WASHINGTON -- President Barack Obama says the U.S. will respond "proportionally" to North Korea's punishing hack of Sony Pictures Entertainment at a place, time and manner "that we choose."

Obama says the attack "caused a lot of damage."

Says Obama: "We will respond proportionally and we will respond in a place and time and manner that we choose."

The FBI announced earlier Friday that North Korea was responsible.

The attack escalated to terrorist threats that prompted Sony to cancel its Christmas release of "The Interview." Obama says canceling the comedic film about a plot to assassinate North Korean leader Kim Jong Un (kim jawng oon) was "a mistake."

He commented during a year-end news conference Friday at the White House.