Sony -- Chapter 2 Financial Thesis

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Also, on April 1, 2004, Sony recognized a charge of 4,713 million yen (net of income taxes of 2,675 million yen) as a cumulative effect of an accounting change. (Form 20F Year Ended Mar. 31, 2008)

2.1.2.4 During the quarter ended December 31, 2004 Sony adopted EITF Issue No. 04-8 which requires that the maximum number of common stock that could be issued upon the conversion of contingently convertible debt instruments be included in diluted EPS computations from the date of issuance regardless of whether the conditions to exercise the stock acquisition rights have been met. As a result of the adoption of EITF Issue No. 04-8, Sony's diluted, Sony's diluted EPS of income before cumulative effect of an accounting change and net income for the fiscal year ended March 31, 2005 decreased by 7.26 yen and 7.06 yen, respectively, as a result of adopting EITF Issue No.
04-8. (Form 20F Year Ended Mar. 31, 2008)

2.1.2.5 on March 31, 2007 Sony adopted FAS No. 158 in its financial statements, which required Sony to recognize the overfunded or underfunded status of a defined benefit pension and other postretirement benefit plan as an asset or liability in its statement of financial position and to recognize changes in that funded status in the year in which the changes occur through other comprehensive income. As a result, Sony accumulated other comprehensive income decreased by 9,508 million yen. (Form 20F Year Ended Mar. 31, 2008).

2.1.2.6 Effective on April 1, 2007, Sony adopted FIN No. 48, which prescribes a minimum recognition threshold and measurement attribute for the financial statement….....

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