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July 25, 2006

Overview of CSR Activities for Fiscal Year 2005

- Issuing CSR Report 2006 -

Sony has issued its CSR Report 2006 which covers the full spectrum of its activities relating to Corporate Social Responsibility in Fiscal Year 2005.

“CSR Report 2006” is the fourth CSR Report for Sony since its first publication in 2003. It covers Sony’s broad CSR activities including corporate governance practices and social and environmental activities from a global and diverse business perspective.

In order to increase transparency and comprehensiveness, this year’s Report provides a more detailed explanation on our CSR activities, including global quantitative data and graphs, relating to Sony’s resources and relevant social issues. It also includes messages and interviews with the members of our top management, and internal and external stakeholder opinions.

In addition to the Japanese and English versions, Sony plans to publish a Chinese version this autumn. Highlights of CSR Report 2006, can be seen below.

(For more comprehensive information on Sony’s CSR activities please see: Both Japanese and English version can be downloaded from above site.)

Highlights of CSR Activities in FY2005

1. Environmental Conservation Activities

- Establishment of Mid-Term Environmental Targets “Green Management 2010”
< CSR Report 2006 P46-P47>

Under Green Management 2005, which set targets to be achieved by fiscal 2005, Sony focused on a variety of activities, such as developing environmentally conscious products, reducing the environmental impact of its sites and promoting product recycling. Following Green Management 2005, Sony launched Green Management 2010, with new mid-term targets outlining the challenges facing the Sony Group between now and fiscal 2010.
When setting targets, Sony conducted information exchange meetings with several environmental NGOs, gave full consideration to the conclusions drawn from its review of Green Management 2005, as well as to legislative trends that could affect the Sony Group in the medium to long term. Sony also had three basic goals in mind when setting the targets, which were to aim high in a cutting-edge, set targets for reduction of absolute environmental impact, and act as a global corporation. Green Management 2010 encompasses general indicators, greenhouse gases and resource use indices, as well as individual targets.

- The RoHS Directive Measures < CSR Report 2006 P52-P54>

Sony has established its own global standards for management of chemical substances, titled “Management Regulations for the Environment-Related Substances to be Controlled which are included in Parts and Materials” (SS-00259) and is implementing control of certain specified chemicals in parts and materials.

Sony has established the “Green Partner Environmental Quality Approval Program” in 2002, which outlines Sony’s Green Partner Standards, the standards for chemical substance management, and audits suppliers based on these standards. In fiscal 2005, approximately 3,500 supplier and 200 OEM suppliers were certified as Green Partners.

Under the above mentioned chemical substances management system, Sony has prohibited the use of six chemical substances in parts and materials specified in the RoHS Directive*1. By the end of fiscal 2005, Sony has completed elimination of those specified chemicals from all Sony products, not only for the European market, but also for the world-wide market*2.

  • *1European Union’s Directive on the Restriction of the Use of Certain Hazardous Substances in Electrical and Electronic Equipment: An EU directive that bans the use of six substances-cadmium, lead, mercury, hexavalent chromium, polybrominated biphenyls (PBBs) and polybrominated diphenyl ethers (PBDEs)-in electrical and electronic equipment brought to market after July 1, 2006.
  • *2with a few exceptions such as complex professional systems which sometimes require the integration of customer specifications for sale outside of EU.

2. Promoting Diversity

- Establishment of Diversity Project “DIVI@Sony” < CSR Report 2006 P27>

Sony is committed to respecting human rights and providing equal opportunities. To this end, Sony is focusing on promoting diversity among its personnel as a significant component of CSR.
On July 2005, Sony Group companies in Japan launched DIVI@Sony, a project which directly reports to the President. It aims at stimulating the creation of a corporate climate that enables employees with diverse identities and values to realize their potentials and invigorate the organization. As its first step in addressing the wider issue of employment diversity, the project is focusing on gender diversity, with the aim of fostering greater job opportunities for female employees.

  • *DIVI: Diversity Initiative for Value Innovation

- Improving Disabled Employee Ratio in Japan < CSR Report 2006 P28>

Sony Group in Japan promotes employment of the disabled and each group company takes appropriate measures. Sony Corporation has been taking various measures to improve the disabled employee ratio and providing special employment opportunities for individuals with disability. Through original measures by companies such as Sony Hikari Corporation, Sony Taiyo Corporation, Sony Corporation has achieved a 2.11% disabled employee ratio in fiscal 2005.

3. Social Contribution Activities

< CSR Report 2006 P34-P39>

Sony’s social contribution activities focus on education, particularly science education, as well as the arts, music and culture. In fiscal 2005, Sony Group spent approximately 4.2 billion yen on social contribution activities. And during fiscal 2005, nearly 30,000 Sony Group employees in 21 countries participated in volunteer activities.
Sony conducts original social contribution programs to enhance the creativity of children through a variety of activities based on the theme of “For the Next Generation”.

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