OLDWICK, N.J.--(BUSINESS WIRE)-- A.M. Best Co. has assigned a debt rating of "a" to the CAD 300 million 5.70% fixed rate senior unsecured debentures due 2019 of Sun Life Financial Inc. (SLF) (Toronto, Ontario). The rating outlook is stable. All other ratings of SLF and its life/health insurance subsidiaries are unaffected.

This offering is issued under the November 2005 trust indenture. The proceeds from the senior debt offering will be match funded and are expected to be used for general corporate purposes.

The rating reflects SLF's diversified and profitable operations, favorable risk-adjusted capitalization and very strong market position in all major business segments in Canada, complemented by growth outside of North America. Moreover, the company enjoys further diversification through its Asia-based operations.

The ratings of SLF and its life/health insurance subsidiaries are reflective of its diversified revenue stream from multiple regions, profitable operations in Canada, favorable risk-adjusted capitalization and well-developed and fully integrated risk management framework. The company's first quarter 2009 regulatory capital ratio in Canada is considered strong.

SLF is a Canadian-based holding company with a top three market position in the Canadian insurance market. SLF also maintains wealth management and life insurance operations in Asia.

A.M. Best expects SLF to continue facing challenges due to stresses in the global macroeconomic environment, especially in its U.S. operations. The prolonged weakness in the equity markets through 2009 has continued to pressure both SLF's insurance operations, primarily in the United States and its asset management operation, McLean Budden and MFS Investment Management.


For additional information on SLF's current ratings, please see A.M. Best's press release of February 27, 2009.

For Best's Credit Ratings, an overview of the rating process and rating methodologies, please visit www.ambest.com/ratings.

The principal methodologies used in determining these ratings, including any additional methodologies and factors, which may have been considered, can be found at www.ambest.com/ratings/methodology.

Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit www.ambest.com.

A.M. Best Co.

Analysts

Marc Steinberg, 908-439-2200, ext. 5225

marc.steinberg@ambest.com

or

William Pargeans, 908-439-2200, ext. 5359

william.pargeans@ambest.com

or

Public Relations

Jim Peavy, 908-439-2200, ext. 5644

james.peavy@ambest.com

or

Rachelle Morrow, 908-439-2200, ext. 5378

rachelle.morrow@ambest.com

Source: A.M. Best Co.