,842 715,422. \~ ·.o1~,'] /. J \ . .o33 '2:1 .( '-. 24.0 \ ' 22.6 23.2 J. _.24.8 28.1 ' •\ ; . ... 1 \--: \' \ -· ·-<...·· / Qthler areas . / . · 17;1 251 ,49Z' 86,53.0 . ~~ 231,5~2 , 3~~. 912 4;17,144 , '\~15 '93~76 -- ., I' I·) -,I~ ';1'].3, I 14.2 , •14:9 '/ ~5.4,·,. 15.'2 ' ' ' 16--.4-' ' ' r' I/ I I " • f ,. • I · · .NeJ· s9!es / .\ . _ .. ..._ •. 1 " . X_1 .452,o9o $Z5~ 649, 957 /, - ...... \ • 1 '" I· , ' \ - 'I · ~\"/':SALES 'BY tP'RODUCT GROUP"' / ( ' ' J..... ;/ "·· ' " l . ) ' . ' \ y 1. ,_ ' · Vi·deo Equipmeo t: f' ' . · . · . · . .; '¥. 480;940' " ¥188,7102 ¥ / _:l 5~1 ~ 064 ¥ $ 6,;442~ 5-J'~ '\ \ ..... • ( • - .- I • \ I • . •' ,_.,. ( - /) 33.'1'% ' 30~9°i· · · .29.0% J / - ' \ ;! . I • I / . ') ·'I~ >' \ ' . ' ) f\udLO ' ~gyipni~nt. '414;957 ' 1'89·963 ' 479,4&:i_ '5§0;772 72-2,2;11 ~ 881 ;777f. 6,253)38' \I .- ' - - \ \ ' } I)~,.~,~ •• ~ .';•:/.;'S I ,) / ~. 28.6 - ,31,7i - . . 3Q.8 . 26.2 25:1 : 't~ i4.4 . 1 .,; . ' .: - 129,04 1 - 315,3£2 .· 341,800 Te l ev i~{o ns ~ /~ 33<~45 ,M6,436~-.'.'' s f2.~?;t . ?-,9~1~· !.8-4" ' ' .•/, 1 ,.-- ~--;-'-·"---- "''-r-· ..,.---,------"'--'. '-".:....:' ,---- ·_2_Z_.B,_. -_- ·t-··_, _2 _1._2 .:..."~-i, __>_ 20_._3--f-=--15_;_9 _,. -'--f'-'---~ _-_:_15-'-~-'-? --+~-· -'-J_5_.3_ .+----'=------7------1 I ' \ " ' I · Oth e rp[o du ~ t ~ .\ ' _- 224,548 1-01,709 ·270;529 329,076 419,765:- -- 542,35'6 r3,846,497 / \ ) l/ • .· - " ., ~ 1s-.s J '··16:7 . / 17:4 ... 1. i·s.3' · ~, 1'.±6-- "' 1'5.o -·~· I .• ' ,. ,,.. \\ •1/ -.:;: Music En tertainment'** '\ 38,820 340,1.88 455,226 473,9.2'9 ' ../' '', - ' II ) ' ·-· ." J. ,_ \ ' . I- I' I\. ...-' 2:5 ' 15 ~ 9 . ' 15.8 ' _· 13.-1 '~·' .- ' - ' ,.';;) ~ .... ";.- '~ \ 1 Filmed, Entertainment:.** ' 92 509 • I' /257 ~542 ' -' \ - r ' ...... • ' ._ -~.-~ ' I .._1· ,!_..., ":• • • { ' . --/ 3.2- ' )' ' . - -. 7.1 ' ··-~· ''- . '\ /~ I , ·. . r , '\ - _. ~ , r,- . 'I.. . . ' ' . \\ Net sales~··...... - -. -.!...... : ' ¥1 :452,P,90 \ ¥ 669.42? ~':1.1 ,555,219' '':1.2, 145,329 ':1.2,879,856. - ~3.616.~1] ., . $25.~49,057 '~\ '. '\ \ ~;:·· ~- .... ·, r'\\") ~ _.- ... :..-::. - .... ~ / -·~ -./~ ....-·.., ...... _-~\'' ,.· ' ,/, r ;· """ ~~ te: l:J:S _. d,~ llar amounts ~a\it_ been trf n s lat~ d fr 9 ~ . y;n. fe co nveni ence, qnlyJ .~t· t~e · rat~ _of ;¥'141 I bJ .S.$1 , tne approFmate Tok~0 ·foreign exchcmge ma ~ k ~r rate a~ o~ March ~9, 1991 1 • (' ·- as i n Note 2 Notes to Financial Statements. ·· _, .J Y -\- ;-, , / : • ) , '•,. d esG'_rib~d ~f. Consol~da_t.ed ~. -~· ~ '> .-, ~ ( ), ( I : y ~· • ~. \ . . 2· (, I '-., , ·,) , , . ' ", .) ' ' I • -{ f" ) '\I / 'p. ) ~.. ' ,. ' ..). Fi ve - .m o nt ~ fiscal period e nd ~d March· 31 , -1987. ..., ,,_ / , \.. - ~ - '. I ...J I . /, ) . /\,.; , -.. j • ' "-. f . ' _' \ - ' ·' .. ": .- . ·~ ' ,- '- : '-, . ~· ' r • - ,/ .' , y. _.; ·, "":; ./ In Janu ~ry 1:~1 1 , So·ny- Music ~ nt er tai ~ m en~ Inc. (SME I, as CBS Recor-ds In c. has been., know~ sine_; January 1, 1~~1) _, and a subsidiary of. Tim~ Warn7r Inc._form ed -Th.e C?l u.mbi_a ·,- H6use Company, a 50:50' partnership consi~ting/of the forrT)'er C0 lum~i~ H o u ~e Division of SME I. Columbip ~ H o use-- i s, a directyla'rketer of ll)WSiC' al)d ~o me~ideo products in the ' ' 1 , '-Unifed States·and _(anada ·Subsequent to t~e ·form'atiph· o!' th e partn.ership·, So ny ha s. ,acc~uhted. for, CQ\~mbia ' House u ~ d ~ r 1 the' eq uity i.ne th ~ wh~r ;_a's ~ey,iou s ly . ttl ~ res ults·cef t ~e I t- ":'< · business had been )wholly co nso lidated. D1,1ri hg the 12-m'onth period ended March 31., 1991, ·Columbia 6 ouse recorded sa les of ¥99,126 ~ illi o n .' ($703 ,02 1 thous ~~d), of whicb r>- ':: :·. ..f ':I ~79,7'1!!3 .miilion ($S65,872 thousa nd) w~ recdgniz~d -in the. g onsolid9ted~ ~esa lts. s~ . . : ..,.1 \ ,; · - •· , ""' . • _ - '. - , ' "~ , \ . . ) '-~.!_! ,' ·_, t/ ':' '- )~ j'. ' . / '' '- • ' • ' ' J_ < '·~....- ·, ' / ' , , :.::: ·' ~ , , ' .~ I • *'On November, 1, and.- N9vember 7, ) 9_89, Sony acquired yo~m)ia Pi ct ure~ Ent~rtain~e nt, ~nc.) and ,T~e '6 uber- P e t ~rs E~te~ tai'nmeryt Comparw. ,The figure fo( t ~e Filmed Entertainment cal;_ego'ry ~ r th ~ yea r ~ d e d March .31, 1~90 .. ~epc:s~ n ts · S~es for the period fron; the . ~ t es of_ciGquisition. "- ,( \ ·r 1 ' " - -.. ---: \, ' / \J\ , --; -'"\ ' ' ,;.._, ;\ , r ~ ' . ' .- . ( /' ~ , \ , \ f 1 -\. ,. . • - • • ( . I , ' • :: , \. .- ~..:" I -~> I •_;..' Sales and opera ting. revenue fo( the electronics. busitess segment was ¥-:2,970,7F millien ($21-;068;91,5 fhousa'rl'd), a'nd operati'ng income ~asJ¥~';0 00~l lli o n tH.76$,957 thQusand): I • - _..- • l.. . I . / ./" -" :---.._ J \ ".- .SaleS a nd i9~era._ti ng r~v~nu e \for· t~ e ente rtain~ e nt business se15ment was ¥J36(5p4 million ($5,223,858 thou ~ and), and opera ting iricome-was\¥46,521 miiJi ~>n-(c$3.29,936 '\hOusandJ..;__/ 1 1... / ' - / By geographic. ~egn:)g nl domesti ( - ... ·;..·;- , ~ <.... ~ / .. 'J / ' -.1 : .., I • ' .:../ -, ' .. • "l : l /I ~ .,.-; 1 , · ', I -\ ' - ~~ - . ( r.- -\ ~ 1 _ '\· ~" '- , :_.. I -/'. ) 1 (I · , / ' \ , ' - I ..3: '< ....- '-I I r • - . \ .• ~· • > ; - .....:. ,.. r ,,\ ....-;.. 1 r ""~ ( "- ;./' ( ~"( -f, / ~ ,)/' ... ( ~ ', ·, .• I'\ ' ..-..<( ...,(' t' ...... \, • I (- ~ ( /' r-=-- ...... _ . '• ,, ,,._ "\. '( ) .. -... ·~ ., ,-r. ... < ·.' )· . ' / · I< . I ' \ >· ' ( ;_' -. \/ ,J; "-·. • II. '; r ./ . '..--, , .... -- \. \ - ...... ,, ..... ' ' I ' .r ~--.../ \ \ / . CONSOLIDATI:D BALAN(( SHffTS . ~ r- ';.· -~ 1 I.'' ', · .. \1 Sony Corporation and Consolidated Subsidiaries - { '-- ·~ .... , /.' '/ ·- "~'.: \.. :- . . '- _,' ~ ~·.'·~. I 'I ) ,.· ~-'(,_ Y, '. ·:.._ '. \ .\' -~ ,,• I -., / ~\ , . ~ "\ ..., . /\ ~( 7· ~----· _· ~- ~) ~' ----~~ -· ~~~~--~~--~~---~~~-----.----~-.----~-;o--' ~- -=~------~~~--~------~~- ~;~~· --~------~-- ~~ --- ~~\--· ~-~~ -~ ~ ' ,_I ASSfTS ', I. '.. ··;.,\.. ( "-, ·) I • \ •\ -:--- Thousands of ~ ·...... ,:-.~.r·-Y, - ,.....- / ,~,> •{ u.s. dollars · ' /.-.: ~ \ ~! ... . \":" . - - - \ . \ l \-I / ~)i ' :- ' ... , '·. '-..- -~· \. - .Milli~ns ·pf yen (N.9te .2) ?' .v j' ' ,'/ ·,. 1•, ·~ / . ,1, J I ./ // ' -:>{ .{ March- 31, \ \ -J' \ '\.,1 ,. \ • ""r --'r_.1_9_9_1_---.,-----1 _ _· -'--'-9_9_1 ---r...... :::...- 1 ~..:: > :- '-, I < / -/ v -' - ~~rren ,t a~. s~~s: ., ·: }' · • .. I __ • 1 J, ~~-~ -~ !•' '-'~ ...... ,:.\'·- \ '· .->' ~/ ; /. Cash and-cash eQuivale,nts r (~ote 4) ··. . - ' . '-• ;- ;:- __ . . "~ ¥· 451.668 _ ¥ 442',972 $ 3,1-41.645-' ; Tittle deposits ~Nbte 9) : 1 -..~ • "·'. / . : ~ . · . . . . -..., : / 182,s33. 1~4.700 :fi _. r'-< 813.~7,5 _ I"-. , .-/I I . ·/._j ' ~ ·,· ( ..... \1:' \ ' ) ..._..!" ..;'- '/_..; Marketable -securiities (Note.-7) . . . . , '. - . 'r. ·-'- . C: ~ ...... , J·:· . 1_ .-. _ 54,784 '' ~~.5;'6- ')' '~ .23~,91 _5~ \ ': ~ '':( y 1 ' an"o ·trade (Note -6) . ., ) . 696,·950 .._. . , · Notes-~ acc~u~ts r'~ c~i~~ble ,. . 747,51~ .....·) _, 5,30l.5~5 --.. ...-- 1 'I ~, 'Allowance for' doubtful accoun~s a~d ' sal~rs' retu;ns (46-;560) i-;'-,, '. (47,'r1•S)- I ) ' (33,4,.170)< · j \, ~~. ~· r. · ...... ")/.' -·~-- ·,,r\ ._, ~ ,.- \.i..._.... ( ) ' 'J l I . 69.2;966 ' , J nveiJ!on~s •. ~NoJ~ -~) . ,. , -: ?~- ,. ~ · ~- ;· ~-~ .. ,~ · · ~ 7}1,706 -~~~-_"5 , 1~9.404:-....--- - 7, . I 1 lncqm~ tax prepayll!~nts '\/..:.__ . . < .' (:- . · · / . / . '- ~})37 . _....65,087 ·"' '- '~ ' 461 ,610 ' -,I . -·- • . ( • \. '>--' - '/, Prepaid: expense~ arJd other •CUrrent asset? . : -· ' . . ~ . '-- -11 i ~sss . - /J4~ ;087 . ·_ -\_ --1,0J6,b78'( ''f ...... '-{ \ ·ir-.' :/, . ) .. . - 2',201_,5:33 -,_ ~~ 2~4,4'95-:{ 'I ' 15,84'7 ,482 .L' \. ' ._ .\ 1... ,/ ' !' \ •,A. • )' I . .. < 168,(88 1 · ~8.-253 . ' ::;-· ~ 1 ,406~050. ·, . \..,- ~ ..... \ .:::- .. ( -- -::...--~\_~;:;, '-r"-4-,:.,' -:,_~ ~ ~~ r . ~, . ~ ~ _... . ,' ~- ~ , "/ ·, ..;- v: /' ./ \_. I ( :~ ' - '\• -JnV~Strpe':itS -an(t 'adv~mce~: 1 ,( l ' -.,,I 14,834• 261,277 . f\~Hiqt~j C_?~~a ~~ (NGte 6) . ~ . , . - ~ \ . I . ' ' / . Offlcers and employees . -. · . : . . , . ;_ 2.,3-1'5 . ('' / 20,468 ·. I,. 1 ; - ~ 1/. -1 ,. )-, -- \.,. fecurity inve~t~ entst ~_ od otH~r (N!Jte\7) ~ . ~ -· ...... J . (15~2 -B ' ·. ' -. 173,951 ·~· 1-,233,695 -. _ _, ' ) I • ' } ' \ \ . ''\ '/ /. -~- "'1.: "':~fl I - \ \ . 168,362 - ·' . \ ,.. ~~'"' (' ,· ~·. ,:--,_ .\ ;~\~;~,·".~ ( .;~'\ ··<~·- ~ ', I !0 I I ', r '• ,] \ '-- ' .' --\ - If. ·.~ · PrpJ>erty ~ , plan~ ~-nd equpmentJNotis 9 and _14):.r,. '·-- I ('~-. )' '- \', - ~ .f --~1 ~ 4\ oo2 · .1 _1 132 1 64~ : ' Q ::-· 940,752. ~ \ · \~ La ~d I • \' : ' ~ / ; - r' . -:. ~ • <." . ~ ~ .. _,..' .~/ -: .- :-. \ ':..:.. j~ , ~ ~ Buildin'gs .- .. , .. ·-· -7" , ·. .. '.: .. ~ ~- " 415,835 ; , 49:_5,874 - -~-·,,.,. J,5t 6;s.J7 . ~'2 _,- 1 ; - ;~ .J · __{, ,Ma<;hioe~ - an~~ ~~ uiprn~nt; ~_ · · : ~ : • - ~ ~ , i . ... · y. 1. ~ 9o8,6'46 1;408,633 -=- >}-~. 7,s62:ji45 \ .~, ~_-. -· 1 '·' \.' ~ ,.Cgnstru~tipn. in progress '-. <' "' r ' ..": > . '., .... . ' ' 90,693 9~ ; o54 - ~- - · _ ~65,9,957 · ~-ls -- f • "'""\ "\..- ~ ( / I ' :'1' 1,S29,J?6 :.,. ,..._ ;1-2,9'80,191. I ' . ) --:- ~ :: ~' ~·-·· ; ..... , ' -:,...· .\- -~. 1 ~ 830,"207' "-. I, - . • --~ • J - . - \ . . - ' ' ·' ( - less-Ac qumula~ec;l depreciation _. , / . ·- 661 ,048 , ,_ ~ ·783.4.2'1 . r ,; -5,556,.1.77 ·' I l.,i 7 .. \ :...... _, .. · 868,128 · ~.. · \,... 1.o46, '786" _ ..,~7.424.914 ·, / / \ - ~ \. I :;.<- ' '(" :f-. ' - • \.. \ I• /' ·, "· ·,- \ ~ Ot-her ass·ets (Not~s 3 a11d 8): ,.) · ' ' ,'_ ·,..,r \ \ ..:· .' ,),~~ ' . I- '" ' " '/ !_)" · \ , . lnt~ng~bles . .1.· ~· • • , \. • • J . -;: 168,748 ·~ 47 ;o44- . .. ,·{ 1 ;'<>42:86? __ . • •• j ', \ / - ~ Goodwill ·.'-, ·, . .J, ·. ·""' ":' > -. ~ -- ·,- "-, 629,401 595,172. - ' ;.4,222;497 It· ·,... Other . .\ 165;125 1'66,868:- _.. :: 1, 183r46:1 l ' - _..1 - I : } ~ ' IX I '. i ~ - " ,- . ~ 96,.3,274 909,284 ·6.448,82J-I' - I - 1::/ / r ' •• . r ' /. '--: ~4)J7Q,0,85 > -::.: ~4.~~)95 _ $32,;641 .~09 r · ·.' l :----. r-~ --:' ., , ·.! I" -<"-~- ,) / '·· 4 - /' • ",....:- ".}: -I \ . - )... I :' \ .....- '.· \.. \ ' I ...;_) ' \.; '- ...__ (/ -.- •'\ • 1 ~· - .. :\ ...._ "~' / -I.,· . , .. <. ' l' -...._ i ·_...... \ : ' ·./ ) - .. I . \,, f . ": ,- I ,· '-:r- ~~·;::- ... I .. / ~ . (' .· ~' \- 1._ \ ., ~ / .._; ~'/ ,, ' I ' I ...,. ·'. /, j ... / \· '' ...-1 I •· t ·'-... - > , .._ .. ../' -., v' ' ... / • . \ '-) : . ~ •\.-\ \4 ~ r- :-. \,/( '-. :- ~, I •. io:%7- _J /• .. '( .·I ,I/ ·._; .. ' I' l / \ 1· ,., ' ..... 7--,... ' ( '· '/- . __-...... -;-;· .. r' \ ?' ·-~, \ ' / i _.\·~~, •'" ...)I /:~:. , I\ .·, /.( f' -i .. ' ' > ' ·, .. ·\ ; .. / ' \/ .----· ·. I, ,'~ _·- ' ( ( ' ._..., ,-.....\. / \- . J!' \.. . 1- , I 1 ' I ~~.- ,\ ~ ·. ~ ,...- ...... I 'I ,: ,·1 -~ ( I -~-- \.~ /: / · I , - J _· \. ... '., '\ . ·-.... ~ J . \ .-.··\'' .,· . -,--. t ~ \ ' I' .~ \ / "\-" '/. 'I '- \. ,. ''I ., .... . }, ~:...' '· .•.:·.)\ . -'/ .. , ','\. ( ·.I/"\-~ I ,' . } I; . I~ ;- 1 --~ /; :. / -l ,_ .-' . . ;>" 1. , , -. :(' '.t-'-i-~.... / \·~ /' ·./\ \ ' ':'- ( f ., . ., ....: )~/ ' I- I \ ... "r·( :-- -~. 1,, .-' ' ·S r. ..,.. r / \ / '·' ' ' • ·,""7'- 'I I , I, T fi ousa-~ ds of / ' ) _-. I - U.S. dollarS" " \ ' ) 1 .)' M,illion_s._Qf yen; (N 9te ~( \.. ,.. ' ( ;' . '/ (- / ;- ,, March 31 ", I / \' r1 11991_ -.. . ..,. . ) .... •• .( \ I 1',.. I . -- _) ,< ( ,, . · · , J' ';\._, ' :, Cu ~ :enr li~bilitie~: ~ 1 . ,. \• • '> I <-._ \, ,· '>-_/ • :.. \-../.\ '. -I 1: ! ' ~ ~ 5.5? K6j>(r :_r- I '-· J / ~ hor~ -term oo rrowi~gs . (f:'Jot~ 9) . . }, : . ., ¥ 757,01 i '' ¥ \ 778,554.'' · "· 1 'I 87,723' ,# , .. _;.· 1 ~ ' ( ur~ent portion - ~ f J on~~ te'r_!l) ' deb,t-(Nq ~ es 9 ahEJ ,.._, '' •' \ ---.._ I / '\ I' • -7~ , ~---15_ -~-- '< 1~ ·~ ~ -6,9 ' J':-':" -· Notes an(:f acco unts payable, 'trade (Note 6) ·. ~ · } I.- : . ·, '' 580,9~2 \.-t!65,7~4 . ,- 4;721,519 , / • - .' ·.'"""" ....._, .. I,... 1 ( ' ·"'-- ,._-· ,..\• ,..- '214,546 ',_____- ,. I/ l - -',' Nc~tes . payabl~. c oristru ~ tion _ . ; . ~ ~. •,. . . . . --:__~ :::; ;g ~375 . -? . ,30.251 '-.. /. I) - '-. 8 ~ 7 if ( - 8 ~188 ,.. . '-"-62 3i6/ ~- {- '- --~ Divi ~e f1ds fil, ayabl ~ - t ·c: .- ~ . . ~~ · ··_ lr ;.,-) , ;.. \ - \ I: -.,. . \ ·,,__ ) ' ' .. ' \ ' y ' ~ ~ 1 • J .;: · Accrued' income· and otl ,__.., Qther long-ter~ !)abilities I- . . , ' ·-'\ ' - 46'3,846 - r: • '/ --.. J ...... I \ ',,. '- - ·___. -("' ;' (- - r',.. \-! -. ,. \ 927,257 _/ I } _.. \ ' .7 ,:_ - J( l ;, • '- - -' ~.,.. y ·) ,._1 '· - I { I f ' '-.. - ·- ::> 'r . ', . ', Min9'rity l nte re~t in co~s~ljdated subsidia~. companies_. .·- g~ ,879 , ?- ~ 149,447 ; - "- ~ . ! .· i ~ /' ( . I I' ../ -· I • \ . '- ' .. "'J ,./'... ""I' ~ ,'- '. 7 '•""\. \ ' Stockholders' eq-uity (Noti 12): < ··_;~- --~--... .·.\. J, ·•. - ' ~ I j _... -...... / · ~ •! I I ' - . -' \j'" ·, .:..< : :/ \ : ·- ) ·. ,. . : I .'\ ') !.~ \ I I\ '- . c_oJmr;nitm _en~s and ~oll.~ing~nt -nabili,~i ~ s; (Note \16) \.' I ' I ( 1 ~ ·(,. - i' .l ' ·' . ' / : . 1 .. .- ) ' \ __\ - " ,i ' I ~ '...., I -,r·~ .,- J., •·-" -/- ,. :} ' '· \. I /'"\· '\._il '\ .•.=;-- r.._ ·i .. l '1-j.'· -\ :', ' --.,I I )· . ,.,_· • Jl /' / ) ' . \. / '),1' )'' :._ y r,\• y· \ ' f ' ), ( • .~ \ ...... _ )• 1 ~ I\ .. ' ~ \ .. ... ,-.( / ·· .... ./ ~, .I • (.../'' -...... ,< ' \ ...... / ·~- - \ •I t' '_._ I :-_. \\ ,·.,. -, \·-· - ', ...... ,. 1 '_'' ' • ./... J' ,___' /~ -' •' ,• / \ f .... -/ I ~,'\ {,~. ~ 1.---r "'' I \. \f. '·' /,I ; . - ) :,'_/. )._, I • ( I '' . ~ ~ -, .~ ·... I • I '; ' ' ' - -t.,._- }• i} ) ~ -, 1,_ ) .' / '\ . {, '-- -. /', ) - .r -) ,,) ...._. /,I'\ \ . -_') ,\ \ \·' . ,J ~ \ ~· (. ., ' - -!I' -\. ' . . \ /' ._-t, 'I /' .J\ 'i ../ . ' . I .:. \' _.,;' ,_' '-.:.,..- :r- . ) \ ;..., \- . ../ .·, ',",. \ -::;> \ ,.-_. (' ' . ' .. ' ' :,_ \, i - '- ,-l . ' -\ ,', .' ')'' I ... ;. • --1- < ...... , ~ • ·I ') / I > --.' ( . / !'_ ----- ; .'-.. . ___,_r· '·\ ...;. ' ...... _ .... ,. , I ...... ,. \_ '/. ,·;, I •. ' CONSOLIDATED STATEMENTS Of INCOME (. \ - , ( ' I I ! I •, . :.~J ' ( ..' ·_. AND RETAINED EARNINGS I \ . I I ,/ .....-\ I' Sony Corporatio-n and Consolidated Slibsidiaries • l.. ~ r ~ ~ . ) .. \ : . 9. ' . -' . / - ' ' ' ~~-- \• \·, 1. 1/ ..\ -' ("-- ; , r - 1 I '- / , - , . • .r; '- I - . -·-'~ ~ . ,, ~ ~- ~T----~~· -=· ~~~------~~~· ~· --.-~--~-----~~-..----~~----~~~~~~~----~--~,-~~.-~~------~ '\. """ . I - •/ ...... _ • -- ,\ ) - _, .., / \ ~--- 1 Thousands of · · ~ ~ ~-- ~, dbllars "\ I /.... u.S. ~ ( >.( _( ,/· (Note.'2) · , , / ·<(:- . l .> , ~ Millions_ o~ Y(\n 1 ',, (' '--:'i.· :,;.. :- ..:__ --:-, ~------:---'------::. -r'---'---.;....t.---.--_.J -;-, ----~ ..... I' . '/ / . -. __ . . ' ( '- ,,¥.ear <.- / I ' Year endep Mar<;ll' 31 ·-.\. I' . ,/ !_...... :\ \\ ( en(ied March 31, 19~9 -1991 "\, ) ·l" (-- .. 'r ' ,.\ ~'_-_ ---'-----:--_~/-.--.!.· 1_-:1, "- ~ / ,, . / ,...,· Sales and operating revenue:.... · · · '\' .,.-/) \ ',\, '-...... _, :, Net:· sqles,....., ·-:: . , , . _., I . :'\ ·, ~ \: . ~ \ ...... " I 1 1 . ( Overseas ~ . _J • • ' :;- : , -- · ...... ¥1;414,032)' · ¥2;{)10,;l78 ....~ ¥2,664,0'58 \) $18,894,029 -. /\ ..,/'""--. , . . , . .. /' - I · . ._,; ' " / ' I •. · Jap~ ;; J ,. . -. .. · ' . \ . . ]31 ,297- -' 86-9,fl78 - 1 •• 9~2 ;459 I .6. 755,0.2S ' . ,. \ ..... / // ~ • '( J I ·: '"~.)"{'.... I)"' \ '...,. 2;145,32·9 2,8?9.~~6 · ·'3-,GJ 6;5'1-7 · ' 2 '5;~9,057 / Op,eratlng revenue . · ; : . ,. ·' ; \ . '56, 143 ' ' ', 65,3&6 7 ~.~59 . 5?6.660 ...... / ...... I/ .' (_!.-, • ), -.. .''-.. I • 5.- ' , .c_· )' _I' , . ' I , - J , , ( • -.._ .' - I -. , . I / J \; Eo~ - t~ ~.~nd e~en.se~: , '·-( 1 . .'rr .'--· \.' ·- J. ' ., \ ·; 1. J ;Cost 10f saleS r-(Nble, 13) t • I • .) !.475,352 1 ,938,01_6. 2,505,554 " 1 ?·76~.887 / . . . . \ '. - .. I . '·· Sell[ng, general-and administr.ative ,: : : ._ . -/ . ~?.:> · ~21 ' 712,03~5 \ 887,713 6,296,263 (. / ( -:--.- ' /. , __ ·! ...... , ··-· c,. ~- "': .2,040,973 . _. .2~650 , o51 .· . '3,393,327,' ;. ~ 24,066,1so, ~~--,1 --_----_ ~\-. 7, --~---~-~~--~\r. ~--J~~~~~--~,-----.-. ------.~~=_--71 L~ ~~2-,~----~~,-~--~--~- ~- ~/ ~ ~--~--~ (' 1 Operatinginc~me 5 : / -: , _•-- . -/' ;- '· 160,499 .:Q95,191'., · 297,449 · 2.109,567·-, ' I / , ,\ ' 1- - ·, ',. ~ Other ip~c;(m,~: _ . ..;_ \ \._ ') lriterest ahd · divid Jnas , '. 1 . :· /. i . / . 22,609 44,190 -~?0.227, - . / ' Foreign . exchange, g~ i ,r.l, net ~- .:. _._). :, r•-<, . . ( . . 37;209 26'3,89~ ',I - ;\ I } Other ...... / · : ·; • · • .) : • , • • :'·· . ! '-: , -c. =. .I _1 ,.. 40,475 , 28v.os7.(, '\ 1:;, !'' ""': I ' "-..:. '(· ,., '--. ' -·' _-....60,01? r ... -, '-I 1 ·-·~ ./ ,I ,Qthe. r e~~n~~s ~ ' -...\_ I_ · , ' \_,-I \, - •: I ,. /I · .· : "' ·.. . . · • . / .\ - ~ .' l~te ;est ·~ ;<~ : 32',550' 7-0,883 7.28,234:, / ,.. \ l. .... ' • { ' ....;, I~ l '- 1 Foreign· exchange loss; net '~ ... , . _ . - 39,7~Zl / r: '- . . . \ . .... ~" ~ .., Other ": .- . ) . •. -~. j /• : -. , -22,451 ~- ~.708· - 51:5,978 -- ' 3~6 1 . ·· . ,:~ . - . •/ ' f I ) r . - ·' - ."\__, J •• / '-· 159,315- · · 1r 1,7S)B4 . - 1',244,212.; '/ '-~- .··. ·' 'f -> 5s,o.o1 I . '-\ . :-· - ',,· ( .. : ·,,_, Income bef9~e inco,me f~· ~es >' . · . r - ~-, ; •' I~; ' (- 165,516 ~ - 227,429~ 264!-591 ~ · ,\ ( . 1,876;532' . I' - / ~ ' / _, / ; / .... . ·/ -- ...... _ .. i . \ ln~~me /axes (Note 11 )_: .··- v 't , / '-...._! \ . - ,, .. 1 . \ '· Currer;~ ~ i ;___· . ...l.. . • ·, • : .• - ::--:' ' 91,129 . 128,01 ' ~ \ 146,184 ~ \1 ,03_6,-?66' : \ . I, ... ' -- - . . \ /, - ~ ' . -- ~'_') "'' · Defer.re·d . . . · . _•._ . _- . ,,. . '\.. . ( < 4,047 ·; .. ~ '(1-,041) . -· 6.~14 . ' . ~ 44.0_71 1' ;:_ ) ' . ) ' ; · . ·.1' ' {.' ) ' 95,176' .. 12~:976 152.• )98 ' -1 ,o8o;s37~ . -~~ ' ·- ,....;., -··-·... l'_ I' . .,· 1.. ( \ 1 ~ ~ l·m;o_hie f{:om con .s~li~a~~d comp~ntes I. '· ; . . . . ;. . ~ ]'0,340 I _ 1-00,453 ll 112,1_93 .7_95,69,5 1 Equity in eamiilgs of affiliated --com.panies ~ (Not¢ 6)< ( . / . ' .. - ?. 129 ' -- .. ' :--2;355 !' 4,7~2 - . 13,560'·', .... 1- ·. / . . - . l Net income.-. ., . ·--:- '-' · ~c; ~ , . / ..192,808 ' J 16,925 :-,_ s29 •.2ss ·r : c· I ' ,. ".' / / 'I " . ' .--, r '· ·-, ... _)..?. -' J ) , .._, ~etaine~ earni ,'1~~: , 1 .• , , , /- '·j 1 \ ~ I ··• ('\ · B~) fmf e, ·beglqn!n_g o~year / . .._ , . .;600,184 ,· .4,786,965 ·.j. · ~!._ · ,,· :-- \_ -~54!·~71 . ~?4,9~ \ I )-- ' . / I /· Common ·stbck issue -costs-, net· of tax- ....!. .... ,/ . (2,Q33) • (4,30,1) -..,. (256) '-. _ (1,8~5) ~ f' - '-. ,.... "'' · -''- .... \ "',1 \·"~ .~ ..._ -\-.- ' I. I • • Cash' dividemds . '- ~- f. '-- . . : '--; r· • .:: • . . '• (12,408) -;' J - ~1.6~ 464{ ;. ,--(.16,968.( (11~.915) ... ..J 0 . • (1,9f3) (3,0~ 1) . , ·'(2,729Y · I "; .Jransf~r _ to/ l~gal re-serve~( • I / \. ~· . • 1 (19,355) ' \ 1 • • • ' _. r , • / , Approprialipo \for ~p -~cial .allowances, oe! of taxes I, : ~~ ~ (3,;202t .,(4,23.4) ( ·, --...(5;6.0.;1) , ·, (~9.745) . \\ . I . f . __; . . -- '· Bal _~mce, en~ .of year . ~ ·' : -"J. ,, . _¥ -----6'00, 184 . \¥ '674,962 · ~ 766:3?0 $' 5,435,390 \ ' \ . -~ ( . \- ' ... A ;-/I j,. ,_.,.. ~-l, '. '~ .\ I.L ·, ,:1 ~·' > ',... " I-...(,) ' U.S., dollars 1 .\ ''-._,.,' ' ( · \'• ' . ..:._· I, - (Note '2) • ' J ------; • ! - /I) \.;" 1 : · · · Net .income/ per cor!unon share (Not~ 12):' '- ) . I \ -~~ '· I y / ~ -'\ • ~ _· _,. , '....!- } - ·~-~, • - , ./.1 J .... , .. --: ...... :. - . : , , ~-' . . -/7· - ...... ~ ·r ....--- - . ~...... ~ '\ i ..J' / <' (. -- ,..~, ' , , '(_ ~- , Cash f}pws; ~rom f~~~n<; in~ . activitie{ · " ,; _ _ __,_ ,~.;.-< ~ _. . ., · c ; ., . -~ _ , :-, .... · · , _ · 1• \ , .. .._ • ,- · ' ' - I ' ,Y' ~ 1 f r~ \ :'-:; : ':._· .. ..Prqce~9s · f~Q . m ' issuar'1G.~ oflung-term.Jiebt .. .; .. . . : ., .. "! ..,-_ .•~-- . ', 1'09,881 .- ~ 427,88~ . ··131-,674:.. i/. .93.· 3,8~8 : ./_ \ I. I ') . .::., ' - • . ·- • ' ,,- \ • ·'; ) f.- • / ' I ' ( I ' ' .' ~-" ' Pr£c_eeqsf~<;m:l~~ucfiic_eof_common_ st.oGk ~{v~rr.ants '- . .' . . .J\ ' · .-\.'-• •• ,: - ~-·· . _;\ , ....:.. ~~ .-. 23;11>00' ;,__ -~~ - t'.-' •. ~,, ''.) ' >1 1 1 '\. : f/' I . - P ~.oc~_e"as fro~ ' . iss~~nce 6f,· comrn6n s :fock ~ ~ 'et ~df stock issue: costs' ~ . .~- . :::.)..~ ,'' 12 0,819 ~' ·. ~ni, 025 ,.C.: 1) 7-96 . ;' ~.:\~. -1·2.., 739 ' - 1 : ·:~~ -~--~~ Pay~ nis'._ oflong"t~r~. debt -· :."' ~, ·. ':_...-; -, .. .: ~ .- •.--~~~- ~ - --; (7;471) ; __ ~ .-.. -:'(4 ,2l 7Y - (69,6~~~ . .. ·' ..< (49~.894) (\ ,., ", · -~-- l n\r~qs"eldecre ~~ )~(n .; h9rt-1tern:- borrHvyJ ng.s~ ::· ...... >r'.. · . \· ·: . ':'.-(95,728t. ;340.~197 ·.., ~-..~t,7~! _ ~ ,.. · .:. ' 6~o .. ~.i9 _ -.~-,- "~ · -~ '· · ,r., ' D.ivid.en~s p~id -~ ...... > :_ . > ..'. :~' ~C . / . .' '·· 1 .' • : (11 ~ 339) (14, 15S) ··- (16,890) \-;- ),'!' (-11'9~-7 87)" '~ ' ·I t :, -' . 1 ~ \~ ._ 15 I/"' - "'" \ ~ ' '. \, ,_ ... '\ I / ~-·~ I ._r ...... , )-(_._ \ - _... - ' / '1. \ '~ '< :;_ ~ :.1' •· - • :- -.. ; ;- r• • : · ';:; • _ 1 ,31 0 '. -_ · r ,~ - ther· · ': ~- -· ~ 1 (6;881) ' · ;•'· ·(2417224) v \ 9 ~ 290 1 ·/':_/ '· N ;t~a{t1. privid~ d byfi'~ n i i,ng . act lv(ties. , . ) . _. _ ' · v ·'.'1o9,28f ~"- 986,114, .,-.,140,03-2 . :~ 9~n ;t~ s ." _ ·' /.·-· 1 1 1 ,,_ . y~; _ .;Effecf of , ;xc~ ~ n ~ · ra~' l hanges dJJ- ca.sh: ~:~d c~sJl " ~qui ~~ ~ ~nt~.l -: ) · ,. · i.-' (. :_t4]};) , ~~-~ 3,3-~s -.~· 1 • ,· - (7,2 ~6) \ ·· ~ ·-.' '(51, Hfh _/·:. · \ '· v . ." ."" ,674( . . ' /-- · N ~~; ~n-c;e~;e : (de-crea ?~ ) , in': ~sh _ an~ ~~_sf(jqui~9!e_n~? :~.~- 1 ~':·"- · -~ . 83~ 0 - 15 , 153,779 "- "', · (8;6§~) ;-::_..i. ' ' . ' ~-, ...... :~- _(.' .,1' -": .., :_ j \_); i ..J.'. ( . ' _.1 - ,_' - ·:-. /. -~ .. '. "" , 1 I I . ' '- •' . I." 'I ' f ' c , " .I .., /' ._,,. ' -- ':...... :. ,I .. -./ ; .1,.' :,.._:. ' \ <.__: -_-~ .., )/ /-- ·-,, __, .. ), ,1- . ' \ .- )' ~ \ ,:1 ,.-_ v "i ' \._(. ·~· r • ·) ·.' •...., I . -;.. -") i l .... ,-Y- ,., - ·( I'/ --: \" / _...... _.-! ' ,, ·- .. '~ \ . -,\' '-· " ( t...\ '-. :-, .,_ ', \. - I .::. ·.~ ' ', \ ··.-\"1 ' . ' •.. \;.._.' ...... , ~ ;-:-... I>,- ·y~ ,(J ....r '- ' ...--. ), /' ~)'>C ~I . •••• <::::::, ,, - _?::-: r" , 1 ' \. ' ' . ly-:,\1 /, ~I I ·' ~ ~-l \ , \ _.. _. ~ ''\. -. _I ,- ··-=-- , ·-~ \ r, ·: r· - ~,~. '- ., ,' . ·( /' -' ; ~ .,,:· . ·' ---~-- '\ ';-'', ..._: ' <}•·' '( -~ r -' ( '• ,- 1 ::::,I ~ r _\' _,.. r ', '• ~ I • · ' _). ' • . _.~.~ ' ( . \\_ '• ~ '..-, ' ~ ·• ' • ' • /' : - ·-:->-,-~_ ~o n~~ rs i o n {-o'f ~0 n'V'e~l i~l,e .pebt in to . co~m~n ' stoc~- arid ~~~ dit~o~~ l , J:-: · pa1d~ in capital were.¥.80,349' million>¥'85,838....-'mi\ljon :and ¥'34~897 · ..... '~ .. -: · tnilli ·o~ '($247,49s thou:sand)Jcir th e' years efilded ·March '31 r- 1 989 i ·~ ...... f! ~ -..;... - '"-" ., . .( ' - ., ' . \ (I:.::~~-: 1 .~_:~ ~? d J9~1, :~?,P:~tivE~Y· ~ ·! -:< (-~- _, , _1, :. tr / _, -' .' ) / ., .... - \ '\ ~I I .... ' ' '"'· : '- '") l' ' .. { / " I.', I < J' . ! 1 / _, - ~ ~T9 ta e _ l [ a_ bitities a ~d · s~ockhq.lder~,- equity_: ·' · . ~-.-- .:.. - .;- • .-~ • .._ .: ' , - ~\.:,¥(_? o:· 20b :-· ¥1~ 1\i!~-:!8 . ~ '7' $182J,035. '<, _ .· ' . ~ . I ' - .: ' -"v - ·':_ r ) I / ( ' . Numoer !Jf \_O mparii es af end ofyearr , 0 • : · -.. ·. · ' ,.. ._,.. .···-.) ,,•'. · .' .\ ;r , 7 I ' ' ... \ ). ;·.·I /' ,'- t~ousands '-• · -- J.: . I'- ·'.: :·~' ye ar _r >-._, ·-. '< ~' \ ' ' endecf'March 3-1, · -·~ ' -~--- - : 19~.:! - ' ~ ,..... ·, I ''\ -/~ ~ _.,/ '.;_,;( - I r' ( ( I, : /'{ ; /, - . - ( . .~ ;/[.'· ',..·:),· ;: \ ;-- ) ..... :;..· ...... ·.!:··- .. r , )' " .:_. . ·· -:-··· "'' ' / \..::· - .' \\ (' { .--' \ '- ,- . ~ ~. I .... •.: ., I I' ',' I ,, I'_.-/ ,. ·;..· 7·' / -::"~:... ,- _. • 1 \ \ . , ... . ,, • - J ,· ~ ..... \ ·-· 'r- . ,;.- ./, I .. / "'.~ ... /, \ , ' i . - '. A \~ . ... ·' / \ )· /(-- . /.-.... ~ 1,.· ' \- 1/ -::- I""': 'I·.· - (, 'x ___ , - . (_ I,. ··' . ,_· ~ ...... / ' (- ./ ~. / ',·· - \ .. I '-,~~. ·-. ' . -_' 'y . ·',-- /',/ / - -...... ·: -·1 .... • - ~- : , ~ ~-~;-: '\• ( .. ' l ,I . l~ ... _ (· -.; '' "'· ' ·-'~:- :-• . . ·') ,. ,-. • T· '-- - \.-.·- '\ -' 'y, - ,( I ' -~ \....-" .- '<.. I, I .(I __ , . '-. I ' '· I"--: - i ··""'' ...... <: ...... ' J /.) ~" . "' \ . ·., ~·I ; .:._, , . ,"'/1,. •. \.;. . ) : '-:'\ f ·• ' ~ / ' • -- • I ·, . -..:;., /' ... ,, ,· I ._ l. -'. ~-- -. ~ \/ ( ... I ' ·<.... ! /;..... · ... /. - . ), ,~-'( --~------:;_; :._.; ....._ /. ~-·~-- ·-{ .~-::; .. - ' \ I'\_ ':. (_..! ...... \. . ~ "' ) I -. ' ( ... ,.~· .... ,. I',-' ...... ~ ._, ;- <(~?,:!' ~ \ ,_,._: -~ ·' I \' ---.. · - \~ ' '-. ~- -.. l \.._,. ·~ '.· . ~~ ' ' / ~ l.._ ;/-.··~ \ ~"' ,..... - . ' ...... _, __ /. .. '~ " \, ..- ' ·:.( ..;.;.~. · ...... .-:---._ ... \ l '..::; \... I-~- ·- .:r I ' . '- ,. , '-...._ ;- -;,- ' \ , , ~· '-. f. <_c '.__ ., .;-- ) ) ' / ·- I '- ·\.. ·'~ :, ' I-',. ~·:o· ( ~' .. -"'\ ':·;.. , ,! • \I .• ' ,, / I~. ~ / )' ; . ~- ·-I:(··,·,, ',•. -,. ~' '·, ... ,.' -;). -:--. ~"',~ /. \ I )~ - ·" • ~ • ~ ;--.... ' • . ~ \ ~ • \ • . • , I - ... 1 -/. i'· ,.._ ;·'t. -'. ,:::--'-: .~ /.;: ~~ - .,-1 ~ . I .- .- ~~ ,' <(. );::-~. ·d •;:;: I,--~ .:_:J:·, (, ~-~ ,j- ~ ,._ r,-· '~~;.,_ .:-'-,- .;>,--:-_,~,:-:~-~-- .:-_ ~...... !' ~~~- ',1 .\.., !;--· _.._-.. ,;. -, Y~.·, j ·_ :.l.( ~" 1 ·::_· 1 ...,-,·.-._,· .-;.'- ( --,, \..;• \•_;/ ~-~' ~--- IC (.....: ·_,., \_/,: '-, .:-; --:-(/ --~·.'-:>-~_,.·'.'~.- :::; .. '.J~r-.; ;.' 'J 'r ~ ~ ~ ·'' - :~' '- .!-·, ~i-,' , . ,· ,-, '- "-~ -- :~'· ./. '),; .l, ~. I · .'··.. :' Q_._l s~~r!?~~ff!l '~Orr<;>~~':lgS - ~n_ d~ l~n~~~er_~ ! g~b_t~ ,-: - ~- ' I - "\ /. ,' -~:~ 7 ' · ' 'S~orverm ·poiro.Wi nge at ~a rep 3) '1991 cofll prise . the· followi ngc_; . , . · i · ., ",~ / .< : -:.~' '..., ·· ~ :, ::-, ·: ,.: ··, ·' c'- -', ..''_ ~ { . • ,. • '"- • 1 :~\,. -~-~-~~::. ~'' _:( -'.::_' ,.;< \~:. ~ ~--~:: ~:>: :•,\_~:~ '- L," . ~>~. :~~ ;~/. ' _.' ~:~;, ~·c~ .' _?'< ~ ')-::-' I/, -Loans, :.prihcip_a_ ll y- tfom- ba~l ' ._;- .•,../-_, r .. , \---:;_ -:· ·-_ ¥7-78,?;54 :" >~\ ~ ).'·-~ .... , -'-,-__..' '- -~ 1 ~~-~, ,;~,-- ~;.-__;~ /.__.,' -$5 5J1 ,,699 ;_J~·' 1 1 -¥ ~,, ~:. . Loni,~ r~ 'iJ:~~ a,~ Ma[~ h J ~ 1~ i' c;~ ;;;ises ~be 1611ow;ng: ) <"- ':, , ,' '~"'' _<· ',' ' -c, ; ., ' , '>:' ~ , n~: ~-~/·i~: >· ~ ;~ :~ _\: ~ ~' : f, 'J~ - ''~. / ~~~--' -~ ,c,~ :~~·, '; } ~:;:~~ ', ~- ~: ~: l;~ -~ :':' ~< 1 ; \',. , , ~Qn~~c~re g_ loan ~ , r~g r e s ~. n _ting ob1i g",i_ltio~ f prine\~au ~ to baok;l a~~.:_ 1991 to 201 4· • I • • ·'_A \ ,' .'•. ~ -:. ~?:;t / 1 ": .... ,,_ w1th l~terest:- r_ang\~ -~ f~o-~ 3:1% _tQ ) ~-0% p ~ r an11um. ~... ~ \: ~ _- . \.., ; _, . _' _ ·.) -;_.· \ · ¥1 -63;i j 4 .:._.;.-'_ ;--- $1';157,2~~ 1 "- • ~- l. Unsecured. 6_:Q% cp nv~ rtibl e del!.>entu..~:~_$ -:cll:i e-- 199?, converti 1bl ~ <: urre~tly at ¥3_,?20 ..2 _ · --~,- ~~< _-'~ ,.- -, ~- '7 ~~~- -;-- . •• --' ... _,. . 1] . one date =--'; ' ... · · · 187 J -::. .- J ·3.26 2 (~~ ~,; 7~ - ~ai~~J!aJed _ at ·-~~56.3(:) =! _f~ r ,(;Dmr;~:wn{ shar.~ . J re~eem~·~le ~ ~ere .~d~ ~ ~- /-- ~nsecuf~ d 2.0_0~o ~~nvertibl ~ pond : -dl:le:- 2~09, , c ? ny~ r~~ble · c;ur \~_ntl yat-;¥'~,57_~.9 ($-32:.1~) r ::;- .:.- >; . ·, ·... ;" -...__ :f _, "_. _ ·: : :;<, ·r~ -- 1 fpr ,on,e, common sh9r.e , ..:_r~ deem~bJe ,- ~~qre d4 e.~~ate .. __ ;- ·. . .• . - ~ . . , "' . ~ . , . ~ ._..._ J,~ ...- ~1:,829 ,: ·.. _, ,''·' ;·}2;Q-l2- -;. - -. :: .\. ' U~sec~red l.s ' o;~ convertiiJie -~ ?onds ' &te , 200~ ; -(;~n '(f Ptibll(cum~filtly ~t ¥4£8i6~7 ($3,4.23') ) ·~ ~~ ~- '';' )_- ' '- ' ,_.,-,I . - I' ',~~-- _,, ,_ -...... fc:w one /corpmon share, re'deeltlable before due date :.-, _;- . ;. .... : _ . :< . · . ·. ._ · ~ , · 6)~nt ' , .. (-., 4tC943 : I>-, • . Uns,~cured t4%: con~ertible b-on~s · a_I,J ~ 200~ •. con'l1~ttible cur-le-ntly_at '¥5.9~7 . ($42.25). _ , 1," ;...... ,_ · _ _,. · .. _ ~ .-,) ._ . , . -'- . ·- ~~-- . !·,i ~ 2~ 7,5P1 ·· 'r,:_· __ . / Ul;lsecured 1.4%) convertible bonds due 2'005; convertible curr~ n~ly at ¥8,,790 ($62:34) . . r . . ·_ 1 -;: ._, •• _> I . ' - --forone · ~om- ~ on ' shar~. ;~ ~emable. be.fo i; e d~ ~ dat'e _~ . ·. -- ~ > . \- ~~ . A - .-.·_ :- •.• ~ ·':" _,;_ ' -; ' 2'98,947 .2'11-20,192 , · /.., due ) 994 9iscount ;· ___ ·,:... 588,929 ,· ., '-.-"/ - ~ U~~s ~~~ ~~:~ - Q.~_:o .:~? ,n;ds 1 1 ~ i-~h -, d~tt~ (h~~le ;a - n:.a~ts, ; ~ t o f-<-\~afn6r, tir ~. ~: . ~- ~ -· :;; _ · .~-. \SJ,o .3? ~ -' . ~·-, . x <', ,· U~s,ecured 8_/ J Yo .- ~9 ~ ,ds -~u_ e . 19?3 ~ . --;--;- . _ ; .. , :r . \',.: . ~ . . -- ' . T .. ;.· • "" ., ,· • 14,374 '\. ';- ~~ ,94~~ ·., , I • ..;,. ..., unsectlred 9 · '/s ~(q_ senior subor.dinated notes ofa consolidated su'bsidrary, :aue 1998 ':: ; . '/ ,- _ ,. .).:.:. ~ :c- 47,433 \ -.. ·'. ' 33_6,404 '' I'.'' '. '_. 1. /),-. ·• , ' '; , - ·" 1 , • , _,. . • . • I ,I l -- (' , · -' 1: ~\ ~ 7 / ~ · -- Uns~CL![ed ·, 8.90% . notes _of ,c( consolid ~ te_Q ·· sub s id_iar-y_; - Clue ,1992, [~ deemable -befor t{ due-date, : ;-. 4, 1,Z4 · , , ,, ' 29,603~, JJ . r- ' ' ' • • un i e ~ ur{ d 8~ 0Q%f ~ote_i ~f 'a <=9.n ~olid~te,G }ubsidiary~- du ~ 1994~ r ~,de : m~ ~~e ("'~ ifoL,e · d lJ:~ ; aa ~\ ~ \ '., . : 9, 1.?-2, I ,-<;_;. • /I 64,97·9 .-- 43•' .. - ~ J! _Unsecu ed _1~0~ 0% . n .9..~ es_ of ? ·coAs? l!aa_ted -s tJbsidiary, due 19941 re~eerrl~ ble b~fore -_ d~e ~~£e_. '~ 2.969 · •~ --' ·, , ·~ 21 f;o5·i' · ':' )· ·. . .'y, - . ", - ~ -nse cl!red Ni) - , 7 Se.cu ~ ed -s.qo/ ) I _? ' f-.' - I ~ ,:.._ , ,- \._c '' -,, _ 'J, 1 • )\ Jf . ~ \ ,\,, \ ~ j ~---~ ., ·~ •' I~ ¥69-il~~:Z? · •I $4,9~ 5 •.688 _ . ; .,; 1' \: )- " . t -...- ---)..... \ ,· '\ r --·. ~ - \ \ - / \ -: :~ \- \ . '=- .. · j - . } . ·_,.... .I '~.;.'- J :, -· . ~. .... ~. r~~-. '' - -... ..:· ·'j \ ( I, - .. (, j .• I ~::~-·- --/ \ - \ . ·- '} -· ' .... :.. .[/ .. ~ ' . \ - ' . I\ .... )' ' _.,..If::. ·., : '{' ,\' ;-' >:.- 1. • "-...... ·. ...-·, .. ..,· . :.~- z~ ...... ', \ r. :-...'- ' -' :, . / . .t ...... '-Ar .·I, I (._ .::..._I ( \. '; -. ~ ...... ' ::0 r.f./ . -~~..,. _. -, ; ,·- ,. ' -.! ~: .:.· .. \ ...... _ I . \. ·-! . '-'"' .... :. \ J _:, ,. - "<:'-·) • ' ~ '- • ·~-- "'_:.- .'\: ,:.. -.~ ' -.., \ ,.-· •I' ...... r ...... -. '• :.. 1 '. ~ (. . ·;; ·_, -:::··· --~, .,.__ \. _.- ', ~-'"-- :c:-:l ..... !... _,_- ) . '-.-- - :;- I - , \ . 1 ' . 1" ' I ; .._;...; ~\ ~ . .. '~ l .,-, J. .. - •I ':::-:-.:-... J ' ,..l.- !-..- _·. - ·--- ... '- •I'·"' . ,)- ..-::·_;, . • > . . :,/ I; (• .... ' ~- ... 1 --~'' r ;--1;:_..... • . I • .J )_ I /. <('I • j . \' ~-' - ~-- . . ' \ ,. ,,,- - "--. •\ ~, \ 'I ', I~ I ~ '; ,- ,/ '-_. ' \ . \··.'\ ;1.. -' ..:. . { )· 1:_ ~~ .}-- ,. :. '_ ...... : ...... I I J. .... '\ ...... _. .-- .'"'-'.· ::_ '\ \ .. '\ .._ ' .. • ' ' "' .. ; / v"' ·- \ 1., \· . .... \ - I \.._--:- ...._ "';:'\ - ~- ~ ~ ~, ~ '\ ~ < ,· ~ ... 1/ ...., · \· r . ' '·-; - .!'-...... • .. ! ,J.... ' . I .. - ~ I ., - • ".. ' '_,~ I :...._ 'I I § .,· . .---; ?· ' r). ;' ~- "' .~~ :~~..'~~ 1-:.. ', ., )::;: >;"'- I. ' I \ ~ ;, "~. . .I ' ... I . ., I • ' .·' I ' -;-')· " ( • .-••-,' • • \. . • I ' ':- ., " '\ ~ ' • ,Y '- •• r . I I ' - - . -; . ) J ' .,. - : . r ' ' . < . ·\ . . ( '. •) ':, (jr' ~·- . ·' ./ , ··,' .. - -,./~ ·'. '• ··-'· ., ,. '~· : '-, - ~- \ \ . I ... '/ ~,_. ,., \ / jl _. •• \ ,. I ..- - )_.- -."' - ' ; • - y :'. • -. ~.>I ~ - . (·,; (-~ .: \, ~. ''t '-I l J ~·I,~'. I I. -">1 As re's ul tl of dist{roufion 6f dislcuss_e·d · \ .. , _-The estimatedJair values oflhe \varrants at the time of-- issuances 1 ~ t8e fi:ee cofillm 6n, ~tock • ' ' f ' · · -, ' • \, - -' '- ' \ J ,r_ "'-.\.' '<... ~n_ No~~ - 12 - ~0 .' t;le cons~lidatec;( f ~ ~an~i<;tl St()terilents~, ~he C OAVer~ion - . . v;e~e credite~ to ,... a~d- it!~ 'nal ~aid-: ifn?qpi~al wtt~ ... ~· ' ~~r(e_spo~oipg . ~' ...--,.,.'- .' ' '- _/ ;_· e .ric e_. ~ -. Qh,he j)r~~!o~si Y': me.,... n. ~T.,o. rl:ed_)~ O~_v__ ~ f.~i~l~ debt. :Viii b,e a~.j~J>. /t~d .---: :: c~arge \0 bo'nd:.discounts. These ,discount?, . v.;,h)cn are, netted against - , - .. ' --:~-- - - • 1 - I • -t _, • -' ...... ( • . ' I. 'I)\ / ') - . ~-I , ' e~ectiv~ Octobe.s_~ , ~ .991, to g~v~ . e~ect to } h ~ free, ai~tr.ibution : ~ · ·:.. t?.( :ace ~moun ~-;-of ~~e _ ~,ona 1t ~ r.~ bei~_?- ~a~ ~ ctiz~d.-over the li~es,of -/ \ ~~ _ '.' , ' -\ 1~. . ~ enFeb ~uqr)i,- 14, '19~0, ~h-e COI1)~a:ny' i : sue9 ~ the 0.~% bo~ds -' : . -the: -b_pnds. Tr~ \effective an~upl ioterest rate ' ~ i,t~ respechto~' t~e_, ~~ ~ I ~ /\..' -- - .'~ of¥100 -bil.lid[l, wlth 7 de.ta ehabl ~ w~rrants·. Q.ne \warRilnt certifica't€._ .1. ! . 10.3% 'oon9s due -1994 is ap.proximately 16.2%, aft~r -giving effeGt '~ \ > ,.~ ~- ·;~ ..:- is ' ~~tacfled '> to - ~:& ch .¥1 . ,o~~.Oo'9 ~~~on 'd~an'd _ e .nti \tle5 the hold ~ r~_ to ~~ 1 • -},.~' to) fl t~mq~nt _ assl~ned~ .to - ti;H3~arr~m~s. - .. -.:·· '::-~, .:->- .:-'- . , , ,"\ "'~~ .·:~ 1 1 .:~~- .. \su' b ~cribe~ ¥1 .odo':'oO'o c$7,092) -fo r shar~s o-f cqmmq~~stock"'of _ the ·. ~ _lan·0· ana buildirygs with a book yalue ·of ~:t :8Qd ~nl0n ' ". _· . ·.· ...... ~- · ·~..:::; y ·,,: ·.' c_oTn~P~riY;·:a l ,¥8,-~137,_($S9.84) per ~ha ;:e (subJect to "a.dj~slmert\, .. -_ ~-$ ·1~,7~)4 th 9 clsahd)/~ n~ '¥:80i million (_$S:688 t~ ou~and) ;- -:--._ ~-~- :. ·.. :- ~- <·· , .. - ""' ' t .. .. ' . _.. . --- ... ~ . . ' r, ' , . - . - - .... ~. , ....:J.._ - - {,. - ""-, - , .. ~ • • - ~I .. -·--, . --:: r ertaio' circun]sl:~nces). At · ~r~ch ' 2·1, 1,991, ,warra_nts ofi:¥100{:>Jllion,- '. " r ~sp~Eti~ ly, are mortgC)'g~d _ -as ·r se~urity' for;- ttle . borids ' isS'os~t ,.··~-' /.' I' ') . · -. · '($709~2q . thousan~J is ~uj~ ln .. 1899. f'e~ owr~m ·nqing a '~ d ~~ . ) ~ ~y co,iisc~M~~ed, s o bs~diar~es ...... ·~ \ c.' . . · ._.; -~ . . c- :.::._.. .· · . _ . ,. \~ -· :' 1 t_,__ e'xp[re ori Febr-uarY.' 1d, ~ 994. ~ • '~ '· . !- I' J fhe aggregate ··amounts-of anl\lual hlaturities of.-long-t~rfl;l 'debL _:; -· . ~ ' ',; 1 1 1 \. i --: ' I~) '. . \ ., ' • -, "" "- :\~ -' ./1~· -~ ·< .. ' dU rin~ the--. ne~t' fi v~ ye~rs are . a ~ folio~: ,, ; , - '\: \ • I :·:.:::~ \, _.! ~· '/ 1 ·(: '".:... ' ~ ~ o • ,_ ~ // ' - ~6. ':· ·,.? · . .:. -- ~:: - ·.!, / " .. :, ; \1' ' ~ '' · . i :7 , ... , ' '."; ." • h ~ -~ ~n . - ' ...... ·\.::.·,·,·~:~\ •• B~ llar.s in ,,_' ( . ·' ~- ··: ~- ~ 1 1 _ Y'e_9 r J e ndin g Ma ~ch~ 3 1 ' _...,, ' >-·': 1 i - ~-. ~ .\", "- · ~illi o n s _ '. thgt;'sandS" , >1' ·::·, -1 _ ·. _ 1 - I - ...... _;: • ; •• /" ~ ;"' , • ~ 1- '\ l._ 1 1 '- 8 / \ \ .. ., 1 1 1 --~ - 199~ .. < ~ /. •:· ·,· ~ -; \<._,. ;- ~ •, (· . --•) I J• ~ . <:-. •. ·~~~ -.-· .f·, -"~' '. ::," .: '• .• ,• ¥ 12: 369 ~ ~' / $ 8>7)23 f. ' \~ .._ 1 I' . · -.. ) · ( " ; . ,-; '.· .· -: . · ·,· ~' _'.' 1_,.993 . :· ~ ·, ': 2: . , ;~) :, ) .-~~·. ;,1 ~. • ~ ..~ '\!\ ' ~ ·> •' 5-1,3-65: _',::'-:; . ,' ~6~ $6 ,5' ~ ~ '\ ' 19~4 . •/ / - .... : . . .(: . . · ', ,, . ( "\ . · · . '(- :- ·· ~ ·- · .-· . .~ , 159 ',91 --7- - ' ''. ,-·. '1.,134:1631 .. r;'-;_:·' . ' ' )' : . \ ( '._, . l'' ·' ~ .. -,; ···- -l 1 -1(95 .- • • ~ ~- . --:.. : ••• • '':.•; } ,_· ~•.• ~- ·.:~_-"~• •- { ._ _ _,:-, , _ , f "' : . . < . · ~ _ - ,_ ~9_(22? - ,.:. .- ' _ 278~ 1~ "s . 1 1 ~[· - 1996 ·: . '\. 'S . · .-'.'. _- r> _ .. ~ ·. · ,1 · ,- : ... -- • , . ·'-.\ ·• • 1_ 8;460 ~.~ ,,:.-. 130~9?? ~ ,·' ... "-- r , .... \ \ ,~....-: .' ; ' '· ...... ·<..... - -;- . ' ' -{ . _, -<); I ' • - :' j_: - ~ ! f.. F-. '' ,' ·...... ; '• ' . .::., : : "· _.... ). _,..- ~ / ~- . -~ ,·1 ' <: ' ' . -- ' '' Is 1 __ ; \..., TheJbjl S'ica'gre'emerlts,wi th certa_in bimk§~in Jappn jnclu_de pr9visio~s _ · . Althougb ,,the ·- ma:intenance 0f offici.9i ' cgrhpe~?afir)g ba~nc.es_· I 5 .. r ·~:.~ ./: .th ~ i ) c~[J ~te.[al ; (including _ s~ 0s, 'on d~p.Qslt · with su ~ h _bank ~) q/ · '1 -~ --·"if! ri;; ~ es t' 0(ba~k · ~~~~~- a'nd ·, ot_hR ~-~ ~eait J.rr~ ~g~;;;' frits is ~rtra~ , ," \ ..<\ ~ -:' ',-' .. guar~nto~~ J;ill., b ~ f~ rn , ! ~ ed_- ypofd ,he oa_~s : r :eq· ~~s(ang tFat -any ·r ~ '- t? :pubJic D81icy :l ~ ~a pan; i,S is' ~, ' , " cp lia'terai · J~rhis~ed pursuant tO ,SL}~!il' a, g~e~~~OtS Or OtherWiSe ~ Will ~ aintain~lime ~ d~p·ositS Jith · bgnk~ W'ith W~)s h. it haS VariOUS cre9it. ,~ 1 1 ' · : ,- o~ ? .PPiic~~ ~ ~ to al !l ~ f{~ s e'ul; Of .fLJ.ture . 1JAcl~ebt~d~ ess t6'_ s~c~ -b~nkJ .- < ', ~ r~~u-i~em~nts ~ .'~h~\ompa~y h'ad t ~ ~e ~ep~si~~· _o~~~?.3S~ fl;l}llior , ' :r··· '\~~:~- , 1/ = ' . . ''._, '' . ,• r' - \ ' I .• ,. ' ($16;8'(9 thousandr wi~h ~u~H ba'nks ,at' Mc;Jr2n· 31 ; 1'991. :. ' ~ _. '>·) : .' . / 44 ( ,;:-- - I • \ ' I - • ; J ' '/ \ -I '- ' ' I ' I ' / • , '- . • ' • &/ ,',•. • ' ··,, i)'-· • I ';;_ .-'\l·.tj· <> ,-(1 -~--~~.:·-::-,... ~-:·;_-":'··-;:~: ,, "';-':' :/'/ J<-. ,._: I ;:- ' .. ,-_, ... • . I \. I ( . • • / \.. \ ~ I ·. ~ j1 . '- . 4. • • ~ I .,..~ f • ..:.. -- .; ,..,, I \ ·~ J I ..: • .. ; 1-, ·' ,, '\ , ' • ' • • • ·.:... ~ ' ' • ' ;...t /I ·- 10. Pension and severance. plans :. , · · . · ~ ,- , ·r ~ ,- ,... - :;::. . ,... • • ~ .. '- ~ , , _ I. _, , , ,. r . -. , -"' • . ~ , (. o . ~ "" . 1 . : · tJet pension apd sever~ lice_c ~sts , und~r F~S 87'-for the. years ~nded_ ~·~ _~ \~at_9s and \ are . a·s~~mptlons . ~t Mardi ] 1\ 9990 and 1:~~ - 1 -. • !. . ( . ~a r ch3{ 19~ 0_ anC! ~ :~92 a,rw · lhe ~~!ated pension~ pla~.s'_f~n: ~ ~d ~~, _ :,.· a\e :. s~.~wh b~I~V.c · J · '(' ·:... ' ' '- 1 4 '\ )~-"- '_~; \,) - _..--- ,~-- \ ~ · .~1 :,1' }a~a~ese p;afl ~ - :~ · \.. .-~ /' '>').9reign pia ;~ .'·.. ·, · -:;.,: J' ' ' c <. ; ' y- Vi · ) , .... ·-'•-"' ·' · ·~.., ' .. , ) - -; · Dollars in ' ·. - -'~ -~ )~ 1 ·.; '·' '. ';- (r, ~~~~~1 ~ --: · ~',~ ~ ;~. ~:~sn~~ ~ ;>- . ~ ~~~~ i~ < ,.·_,' ;- _thousands ,- · •• ·.,,., ,-'..-:.,- .; '\:. \ (; J. 1 • '·~)- _..~:·::--,~ /~ea r ,e nd ~ dMarch .3 1 -\.;; ,: Yea r._; - Ye a'i' ~ nd ed March- 3 1 · 1 ,' y~;:;?-.. ··'~~-. "- ,\' · ·J. · ..._ _ ,. - '· ended March 31, · , . _~ - -, .- _ .. 1--:-e nded March 3, 1 ~ 1 '·· ' I~-~: .\_.... J.-...... _, ;· \,: >( ~~~ ·,_1990, - 1991 .' . ,1.991 ·, ~. I 1990" ---; 1991 .. ·1991 .-·:- '__,; ·:.~ 1 --\ --:- < DJ ~t ' p ~ risi~)A 'and~ ~evera(i_ce (QSt (cre~i.t) ~ ~ -, '- ,'r .', \j ·( :<:.: '\. '-:-' ;y,_/ • \, I • 1 . - )\ '/ • • ',) • 1 ,,, .·, · ~; serv!ce co~t. -benefits ~ e~ rn~d .during ,the year,· ...... - ~ . 1 , 1 ,31,.6 ~ ' ¥12-; 64.{ -~ . $,s9,653 · :- ~4. 7a8:".:: 1 ~~.2; 6 ;.~' " $36-J93 , . 1;~··./ - ·. ( ..·· ' lnter¢(t cost on:~i.projected be0efit 'obllgation::"- .., ' . / .~ -s·,9r9· . . 1 6;981 ·... ·. 49;5'1"1· ,-"=/I_ '.2,292 _ ·.-: I .2\607. •. - 1 .~ ~ 489 -, ~ 'I ,'_ - -~:,_:-·!) -f\ctual ~retllr.noh / p] ·anasset~~ : -~-~ ~ . - <~ /, -:;..., · ,_.. (5,948),· ~ 'z;GJO \_ · 1g,6~2 - ~ _,...~(2,-1 : 56) - .. (1,0,3,1) !·-:\· 1.(7'!31.2) ~·- '__..\· 2 1 1 1 1 .i. ' _. N ~ tamogizatioo-=: anddefen:.al .- , ·.:... - :~,~~n . di,S3'J)' ,; (67,596). ·,./ ••12 ( .- l .('l27). · "'. (S,JS(i)'. -' ·'-~ !!:. ·_.~;_ •• :: 1 Net . pensi~:m· an'a ~ ev~r~~t e_- cosNor-' the year ,. _ .-: ¥~1.878 -<" ..¥12,(21 ~ ~I I $90,~20 -' ·~~( -¥4;B76 · . ¥6;0~5__ _ $~~ ·;_Q ·;~ £t:~>. : .. /.- .:.. ·..--~ ·~-- -~." \ / ·' ·,< I , /~ '--/ L I I . ( '/ ·_·1 .. I , I ~. ' ) : \ "1 (., ' ('I.,.._''. r ,'-) j:,, l . ,. .I ' " ' ' \, . ' .,., ' ·.. . '\ '.. •' 1 r /. :.~ '', , ~- f . ·,, . •.; . \r ·,_. _. - - -· :\... r ;.. \:· . . ( "'-: \ £. .' :-....· )·. ·,· . i ', 1_ . -1. --.:..I ( ..,_. ~ ~- 'I . / '>- ~- . ;._- / ... ' ~ -,.'-{ . I '\' \. \ . (, ;~, -:/ '.:; s.y~ .:. ( 1;_/ ' ) c ·, ... '\..,_, . ' ' \ .. ·\ / .. - ..l \ ~-...:, ... ') \ '\· ' I ( -· .'\ "''. '' • 1.. \ ·.,! : ,_ •. J.. :~' -, '\• l J ' .."- ·, ( ~~·, '?. ~ . -_~"- ',... :. I /' -; . ..,...~.. , \ , I -- ' ..._ '\ .• , -~ ' (_ .J . -' . ( ·r. 4 ..__. T "·j _l0;. 1 -. --- ·, \ \ I I .~ ... ··- .. Jo.. '\ j ·~ :·~~ ,. ; ,· -., I ' v / .• . ~ ' • J ~ -. : ) . - ,1. I . ~ <.:_ ' ' ( I . -I \ %. I ....: . .,. . I I._ ... _ . ~ - \ .. ·. ··( '~· I. J' I ·'' . .... \_ ·, I ;· l~J. '' -....:_· ,• '. { ..... '\ . . ~- .J .... : ) . ' ."'\' : .. ,. ' .. ~ r, .:; • " <... )-..._ '.)- • ..... I / .·' ·~,.,.. .. ·::- ~ /- ...... ) . ... ~ ;( , .. ~ ·~,J ( \ j ..- ~ 1 ~'-..;. ·~ \ , I ) '.,) \.- ;.-~· -, .. '-J. _:_, .. '·..,... \ ( - •..:..:: '/,! ' . .-!. . \1 .,..., ...... ,. - ' ( ./ ~ • ( :' . ·.··, ( ... \ :. / I . ~ ' ,. ...\.' ...... - .z,.,____ ~ - - . - I . \ • I ...... , ..... , . ,.... .--"7-, :..~ -.... ,- ~·, ,_ \ .. -' _/ . / ~- · ) I . ;', ,. . ;:') ,·- ' ''I I I· '-/ ,,- 1,:... ' ...... , /' ...._ J- '\ ' I ·(' ;...~ .' I ., .. j • ~··· .. , ..( • - ...L /_ :r -\ I, ' ~ . .· :-' '.- t ~~ -· \ / ~ ·-':. r- I j\~, / I \':. .. 1'- ,-- ...... -· '. ,... ' '': '·"- .. . ; I t .... I I; I ~ ''. 1- ,-J .. \,.·.-. I'\ '-- : ..- . \. y·(,• .-, . ;-,, i ,. - I' ,. ) .__J' I ',;:!...!"\"\' / I"">; ' l;')ollar?-in - \)lousahds _ ~- , - I -; ) ' "'-'. : ' ·: 'r ~ --. . \.... ~ I' I .,. . ' \. ~. 0 1 . 'I -: ~ "..,- ~- f/ ;·· • "- \ - " .ry·. ,(,- ," _:.. r, 1_-\_. ·--. - ' ~\.--\. , '- J - ,. I . ;" - "- .. \ . ( ·'--. :... .-' \ -'[ ' - / • I , (,. . \ ~:-,...... I ~ <\ I (. • • ' • ( \[ \\ '( ' ' • ' \ ..__' ~' ~'· ( . I I -· ') J...... _ " ,: -...... !.. , \- :-- ! ~ ~...... i .':.J J... .-_ (~ ~ J. , ' ·:I' r- ( ~ ./ _:,... ,- • • /' < • .'- " ~ (: ,. ·~ '. I • ~ - _ __...-- '_:':._. /' ·~ ·, " \li -:' ~ -\~ Rep tal· ·ex1ens.es }-!nder /dperat~glleases 'fo; tiley ea'rs ' en_ded tv-larch'--,- 'rental J?aym~0ts required und~r operatirg l ~ases ~ thCjt have-initial' \: ,. , # ...... :- I_ ' I I '-. \ ...... , I . - I • - J - / ""'" / 4 I .../ • \ • . \I 31; 1989, 1990 and 1991_ w~re-¥28;708 million, ¥~].8·12 - f!!illion or.,remaio,ing noncanp;iable lea, s_~ ter.ms. in, sxcess of pne Y,eaK'') 1,. \. '/__;_ "·: ~---~Pl~ · y6~25_0 ~illio~($484,043 - th~sa~C! ~~ resp e1: / . :- " .-...~~ . ;--- - )\ 1 ....., ~'- · ~ ·:. .' • ' · - • ' f- ' Yen 'in · ',. ,. , . .;....._ .~ 1 Year ,e ndi~g_M ~ch 31 '-· , ' . ' "' :--- . --;- \ • \ · • > I " 1nilllons ~ -/ , '· -t~~~:~sn~~ ~ • •• / ) I' ( •-' ~ _.I-~\, ~ I ;.~ ~ • ~ -, ~ / ' j I ' ,r 1-992 . - . ._ 1• _.. : : · • .:;.·-.-· ~ : __ r. : ··. ' ,. __ .. ,. .. ¥-- 24,885- $ F~-.489 - • _' ')' / \, I • • (' ,' '- ' - - ' '-. ) • .~· .199T . . . ,. . . i / . - .· I \ · , ' . ' ,: ' . ~- • "'- • • • - • • " • ' • • .... ·;.· 21:220 . "150 \~\ 9.6_ .·· ) . 99~' J ··_I, ' ., ./ _IL• ' . 1 " ~ ., _;..' -~ : 1 4 •. ··- . , ... . ~ .. . i ;-- : _ : ·_.,r -' .? 15,789 .. <· 111 ',9t9 ...... :, \I -· \ '-.:...... _, • <:._ - ' I-··, 199~ '( . ~ . I- .• •' ."·.' I \- 13,02:J· '_' > .•.' : ' 92,362 , _!. ...-.;./~,. 1996 ( - . • I :~>- \ ;·:, · ·~- / I ' ,, : ·, •: / , I._ , • ' ' · .. ·,' 1os8' 11 -.' 1 -<..c 't .=_ ~:~ , :;·~· . ~ ' · · ; • ·· • '). "< :._;', , • • ~...... :...... , · _ • ~ ": -- : ' .'" v·. ~ , 1.",, -.. · 75 .._~~3'- 1 1 1 1 La .er yerrs . . . , . ., -~ · ~ . · . r ...... - . . . . -· : ·'-y. . . , .... • ~:.. 6fl.,6~2 ~ -.. · 45~S,~12 -...).- ,_' ___, l , !..- . , ·.,_ ,. .,'-'· · T~ Ea l ( mini~'u~ _ future _, rentals ~:.· _, :~·_.- ~ , - ~ . ,X,'f :?0.129 ~$1,0t>4,681 1 ------~~y~~~~~--~--~,~~------~~~~~~----~~----~~~--~------~--~--~~,~~~--~~~------J ' I ...... ' -: 'J • '-' ":"'' • • \. r 1....,_ \ -~ . )\' ' ~..:.·.. -, ;. J, , .I - ' (; ', ~ ( : .' ' . 1 ·- ,' - \ 1 1 d 5. fi~anci~'t instn.J~epts_.. _ I 1 , .,_ .... - ,_ 1 · . " .; · '· · ' ( ,, 1 I , 1 f The 'company enters into, ~a rio us foreign exchange contracts, · / · ~ 7"1nteres~yrate 'l?Wap agree men~. r ~al~ rin~ l 1991 t; 1 -9~)3 ~' ,~ 7 '- ;·, ·· ....._-- -,~ · \ - I· • ' , '-.. / • ' - I 1 • \ - # ' • - -._ "" \ , ·Interest rate swgp' agreements"and curref-1¢y .swap agreeiJlenis as -' a ~ - a'nd currency .swap_agreementS, m9-turing 1991 -to ~ 994, with · · ( r ~. :,. norriai part of its-. risk -· ~ana~e~~n~ etfo;ts. SUCQc'• •off•oalance sh~ec· · fina~s iaJ instftJ ions. ha,d '~ an -aggrega ~e·, notfo n~ l pri~<::i~al . ~mpJ n~ -- - ; -..., ( I\.. 1 , acti\it ~ s Eompris: ~b e :oll~wicg: . '. -~'. -. I - . . ' ( f r ~· ( of . ¥45,~.2 milli?~ ($ l22,~~7 tn ~ US5Jnd)'ar1d ¥61 ,78?\million . ./ ~ ~- r · -:-~oreign excbange contracts use·d .to hedge certain identified ,. ($438, 199 tliousar.~d), resp,.ectively, -at tv!arch 3.:1, 1991': Jh·e / -) " .;?- ,I I '\ - I • ... .\ .... .( - ...... _ ' "" \ - - . - / I - : ' -tra_nsa'ction .or eXposures totaled ¥802,9,24 milli(\l n ($5,694,496_ ,._differer-Jtiallo be 'paid or receiv-ed on interest ra{e swap ,and currency_ \ ,1• •• • I ...... ; / ,/ \ ' . I' _I / • .. ·- • ... -- I ', :_· theusand) at March.31 ~ 199f pnam~ture mainFy -during l§~1. ~ -, . - .. swap agree'ments1 is recognized over ~he ,life ·ef, the agreements. --': ,-' ·, . . :: ,. . ./ ' ( . ' I 'v' • <. - ( r I . - - • • I , " • . . ' I. - - ' ...... / I-~.. The market value g~ins or'_losses. q_rising fron: _cur,ency exchange \,,-. . Althou'gh t ~eJO!:llPany - may _ be exposed to los~es in the ·event \ ' .· I . ' 1 ' : , t ontr,acts offset· foreign exct{ang~ g~inS or IO?Ses, on th e"' und~,r lying \ ~T n q nperfor~a~ce. by cou 'nt,erparti'~s an d i~teres ~ and ~l;lrrencx: .r~ te ' / ./ l ( • ...... \ • ) "- ' (" 1 , h ~d~e d assets and ' liab ( l,itie~ . ~ • '< - // • •. '.-.... • ',, ' ) m QV~ mentS ,' it dQeS f.1Qt ~?rlti ~ ipate , Sign ~ Cpnt loss~· due tO ttiel..._ _. 1 1 i. ·I -· • , , ..-, --' financial arrangements deso1bed 'above. · -~" - · ,. · ( '>-, 1 1 ' .(' /. _.,. ) • • ~ ·;_ • ' ' ; (~I I' . ' I ' ' ' . I ;/ ~ I ~;--. ;-' .. ' : ; \"'. :._ ~ ~ ~ ·r , . . '- , .1 _ \. :-.- -~ .., ~') _ \ ;· II :.... _.\ \-;. I ~· • I \ .J " ' " ...... / ~-.. \ ~ ~· ·, " l" _.,... .-1 ' 16. Commitmen:ts and; contingent liabilities ' J ::.- r ' I - -::;- r \' . ( •...... 1 C .~m- ~~trriints~~~t5 tao~i~ {at - M,arcb ~3. \ _ ~~ 1 f?.r1the .~urcha;_: ·, -. <_e roduction_~ nd/or 8Tstrib,~tion -of records, ta 'pe ~) c~rnpact di~cs and , ... . . ,--f.. .. \ ; of _p rop e! ty,':E ian~ a~~ equip~e~} a ~~~ th ; r (~ssets approxin;ated~ t • I videQs. These' ' "" ....._ ~ 0 ' - ~~~.· 0' -.c. y ·,· /' , ' ,) ~ J --· r C,' / /. 0 ( ( '., (,' (;>; __ · 1 ,- / Aoyama Bui~ping ... ,.. • ~==' • . ;r ( -. '. ;-' '( Telepfi?ne:- 0}·340~·93§1 j ·2·3, Kita-Aoyama 1·chome .,,_ ·- · ,-....__ '" 0. - I··-·) .. / ··.:·~-~~~- tVIinato -ku, Jo.ky.Q., W7-1 (, ,; I )• .. ~ ...-:;.4 ·.~;r - ' 0 -~ ... ''J -~ ,_., ,..._. ./ ~ ,.: / ~ ' ·. -"' ·' ·,I" '. -· I . ,_ ,, 0 •' ~-·: -'1. ' I~/ ) ~""- '!. 'J. o • • I \· ,, \ ' ,· / ' o '· /'\ .... • ' ..._ , \ 0 I '\ I t.: ;.f .; '· J;~,c." ,·:__ ·: '·" "; ,-:· ,i· "~ft >J+i.ceHUterlzouse -\ ;.- : ""~~- 0 ; ~I ' -· ? ' I .' -;" . ' I' i, ~~ ~I •. )-\ I "" ·::_.-· ' " I ::r.. '. /.; w ..v t-, '. :>., ( ' I'! .. :'', ~ ;- " ~ # ' ~ • I 1 J~~~""""- • " ... . • )'- - -:~- 1 :~· M~ 2?. r } 9~-~ '- · ' / • / __ ':.~·--.. .' ', • "/• • • •1 ·:. ,/. ~=._~ ~:::. · · ~ ·\ ')-" ,, ,._-;--·_,j' / '.,( .. · "(. !• .'.. ",' .:,.....\/',, '·•. ~ \10 \-'.1·<' '-_;,1/~- ;·:·· / _ ,. ~T9 .the ' S.tof~hold ~~ ana J?oard. of Director~ . '-- · 1 - -- ~ ;< l '-'. · '-- i • , • • , ' -.... 1 1 0 .! { . Q_f Sony / • • _,_, ;. . . ;·.. ._ .'/ ., I _ - l. t . _ ....,,. · f • :· , r \_ , " -~, ~o~ p o!at ion (Son.( ~ab'U?~i .ki , ~aisha) ~ -.-~ ~.; 1 .:..~ ~·.< 1 ~ ' '·· - //' • 'l / \ !'_?· ' \...... ;\.~· , '- . , . , - ...... _: I r - -::-- -\ '!' , .... ) ...__ / ".,. - f'- -. . I . , 0 0 '- w~ -na'{e / audi~e d -the· ~cco'inpanying con_s_olidat~ bala~3;e ·sheets o(Sony Cbrporatig}J· aq.cLit.s' t?~olida, te.Q subsid)ari~s 'as -'of Man:r 31 ', 19~,0 ° < . \ II" I , , a?d. 1991, a~d_ · th ~ ~el~.t ~--:c .opsolidat~d ·~s'tatem,~nts. ?f_l~c?me 'a~_a · re~~ined __e ar7 in~s . ahq of c~sh)~ows-::~for _e?.ch , of the)_hr~,~ y~ ars'_ in tAe .?eriod· . ""-', ~~ ·. 1 1 :•- en~e .a March, J1, 1991 ~ expressed i~ ye~. 'f'h,es~ _ finan~i~l · $.~a te rri.__en~s are tb e'~~s~o n~ biJity of t~e- cp!!Jpa~y!s n;a~~gellJ~nt. Our r{('S'~Q nsibility .~- ·' .. -. 1 ; .- is to ~press ,an opiniol)...onot he·se flnancia l:Stateinents ba sed ~tl oiJr audits. , \ \ ~~ , .... ~- ' .,,;~ · . · · ':..~ ("1 \ ,( ' ,~·~ .....-, ( _..,· ',, f' . .:.>~~ ...... - ....,_...! .. ~\ 'J. .._ I . ~ ~ - r -:.._. /' I • • • . ~ - _, . \ • ,, . -. ,. J •• .. r ~ .,- ; ' ~\ . . I·' - ./~ ;::- -· 5 .. - ~ ' . _., . . w~ ::s crnducte'd_ ~ ~L auq~ts ~ n .acto' ~~nc_e-:Wi th g~~erally - acc epted ~ ud_ iting ~ ~~a.n9ards : Those ~ tan ~~ r9r re/qUir~ · S~ aL\"'e ~-~a~ ~- : nd perfbrn: )~J ~. \~- _~~ ·.-. •• • ,audit to obtain rea·~m n ~ ble ass ur9n 1=~ ab_out ,.w~ether.. the financit;~l-s}9 tern ~nts are free 'Of ma~eri~l · rrl,isst~tem ~ nt. Am audit inQ\Jdes - ~amitJingj .··l . ' •· o( :·. , 1 ' · ~ on a tesf bas.is,.,evid'ence s'uppg_rting 'the amoLi[Jts and disclosurest in the .- fi~a~ncial statemen_ts~ ~ n ·a ·udit _also ircludes_a;sess fng ~l:le ~-(counting_ " 1 ~ l~ • 0' prin . ~j ples · use.d aR d · sig~ificarit estl~~tes ~de- by m ~ nagem k:n . t-, ·as ~ill as/ evarua;tipg"' the [J\IJra !J,_firq nci~l {),t~temeot p~~seil tat ig n :. "W~ oeli~ve . ,1. I', 0 0 0 I ouf _9P ir:_io';;. : · 1 /. "· ":.- 'r:/\. • -~··._-:· • " thatt our .audits,. p ~ovi dea rka~o~ af21e ,basis . for ~---~:r ~~· _\. , 0 ~·- ':~ , "'·~- ':,--~· l; 0 0 ' ( 0 -- ~- ~ - 0-- ' : ; ' - / ~ -.. \ ' 0 ..·=- - •~ ; ~ ~ ;- • :::.. _- \ ' ,_ I I . y ., / '. '.:-· I - I • ' 0 ' ' ' ' l \ ~ -- ':2 < I , • ' ·,) \_; Jre C\)IJl~any , has npt _pr-eser-1_te& ~e~e nt; information ..... ~or - e~_ eh ·g_f the three y ears· in.1Pl~ P.erio ~ ended ~ar.cb -3 1, ,199_1.' Tile pr~se otati 9 n ef . - :, _ . ·,; ~ ") -- ; • _,.- \ ,. ' \ - , y h ,-, ~ ' ~ ' ·- \ ' ' I _...... , • ) • • I ,.... _.) s-egl!leot infor~· ation .cbn,c.e'rni ng op.eraHons'llin SJifferenJ in ~-. l ge ~"'erally _?~~ept~ ld IJ\~e . Unit~d ~tp:t~s of A~e~<:a for.~ cofnple ~ pres~~atiGf ....o!Th ~ co[i_so.lid~ted fin~nEJ~I . ?ta tkrT)ents_. ' ~\ 'I ,; ~,-.__ • V' :' .._.. - - ., ·,' 0 0 - • -· 0 • - ·, : ·\ \, / •• /--; 0 - I -- I. \.. ' ;-~: ·, ' •• _: 0_g ur opini~n:)xc~t for the · orn~? ,sl~n ~ ~f s;~me~t i ~~?r.~~l ion as _ d~c~ ~; d ' (i~ th·eJhird. ~ara'g[~p- h of thlsJ~ ~orf, _ ~he ; ' \, ·. ·~ \," .~ I < ' :· " - ' ' - \-,' .< .. '• "; ·, 0 ' ; ·' ' • • : •• ·- 0 ~ 0 ) - • '\ '~ 0 .>' 0 J. ' I ;,.- / ,- ~ ) I \ ~ \ 1 ;- ,· -~ \As , d.is ~~ ssed in N_gte ~ ~ToJ~~ -,co~~sqli~~ted · f~n~n_cial state_n;ents:.. tl]e ~0 mpany c,h~ng~ its ) ~!.t{:_~ d - o'f.~<:c~,unting .'fm p ~ nsio_n c'os~\.( o t~e yea ~ ; ·1;; 0 . , ":- '·, · ended March .31, 1990_iri accordanoce with Statememt of fin_ancial Accounting Standards No :-< 87, Employers' ...~cco uMting fm .Pensions. -' :r '· ~- ~ .:· J: ·~ I' ' ' ~<. ~ ,,,: ~ ': ,' ·'·; :~,·" ~ I>'''~)'"'/ ' \•~ >· ~~ f, ~t· ~;~~,/'I .-;~(~~ '< .': ~:-' -:\·~.. ;.:~{ \~<~' /1\, ; -(, ,, ...... / • -l..... ;_';. \ -· --cl ,. ' ' \.' ·.,., :_.. \ . ' ·, -;•o '\ • .:!.._y -.,. ·•'7"'. ,~ \ . o, ~ :· .,,.. , ·.;; '· ,, - I- ~·~. r~ ·-: _--, -~. ~'::._ . ··'/ '-....:.. '/ -;-_. - : ~ ,F ....._ I ,.\ 'j'. -~ .>' '~_,->_) "-f .. ' .,'v-' .. ;-~';o· -~-~-·~(;-:- ··~·-' ...... 1 0 \~ ;'_ 1~ ' ~ £l: ; :-t - ~:_<' ')''f ;,;;A-.;d_~ ,·.J··: ~~;~-',~~. '·' •• \ ; :-; • ·-··,.;/<>< • J.!:·~,- -.·· -..,. ..-:'' i · ;/<;(~~ CA:_/~ ~~~ I ·t ~ f. , . ~ f A' ../ o ::, ~>· ., ') \... ,, .--' I. ,t i' 0- '.; J: \ I _0;' I • ~' .)' ~ ' "" 'C/_. -~. I (. ;: ' ·_." ·_'.:...,_~-i- - ,·'-.. ' ~ .. :·, - ;.. '"' , -~\ :...., •. ·::;. '·"-,~,( ,-; o;'l· _,,,..(_, _··. ·(" ~~ .,\;;·,_;,·:~·'i_:-:--._:..., .-~: _J; t --.- '--"'· ~'__ ... ~"- ... .:. . , .. :0",\-:,): .. ~ \-~-~ ., ·· - ~- ,.. _.... :::- ·r . -- _\'._./; ·.' ~ ·\; :.. '- · ·; / ~< . , /··1·,·.' "'::• . '- ··\.: r·;· . •":• ;' ~ );::::'· ''• '•'-. .. , _- ~. .:\,...... ,. ... '-. J,· - ·~ .:./~. .-J_ ~-".._., ---...... _j \ \~': !r, "-·•,'-. ~··~-.-_ \' I 0\. ·- J·~ / 'o, ,:· - l,l· t:'· • o. '. - ·:> _., 0 ' .! -~ \· '-...!..-, , ....,.,,.. 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' 'l x ~ <' \ ·-: ..., ' ' ., ...... · ,r-1. ·:: t' _.:r· ·"""· .. ..l . /.-· ) . ./' -~I~;:;-:.·.; I·· f'i ;. ,/ - / ~ \. \- ·<.:. / ,;..· \ ' \:. J' ( '. ''\ ')- ·-~~·;:_:·<. ~ ,•/ I, '). -~ J t: .!.I • -~' .• r! .· . <""":-- • . . ·; - .... " ' . ; ' f.; . . ~ --~,_.. ~ '(.j r .. l .( '( . ".-'· .... I ._..._ [(_, . ____ "'\ ... ,. I· .,. ;.. ./' -\~ .\('. (- ;.__ " \ -\-.. :' ( '<~: _,...... · I -' :--: ·,. .i ', \ -\ " ; ·. ,I .:..- "l'' r / -..: / .. ·,.- -.• '' -~-, ·-.....· .f / -·_;..) ,,, '\. This annual report was printed entirely on recycled paper; in particular, pages 25 through 52 were printed on paper that meets U.S. Environmental Protection Agency guidelines for recycled paper. Sony Corporation Printed in Japan