Operator: Good day ladies and welcome to the Fourth Quarter Fiscal Year 2011 Sony Corporation Conference Call for Overseas Investors. My name is Keisha, and I will be your operator for today. At this time, all participants are in listen-only mode. Later we will conduct a question-and-answer session.
I would now like to hand the conference over to Mr. Edward Reid, from Investor Relations Department of Sony Corporation. Please proceed.
Edward Reid - IR: Thank you very much for that introduction Keisha. Thank you all for joining us today, May 10, 2012, for the discussion of Sony's fiscal year results. I am Edward Reid from the Investor Relations department here in Tokyo, and with me on the conference call tonight is Mark Kato, CFO of Sony Corporation; Robert Wiesenthal, Group Executive, Head of Corporate Development in M&A Sony Corporation, Executive Vice President and Chief Financial Officer at Sony Corporation of America; and Yoshinori Hashitani VP, Senior General Manager Investor Relations Division of Sony.
Thank you all very much for joining us. In just a few moments, we will review today's announcement then we'll be able to answer your questions.
Please be aware that statements made during the following remarks in Q&A session with respect to Sony's current plans, estimates, strategies, press release and other statements that are not historical facts are forward-looking statements about the future performance of Sony. These statements are based on management's assumptions in light of the information currently available to it and therefore you should not place undue reliance on them. Sony cautions you that a number of important factors could cause actual results to differ materially from those discussed in the forward-looking statements. For additional information as to the risks and uncertainties, as well as other factors that could cause actual results to differ, please refer to today's press release, which can be accessed by visiting sony.net/ir.
Let me remind you that a webcast replay of the Investor Meeting held earlier today along with the slides presented at that meeting and our detailed earnings release are available on our website for your access.
With that I'm now going to turn to today's announcements. First I would like to explain the consolidated results for the fiscal year ended March 31, 2012. Consolidated sales decreased 9.6% year-on-year, primarily due to the unfavorable impact of foreign exchange rates, the impact of the Great East Japan earthquake, the floods in Thailand, and deterioration market conditions in developed countries. Consolidated operating loss was JPY 67.3 billion, compared to operating income of JPY 199.8 billion in the previous fiscal year. This deterioration in our operating results was primarily due to lower sales I just mentioned and a significant deterioration in the equity results of affiliated companies. Although a JPY 102.3 billion remeasurement gain was recorded due to fully consolidating Sony Ericsson.
During the current fiscal year, we recorded JPY 315.2 billion of tax expense primarily due to the recording of a non-cash charge of JPY 260.3 billion to establish a valuation allowance against deferred tax assets predominantly in U.S. Net loss attributable to Sony Corporation's stockholders was JPY 456.7 billion compared to net loss of JPY 259.6 billion in the previous fiscal year. I encourage you to refer to the earnings release for a detail discussion of the results of each segment; however I do want to touch on our TV, digital imaging, game and semiconductor businesses.