##### 



SLF Q2

SECOND QUARTER 2003

Shareholders Report

SIX MONTHS ENDED JUNE 30, 2003
SUN LIFE FINANCIAL
INC.

www.sunlife.com

(Sun Life LOGO)





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Canadian Residents Participating in the Share Account
Shareholders holding shares in the Canadian Share Account can sell their shares for $15, plus 5 cents per share:
By Telephone: Call CIBC Mellon at 1 877 224-1760
By Mail: Complete Form A on the front of your Share Ownership Statement, tear it off and return it to CIBC Mellon





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##### 



Letter to Shareholders

To Our Shareholders

Dear Shareholder,

I am pleased to report record shareholders net income for the second quarter
of 2003 was $366 million or 60 cents per share. Earnings per share were up
seven per cent from the previous quarter, due primarily to rising equity market
levels and strong performances in Canada and at MFS Investment Management
(MFS).

In Canada, the continued success of our integration of Clarica was reflected in
stronger results across all of our major business lines. In the second quarter
of 2003, Canada earned $218 million, an increase of 18 per cent, over the $184
million earned in the first quarter this year.

In the United States, the impact of rising equity markets was evident in the
results for MFS, where earnings increased by 50 per cent relative to the first
quarter of 2003. In our U.S. operations, earnings increased $9 million or 17
per cent compared to the first quarter of 2003. The U.S. annuities industry
continues to be challenging, due to the persistently low interest rate
environment and volatile equity markets. During the second quarter, management
took decisive action to reduce commissions, introduce new pricing for products
and petitioned states to lower legislated minimum interest rates on certain
fixed annuity contracts. We expect the benefits of these actions will be
apparent in earnings in future quarters.

In the United Kingdom, we continued to experience robust return on equity in
excess of 18 per cent.

Business conditions in Asia in the second quarter of 2003 were challenging.
Sales were affected by the SARS outbreak, but started to show improvement in
China and Hong Kong towards the end of the second quarter. In India, sales for
the second quarter were up 42 per cent over sales in the second quarter of 2002.

During the second quarter of 2003, the Company continued its share buyback
program, and has repurchased year-to-date approximately 11 million common
shares by the end of June 2003. This, along with stronger earnings performance,
helped to increase return on equity by 100 basis points in the quarter.

Thank you for your continued support. I look forward to reporting our third
quarter earnings.

Sincerely,

-s- Donald A. Stewart

Donald A. Stewart
Chief Executive Officer

1



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##### 



Managements Discussion and Analysisfor the three months ended June 30, 2003

Sun Life Financial Inc. (the Company and, together with its subsidiaries and
joint ventures, Sun Life Financial) reported shareholders net income for the
second quarter of 2003 of $366 million, or 60 cents per share, up from $343
million or 56 cents per share in the first quarter of this year. Earnings per
share were up 7 per cent from the previous quarter, with improvements in equity
market levels and strong earnings from the Canadian operations offsetting the
impact of weaker foreign currencies relative to the Canadian dollar and
continued low interest rates in the U.S. The strengthening of the Canadian
dollar relative to foreign currencies had an adverse impact of two cents per
share, compared to the first quarter of 2003.

FINANCIAL SUMMARY

|                                      |  |                   |       |              |  |       |       |       |  |       |       |      |  |      |       |  |  |  |       |  |  |  |        |  |  |  |        | 
|------------------------------------- |  | ----------------- | ----- | ------------ |  | ----- | ----- | ----- |  | ----- | ----- | ---- |  | ---- | ----- |  |  |  | ----- |  |  |  | ------ |  |  |  | ------ | 
|Unaudited                             |  | Quarterly Results |       | Year to Date
|                                      |  |                   |       |             
|                                      |  | Q203             |       | Q103        |  | Q402 |       | Q302 |  | Q202 |       | 2003 |  | 2002
|                                      |  |                   |       |              |  |       |       |       |  |       |       |      |  |     
|Shareholders Net Income ($ millions) |  |                   | 366   |              |  |       | 343   |       |  |       | 310   |      |  |      | 361   |  |  |  | 71    |  |  |  | 709    |  |  |  | 327    | 
|Revenues ($ millions)                 |  |                   | 5,579 |              |  |       | 5,758 |       |  |       | 6,028 |      |  |      | 5,803 |  |  |  | 5,832 |  |  |  | 11,337 |  |  |  | 11,270 | 
|Earnings Per Share ($)                |  |                   | 0.60  |              |  |       | 0.56  |       |  |       | 0.50  |      |  |      | 0.58  |  |  |  | 0.14  |  |  |  | 1.16   |  |  |  | 0.70   | 
|Return on Equity (%)                  |  |                   | 10.3  |              |  |       | 9.3   |       |  |       | 8.4   |      |  |      | 10.1  |  |  |  | 2.8   |  |  |  | 9.6    |  |  |  | 7.4    | 
|Average Shares Outstanding (millions) |  |                   | 610.3 |              |  |       | 616.8 |       |  |       | 618.4 |      |  |      | 618.2 |  |  |  | 499.2 |  |  |  | 613.5  |  |  |  | 465.7  | 
|S&P 500 Index (daily average)         |  |                   | 938   |              |  |       | 861   |       |  |       | 886   |      |  |      | 895   |  |  |  | 1,070 |  |  |  | 900    |  |  |  | 1,099  | 

Excellent earnings from the Canadian operations, rising equity markets and a
rebound in earnings at MFS Investment Management
(MFS) contributed to the Companys strong results this quarter. In Canada,
the continued success of integration efforts was reflected in stronger results
across all major business lines. The impact of improved equity markets can be
seen in the results for MFS, where earnings increased by 50 per cent from the
first quarter.

The U.S. annuities industry continues to be challenging, due to the
persistently low interest rate environment and volatile equity markets.
However, in the second quarter management took action by introducing new fixed
annuity products and lowering minimum interest rate guarantees. The Company
expects the benefits of these actions to mitigate the impact of spread
compression by the end of the year.

Financial Review

EARNINGS AND PROFITABILITY

Shareholder earnings for the second quarter of 2003 were $366 million, up $295
million from the second quarter of 2002. Excluding $222 million of special
items, primarily related to the $217 million of one-time restructuring charges
taken in the second quarter of 2002, earnings rose $73 million, primarily due
to an additional two months of earnings from the Clarica Life Insurance Company
(Clarica) business acquired in May 2002. Total earnings of $369 million,
which include shareholder and policyholder earnings, increased $297 million as
compared to the $72 million earned in the second quarter of 2002.

On a year-to-date basis, shareholder earnings were $709 million, up $382
million compared to the first six months of 2002. Shareholders net income for
the first six months of 2002 was impacted by $222 million of special items,
primarily related to a $217 million restructuring charge related to the
acquisition of Clarica. Absent these special items, earnings increased $160
million for the first six months of 2003 compared to 2002 primarily due to five
additional months of Clarica earnings, partially offset by the impact of the
declining foreign currencies against the Canadian dollar, lower equity market
levels for the first half of 2003 compared to 2002 and the low interest rate
environment in the U.S. Total earnings of $711 million, which include
shareholder and policyholder earnings, increased $385 million compared to the
results for the first half of the year in 2002.

Shareholder net income increased seven per cent or $23 million from the first
quarter of 2003. This increase was primarily due to the improvement in equity
market levels in the quarter and a strong performance in the Canadian
operations, which more than offset the declines caused by the weaker foreign
currencies. The impact of rising equity markets is evidenced by the rise in the
S&P 500 Index daily average to 938 for the second quarter of 2003. This
represented a rise of 8.9 per cent from the 861 average in the first quarter of
2003. Earnings at MFS increased by 50 per cent in the second quarter over the
first quarter of 2003 as the result of the higher equity markets. In the U.S.
operations, earnings were up 17 per cent over the first quarter of 2003,
despite a weaker U.S. dollar, with increases in all major lines of business.
The U.S. Annuities division results benefited from the improved equity markets
performance, the actions taken to mitigate the impact of the persistently low
interest rates and spread compression, and lower bond provisions.

2



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Managements Discussion and Analysis

Return on equity (ROE) for the second quarter of 2003 declined relative to
the ROE in the second quarter of 2002 excluding special items, reflecting the
increase in average equity related to the goodwill and intangibles arising from
the acquisition of Clarica. ROE for the second quarter of 2003 was 10.3 per
cent, compared to 9.3 per cent in the first quarter of 2003 and 2.8 per cent in
the second quarter of 2002. ROE in the second quarter of 2002, after excluding
special items, was 11.7 per cent.

In the second quarter of 2003 the Company continued its share buyback program,
and had repurchased year-to-date approximately 11 million common shares by the
end of June. This, along with stronger earnings performance, helped to increase
ROE by 100 basis points over the ROE reported in the first quarter of 2003.

Earnings in both the U.S. and the U.K. were impacted this quarter by a
weakening in foreign currencies relative to the Canadian dollar. The impact of
the strengthening of the Canadian dollar on earnings this quarter was a
reduction of $13 million or two cents per share compared to first quarter 2003
average currency rates.

PREMIUM, DEPOSITS AND FUND SALES

|                                        |                       |                   |        |              |       |  |        |       |       |  |        |       |      |  |        |       |  |  |        |       |  |  |        |       |  |  |        |       | 
|--------------------------------------- | --------------------- | ----------------- | ------ | ------------ | ----- |  | ------ | ----- | ----- |  | ------ | ----- | ---- |  | ------ | ----- |  |  | ------ | ----- |  |  | ------ | ----- |  |  | ------ | ----- | 
|($ millions)                            |                       | Quarterly Results |        | Year to Date
|                                        |                       |                   |        |             
|                                        |                       |                   | Q203  |              | Q103 |  | Q402  |       | Q302 |  | Q202  |       | 2003 |  | 2002  
|                                        |                       |                   |        |              |       |  |        |       |       |  |        |       |      |  |       
|Premiums                                |                       |                   |        |              |       |  |        |       |       |  |        |       |      |  |        |       |  |  |        |       |  |  |        |       |  |  |        |      
|                                        | Annuities             |                   |        | 1,288        |       |  |        | 1,549 |       |  |        | 1,456 |      |  |        | 1,629 |  |  |        | 2,229 |  |  |        | 2,837 |  |  |        | 4,317 | 
|                                        | Life Insurance        |                   |        | 1,581        |       |  |        | 1,523 |       |  |        | 1,781 |      |  |        | 1,490 |  |  |        | 1,180 |  |  |        | 3,104 |  |  |        | 2,132 | 
|                                        | Health Insurance      |                   |        | 566          |       |  |        | 592   |       |  |        | 616   |      |  |        | 577   |  |  |        | 466   |  |  |        | 1,158 |  |  |        | 877   | 
|                                        |                       |                   |        |              |       |  |        |       |       |  |        |       |      |  |        |       |  |  |        |       |  |  |        |       |  |  |        |       | 
|                                        | Total Premium Revenue |                   |        | 3,435        |       |  |        | 3,664 |       |  |        | 3,853 |      |  |        | 3,696 |  |  |        | 3,875 |  |  |        | 7,099 |  |  |        | 7,326 | 
|                                        |                       |                   |        |              |       |  |        |       |       |  |        |       |      |  |        |       |  |  |        |       |  |  |        |       |  |  |        |       | 
|Segregated Fund Deposits                |                       |                   | 1,424  |              |       |  | 1,271  |       |       |  | 2,329  |       |      |  | 1,314  |       |  |  | 1,478  |       |  |  | 2,695  |       |  |  | 2,999  |      
|Mutual Funds  Gross Sales              |                       |                   | 7,527  |              |       |  | 7,650  |       |       |  | 7,084  |       |      |  | 6,943  |       |  |  | 8,040  |       |  |  | 15,177 |       |  |  | 17,641 |      
|Managed Funds  Gross Sales             |                       |                   | 7,045  |              |       |  | 5,685  |       |       |  | 8,278  |       |      |  | 5,635  |       |  |  | 7,726  |       |  |  | 12,730 |       |  |  | 15,770 |      
|                                        |                       |                   |        |              |       |  |        |       |       |  |        |       |      |  |        |       |  |  |        |       |  |  |        |       |  |  |        |       | 
|Total Premiums, Deposits and Fund Sales |                       |                   | 19,431 |              |       |  | 18,270 |       |       |  | 21,544 |       |      |  | 17,588 |       |  |  | 21,119 |       |  |  | 37,701 |       |  |  | 43,736 |      
|                                        |                       |                   |        |              |       |  |        |       |       |  |        |       |      |  |        |       |  |  |        |       |  |  |        |       |  |  |        |       | 

Combined growth for segregated and managed fund deposits of $1.5 billion led to
an overall increase of $1.2 billion in total premiums, deposits and fund sales
between the first and second quarter of 2003. Higher life insurance premiums,
mostly in Sun Life Financial U.S. operations, were somewhat offset by reduced
fixed annuity deposits. The strengthening of the Canadian dollar against
foreign currencies decreased the reported amounts by $1.3 billion compared to
the first quarter levels.

Second quarter 2003 premiums, deposits and fund sales were down by $1.7 billion
when compared to the second quarter of 2002, primarily due to currency
fluctuations, which reduced the total amounts by $1.7 billion. Growth in
premiums in Sun Life Financial Canada mainly arising from the acquisition of
Clarica and higher Sun Life Financial U.S. life premiums were offset by lower
annuity premiums mainly due to the cessation of European Medium Term Note
(EMTN) sales and lower fixed annuity sales in the U.S. operations. Mutual and
managed fund sales in the second quarter of 2003 were down $1.2 billion
compared to the second quarter of 2002 due to the effect of currency
fluctuations, which reduced second quarter 2003 amounts by $1.5 billion.

Year-to-date 2003 total premiums, deposits and fund sales were lower than in
2002 by $6.0 billion with currency fluctuations accounting for $2.5 billion of
the reduction. Higher premiums as a result of the Clarica acquisition were
offset by lower sales of EMTN and fixed annuities in the U.S. operations.
Mutual and managed fund sales were lower by $2.1 billion due to currency
fluctuations and $5.5 billion overall mainly as a result of the volatile equity
markets.

3



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Managements Discussion and Analysis

Performance by Operating UnitSun Life Financial Canada

|                        |  |                   |       |              |  |       |       |       |  |       |       |      |  |      |       |  |  |  |       |  |  |  |       |  |  |  |       | 
|----------------------- |  | ----------------- | ----- | ------------ |  | ----- | ----- | ----- |  | ----- | ----- | ---- |  | ---- | ----- |  |  |  | ----- |  |  |  | ----- |  |  |  | ----- | 
|                        |  | Quarterly Results |       | Year to Date
|                        |  |                   |       |             
|                        |  | Q2'03             |       | Q1'03        |  | Q4'02 |       | Q3'02 |  | Q2'02 |       | 2003 |  | 2002
|                        |  |                   |       |              |  |       |       |       |  |       |       |      |  |     
|Revenues ($ millions)   |  |                   | 2,112 |              |  |       | 2,150 |       |  |       | 2,199 |      |  |      | 2,059 |  |  |  | 1,323 |  |  |  | 4,262 |  |  |  | 2,305 | 
|Net Income ($ millions) |  |                   | 218   |              |  |       | 184   |       |  |       | 185   |      |  |      | 173   |  |  |  | 94    |  |  |  | 402   |  |  |  | 155   | 
|ROE (%)                 |  |                   | 12.7  |              |  |       | 10.7  |       |  |       | 10.8  |      |  |      | 9.9   |  |  |  | 12.1  |  |  |  | 11.7  |  |  |  | 14.4  | 

In the second quarter of 2003, Sun Life Financial Canada earned $218 million,
an increase of $124 million, or 132 per cent, over the $94 million earned in
the second quarter of 2002. The increase in earnings was primarily due to the
inclusion of three months of earnings from the Clarica operations, acquired at
the end of May 2002, compared to one month in 2002. Improved Retail Life
Insurance earnings and strong Group Benefits results also contributed
significantly.

Year-to-date earnings for Sun Life Financial Canada were up $247 million from
the same period the previous year. The improvement was mostly due to additional
earnings as the result of the Clarica acquisition in May 2002, strong Retail
Life Insurance results and favourable mortality and morbidity in Group
Benefits.

The integration of the Clarica operations continues to proceed on plan and will
be substantially complete by the end of 2003. To date, over 75 per cent of the
integration synergies have been achieved and the combination, which was eight
cents accretive to earnings per share in the second quarter of 2003 and was 13
cents accretive year-to-date, is on track to exceed the targeted accretion of
20 cents for 2003.

NET INCOME/(LOSS)

|                                   |       |                   |       |              |       |  |       |     |       |  |       |     |      |  |      |     |  |  |    |    |  |  |     |     |  |  |    |     | 
|---------------------------------- | ----- | ----------------- | ----- | ------------ | ----- |  | ----- | --- | ----- |  | ----- | --- | ---- |  | ---- | --- |  |  | -- | -- |  |  | --- | --- |  |  | -- | --- | 
|($ millions)                       |       | Quarterly Results |       | Year to Date
|                                   |       |                   |       |             
|                                   |       |                   | Q2'03 |              | Q1'03 |  | Q4'02 |     | Q3'02 |  | Q2'02 |     | 2003 |  | 2002
|                                   |       |                   |       |              |       |  |       |     |       |  |       |     |      |  |     
|Retail Life Insurance              |       |                   | 68    |              |       |  | 49    |     |       |  | 57    |     |      |  | 49   |     |  |  | 23 |    |  |  | 117 |     |  |  | 34 |    
|Group Benefits                     |       |                   | 64    |              |       |  | 62    |     |       |  | 61    |     |      |  | 44   |     |  |  | 29 |    |  |  | 126 |     |  |  | 52 |    
|Reinsurance                        |       |                   | 17    |              |       |  | 15    |     |       |  | 7     |     |      |  | 18   |     |  |  | 7  |    |  |  | 32  |     |  |  | 7  |    
|Group Retirement Services          |       |                   | 22    |              |       |  | 19    |     |       |  | 18    |     |      |  | 18   |     |  |  | 13 |    |  |  | 41  |     |  |  | 21 |    
|Retail and Other Wealth Management |       |                   | 38    |              |       |  | 41    |     |       |  | 38    |     |      |  | 27   |     |  |  | 21 |    |  |  | 79  |     |  |  | 32 |    
|Investment Portfolio and Other     |       |                   | 9     |              |       |  | (2    | )   |       |  | 4     |     |      |  | 17   |     |  |  | 1  |    |  |  | 7   |     |  |  | 9  |    
|                                   |       |                   |       |              |       |  |       |     |       |  |       |     |      |  |      |     |  |  |    |    |  |  |     |     |  |  |    |    
|                                   | Total |                   |       | 218          |       |  |       | 184 |       |  |       | 185 |      |  |      | 173 |  |  |    | 94 |  |  |     | 402 |  |  |    | 155 | 
|                                   |       |                   |       |              |       |  |       |     |       |  |       |     |      |  |      |     |  |  |    |    |  |  |     |     |  |  |    |    



| |  | Retail Life Insurance reported earnings of $68 million for the current quarter, an increase of $45 million from the second quarter of
2002, and an increase of $19 million over the first quarter of 2003. Earnings were up from the prior year due to the addition of
Claricas operations. Results in the second quarter of 2003 have also benefited from lower unit expenses resulting from synergies from
the Clarica acquisition.                                                                                                                
|- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| 
| |  | Group Benefits earned $64 million in the second quarter of 2003, an increase of $35 million from the second quarter of 2002, due to
improved mortality and morbidity experience and the addition of Claricas operations. Earnings in the second quarter improved by
$2 million compared to the first quarter with better mortality offset by weaker morbidity.                                                                                                                                                                                       
| 
| |  | Reinsurance earned $17 million in the second quarter of 2003, up $10 million from the prior year due to the addition of Claricas
operations.                                                                                                                                                                                                                                                                                                                                                                                                         
| 
| |  | Group Retirement Services earned $22 million in the second quarter of 2003, an increase of $9 million over the second quarter of
2002 due to the addition of Claricas operations. Results in the second quarter of 2003 improved from the first quarter due to lower
expenses and improved equity markets.                                                                                                                                                                                                                                           
| 
| |  | Retail and Other Wealth Management earned $38 million in the second quarter of 2003, compared to $21 million in the second quarter
of 2002, an increase of $17 million. This increase resulted from the addition of Clarica operations and stronger returns from market-
based fund business, including the 34 per cent equity ownership of CI Fund Management Inc. (CI). Second quarter 2003 earnings from
CI were partially offset by an $8 million after-tax charge resulting from CIs change in accounting policy for stock-based compensation.

4



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Managements Discussion and Analysis

Sun Life Financial U.S.

|                        |  |                   |       |              |  |       |       |       |  |       |       |      |  |      |       |  |  |  |       |  |  |  |       |  |  |  |       | 
|----------------------- |  | ----------------- | ----- | ------------ |  | ----- | ----- | ----- |  | ----- | ----- | ---- |  | ---- | ----- |  |  |  | ----- |  |  |  | ----- |  |  |  | ----- | 
|                        |  | Quarterly Results |       | Year to Date
|                        |  |                   |       |             
|                        |  | Q203             |       | Q103        |  | Q402 |       | Q302 |  | Q202 |       | 2003 |  | 2002
|                        |  |                   |       |              |  |       |       |       |  |       |       |      |  |     
|Revenues ($ millions)   |  |                   | 2,627 |              |  |       | 2,620 |       |  |       | 2,757 |      |  |      | 2,559 |  |  |  | 3,247 |  |  |  | 5,247 |  |  |  | 6,561 | 
|Net Income ($ millions) |  |                   | 63    |              |  |       | 54    |       |  |       | 100   |      |  |      | 101   |  |  |  | 75    |  |  |  | 117   |  |  |  | 173   | 
|ROE (%)                 |  |                   | 6.0   |              |  |       | 4.8   |       |  |       | 7.3   |      |  |      | 7.4   |  |  |  | 6.1   |  |  |  | 5.4   |  |  |  | 7.2   | 

Earnings decreased $12 million or 16 per cent compared to the second quarter of
2002 and $56 million on a year-to-date basis, primarily due to: (i) relatively
weaker equity markets in 2003 compared to 2002; (ii) spread compression in
fixed annuities; and (iii) declines in the currency exchange rate; which were
partially offset by (iv) lower bond provisions in 2003 than in 2002.

Sun Life Financial U.S. earnings increased $9 million or 17 per cent compared
to the first quarter of 2003, due to improving equity markets and lower bond
provisions. Improvement in earnings from the underlying operations in Sun Life
Financial U.S. were offset by the impact of currency exchange rates, which
reduced earnings by $5 million.
NET INCOME/(LOSS)

|                               |       |                   |       |              |       |  |       |    |       |  |       |     |      |  |      |     |  |  |     |    |  |  |     |     |  |  |     |     | 
|------------------------------ | ----- | ----------------- | ----- | ------------ | ----- |  | ----- | -- | ----- |  | ----- | --- | ---- |  | ---- | --- |  |  | --- | -- |  |  | --- | --- |  |  | --- | --- | 
|($ millions)                   |       | Quarterly Results |       | Year to Date
|                               |       |                   |       |             
|                               |       |                   | Q2'03 |              | Q1'03 |  | Q4'02 |    | Q3'02 |  | Q2'02 |     | 2003 |  | 2002
|                               |       |                   |       |              |       |  |       |    |       |  |       |     |      |  |     
|Annuities                      |       |                   | 29    |              |       |  | 25    |    |       |  | 57    |     |      |  | 69   |     |  |  | 80  |    |  |  | 54  |     |  |  | 143 |    
|Individual Life                |       |                   | 28    |              |       |  | 24    |    |       |  | 32    |     |      |  | 31   |     |  |  | 23  |    |  |  | 52  |     |  |  | 55  |    
|Group Life and Health          |       |                   | 12    |              |       |  | 9     |    |       |  | 18    |     |      |  | 7    |     |  |  | 12  |    |  |  | 21  |     |  |  | 24  |    
|Investment Portfolio and Other |       |                   | (6    | )            |       |  | (4    | )  |       |  | (7    | )   |      |  | (15  | )   |  |  | (43 | )  |  |  | (10 | )   |  |  | (52 | )  
|Clarica U.S                    |       |                   |      |              |       |  |      |    |       |  |      |     |      |  | 9    |     |  |  | 3   |    |  |  |    |     |  |  | 3   |    
|                               |       |                   |       |              |       |  |       |    |       |  |       |     |      |  |      |     |  |  |     |    |  |  |     |     |  |  |     |    
|                               | Total |                   |       | 63           |       |  |       | 54 |       |  |       | 100 |      |  |      | 101 |  |  |     | 75 |  |  |     | 117 |  |  |     | 173 | 
|                               |       |                   |       |              |       |  |       |    |       |  |       |     |      |  |      |     |  |  |     |    |  |  |     |     |  |  |     |    



| |  | The Annuities division reported an earnings increase of $4 million or 16 per cent compared to the first quarter of 2003. Earnings
decreased $51 million or 64 per cent compared to the second quarter of 2002 due to spread compression and relatively weaker equity
markets. Earnings in the second quarter of 2002 had also benefited from improved asset-liability matching.                      
|- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| 
| |  | Individual Life earnings increased $4 million or 17 per cent compared to the first quarter of 2003 and increased $5 million or
22 percent over the second quarter of 2002 primarily driven by continued growth in the Universal Life product line.                                                                                                                                                   
| 
| |  | Group Life & Health earnings increased $3 million or 33 per cent over the first quarter of 2003 and were flat compared to earnings in
the second quarter of 2002. The primary reason for the improved profitability compared to the first quarter of 2003 is lower disability
claims and continued premium revenue growth.                                                                           
| 
| |  | Investment Portfolio & Other losses increased $2 million from the first quarter of 2003 and improved by $37 million from the second
quarter of 2002. The increase in the loss compared to first quarter of 2003 is primarily due to restructuring costs related to expense
management initiatives. The favourable comparison to the second quarter of 2002 is primarily due to lower bond provisions.

MFS Investment Management

|                                |  |                   |      |              |  |       |      |       |  |       |      |      |  |      |      |  |  |  |      |  |  |  |      |  |  |  |       | 
|------------------------------- |  | ----------------- | ---- | ------------ |  | ----- | ---- | ----- |  | ----- | ---- | ---- |  | ---- | ---- |  |  |  | ---- |  |  |  | ---- |  |  |  | ----- | 
|                                |  | Quarterly Results |      | Year to Date
|                                |  |                   |      |             
|                                |  | Q2'03             |      | Q1'03        |  | Q4'02 |      | Q3'02 |  | Q2'02 |      | 2003 |  | 2002
|                                |  |                   |      |              |  |       |      |       |  |       |      |      |  |     
|Revenues ($ millions)           |  |                   | 411  |              |  |       | 408  |       |  |       | 441  |      |  |      | 457  |  |  |  | 538  |  |  |  | 819  |  |  |  | 1,081 | 
|Net Income ($ millions)         |  |                   | 42   |              |  |       | 28   |       |  |       | 30   |      |  |      | 39   |  |  |  | 58   |  |  |  | 70   |  |  |  | 105   | 
|ROE (%)                         |  |                   | 72.3 |              |  |       | 40.1 |       |  |       | 36.0 |      |  |      | 43.0 |  |  |  | 59.4 |  |  |  | 54.7 |  |  |  | 51.6  | 
|Average Net Assets ($ billions) |  |                   | 170  |              |  |       | 169  |       |  |       | 176  |      |  |      | 176  |  |  |  | 204  |  |  |  | 170  |  |  |  | 210   | 

MFS Investment Management contributed $42 million to Sun Life Financials net
income in the second quarter of 2003, a decline of $16 million, or 28 per cent,
relative to the $58 million contributed in the second quarter of 2002. Though
equity markets rallied during the current quarter with the S&P 500 Index daily
average up 8.9 per cent, the average index level was still down 12.3 per cent
compared to the second quarter of 2002. Average net assets under management
(ANA) were $170 billion in the second quarter of 2003, a decline of $34
billion, or 17 per cent relative to the second quarter of 2002. The
strengthening of the Canadian dollar against the U.S. currency reduced the
reported ANA by approximately 10 per cent.

5



---



##### 



Managements Discussion and Analysis

(MFS Investment Management
continued)

Year-to-date earnings were $35 million lower due to lower equity markets in the
first half of 2003 compared to the same period in 2002 and the strengthening of
the Canadian dollar against the U.S. currency, which reduced 2003 earnings $6
million compared to earnings at 2002 rates.

The earnings trend was positive compared to first quarter of 2003. MFS
contribution to Sun Life Financials net income increased by $14 million, or 50
per cent compared to the first quarter of 2003 contribution of $28 million. On
a U.S. dollar basis, MFS earnings increase over the first quarter was 61 per
cent. Growth in average net assets and total revenues combined with continued
diligence on operating expense savings to produce a significant earnings gain,
despite further erosion from the strengthening Canadian dollar.

|                                      |  |                   |     |              |  |       |       |       |  |       |     |      |  |      |       |   |  |  |       |   |  |  |       |   |  |  |       |  
|------------------------------------- |  | ----------------- | --- | ------------ |  | ----- | ----- | ----- |  | ----- | --- | ---- |  | ---- | ----- | - |  |  | ----- | - |  |  | ----- | - |  |  | ----- | -
|                                      |  | Quarterly Results |     | Year to Date
|                                      |  |                   |     |             
|                                      |  | Q203             |     | Q103        |  | Q402 |       | Q302 |  | Q202 |     | 2003 |  | 2002
|                                      |  |                   |     |              |  |       |       |       |  |       |     |      |  |     
|Assets Under Management ($ billions)  |  |                   | 171 |              |  |       | 166   |       |  |       | 179 |      |  |      | 171   |   |  |  | 187   |   |  |  | 171   |   |  |  | 187   |  
|Net New Sales ($ billions)            |  |                   | 4.1 |              |  |       | 2.0   |       |  |       | 1.4 |      |  |      | (2.6  | ) |  |  | 1.7   |   |  |  | 6.1   |   |  |  | 6.3   |  
|Market/Currency Movement ($ billions) |  |                   | 1.1 |              |  |       | (14.8 | )     |  |       | 7.0 |      |  |      | (13.5 | ) |  |  | (35.8 | ) |  |  | (13.7 | ) |  |  | (39.0 | )



| |  | Assets Under Management ended the second quarter of 2003 at $171 billion (US$128 billion) for an increase of $5 billion during the
quarter. Strong net new sales and positive market movement more than offset a decline of 10 per cent due to currency movement.
|- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| 
| |  | MFS generated strong net sales of $4.1 billion (US$3.0 billion) for the second quarter. Positive net flows from retail mutual funds,
institutional products, managed accounts and offshore products offset continued weakness in the variable annuity markets.   
| 
| |  | Based on Lipper data, 71 per cent of MFS equity funds and 87 per cent of its fixed income funds were in the top two quartiles for
three-year performance through June 30, 2003.                                                                                 
| 
| |  | MFS was ranked #10 among U.S. retail mutual fund companies with US$70 billion in long-term mutual fund assets under
management as of June 30, 2003.                                                                                                              

Sun Life Financial Asia

|                               |  |                   |     |              |  |       |     |       |  |       |     |      |  |      |     |   |  |  |     |   |  |  |     |   |  |  |     |  
|------------------------------ |  | ----------------- | --- | ------------ |  | ----- | --- | ----- |  | ----- | --- | ---- |  | ---- | --- | - |  |  | --- | - |  |  | --- | - |  |  | --- | -
|                               |  | Quarterly Results |     | Year to Date
|                               |  |                   |     |             
|                               |  | Q203             |     | Q103        |  | Q402 |     | Q302 |  | Q202 |     | 2003 |  | 2002
|                               |  |                   |     |              |  |       |     |       |  |       |     |      |  |     
|Revenues ($ millions)          |  |                   | 140 |              |  |       | 145 |       |  |       | 192 |      |  |      | 161 |   |  |  | 185 |   |  |  | 285 |   |  |  | 308 |  
|Philippine Operations          |  |                   | 11  |              |  |       | 8   |       |  |       | 11  |      |  |      | 12  |   |  |  | 9   |   |  |  | 19  |   |  |  | 18  |  
|Other Asian Operations         |  |                   | (5  | )            |  |       | (1  | )     |  |       | 1   |      |  |      | (6  | ) |  |  | (5  | ) |  |  | (6  | ) |  |  | (12 | )
|                               |  |                   |     |              |  |       |     |       |  |       |     |      |  |      |     |   |  |  |     |   |  |  |     |   |  |  |     |  
|Net Income/(Loss) ($ millions) |  |                   | 6   |              |  |       | 7   |       |  |       | 12  |      |  |      | 6   |   |  |  | 4   |   |  |  | 13  |   |  |  | 6   |  
|ROE (%)                        |  |                   | 5.9 |              |  |       | 5.6 |       |  |       | 9.4 |      |  |      | 4.9 |   |  |  | 3.3 |   |  |  | 5.8 |   |  |  | 2.4 |  

Second quarter 2003 Sun Life Financial Asia earnings were up $2 million from
the second quarter of 2002. Year-to-date shareholder earnings were up $7
million primarily due to better operating results in Hong Kong and India wealth
management operations.

Business conditions for Sun Life Financial Asia in the second quarter of 2003
were challenging. Volatile economic conditions not only affected investment
income, but also drove down sales performance as volatility caused lower
customer demand for equity-linked products. Sales were further affected by the
SARS outbreak in April, but have started to show improvement in China and Hong
Kong towards the end of the second quarter. In India, sales for the second
quarter were up 42 per cent over sales in the second quarter of 2002.

6



---



##### 



Managements Discussion and Analysis

Sun Life Financial U.K.

|                        |  |                   |      |              |  |       |      |       |  |       |      |      |  |      |      |  |  |  |      |  |  |  |      |  |  |  |      | 
|----------------------- |  | ----------------- | ---- | ------------ |  | ----- | ---- | ----- |  | ----- | ---- | ---- |  | ---- | ---- |  |  |  | ---- |  |  |  | ---- |  |  |  | ---- | 
|                        |  | Quarterly Results |      | Year to Date
|                        |  |                   |      |             
|                        |  | Q203             |      | Q103        |  | Q402 |      | Q302 |  | Q202 |      | 2003 |  | 2002
|                        |  |                   |      |              |  |       |      |       |  |       |      |      |  |     
|Net Income ($ millions) |  |                   | 43   |              |  |       | 50   |       |  |       | 48   |      |  |      | 34   |  |  |  | 66   |  |  |  | 93   |  |  |  | 108  | 
|ROE (%)                 |  |                   | 18.3 |              |  |       | 19.5 |       |  |       | 20.4 |      |  |      | 14.8 |  |  |  | 32.7 |  |  |  | 19.1 |  |  |  | 26.6 | 

Sun Life Financial U.K. second quarter 2003 earnings decreased by $23 million
relative to second quarter 2002 earnings. The decrease in earnings is primarily
due to (i) a $22 million release of tax contingencies to reflect a settlement
of prior years outstanding tax issues with Inland Revenue in the U.K.,
included in the second quarter of 2002; (ii) the impact of reduced earnings in
the Group Insurance business, primarily due to the sale of the business in the
first quarter of 2003; offset by (iii) reduced expenses in the second quarter
of 2003.

Earnings decreased by $7 million over the first quarter of 2003, mainly due to
the positive impact of reinsurance treaties in the first quarter of 2003,
partially offset by improved claims experience in the run-off Group Life
business.

Sun Life Financial U.K. year-to-date 2003 earnings were $93 million, a decrease
of $15 million from year-to-date earnings in 2002. The decrease in earnings was
primarily attributable to a reduction in Group Insurance reflecting both very
good claims experience in 2002 and the sale of the business in the first
quarter of 2003.

Corporate Capital
Corporate Capital refers to investment income, expenses, capital and other
items not allocated to Sun Life Financials other operating units and the
earnings for the accident and health reinsurance line.

|                               |  |                   |    |              |  |       |    |       |  |       |     |      |  |      |   |  |  |  |      |   |  |  |    |  |  |  |      |  
|------------------------------ |  | ----------------- | -- | ------------ |  | ----- | -- | ----- |  | ----- | --- | ---- |  | ---- | - |  |  |  | ---- | - |  |  | -- |  |  |  | ---- | -
|                               |  | Quarterly Results |    | Year to Date
|                               |  |                   |    |             
|                               |  | Q203             |    | Q103        |  | Q402 |    | Q302 |  | Q202 |     | 2003 |  | 2002
|                               |  |                   |    |              |  |       |    |       |  |       |     |      |  |     
|Net Income/(Loss) ($ millions) |  |                   | (6 | )            |  |       | 20 |       |  |       | (65 | )    |  |      | 8 |  |  |  | (226 | ) |  |  | 14 |  |  |  | (220 | )

Corporate Capital reported a loss of $6 million in the second quarter of 2003
compared to a loss of $226 million in the comparable period a year earlier. The
decreased loss of $220 million was primarily due to (i) a $217 million
after-tax restructuring charge related to the Clarica acquisition that was
incurred in the second quarter of 2002; and (ii) increased investment income on
capital transferred from operating business units; largely offset by (iii)
higher shareholder-related costs due to the increased number of shareholders as
the result of the Clarica acquisition.

Compared with the first quarter of 2003, second quarter Corporate Capital
earnings decreased $26 million. The decrease was primarily due to the first
quarter gain arising from the disposition of the U.K. Group Insurance business
and the impact of a strengthening Canadian currency on U.S. dollar denominated
investment income.

Year-to-date 2003 earnings have improved by $234 million over year-to-date
2002. This improvement was primarily due to the $217 million restructuring
charge included in the year-to-date 2002 results, the gain arising from the
disposition of the U.K. Group Insurance business, partially offset by the
impact of a strengthening Canadian currency on U.S. dollar denominated
investment income.

Additional Financial DisclosureREVENUE
Total revenue in the second quarter was $5.6 billion, a decrease of $253
million, or 4.3 per cent, compared to the $5.8 billion recorded in the quarter
ending June 30, 2002. The decline in revenues was partially due to the weaker
foreign currencies relative to the Canadian dollar, which had the effect of
reducing reported revenues by $348 million compared to 2002 rates. Revenues in
Sun Life Financial Canada increased by $789 million primarily due to the
acquisition of Clarica. The second quarter of 2002 results included only one
month of revenues subsequent to the acquisition. The increase in Sun Life
Financial Canada revenues was offset by lower revenues for U.S.
annuities and reduced fee income in MFS due to market declines. The S&P daily
average for the second quarter of 2003 was 938 compared to 1,070 for the second
quarter of 2002.

Year-to-date revenues were $67 million higher than in 2002, with increases in
Sun Life Financial Canada from the Clarica acquisition mostly offset by lower
U.S. annuity revenues, decreased MFS fee income, lower Sun Life Financial U.K.
revenues and declines due to currency fluctuations.

7



---



##### 



Managements Discussion and Analysis

Second quarter 2003 annuity premiums were lower than the second quarter of 2002
by $941 million. U.S. fixed annuity premiums were $997 million lower, including
a decline of $113 million due to the strengthening of the Canadian dollar
against U.S. currency and a reduction of $550 million due to lower sales of
EMTN. The decline in U.S. fixed annuity premiums was partially offset by an
increase in Sun Life Financial Canada due to the Clarica acquisition.

Life and health premiums of $2.1 billion were $501 million higher than the
second quarter of 2002, mainly because of the Clarica acquisition and higher
U.S. individual life insurance premiums.

Investment income was $324 million higher in the second quarter of 2003
compared to the second quarter of 2002, primarily due to the additional two
months of Clarica investment income in 2003.

Fee income of $684 million in the second quarter of 2003 was $137 million lower
than the second quarter of 2002 mainly due to declines in equity markets
between those two periods and currency fluctuation, which reduced fee income in
Sun Life Financial U.S. and MFS. Fee income in Sun Life Financial U.S. and MFS
increased by $5 million during the second quarter compared to the first quarter
of 2003 and was up $50 million excluding the negative impact of currency
exchange rates, reflecting the improvement in equity markets.

ASSETS UNDER MANAGEMENT
At June 30, 2003, assets under management were $342.2 billion, an increase of
$5.4 billion or 1.6 per cent relative to the $336.8 billion at March 31, 2003.
The increase in assets under management during the quarter was primarily the
result of (i) net sales of mutual, managed and segregated funds of $5.3
billion; (ii) other business growth; and (iii) market value increases of $22.1
billion, partially offset by unfavourable changes of $23.2 billion due to
currency fluctuations. Assets under management exclude Sun Life Financials pro
rata share of the $33.9 billion of assets managed by CI.

On a year-over-year basis, assets under management decreased by $26.5 billion
or 7.2 per cent relative to the $368.7 billion at June 30, 2002. The
year-over-year decrease was primarily the result of (i) unfavourable changes of
$27.1 billion due to currency fluctuations; and (ii) the sale of Spectrum
Investment Management Limited (Spectrum) and Clarica Diversico Ltd.
(Diversico) to CI, and Clarica U.S., Inc. (Clarica U.S.) which had combined
assets of $14.5 billion at June 30, 2002; partially offset by (iii) net sales
of mutual, managed and segregated funds of $9.0 billion and business growth in
general funds.

CHANGES IN BALANCE SHEET AND SHAREHOLDERS EQUITY
Total general fund assets of $111.6 billion at June 30, 2003 were $4.2 billion
lower than the March 31, 2003 balance of $115.8 billion. An increase in general
fund assets due to business growth was more than offset by a decrease due to
the strengthening of the Canadian dollar, which decreased June 30, 2003 assets
by $5.4 billion compared to March 31, 2003 levels.

Total general fund assets at the end of the second quarter of 2003 were down
$6.3 billion from the levels at the end of the second quarter of 2002 primarily
due to the strengthening of the Canadian dollar, which reduced asset values by
$6.3 billion. The reduction of $5.3 billion due to the sale of Clarica U.S. in
December 2002 was offset by business growth in other areas.

The second quarter of 2002 reflected, for the first time, the acquisition of
Clarica, which increased the total general fund assets by $37.4 billion. During
the quarter this amount was increased by a net $14 million, reflecting the
correction of errors identified in the purchase equation, as detailed in the
financial statements.

Shareholders equity was $13.9 billion at June 30, 2003, a decrease of $593
million from March 31, 2003. Second quarter shareholders net income, before
stock option costs of $8 million, contributed $374 million, which was partially
offset by dividend payments of $103 million in the quarter. Purchase and
cancellation of common shares reduced shareholders equity by $201 million.
Shareholders equity decreased by $665 million primarily due to a stronger
Canadian dollar.

8



---



##### 



Managements Discussion and Analysis

CASH FLOWS
Net cash outflows for the second quarter of 2003 were $667 million compared to
cash inflows of $2,594 million in the second quarter of 2002. Net cash provided
by operating activities was lower by $250 million mainly due to lower U.S.
fixed annuity premiums, partly offset by increased cash flows resulting from
the Clarica acquisition. Net cash provided by financing activities in the
second quarter of 2002 included $1 billion for issuance of subordinated debt
and Sun Life ExchangEable Capital Securities  Series B (SLEECS). Second
quarter 2003 included $201 million for share buybacks. Net cash provided by
investing activities included $2.7 billion in net cash acquired as a result of
the Clarica acquisition.

Year-to-date cash outflows in 2003 were $349 million compared to inflows of
$2.6 billion in 2002. The decrease was mainly due to the $2.7 billion net cash
acquired in 2002 as a result of the Clarica acquisition and the $1 billion of
proceeds from the issuance of subordinated debt and SLEECS in 2002 less cash of
$317 million used for share repurchases in 2003 and increased 2003 dividends
of $87 million.

SHARE REPURCHASE PROGRAM
On February 12, 2003, Sun Life Financial Inc. announced that the Board of
Directors had authorized the purchase of up to approximately 31 million common
shares of the Company, representing approximately five per cent of its issued
and outstanding common shares. This repurchase program covers the period from
February 14, 2003 to January 5, 2004. As part of the share repurchase program,
the Company purchased and cancelled 7 million of its common shares during the
second quarter of 2003. As of June 30, 2003, the Company had 606.1 million
common shares issued and outstanding.

RISK MANAGEMENT
The Company, through its ongoing risk management procedures, reviews risk
factors and reports to senior management on a monthly basis. The results of
these monthly risk review meetings are also reported to the Board of Directors
Risk Review Committee, which meets four times a year. The Companys risk
management procedures and risk factors are described in its annual Managements
Discussion and Analysis and Annual Information Form.

OUTLOOK
Certain of the Companys businesses  particularly its wealth management
businesses  are exposed to fluctuations in equity markets and interest rate
levels. The Companys strategies to mitigate the impact of volatile market
conditions have succeeded in maintaining stable financial results. The Company
has undertaken measures, including changes in commissions paid, new product
introductions, operating expense reductions and hedging activities, to
partially mitigate the impact of current economic conditions. Further market
fluctuations could, however, have an adverse impact on future earnings.

Certain portions of the Companys earnings are denominated in foreign
currencies. During the second quarter of 2003 the weakening of the foreign
currencies relative to the Canadian dollar, compared to the previous quarter,
reduced earnings by approximately $13 million and assets under management by
$23.2 billion.

The Company holds $65.5 billion in bonds as part of its general fund assets, of
which 96 per cent are investment grade. In the second quarter of 2003, the
Company took pre-tax provisions of $38 million to reflect potential impairments
in its invested assets. Given the high percentage of investment grade holdings
and the provisions taken to date, the Company is well positioned overall;
however, it is not immune from adverse credit events. The Company continues to
monitor the adequacy of its provisions on an ongoing basis.

RECENT EVENTS

| |  | In the second quarter of 2003, the Company continued its share repurchase
program, announced on February 12, 2003. As of July 25, 2003, the Company
has repurchased approximately 14 million common shares.                                                                                                                                                              
|- |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| 
| |  | On July 2, 2003, Sun Life Financial Services of Canada Inc. changed its
name to Sun Life Financial Inc., pursuant to Letters Patent of Amendment.
The name change was approved by shareholders at the Companys Annual
Meeting on June 4, 2003. The name of the Companys principal insurance
operating company, Sun Life Assurance Company of Canada, remains
unchanged.

9



---



##### 



Managements Discussion and Analysis



| |  | On June 4, 2003, immediately following the Companys Annual Meeting, William W. Stinson, formerly Lead Director, was appointed
Chairman of the Board of Directors for both Sun Life Financial Inc. and Sun Life Assurance Company of Canada. Donald A. Stewart
will continue as Chief Executive Officer and as an ongoing member of the two Boards. At the Companys Annual Meeting, the
shareholders approved the change in the election term of Directors from rotating three-year terms to an annual election.
|- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| 
| |  | In the Management Information Circular dated June 4, 2003, the Company announced its decision to eliminate the distribution of
stock options to Directors as well as the establishment of Restricted Share Unit Plans (RSUs) for senior executives as a form
of compensation.                                                                                                                                                                                                                                  
| 
| |  | On May 27, 2003, Sun Life Financial U.S. announced the launch of its Secured Returnsprincipal protection rider to complement its
variable annuity product line-up. Secured Returnsis designed to guarantee the principal of a clients investment regardless of how the
underlying investment options perform, and lets investors choose either a Guaranteed Minimum Accumulation Benefit (GMAB) or a
Guaranteed Minimum Withdrawal Benefit (GMWB).                                                          
| 
| |  | On April 18, 2003, the Companys joint venture operation in China launched its par retirement and par whole life endowment
products. The par whole life product is the first of its kind to be offered in Tianjin.                                                                                                                                                                                                                                                                                               
| 
| |  | On June 9, 2003, the Company launched Annuity 100in Hong Kong, an investment-linked life insurance product with an annuity option.
Annuity 100is the first plan of its kind in Hong Kong that offers investment-linked savings coupled with retirement payment options.                                                                                                                                                                                                                                          

FORWARD-LOOKING STATEMENTS
This managements discussion and analysis contains forward-looking statements
with respect to the Company, including its business operations and strategy and
financial performance and condition. Although management believes that the
expectations reflected in such forward-looking statements are reasonable, such
statements involve risks and uncertainties. Actual results may differ
materially from those expressed or implied by such forward-looking statements.
Factors that could cause actual results to differ materially from expectations
include, among other things, general economic and market factors, including
interest rates, business competition, changes in government regulations or in
tax laws, and other factors discussed in materials filed with applicable
securities regulatory authorities from time to time.

10



---



##### 



Interim Consolidated Financial Statements

Consolidated Statements of Operations

|                                                                           |                                                                   |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |       |       | 
|-------------------------------------------------------------------------- | ----------------------------------------------------------------- | ---------------------------------------------------------- | ----- | -------------------------- | ----- | ------------------------ | ----- | ------- | ----- | ------- | ------ | ----- | ----- | - | ------ | ----- | ----- | 
|                                                                           |                                                                   |                                                            |       | FOR THE THREE MONTHS ENDED |       | FOR THE SIX MONTHS ENDED
|                                                                           |                                                                   |                                                            |       |                            |       |                         
|                                                                           |                                                                   |                                                            |       | JUNE 30                    |       | JUNE 30                  |       | JUNE 30 |       | JUNE 30
|(unaudited, in millions of Canadian dollars, except for per share amounts) |                                                                   | 2003                                                       |       | 2002                       |       | 2003                     |       | 2002   
|                                                                           |                                                                   |                                                            |       |                            |       |                          |       |        
|REVENUE                                                                    |                                                                   |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |      
|                                                                           | Premium income:                                                   |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |       |      
|                                                                           |                                                                   | Annuities                                                  |       | $                          | 1,288 |                          |       | $       | 2,229 |         |        | $     | 2,837 |   |        | $     | 4,317 | 
|                                                                           |                                                                   | Life insurance                                             |       |                            | 1,581 |                          |       |         | 1,180 |         |        |       | 3,104 |   |        |       | 2,132 | 
|                                                                           |                                                                   | Health insurance                                           |       |                            | 566   |                          |       |         | 466   |         |        |       | 1,158 |   |        |       | 877   | 
|                                                                           |                                                                   |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |       |       | 
|                                                                           |                                                                   |                                                            | 3,435 |                            |       |                          | 3,875 |         |       |         | 7,099  |       |       |   | 7,326  |      
|                                                                           | Net investment income                                             |                                                            |       | 1,460                      |       |                          |       | 1,136   |       |         |        | 2,849 |       |   |        | 2,303 |      
|                                                                           | Fee income                                                        |                                                            |       | 684                        |       |                          |       | 821     |       |         |        | 1,389 |       |   |        | 1,641 |      
|                                                                           |                                                                   |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |       |       | 
|                                                                           |                                                                   |                                                            | 5,579 |                            |       |                          | 5,832 |         |       |         | 11,337 |       |       |   | 11,270 |      
|                                                                           |                                                                   |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |       |       | 
|POLICY BENEFITS AND EXPENSES                                               |                                                                   |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |      
|                                                                           | Payments to policyholders, beneficiaries and depositors:          |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |       |      
|                                                                           |                                                                   | Maturities and surrenders                                  |       |                            | 1,753 |                          |       |         | 1,369 |         |        |       | 2,905 |   |        |       | 2,753 | 
|                                                                           |                                                                   | Annuity payments                                           |       |                            | 401   |                          |       |         | 349   |         |        |       | 815   |   |        |       | 597   | 
|                                                                           |                                                                   | Death and disability benefits                              |       |                            | 638   |                          |       |         | 426   |         |        |       | 1,311 |   |        |       | 764   | 
|                                                                           |                                                                   | Health benefits                                            |       |                            | 344   |                          |       |         | 345   |         |        |       | 761   |   |        |       | 659   | 
|                                                                           |                                                                   | Policyholder dividends and interest on claims and deposits |       |                            | 308   |                          |       |         | 233   |         |        |       | 631   |   |        |       | 441   | 
|                                                                           |                                                                   |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |       |       | 
|                                                                           |                                                                   |                                                            | 3,444 |                            |       |                          | 2,722 |         |       |         | 6,423  |       |       |   | 5,214  |      
|                                                                          
|                                                                           | Net transfers to segregated funds                                 |                                                            |       | 143                        |       |                          |       | 316     |       |         |        | 119   |       |   |        | 827   |      
|                                                                           | Increase in actuarial liabilities                                 |                                                            |       | 218                        |       |                          |       | 1,364   |       |         |        | 1,320 |       |   |        | 2,322 |      
|                                                                           | Commissions                                                       |                                                            |       | 449                        |       |                          |       | 481     |       |         |        | 915   |       |   |        | 932   |      
|                                                                           | Operating expenses                                                |                                                            |       | 705                        |       |                          |       | 781     |       |         |        | 1,375 |       |   |        | 1,356 |      
|                                                                           | Premium taxes                                                     |                                                            |       | 45                         |       |                          |       | 26      |       |         |        | 89    |       |   |        | 57    |      
|                                                                           | Interest expense                                                  |                                                            |       | 53                         |       |                          |       | 39      |       |         |        | 108   |       |   |        | 77    |      
|                                                                           |                                                                   |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |       |       | 
|                                                                           |                                                                   |                                                            | 5,057 |                            |       |                          | 5,729 |         |       |         | 10,349 |       |       |   | 10,785 |      
|                                                                           |                                                                   |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |       |       | 
|OPERATING INCOME BEFORE INCOME TAXES AND NON-CONTROLLING INTERESTS         |                                                                   |                                                            | 522   |                            |       |                          | 103   |         |       |         | 988    |       |       |   | 485    |      
|                                                                           | Income taxes                                                      |                                                            |       | 133                        |       |                          |       | 15      |       |         |        | 238   |       |   |        | 122   |      
|                                                                           | Non-controlling interests in net income of subsidiaries           |                                                            |       | 20                         |       |                          |       | 19      |       |         |        | 39    |       |   |        | 40    |      
|                                                                           |                                                                   |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |       |       | 
|NET INCOME FROM CONTINUING OPERATIONS                                      |                                                                   |                                                            | 369   |                            |       |                          | 69    |         |       |         | 711    |       |       |   | 323    |      
|                                                                           | Income from discontinued operations, net of income taxes (Note 4) |                                                            |       |                           |       |                          |       | 3       |       |         |        |      |       |   |        | 3     |      
|                                                                           |                                                                   |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |       |       | 
|TOTAL NET INCOME                                                           |                                                                   |                                                            | 369   |                            |       |                          | 72    |         |       |         | 711    |       |       |   | 326    |      
|                                                                           | Less:                                                             |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |       |      
|                                                                           | Participating policyholders net income (loss)                    |                                                            |       | 3                          |       |                          |       | 1       |       |         |        | 2     |       |   |        | (1    | )    
|                                                                           |                                                                   |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |       |       | 
|SHAREHOLDERS NET INCOME                                                   |                                                                   | $                                                          | 366   |                            |       | $                        | 71    |         |       | $       | 709    |       |       | $ | 327    |      
|                                                                           |                                                                   |                                                            |       |                            |       |                          |       |         |       |         |        |       |       |   |        |       |       | 
|Basic earnings per share from continuing operations (Note 7)               |                                                                   | $                                                          | 0.60  |                            |       | $                        | 0.13  |         |       | $       | 1.16   |       |       | $ | 0.69   |      
|Basic earnings per share (Note 7)                                          |                                                                   | $                                                          | 0.60  |                            |       | $                        | 0.14  |         |       | $       | 1.16   |       |       | $ | 0.70   |      
|Diluted earnings per share from continuing operations (Note 7)             |                                                                   | $                                                          | 0.60  |                            |       | $                        | 0.13  |         |       | $       | 1.15   |       |       | $ | 0.69   |      
|Diluted earnings per share (Note 7)                                        |                                                                   | $                                                          | 0.60  |                            |       | $                        | 0.14  |         |       | $       | 1.15   |       |       | $ | 0.70   |      

The attached notes form part of these interim consolidated financial statements.

11



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##### 



Interim Consolidated Financial Statements

Consolidated Balance Sheets

|                                             |                                                    |      |         |         |             |       |         |         |  |  |   |         | 
|-------------------------------------------- | -------------------------------------------------- | ---- | ------- | ------- | ----------- | ----- | ------- | ------- |  |  | - | ------- | 
|                                             |                                                    |      | AS AT  
|                                             |                                                    |      |        
|                                             |                                                    |      | JUNE 30 |         | DECEMBER 31 |       | JUNE 30
|(unaudited, in millions of Canadian dollars) |                                                    | 2003 |         | 2002*   |             | 2002*
|                                             |                                                    |      |         |         |             |      
|ASSETS                                       |                                                    |      |         |         |             |       |         |         |  |  |   |        
|                                             | Bonds                                              |      | $       | 65,455  |             |       | $       | 73,367  |  |  | $ | 67,410  | 
|                                             | Mortgages                                          |      |         | 14,138  |             |       |         | 15,799  |  |  |   | 15,628  | 
|                                             | Stocks                                             |      |         | 3,324   |             |       |         | 4,221   |  |  |   | 4,791   | 
|                                             | Real estate                                        |      |         | 3,005   |             |       |         | 3,223   |  |  |   | 3,288   | 
|                                             | Cash, cash equivalents and short-term securities   |      |         | 6,463   |             |       |         | 7,152   |  |  |   | 7,030   | 
|                                             | Policy loans and other invested assets             |      |         | 5,986   |             |       |         | 6,726   |  |  |   | 5,921   | 
|                                             |                                                    |      |         |         |             |       |         |         |  |  |   |         | 
|                                             | Total invested assets                              |      |         | 98,371  |             |       |         | 110,488 |  |  |   | 104,068 | 
|                                             | Goodwill                                           |      |         | 5,640   |             |       |         | 5,969   |  |  |   | 5,825   | 
|                                             | Other assets                                       |      |         | 7,544   |             |       |         | 6,995   |  |  |   | 8,066   | 
|                                             |                                                    |      |         |         |             |       |         |         |  |  |   |         | 
|                                             | Total general fund assets                          |      | $       | 111,555 |             |       | $       | 123,452 |  |  | $ | 117,959 | 
|                                             |                                                    |      |         |         |             |       |         |         |  |  |   |         | 
|                                             | Segregated funds net assets                        |      | $       | 49,746  |             |       | $       | 52,755  |  |  | $ | 53,603  | 
|                                             |                                                    |      |         |         |             |       |         |         |  |  |   |         | 
|LIABILITIES AND EQUITY                       |                                                    |      |         |         |             |       |         |         |  |  |   |        
|                                             | Actuarial liabilities and other policy liabilities |      | $       | 78,385  |             |       | $       | 89,912  |  |  | $ | 84,724  | 
|                                             | Amounts on deposit                                 |      |         | 3,067   |             |       |         | 3,262   |  |  |   | 3,170   | 
|                                             | Deferred net realized gains                        |      |         | 3,088   |             |       |         | 3,456   |  |  |   | 3,460   | 
|                                             | Other liabilities                                  |      |         | 9,044   |             |       |         | 7,635   |  |  |   | 8,377   | 
|                                             |                                                    |      |         |         |             |       |         |         |  |  |   |         | 
|                                             | Total general fund liabilities                     |      |         | 93,584  |             |       |         | 104,265 |  |  |   | 99,731  | 
|                                            
|                                             | Subordinated debt                                  |      |         | 1,903   |             |       |         | 1,974   |  |  |   | 1,996   | 
|                                             | Cumulative capital securities of a subsidiary      |      |         | 804     |             |       |         | 948     |  |  |   | 906     | 
|                                             | Non-controlling interests in subsidiaries          |      |         | 1,333   |             |       |         | 1,356   |  |  |   | 1,370   | 
|                                             | Total equity                                       |      |         | 13,931  |             |       |         | 14,909  |  |  |   | 13,956  | 
|                                             |                                                    |      |         |         |             |       |         |         |  |  |   |         | 
|                                             | Total general fund liabilities and equity          |      | $       | 111,555 |             |       | $       | 123,452 |  |  | $ | 117,959 | 
|                                             |                                                    |      |         |         |             |       |         |         |  |  |   |         | 
|                                             | Segregated funds contract liabilities              |      | $       | 49,746  |             |       | $       | 52,755  |  |  | $ | 53,603  | 
|                                             |                                                    |      |         |         |             |       |         |         |  |  |   |         | 

*     As restated (Note 3)

The attached notes form part of these interim consolidated financial statements.

Approved on behalf of the Board of Directors

-s- Donald A. Stewart

Donald A. Stewart
Chief Executive Officer

-s- Ronald W. Osborne

Ronald W. Osborne
Director

12



---



##### 



Interim Consolidated Financial Statements

Consolidated Statements of Equity

|                                             |                                                                                                                                        |               |               |              |   |      |        |        |         |   |                          |        |   |   |        |       |  
|-------------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------- | ------------- | ------------- | ------------ | - | ---- | ------ | ------ | ------- | - | ------------------------ | ------ | - | - | ------ | ----- | -
|                                             |                                                                                                                                        |               |               |              |   |      |        |        |         |   | FOR THE SIX MONTHS ENDED
|                                             |                                                                                                                                        |               |               |              |   |      |        |        |         |   |                         
|                                             |                                                                                                                                        |               | Participating |              |   |      |        |        | JUNE 30 |   | JUNE 30                 
|(unaudited, in millions of Canadian dollars) |                                                                                                                                        | Policyholders |               | Shareholders |   | 2003 |        | 2002  
|                                             |                                                                                                                                        |               |               |              |   |      |        |       
|SHARE CAPITAL                                |                                                                                                                                        |               |               |              |   |      |        |        |         |   |                          |        |   |   |        |      
|                                             | Balance, beginning of period                                                                                                           |               | $             |             |   |      | $      | 7,477  |         |   | $                        | 7,477  |   |   | $      | 1,100 |  
|                                             | Common shares issued, net of issuance costs and fair value of stock
options granted as consideration for business acquisition (Note 3) |               |               |             |   |      |        | 63     |         |   |                          | 63     |   |   |        | 6,329 |  
|                                             | Stock option compensation                                                                                                              |               |               |             |   |      |        | 16     |         |   |                          | 16     |   |   |        | 7     |  
|                                             | Stock options exercised                                                                                                                |               |               |             |   |      |        | 3      |         |   |                          | 3      |   |   |        | 24    |  
|                                             | Common shares purchased for cancellation (Note 6)                                                                                      |               |               |             |   |      |        | (136   | )       |   |                          | (136   | ) |   |        |      |  
|                                             |                                                                                                                                        |               |               |              |   |      |        |        |         |   |                          |        |   |   |        |       |  
|                                             | Balance, end of period                                                                                                                 |               |               |             |   |      |        | 7,423  |         |   |                          | 7,423  |   |   |        | 7,460 |  
|                                             |                                                                                                                                        |               |               |              |   |      |        |        |         |   |                          |        |   |   |        |       |  
|RETAINED EARNINGS                            |                                                                                                                                        |               |               |              |   |      |        |        |         |   |                          |        |   |   |        |      
|                                             | Balance, beginning of period                                                                                                           |               |               | 73           |   |      |        | 6,621  |         |   |                          | 6,694  |   |   |        | 5,994 |  
|                                             | Balance of participating policyholders account of
Clarica Life Insurance Company at date of acquisition                               |               |               |             |   |      |        |       |         |   |                          |       |   |   |        | (3    | )
|                                             | Net income                                                                                                                             |               |               | 2            |   |      |        | 709    |         |   |                          | 711    |   |   |        | 326   |  
|                                             | Dividends on common shares                                                                                                             |               |               |             |   |      |        | (208   | )       |   |                          | (208   | ) |   |        | (121  | )
|                                             | Common shares purchased for cancellation (Note 6)                                                                                      |               |               |             |   |      |        | (181   | )       |   |                          | (181   | ) |   |        |      |  
|                                             |                                                                                                                                        |               |               |              |   |      |        |        |         |   |                          |        |   |   |        |       |  
|                                             | Balance, end of period                                                                                                                 |               |               | 75           |   |      |        | 6,941  |         |   |                          | 7,016  |   |   |        | 6,196 |  
|                                             |                                                                                                                                        |               |               |              |   |      |        |        |         |   |                          |        |   |   |        |       |  
|CURRENCY TRANSLATION ACCOUNT                 |                                                                                                                                        |               |               |              |   |      |        |        |         |   |                          |        |   |   |        |      
|                                             | Balance, beginning of period                                                                                                           |               |               | 3            |   |      |        | 735    |         |   |                          | 738    |   |   |        | 631   |  
|                                             | Changes for the period                                                                                                                 |               |               | (7           | ) |      |        | (1,239 | )       |   |                          | (1,246 | ) |   |        | (331  | )
|                                             |                                                                                                                                        |               |               |              |   |      |        |        |         |   |                          |        |   |   |        |       |  
|                                             | Balance, end of period                                                                                                                 |               |               | (4           | ) |      |        | (504   | )       |   |                          | (508   | ) |   |        | 300   |  
|                                             |                                                                                                                                        |               |               |              |   |      |        |        |         |   |                          |        |   |   |        |       |  
|Total equity                                 |                                                                                                                                        | $             | 71            |              |   | $    | 13,860 |        |         | $ | 13,931                   |        |   | $ | 13,956 |      
|                                             |                                                                                                                                        |               |               |              |   |      |        |        |         |   |                          |        |   |   |        |       |  

The attached notes form part of these interim consolidated financial statements.

13



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##### 



Interim Consolidated Financial Statements

Condensed Consolidated Statements of Cash Flows

|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  
|--------------------------------------------------------------- | ------------------------------------------------------------------------------- | ---- | -------------------------- | ------- | ------------------------ | ---- | ------- | ------ | ------- | - | ----- | ------- | - | - | ----- | ------- | -
|                                                                |                                                                                 |      | FOR THE THREE MONTHS ENDED |         | FOR THE SIX MONTHS ENDED
|                                                                |                                                                                 |      |                            |         |                         
|                                                                |                                                                                 |      | JUNE 30                    |         | JUNE 30                  |      | JUNE 30 |        | JUNE 30
|(unaudited, in millions of Canadian dollars)                    |                                                                                 | 2003 |                            | 2002    |                          | 2003 |         | 2002  
|                                                                |                                                                                 |      |                            |         |                          |      |         |       
|CASH FLOWS PROVIDED BY (USED IN) OPERATING ACTIVITIES           |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |        
|                                                                | Net income from continuing operations                                           |      | $                          | 369     |                          |      | $       | 69     |         |   | $     | 711     |   |   | $     | 323     |  
|                                                                | New mutual fund business acquisition costs capitalized                          |      |                            | (46     | )                        |      |         | (43    | )       |   |       | (87     | ) |   |       | (99     | )
|                                                                | Redemption fees of mutual funds                                                 |      |                            | 19      |                          |      |         | 30     |         |   |       | 40      |   |   |       | 59      |  
|                                                                | Items not affecting cash                                                        |      |                            | 130     |                          |      |         | 666    |         |   |       | 1,587   |   |   |       | 1,635   |  
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  
|                                                                | Net cash provided by operating activities                                       |      |                            | 472     |                          |      |         | 722    |         |   |       | 2,251   |   |   |       | 1,918   |  
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  
|CASH FLOWS PROVIDED BY (USED IN) FINANCING ACTIVITIES           |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |        
|                                                                | Borrowed funds                                                                  |      |                            | (50     | )                        |      |         | (120   | )       |   |       | 65      |   |   |       | (54     | )
|                                                                | Issuance of subordinated debt                                                   |      |                            |        |                          |      |         | 799    |         |   |       |        |   |   |       | 799     |  
|                                                                | Redemption of subordinated debt                                                 |      |                            |        |                          |      |         |       |         |   |       |        |   |   |       | (300    | )
|                                                                | Issuance of Sun Life ExchangEable Capital Securities  Series B                 |      |                            |        |                          |      |         | 200    |         |   |       |        |   |   |       | 200     |  
|                                                                | Issuance of common shares on exercise of stock options                          |      |                            | 2       |                          |      |         | 24     |         |   |       | 3       |   |   |       | 24      |  
|                                                                | Shares purchased for cancellation (Note 6)                                      |      |                            | (201    | )                        |      |         |       |         |   |       | (317    | ) |   |       |        |  
|                                                                | Dividends paid on common shares                                                 |      |                            | (103    | )                        |      |         | (61    | )       |   |       | (208    | ) |   |       | (121    | )
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  
|                                                                | Net cash provided by (used in) financing activities                             |      |                            | (352    | )                        |      |         | 842    |         |   |       | (457    | ) |   |       | 548     |  
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  
|CASH FLOWS PROVIDED BY (USED IN) INVESTING ACTIVITIES           |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |        
|                                                                | Sales, maturities and repayments of bonds, mortgages, stocks and real estate    |      |                            | 10,437  |                          |      |         | 7,358  |         |   |       | 18,912  |   |   |       | 15,855  |  
|                                                                | Purchases of bonds, mortgages, stocks and real estate                           |      |                            | (11,461 | )                        |      |         | (9,231 | )       |   |       | (21,048 | ) |   |       | (19,291 | )
|                                                                | Policy loans                                                                    |      |                            | (36     | )                        |      |         | (93    | )       |   |       | (62     | ) |   |       | (103    | )
|                                                                | Short-term securities                                                           |      |                            | 422     |                          |      |         | 320    |         |   |       | 228     |   |   |       | 1,060   |  
|                                                                | Other investments                                                               |      |                            | 50      |                          |      |         | 68     |         |   |       | (28     | ) |   |       | 16      |  
|                                                                | Net cash held by acquiree at date of acquisition                                |      |                            |        |                          |      |         | 2,749  |         |   |       |        |   |   |       | 2,749   |  
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  
|                                                                | Net cash provided by (used in) investing activities                             |      |                            | (588    | )                        |      |         | 1,171  |         |   |       | (1,998  | ) |   |       | 286     |  
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  
|Net cash provided by (used in) discontinued operations          |                                                                                 |      |                           |         |                          |      | (38     | )      |         |   | 273   |         |   |   | (38   | )      
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  
|Changes due to fluctuations in exchange rates                   |                                                                                 |      | (199                       | )       |                          |      | (103    | )      |         |   | (418  | )       |   |   | (113  | )      
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  
|Increase (decrease) in cash and cash equivalents                |                                                                                 |      | (667                       | )       |                          |      | 2,594   |        |         |   | (349  | )       |   |   | 2,601 |        
|Cash and cash equivalents, beginning of period                  |                                                                                 |      | 4,474                      |         |                          |      | 2,590   |        |         |   | 4,156 |         |   |   | 2,583 |        
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  
|Cash and cash equivalents, end of period                        |                                                                                 |      | 3,807                      |         |                          |      | 5,184   |        |         |   | 3,807 |         |   |   | 5,184 |        
|Short-term securities, end of period                            |                                                                                 |      | 2,656                      |         |                          |      | 1,846   |        |         |   | 2,656 |         |   |   | 1,846 |        
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  
|Cash, cash equivalents and short-term securities, end of period |                                                                                 | $    | 6,463                      |         |                          | $    | 7,030   |        |         | $ | 6,463 |         |   | $ | 7,030 |        
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  
|Supplementary Information                                       |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |        
|Cash and cash equivalents:                                      |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |        
|                                                                | Cash                                                                            |      |                            |         |                          |      |         |        |         |   | $     | 368     |   |   | $     | 524     |  
|                                                                | Cash equivalents                                                                |      |                            |         |                          |      |         |        |         |   |       | 3,439   |   |   |       | 4,660   |  
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         | $ | 3,807 |         |   | $ | 5,184 |        
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  
|Cash disbursements made for:                                    |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |        
|                                                                | Interest on borrowed funds, subordinated debt and cumulative capital securities |      | $                          | 102     |                          |      | $       | 62     |         |   | $     | 107     |   |   | $     | 80      |  
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  
|                                                                | Income taxes, net of refunds                                                    |      | $                          | 44      |                          |      | $       | 161    |         |   | $     | 50      |   |   | $     | 244     |  
|                                                                |                                                                                 |      |                            |         |                          |      |         |        |         |   |       |         |   |   |       |         |  

The attached notes form part of these interim consolidated financial statements.

14



---



##### 



Interim Consolidated Financial Statements

Consolidated Statements of Changes in Segregated Funds Net Assets

|                                                              |                                                   |                |        |                            |       |                          |        |         |       |         |        |       |       |   |        |        |       | 
|------------------------------------------------------------- | ------------------------------------------------- | -------------- | ------ | -------------------------- | ----- | ------------------------ | ------ | ------- | ----- | ------- | ------ | ----- | ----- | - | ------ | ------ | ----- | 
|                                                              |                                                   |                |        | FOR THE THREE MONTHS ENDED |       | FOR THE SIX MONTHS ENDED
|                                                              |                                                   |                |        |                            |       |                         
|                                                              |                                                   |                |        | JUNE 30                    |       | JUNE 30                  |        | JUNE 30 |       | JUNE 30
|(unaudited, in millions of Canadian dollars)                  |                                                   | 2003           |        | 2002                       |       | 2003                     |        | 2002   
|                                                              |                                                   |                |        |                            |       |                          |        |        
|ADDITIONS (REDUCTIONS) TO SEGREGATED FUNDS                    |                                                   |                |        |                            |       |                          |        |         |       |         |        |       |       |   |        |       
|                                                              | Deposits:                                         |                |        |                            |       |                          |        |         |       |         |        |       |       |   |        |        |      
|                                                              |                                                   | Annuities      |        | $                          | 1,263 |                          |        | $       | 1,403 |         |        | $     | 2,466 |   |        | $      | 2,636 | 
|                                                              |                                                   | Life insurance |        |                            | 161   |                          |        |         | 75    |         |        |       | 229   |   |        |        | 363   | 
|                                                              |                                                   |                |        |                            |       |                          |        |         |       |         |        |       |       |   |        |        |       | 
|                                                              |                                                   |                | 1,424  |                            |       |                          | 1,478  |         |       |         | 2,695  |       |       |   | 2,999  |       
|                                                              | Net transfers from general funds                  |                |        | 143                        |       |                          |        | 316     |       |         |        | 119   |       |   |        | 827    |      
|                                                              | Net realized and unrealized gains (losses)        |                |        | 3,811                      |       |                          |        | (5,203  | )     |         |        | 2,035 |       |   |        | (5,319 | )    
|                                                              | Other investment income                           |                |        | 450                        |       |                          |        | 488     |       |         |        | 744   |       |   |        | 685    |      
|                                                              |                                                   |                |        |                            |       |                          |        |         |       |         |        |       |       |   |        |        |       | 
|                                                              |                                                   |                | 5,828  |                            |       |                          | (2,921 | )       |       |         | 5,593  |       |       |   | (808   | )     
|                                                              |                                                   |                |        |                            |       |                          |        |         |       |         |        |       |       |   |        |        |       | 
|DEDUCTIONS FROM SEGREGATED FUNDS                              |                                                   |                |        |                            |       |                          |        |         |       |         |        |       |       |   |        |       
|                                                              | Payments to policyholders and their beneficiaries |                |        | 1,561                      |       |                          |        | 1,781   |       |         |        | 3,509 |       |   |        | 3,434  |      
|                                                              | Management fees                                   |                |        | 140                        |       |                          |        | 148     |       |         |        | 270   |       |   |        | 287    |      
|                                                              | Taxes and other expenses                          |                |        | 32                         |       |                          |        | (5      | )     |         |        | 58    |       |   |        | 30     |      
|                                                              | Effect of changes in currency exchange rates      |                |        | 2,532                      |       |                          |        | 1,448   |       |         |        | 4,765 |       |   |        | 1,575  |      
|                                                              |                                                   |                |        |                            |       |                          |        |         |       |         |        |       |       |   |        |        |       | 
|                                                              |                                                   |                | 4,265  |                            |       |                          | 3,372  |         |       |         | 8,602  |       |       |   | 5,326  |       
|                                                              |                                                   |                |        |                            |       |                          |        |         |       |         |        |       |       |   |        |        |       | 
|Net additions (reductions) to segregated funds for the period |                                                   |                | 1,563  |                            |       |                          | (6,293 | )       |       |         | (3,009 | )     |       |   | (6,134 | )     
|Acquisition                                                   |                                                   |                |       |                            |       |                          | 11,193 |         |       |         |       |       |       |   | 11,193 |       
|Segregated funds net assets, beginning of period              |                                                   |                | 48,183 |                            |       |                          | 48,703 |         |       |         | 52,755 |       |       |   | 48,544 |       
|                                                              |                                                   |                |        |                            |       |                          |        |         |       |         |        |       |       |   |        |        |       | 
|Segregated funds net assets, end of period                    |                                                   | $              | 49,746 |                            |       | $                        | 53,603 |         |       | $       | 49,746 |       |       | $ | 53,603 |       
|                                                              |                                                   |                |        |                            |       |                          |        |         |       |         |        |       |       |   |        |        |       | 

Consolidated Statements of Segregated Funds Net Assets

|                                                          |                                                  |      |         |        |             |      |         |        |  |   |        |        | 
|--------------------------------------------------------- | ------------------------------------------------ | ---- | ------- | ------ | ----------- | ---- | ------- | ------ |  | - | ------ | ------ | 
|                                                          |                                                  |      | AS AT  
|                                                          |                                                  |      |        
|                                                          |                                                  |      | JUNE 30 |        | DECEMBER 31 |      | JUNE 30
|(unaudited, in millions of Canadian dollars)              |                                                  | 2003 |         | 2002   |             | 2002
|                                                          |                                                  |      |         |        |             |     
|ASSETS                                                    |                                                  |      |         |        |             |      |         |        |  |   |        |       
|                                                          | Segregated and mutual fund units                 |      | $       | 36,947 |             |      | $       | 38,377 |  |   | $      | 39,917 | 
|                                                          | Stocks                                           |      |         | 6,900  |             |      |         | 7,452  |  |   |        | 8,324  | 
|                                                          | Bonds                                            |      |         | 5,198  |             |      |         | 5,896  |  |   |        | 4,293  | 
|                                                          | Cash, cash equivalents and short-term securities |      |         | 1,373  |             |      |         | 1,530  |  |   |        | 995    | 
|                                                          | Real estate                                      |      |         | 123    |             |      |         | 170    |  |   |        | 276    | 
|                                                          | Mortgages                                        |      |         | 121    |             |      |         | 146    |  |   |        | 138    | 
|                                                          | Other assets                                     |      |         | 1,498  |             |      |         | 965    |  |   |        | 367    | 
|                                                          |                                                  |      |         |        |             |      |         |        |  |   |        |        | 
|                                                          |                                                  |      | 52,160  |        |             |      | 54,536  |        |  |   | 54,310 |       
|                                                          |                                                  |      |         |        |             |      |         |        |  |   |        |        | 
|LIABILITIES                                               |                                                  |      | 2,414   |        |             |      | 1,781   |        |  |   | 707    |       
|                                                          |                                                  |      |         |        |             |      |         |        |  |   |        |        | 
|Net assets attributable to segregated funds policyholders |                                                  | $    | 49,746  |        |             | $    | 52,755  |        |  | $ | 53,603 |       
|                                                          |                                                  |      |         |        |             |      |         |        |  |   |        |        | 

The attached notes form part of these interim consolidated financial statements.

15



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##### 



Condensed Notes to the Interim Consolidated Financial Statements(unaudited, in millions of Canadian dollars, except for per share amounts and where otherwise stated)

1.     Basis
of PresentationSun Life Financial Inc. (formerly Sun Life Financial Services of Canada Inc.)
and its subsidiaries are collectively referred to as the Company. Sun Life
Financial Inc. prepares its interim consolidated financial statements according
to Canadian generally accepted accounting principles (GAAP) including the
accounting requirements of the Office of the Superintendent of Financial
Institutions Canada. These interim consolidated financial statements follow the
same accounting policies and methods of computation as the annual 2002
consolidated financial statements, with the exception of the changes in
accounting policies as described in Note 2. The interim consolidated financial
statements should be read in conjunction with the most recent annual
consolidated financial statements, as they do not include all information and
notes required by GAAP for annual consolidated financial statements.

2.     Changes in Accounting PoliciesDisposal of Long-Lived Assets and Discontinued Operations: In the fourth
quarter of 2002, the Company adopted the new accounting requirements in the
Canadian Institute of Chartered Accountants (CICA) Handbook Section 3475,
Disposal of Long-Lived Assets and Discontinued Operations, effective January 1,
2002 for transactions occurring on or after January 1, 2002 and discontinued
operations existing at that date.

This standard establishes the accounting requirements for long-lived assets to
be disposed of by sale and discontinued operations and requires that those
long-lived assets be measured at the lower of their carrying amounts or fair
values less costs to sell. It broadens the reporting of discontinued operations
to include all components of an entity with operations and cash flows that can
be distinguished from the rest of the Company. Discontinued operations will no
longer include future operating losses, other than to the extent they are
included in the fair value of the asset.

As a result of adopting this standard, the Company has reclassified revenues,
expenses and cash flows of its accident and health reinsurance and guaranteed
minimum income benefit businesses to continuing operations for 2002, as this
line of business no longer qualifies as a discontinued operation. This
reclassification had no impact on net income. However, Clarica U.S., Inc.
(Clarica U.S.) met the requirements to be classified as a discontinued
operation, based upon the formal plan of disposal approved in 2002 and its
designation as a held-for-sale investment. The sale of Clarica U.S. closed on
January 7, 2003 as described in Note 4.

Disclosure of Guarantees: The Company adopted the new accounting requirements
in CICA Handbook Accounting Guideline 14, Disclosure of Guarantees, on January
1, 2003. This Accounting Guideline requires that significant guarantees and
indemnification agreements provided by a guarantor be disclosed without regard
to whether the guarantor will have to make any payments under the guarantees or
the indemnification agreements. Letters of credit and indemnities given by the
Company were disclosed in Note 26 of the 2002 annual consolidated financial
statements. There have been no material changes, for the period ended June 30,
2003, to the disclosures related to the guarantees and indemnification
agreements as reported in the most recent annual consolidated financial
statements.

Impaired Loans: The Company adopted the new accounting requirements in CICA
Handbook Section 3025, Impaired Loans, to asset foreclosures occurring on and
after May 1, 2003. A long-lived foreclosed asset is classified as held for sale
only if certain criteria in the CICA Handbook Section 3475, Disposal of
Long-Lived Assets and Discontinued Operations, are met. A long-lived foreclosed
asset classified as held for sale is measured at fair value less cost to sell.
Foreclosed assets, other than long-lived assets that meet the criteria to be
classified as held for sale, are initially measured at fair value. When the
amount at which the foreclosed assets are initially measured is different from
the carrying amount of the loan, a gain or loss will be recorded at the time of
foreclosure. This change in accounting policy did not have a material impact on
these interim consolidated financial statements.

16



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##### 



Condensed Notes to the Interim Consolidated Financial Statements

3.     AcquisitionsEffective March 20, 2003, the Company increased its ownership percentage in CI
Fund Management Inc. (CI) from 31.7% to 34% by issuing approximately two
million common shares of Sun Life Financial Inc. in exchange for approximately
five million common shares
of CI. The two million common shares of Sun Life Financial Inc. were recorded
at a total fair value of $63. The acquired unamortized intangible asset
consists of fund management contracts of $43. The investment is accounted for
using the equity method of accounting and is included in other invested assets
on the consolidated balance sheets.

The transaction is summarized below:

|                                   |                      |   |     |    | 
|---------------------------------- | -------------------- | - | --- | -- | 
|                                   |                      |   | CI 
|                                   |                      |   |    
|Percentage of shares acquired      |                      |   | 2.3 | % 
|Net balance sheet assets acquired: |                      |   |     |   
|                                   | Invested assets      |   | $   | 1  | 
|                                   | Other assets         |   |     | 44 | 
|                                   |                      |   |     |   
|                                   |                      |   | 45  |   
|                                   |                      |   |     |   
|                                   | Other liabilities    |   |     | 17 | 
|                                   |                      |   |     |   
|                                   |                      | $ | 28  |   
|                                   |                      |   |     |   
|Consideration:                     |                      |   |     |   
|                                   | Common shares issued |   | $   | 63 | 
|                                   |                      |   |     |   
|Goodwill on acquisition            |                      | $ | 35  |   
|                                   |                      |   |     |   

In the second quarter of 2003 the Company reviewed the fair value calculations
for certain non-marketable securities and the reserves for the run-off
reinsurance related to the acquisition of Clarica Life Insurance Company
(Clarica). For the non-marketable securities it was identified that the fair
value was overstated. For the run-off reinsurance reserves a provision for
adverse deviations had been omitted. As at June 30, 2002, the combined impact
of these error corrections was to restate actuarial and other policy
liabilities and goodwill upwards by $48 and $70, respectively. Bonds and other
liabilities were restated downwards by $56 and $34, respectively.

4.     Disposals
and Discontinued OperationsEffective January 7, 2003, the Company sold all the common shares of Clarica
U.S. to Midland National Life Insurance Company for approximately $414 in cash.
A loss of $48 on the sale of Clarica U.S. was accrued in 2002. As a result of
the plan of disposal, Clarica U.S. is being accounted for as a discontinued
operation as mentioned in Note 2.

The sale transaction is summarized below:

|                                      |                                                    |   |              |       | 
|------------------------------------- | -------------------------------------------------- | - | ------------ | ----- | 
|                                      |                                                    |   | Clarica U.S.
|                                      |                                                    |   |             
|Percentage of shares disposed of      |                                                    |   | 100          | %    
|Net balance sheet assets disposed of: |                                                    |   |              |      
|                                      | Invested assets                                    |   | $            | 5,047 | 
|                                      | Other assets                                       |   |              | 225   | 
|                                      |                                                    |   |              |      
|                                      |                                                    |   | 5,272        |      
|                                      |                                                    |   |              |      
|                                      | Actuarial liabilities and other policy liabilities |   |              | 4,265 | 
|                                      | Other liabilities                                  |   |              | 553   | 
|                                      |                                                    |   |              |      
|                                      |                                                    |   | 4,818        |      
|                                      |                                                    |   |              |      
|                                      |                                                    | $ | 454          |      
|                                      |                                                    |   |              |      
|Consideration:                        |                                                    |   |              |      
|                                      | Net proceeds of disposal                           |   | $            | 414   | 
|                                      | Transaction and other related costs                |   |              | 8     | 
|                                      |                                                    |   |              |      
|                                      |                                                    | $ | 406          |      
|                                      |                                                    |   |              |      
|Pre-tax loss on sale                  |                                                    | $ | 48           |      
|                                      |                                                    |   |              |      
|Cash and cash equivalents disposed of |                                                    | $ | 133          |      
|                                      |                                                    |   |              |      

17



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##### 



Condensed Notes to the Interim Consolidated Financial Statements

The components of income from discontinued operations shown in the interim
consolidated statements of operations are as follows:

|                                                         |  |                            |   |                          |  |         |     |         |  |   |   |  |  |   |     | 
|-------------------------------------------------------- |  | -------------------------- | - | ------------------------ |  | ------- | --- | ------- |  | - | - |  |  | - | --- | 
|                                                         |  | FOR THE THREE MONTHS ENDED |   | FOR THE SIX MONTHS ENDED
|                                                         |  |                            |   |                         
|                                                         |  | JUNE 30                    |   | JUNE 30                  |  | JUNE 30 |     | JUNE 30
|                                                         |  | 2003                       |   | 2002                     |  | 2003    |     | 2002   
|                                                         |  |                            |   |                          |  |         |     |        
|REVENUE                                                  |  | $                          |  |                          |  | $       | 123 |         |  | $ |  |  |  | $ | 123 | 
|EXPENSES                                                 |  |                            |  |                          |  |         | 118 |         |  |   |  |  |  |   | 118 | 
|                                                         |  |                            |   |                          |  |         |     |         |  |   |   |  |  |   |     | 
|Net operating income before income taxes                 |  |                            |  |                          |  |         | 5   |         |  |   |  |  |  |   | 5   | 
|Income taxes expense                                     |  |                            |  |                          |  |         | 2   |         |  |   |  |  |  |   | 2   | 
|                                                         |  |                            |   |                          |  |         |     |         |  |   |   |  |  |   |     | 
|Income from discontinued operations, net of income taxes |  | $                          |  |                          |  | $       | 3   |         |  | $ |  |  |  | $ | 3   | 
|                                                         |  |                            |   |                          |  |         |     |         |  |   |   |  |  |   |     | 

The following amounts relating to discontinued operations are included in the
interim consolidated balance sheets:

|                             |                                                    |   |         |   |         |   |       |       | 
|---------------------------- | -------------------------------------------------- | - | ------- | - | ------- | - | ----- | ----- | 
|                             |                                                    |   | JUNE 30 |   | JUNE 30
|                             |                                                    |   | 2003    |   | 2002   
|                             |                                                    |   |         |   |        
|ASSETS                       |                                                    |   |         |   |         |   |       |      
|                             | Invested assets                                    |   | $       |  |         |   | $     | 4,184 | 
|                             | Other assets                                       |   |         |  |         |   |       | 162   | 
|                             |                                                    |   |         |   |         |   |       |       | 
|Total assets                 |                                                    | $ |        |   |         | $ | 4,346 |      
|                             |                                                    |   |         |   |         |   |       |       | 
|LIABILITIES AND EQUITY       |                                                    |   |         |   |         |   |       |      
|                             | Actuarial liabilities and other policy liabilities |   | $       |  |         |   | $     | 3,628 | 
|                             | Other liabilities                                  |   |         |  |         |   |       | 239   | 
|                             | Equity                                             |   |         |  |         |   |       | 479   | 
|                             |                                                    |   |         |   |         |   |       |       | 
|Total liabilities and equity |                                                    | $ |        |   |         | $ | 4,346 |      
|                             |                                                    |   |         |   |         |   |       |       | 

Effective February 28, 2003, the Company sold its United Kingdom group
insurance business to Unum Limited (UnumProvident), a United Kingdom subsidiary
of UnumProvident Corporation. Under the agreements, UnumProvident acquired the
Companys United Kingdom group income protection business together with the
renewal rights to the group life business. The transaction resulted in a gain
that is not considered material to these interim consolidated financial
statements.

5.     Restructuring and Other Related ChargesIn conjunction with the acquisition of Clarica in 2002, the Company developed a
plan to restructure the combined operations of its consolidated subsidiaries,
Sun Life Assurance Company of Canada and Clarica. The Company expects the
restructuring to be substantially completed by the end of 2003. The Company has
recorded an increase in actuarial liabilities and a charge for restructuring
costs in 2002. These costs cover future increased renewal commission expenses,
severance, eliminating duplicate systems, facilities and operations, as well as
other exiting costs. As at June 30, 2003, the remaining balance on these
expected future costs, other than commissions, was as follows:

|                                          |  |              |     |      |  |                 |     |       |  |         |     |  |  |   |     |        |  |   |     | 
|----------------------------------------- |  | ------------ | --- | ---- |  | --------------- | --- | ----- |  | ------- | --- |  |  | - | --- | ------ |  | - | --- | 
|                                          |  |              |     |      |  | Amount Utilized |     |       |  |        
|                                          |  |              |     |      |  |                 |     |       |  |        
|                                          |  | Expected     |     |      |  |                 |     |       |  |         |     |  |  |   |     | Ending
|                                          |  | Future Costs |     | 2002 |  | 2003            |     | Total |  | Balance
|                                          |  |              |     |      |  |                 |     |       |  |        
|Costs of eliminating duplicate systems    |  | $            | 136 |      |  | $               | 58  |       |  | $       | 46  |  |  | $ | 104 |        |  | $ | 32  | 
|Costs of eliminating duplicate operations |  |              | 140 |      |  |                 | 53  |       |  |         | 45  |  |  |   | 98  |        |  |   | 42  | 
|Compensation costs                        |  |              | 146 |      |  |                 | 37  |       |  |         | 26  |  |  |   | 63  |        |  |   | 83  | 
|Transaction costs                         |  |              | 107 |      |  |                 | 104 |       |  |         |    |  |  |   | 104 |        |  |   | 3   | 
|Costs of consolidating facilities         |  |              | 26  |      |  |                 | 2   |       |  |         | 2   |  |  |   | 4   |        |  |   | 22  | 
|                                          |  |              |     |      |  |                 |     |       |  |         |     |  |  |   |     |        |  |   |     | 
|Total                                     |  | $            | 555 |      |  | $               | 254 |       |  | $       | 119 |  |  | $ | 373 |        |  | $ | 182 | 
|                                          |  |              |     |      |  |                 |     |       |  |         |     |  |  |   |     |        |  |   |     | 

18



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##### 



Condensed Notes to the Interim Consolidated Financial Statements

6.     Normal Course Issuer Bid and Cancellation of Common SharesOn February 12, 2003, the Company announced that the Board of Directors had
authorized the purchase of up to 31 million common shares, representing
approximately 5% of the common shares issued and outstanding at that time. The
purchases were and will be made under a normal course issuer bid in accordance
with the rules of The Toronto Stock Exchange (Exchange). The normal course
issuer bid covers the period from February 14, 2003 to January 5, 2004, unless
the maximum number of common shares is purchased before January 5, 2004.
Transactions were and will be executed on the Exchange at the prevailing market
price in amounts and times determined by the Company. The Company will make no
purchases of common shares other than open-market purchases. The shares
purchased as part of the normal course issuer bid are cancelled following
purchases. As at June 30, 2003, the Company had purchased approximately 11
million of its common shares at an average price of $28.14 per share for a
total amount of $317. Of this amount, purchases of approximately $4 were not
cancelled until July 2003.

In accordance with the provisions of the Demutualization Plan of Sun Life
Assurance Company of Canada and the share capital by-law of Sun Life Financial
Inc., unclaimed demutualization benefits issued to eligible policyholders whose
addresses were not known to the Company (lost policyholders) were cancelled on
February 22, 2003. The unclaimed demutualization benefits that were cancelled
on February 22, 2003 include approximately three million common shares of Sun
Life Financial Inc. with a nominal share capital, accumulated dividends of
approximately $3 and demutualization benefits payable in cash of approximately
$10. Under the Demutualization Plan, lost policyholders may claim their
cancelled demutualization benefits (including all unpaid dividends on shares)
at any time without interest.

7.     Earnings Per Share

|                                                                                  |  |                            |      |                          |  |         |      |         |  |   |      |  |  |   |      |    
|--------------------------------------------------------------------------------- |  | -------------------------- | ---- | ------------------------ |  | ------- | ---- | ------- |  | - | ---- |  |  | - | ---- | ---
|                                                                                  |  | FOR THE THREE MONTHS ENDED |      | FOR THE SIX MONTHS ENDED
|                                                                                  |  |                            |      |                         
|                                                                                  |  | JUNE 30                    |      | JUNE 30                  |  | JUNE 30 |      | JUNE 30
|                                                                                  |  | 2003                       |      | 2002                     |  | 2003    |      | 2002   
|                                                                                  |  |                            |      |                          |  |         |      |        
|BASIC EARNINGS PER SHARE                                                          |  |                            |      |                          |  |         |      |         |  |   |      |  |  |   |      |    
|Shareholders net income from continuing operations                               |  | $                          | 366  |                          |  | $       | 68   |         |  | $ | 709  |  |  | $ | 324  |    
|Income from discontinued operations, net of income taxes                          |  |                            |     |                          |  |         | 3    |         |  |   |     |  |  |   | 3    |    
|                                                                                  |  |                            |      |                          |  |         |      |         |  |   |      |  |  |   |      |    
|Shareholders net income                                                          |  | $                          | 366  |                          |  | $       | 71   |         |  | $ | 709  |  |  | $ | 327  |    
|                                                                                  |  |                            |      |                          |  |         |      |         |  |   |      |  |  |   |      |    
|Weighted average number of shares outstanding (in millions)                       |  |                            | 610  |                          |  |         | 499  |         |  |   | 613  |  |  |   | 466  |    
|Basic earnings per share from continuing operations                               |  | $                          | 0.60 |                          |  | $       | 0.13 |         |  | $ | 1.16 |  |  | $ | 0.69 |    
|Basic earnings per share from discontinued operations                             |  |                            |     |                          |  |         | 0.01 |         |  |   |     |  |  |   | 0.01 |    
|                                                                                  |  |                            |      |                          |  |         |      |         |  |   |      |  |  |   |      |    
|Basic earnings per share                                                          |  | $                          | 0.60 |                          |  | $       | 0.14 |         |  | $ | 1.16 |  |  | $ | 0.70 |    
|                                                                                  |  |                            |      |                          |  |         |      |         |  |   |      |  |  |   |      |    
|DILUTED EARNINGS PER SHARE                                                        |  |                            |      |                          |  |         |      |         |  |   |      |  |  |   |      |    
|Shareholders net income from continuing operations                               |  | $                          | 366  |                          |  | $       | 68   |         |  | $ | 709  |  |  | $ | 324  |    
|Less: Effect of stock options of subsidiaries(1)                                  |  |                            | 1    |                          |  |         | 1    |         |  |   | 1    |  |  |   | 2    |    
|                                                                                  |  |                            |      |                          |  |         |      |         |  |   |      |  |  |   |      |    
|Shareholders net income from continuing operations on a diluted basis            |  | $                          | 365  |                          |  | $       | 67   |         |  | $ | 708  |  |  | $ | 322  |    
|Income from discontinued operations, net of income taxes                          |  |                            |     |                          |  |         | 3    |         |  |   |     |  |  |   | 3    |    
|                                                                                  |  |                            |      |                          |  |         |      |         |  |   |      |  |  |   |      |    
|Shareholders net income on a diluted basis                                       |  | $                          | 365  |                          |  | $       | 70   |         |  | $ | 708  |  |  | $ | 325  |    
|                                                                                  |  |                            |      |                          |  |         |      |         |  |   |      |  |  |   |      |    
|Weighted average number of shares outstanding on a diluted basis (in millions)(1) |  |                            | 610  |                          |  |         | 499  | (2)     |  |   | 613  |  |  |   | 466  | (2)
|Diluted earnings per share from continuing operations                             |  | $                          | 0.60 |                          |  | $       | 0.13 |         |  | $ | 1.15 |  |  | $ | 0.69 |    
|Diluted earnings per share from discontinued operations                           |  |                            |     |                          |  |         | 0.01 |         |  |   |     |  |  |   | 0.01 |    
|                                                                                  |  |                            |      |                          |  |         |      |         |  |   |      |  |  |   |      |    
|Diluted earnings per share                                                        |  | $                          | 0.60 |                          |  | $       | 0.14 |         |  | $ | 1.15 |  |  | $ | 0.70 |    
|                                                                                  |  |                            |      |                          |  |         |      |         |  |   |      |  |  |   |      |    



|(1) |  | The effect of stock options is calculated based on the treasury stock method requirements which assume that any proceeds from the exercise of the options as well
as the unrecognized compensation cost would be used to purchase common shares at the average market prices during the period.
|--- |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   
|(2) |  | Clarica stock options have been included in the calculations of the diluted earnings per share for the three and six months ended June 30, 2002, as they are
exercisable to acquire common shares of Sun Life Financial Inc.                                                                   

19



---



##### 



Condensed Notes to the Interim Consolidated Financial Statements

8.     Segmented InformationThe Company has six reportable segments: SLF Canada, SLF United States, M.F.S.,
SLF Asia, SLF United Kingdom and Corporate Capital. These reportable segments
reflect the Companys management structure and internal financial reporting.
Each of these segments has its own management and all of these segments operate
in the financial services industry. They derive their revenues principally from
wealth management operations (mutual funds, investment management and
annuities), protection services (life and health insurance, life retrocession
and financial reinsurance) and other (primarily investments of a corporate
nature and earnings on capital not attributed to the strategic business units).

Corporate Capital includes the accident and health reinsurance operations and
those operations for which management responsibility resides in head office.
Net income (loss) from continuing operations in this category is shown net of
certain expenses borne centrally. As Clarica U.S. has been discontinued,
revenue, expenses and net income (loss) from continuing operations does not
include these results. However, the assets of the discontinued operation are
included in SLF United States assets.

Transactions occurring between segments consist primarily of internal financing
agreements. Inter-segment transactions are measured at market values prevailing
when the arrangements were negotiated. Inter-segment revenue for the three and
six months ended June 30, 2003 consists of interest of $88 and $185,
respectively ($68 and $137, respectively, in 2002) and fee income of $11 and
$23, respectively ($19 and $39, respectively, in 2002).

|                                             |  |                                                             |       |          |  |               |       |      |  |         |     |         |  |             |     |               |  |   |     |  |  |   |    |   |  |   |     |   |  |   |       | 
|-------------------------------------------- |  | ----------------------------------------------------------- | ----- | -------- |  | ------------- | ----- | ---- |  | ------- | --- | ------- |  | ----------- | --- | ------------- |  | - | --- |  |  | - | -- | - |  | - | --- | - |  | - | ----- | 
|                                             |  | RESULTS BY SEGMENT FOR THE THREE MONTHS ENDED JUNE 30, 2003
|                                             |  |                                                            
|                                             |  |                                                             |       |          |  | United States |       |      |  |         |     |         |  |             |     |               |  |   |     |  |  |   |    |   |  |  
|                                             |  |                                                             |       |          |  |               |       |      |  |         |     | United  |  | Corporate   |     | Consolidation |  |   |     | 
|                                             |  | Canada                                                      |       | Sun Life |  | M.F.S.        |       | Asia |  | Kingdom |     | Capital |  | Adjustments |     | Total        
|                                             |  |                                                             |       |          |  |               |       |      |  |         |     |         |  |             |     |              
|Revenue                                      |  | $                                                           | 2,112 |          |  | $             | 2,627 |      |  | $       | 411 |         |  | $           | 140 |               |  | $ | 371 |  |  | $ | 17 |   |  | $ | (99 | ) |  | $ | 5,579 | 
|Net income (loss) from
continuing operations |  | $                                                           | 220   |          |  | $             | 64    |      |  | $       | 42  |         |  | $           | 6   |               |  | $ | 43  |  |  | $ | (6 | ) |  | $ |    |   |  | $ | 369   | 

|                                             |  |                                                             |       |          |  |               |       |      |  |         |     |         |  |             |     |               |  |   |     |  |  |   |      |   |  |   |     |   |  |   |       | 
|-------------------------------------------- |  | ----------------------------------------------------------- | ----- | -------- |  | ------------- | ----- | ---- |  | ------- | --- | ------- |  | ----------- | --- | ------------- |  | - | --- |  |  | - | ---- | - |  | - | --- | - |  | - | ----- | 
|                                             |  | RESULTS BY SEGMENT FOR THE THREE MONTHS ENDED JUNE 30, 2002
|                                             |  |                                                            
|                                             |  |                                                             |       |          |  | United States |       |      |  |         |     |         |  |             |     |               |  |   |     |  |  |   |      |   |  |  
|                                             |  |                                                             |       |          |  |               |       |      |  |         |     | United  |  | Corporate   |     | Consolidation |  |   |     | 
|                                             |  | Canada                                                      |       | Sun Life |  | M.F.S.        |       | Asia |  | Kingdom |     | Capital |  | Adjustments |     | Total        
|                                             |  |                                                             |       |          |  |               |       |      |  |         |     |         |  |             |     |              
|Revenue                                      |  | $                                                           | 1,323 |          |  | $             | 3,247 |      |  | $       | 538 |         |  | $           | 185 |               |  | $ | 537 |  |  | $ | 89   |   |  | $ | (87 | ) |  | $ | 5,832 | 
|Net income (loss) from
continuing operations |  | $                                                           | 97    |          |  | $             | 70    |      |  | $       | 58  |         |  | $           | 4   |               |  | $ | 66  |  |  | $ | (226 | ) |  | $ |    |   |  | $ | 69    | 

|                                             |  |                                                                      |        |          |  |               |        |      |  |         |         |         |  |             |       |               |  |   |        |  |  |   |       |  |  |   |         |   |  |   |         | 
|-------------------------------------------- |  | -------------------------------------------------------------------- | ------ | -------- |  | ------------- | ------ | ---- |  | ------- | ------- | ------- |  | ----------- | ----- | ------------- |  | - | ------ |  |  | - | ----- |  |  | - | ------- | - |  | - | ------- | 
|                                             |  | RESULTS AND ASSETS BY SEGMENT FOR THE SIX MONTHS ENDED JUNE 30, 2003
|                                             |  |                                                                     
|                                             |  |                                                                      |        |          |  | United States |        |      |  |         |         |         |  |             |       |               |  |   |        |  |  |   |       |  |  |  
|                                             |  |                                                                      |        |          |  |               |        |      |  |         |         | United  |  | Corporate   |       | Consolidation |  |   |        | 
|                                             |  | Canada                                                               |        | Sun Life |  | M.F.S.        |        | Asia |  | Kingdom |         | Capital |  | Adjustments |       | Total        
|                                             |  |                                                                      |        |          |  |               |        |      |  |         |         |         |  |             |       |              
|Revenue                                      |  | $                                                                    | 4,262  |          |  | $             | 5,247  |      |  | $       | 819     |         |  | $           | 285   |               |  | $ | 774    |  |  | $ | 158   |  |  | $ | (208    | ) |  | $ | 11,337  | 
|Net income (loss) from
continuing operations |  | $                                                                    | 404    |          |  | $             | 117    |      |  | $       | 70      |         |  | $           | 13    |               |  | $ | 93     |  |  | $ | 14    |  |  | $ |        |   |  | $ | 711     | 
|ASSETS                                       |  |                                                                      |        |          |  |               |        |      |  |         |         |         |  |             |       |               |  |   |        |  |  |   |       |  |  |   |         |   |  |   |         | 
|General fund assets                          |  | $                                                                    | 51,422 |          |  | $             | 42,594 |      |  | $       | 1,064   |         |  | $           | 1,981 |               |  | $ | 10,442 |  |  | $ | 4,381 |  |  | $ | (329    | ) |  | $ | 111,555 | 
|Segregated funds net assets                  |  | $                                                                    | 19,664 |          |  | $             | 23,561 |      |  | $       |        |         |  | $           | 6     |               |  | $ | 6,515  |  |  | $ |      |  |  | $ |        |   |  | $ | 49,746  | 
|Other assets under management                |  | $                                                                    | 22,042 |          |  | $             | 2,339  |      |  | $       | 170,434 |         |  | $           | 68    |               |  | $ |       |  |  | $ |      |  |  | $ | (14,008 | ) |  | $ | 180,875 | 

|                                             |  |                                                                      |        |          |  |               |        |      |  |         |         |         |  |             |       |               |  |   |        |  |  |   |       |   |  |   |         |   |  |   |         | 
|-------------------------------------------- |  | -------------------------------------------------------------------- | ------ | -------- |  | ------------- | ------ | ---- |  | ------- | ------- | ------- |  | ----------- | ----- | ------------- |  | - | ------ |  |  | - | ----- | - |  | - | ------- | - |  | - | ------- | 
|                                             |  | RESULTS AND ASSETS BY SEGMENT FOR THE SIX MONTHS ENDED JUNE 30, 2002
|                                             |  |                                                                     
|                                             |  |                                                                      |        |          |  | United States |        |      |  |         |         |         |  |             |       |               |  |   |        |  |  |   |       |   |  |  
|                                             |  |                                                                      |        |          |  |               |        |      |  |         |         | United  |  | Corporate   |       | Consolidation |  |   |        | 
|                                             |  | Canada                                                               |        | Sun Life |  | M.F.S.        |        | Asia |  | Kingdom |         | Capital |  | Adjustments |       | Total        
|                                             |  |                                                                      |        |          |  |               |        |      |  |         |         |         |  |             |       |              
|Revenue                                      |  | $                                                                    | 2,305  |          |  | $             | 6,561  |      |  | $       | 1,081   |         |  | $           | 308   |               |  | $ | 1,001  |  |  | $ | 190   |   |  | $ | (176    | ) |  | $ | 11,270  | 
|Net income (loss) from
continuing operations |  | $                                                                    | 156    |          |  | $             | 168    |      |  | $       | 105     |         |  | $           | 6     |               |  | $ | 108    |  |  | $ | (220  | ) |  | $ |        |   |  | $ | 323     | 
|ASSETS                                       |  |                                                                      |        |          |  |               |        |      |  |         |         |         |  |             |       |               |  |   |        |  |  |   |       |   |  |   |         |   |  |   |         | 
|General fund assets                          |  | $                                                                    | 50,191 |          |  | $             | 49,268 |      |  | $       | 1,510   |         |  | $           | 1,916 |               |  | $ | 11,643 |  |  | $ | 3,472 |   |  | $ | (41     | ) |  | $ | 117,959 | 
|Segregated funds net assets                  |  | $                                                                    | 19,362 |          |  | $             | 27,003 |      |  | $       |        |         |  | $           | 2     |               |  | $ | 7,236  |  |  | $ |      |   |  | $ |        |   |  | $ | 53,603  | 
|Other assets under management                |  | $                                                                    | 27,803 |          |  | $             | 2,610  |      |  | $       | 185,753 |         |  | $           | 52    |               |  | $ |       |  |  | $ |      |   |  | $ | (19,116 | ) |  | $ | 197,102 | 

20



---



##### 



Condensed Notes to the Interim Consolidated Financial Statements

9.     Changes in Actuarial LiabilitiesChanges in actuarial liabilities for the six months ended June 30, 2003 and
June 30, 2002 are as follows:

|                                                                       |  |      |        |      |  |   |        |  
|---------------------------------------------------------------------- |  | ---- | ------ | ---- |  | - | ------ | -
|                                                                       |  | 2003 |        | 2002
|                                                                       |  |      |        |     
|Actuarial liabilities, January 1                                       |  | $    | 87,165 |      |  | $ | 57,858 |  
|Normal increase in liabilities from new policies and in-force business |  |      | 1,314  |      |  |   | 2,322  |  
|Significant changes in assumptions or methodology:                     |  |      |        |      |  |   |        |  
|Gross increases                                                        |  |      | 143    |      |  |   |       |  
|Gross decreases                                                        |  |      | (137   | )    |  |   |       |  
|                                                                       |  |      |        |      |  |   |        |  
|Increase in actuarial liabilities                                      |  |      | 1,320  |      |  |   | 2,322  |  
|                                                                       |  |      |        |      |  |   |        |  
|Acquisition                                                            |  |      |       |      |  |   | 23,929 |  
|Changes in intrinsic value of options that hedge the GMDB(1)           |  |      | (171   | )    |  |   | 11     |  
|Increases in actuarial liabilities related to the restructuring        |  |      |       |      |  |   | 132    |  
|Dispositions, discontinued operations and other                        |  |      | (5,067 | )    |  |   | 97     |  
|Effect of changes in currency exchange rates                           |  |      | (7,214 | )    |  |   | (2,124 | )
|                                                                       |  |      |        |      |  |   |        |  
|Actuarial liabilities, June 30                                         |  |      | 76,033 |      |  |   | 82,225 |  
|Add: other policy liabilities(2)                                       |  |      | 2,352  |      |  |   | 2,499  |  
|                                                                       |  |      |        |      |  |   |        |  
|Actuarial liabilities and other policy liabilities, June 30            |  | $    | 78,385 |      |  | $ | 84,724 |  
|                                                                       |  |      |        |      |  |   |        |  



|(1) |  | The changes in intrinsic value of the options that hedge guaranteed minimum death benefits (GMDB) products were included in increase in actuarial liabilities in
the interim consolidated statements of operations and other invested assets in the interim consolidated balance sheets.
|--- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   
|(2) |  | As restated (Note 3)                                                                                                                                                                                                                                                                    

During the quarter, the Company implemented a number of changes in its U.S.
actuarial liability calculations. These reflect improved modeling capabilities
now permitted under the updated Canadian Institute of Actuaries Consolidated
Standards of Practice and the impact of lower interest rates on the cost of
certain guarantees.

10.     Provisions for Certain ContingenciesREINSURANCE MATTERS
Certain of the arrangements in the reinsurance business remaining with the
Company in run-off are subject to litigation or arbitration. The liabilities of
the Company under these arrangements are subject to measurement uncertainty,
but they are not expected to have a material adverse effect on the consolidated
financial position of the Company.

UNICOVER
The Company has completed an arbitration proceeding in the United States with
Cragwood Managers, LLC (formerly Unicover Managers, Inc.) and the members of
the Unicover reinsurance pool in respect of certain contracts of reinsurance of
accident and health insurance components of U.S. workers compensation
insurance policies for a three-year term. A final award was delivered by the
Arbitration Panel in October 2002 and clarified on January 28, 2003. The
Arbitration Panels decision is confidential. A second arbitration dealing with
separate contracts of reinsurance between the Company and the members of the
Unicover reinsurance pool covering an earlier one-year term has been commenced
and is in the very early procedural stages.

The Company is also engaged in arbitration proceedings in the United States and
in England with certain of the companies that have contracts to provide
reinsurance to the Company. Those contracts would provide coverage for
Unicover-related claims (as well as certain non-Unicover claims). Those
companies are disputing their obligation to provide coverage to the Company
under their respective contracts of reinsurance. Other reinsurers of the
Company may institute similar proceedings.

The Company established provisions of $150 after taxes during 1999 in
connection with the Unicover business. Since establishing the provision, the
Company has achieved certain settlements in connection with the
Unicover-related claims. The remaining provision is consistent with the
Companys assessment of its liabilities following the decision of the
Arbitration Panel.

LEGAL PROCEEDINGS
The Company is engaged in litigation arising in the ordinary course of
business. None of this litigation is expected to have a material adverse effect
on the consolidated financial position of the Company.

21



---



##### 



Condensed Notes to the Interim Consolidated Financial Statements

11.     Subsequent EventAt the Annual Meeting of the shareholders of Sun Life Financial Services of
Canada Inc. on June 4, 2003, the shareholders approved the change of the
Companys name to Sun Life Financial Inc. The Companys name was changed to Sun
Life Financial Inc. pursuant to Letters Patent of Amendment effective July 2,
2003.

12.     Comparative FiguresCertain comparative figures have been restated to conform with the presentation
adopted in 2003.

22



---



##### 



Corporate Information

Corporate, Investor Relations and Shareholder Information

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|CORPORATE OFFICE
Sun Life Financial Inc.
150 King Street West
Toronto, Ontario
Canada M5H 1J9
Tel: (416) 979-9966
www.sunlife.com
INVESTOR RELATIONS
For financial analysts, portfolio managers
and institutional investors requiring
financial information, please contact:
Thomas G. Reid,
Vice-President, Investor Relations
Tel: (416) 204-8163
Fax: (416) 597-9108
investor.relations@sunlife.com
SHAREHOLDER SERVICES
For shareholder account inquiries please
contact the Transfer Agent according to the
information on the next page. For
shareholder related matters please contact:
Jo-Anne Archibald,
Director, Shareholder Services
Fax: (416) 598-3121
English E-mail:
shareholderservices@sunlife.com
French E-mail:
servicesauxactionnaires@sunlife.com
SUN LIFE FINANCIAL CONTACT LIST
For information about the Sun Life
Financial group of companies, corporate
news, financial results, your insurance
policies (including change of address
for your policy) or to receive investor
publications please contact:
CANADA
Toronto Office
225 King Street West
Toronto, Ontario
Canada M5V 3C5
Tel: (416) 408-7500
Call Centre:
1 800 SUN-LIFE/1 800 786-5433
Mon. to Fri. 8:00 a.m.  8:00 p.m. EST
www.sunlife.ca |  | Waterloo Office
Customer Service Centre
227 King Street South
P.O. Box 1601, STN Waterloo
Waterloo, Ontario
Canada N2J 4C5
Call Centre:
Tel: 1 888 864-5463 (English)
Tel: 1 888 456-2843 (French)
Mon. to Fri. 8:00 a.m.  8:00 p.m. EST
www.clarica.com
Montreal Office
1155 Metcalfe Street
Montreal, Quebec
Canada H3B 2V9
Tel: (514) 866-6411
Call Centre:
1 800 SUN-LIFE/1 800 786-5433
Mon. to Fri. 8:00 a.m.  8:00 p.m. EST
www.sunlife.ca
UNITED STATES
One Sun Life Executive Park SC 2132
Wellesley Hills, Massachusetts
USA 02481
Tel: (781) 237-6030
Call Centre:
1 800 SUN-LIFE/1 800 786-5433
Mon. to Fri. 8:00 a.m.  5:00 p.m. EST
www.sunlife-usa.com
UNITED KINGDOM
Matrix House
Basing View, Basingstoke
Hampshire
United Kingdom RG21 4DZ
Tel: (0870) 160 5040
Call Centre: (0870) 164 6060
Mon. to Fri. 8:00 a.m.  6:00 p.m.
www.sunlifeofcanada.co.uk
ASIA
Regional Headquarters
2008 Two Pacific Place
88 Queensway
Hong Kong
Tel: (852) 2918-3888
www.sunlife.com |  | Hong Kong
8th Floor, Sun Life Financial Tower
68 Yee Wo Street
Causeway Bay, Hong Kong
Tel: (852) 2103-8888
Call Centre: (852) 2103-8928
Mon. to Fri. 8:30 a.m.  5:00 p.m.
www.sunlife.com.hk
Indonesia
PT Sun Life Financial Indonesia
World Trade Centre, 8th Floor
JL Jend. Sudirman Kav 29-31
Jakarta, Indonesia 12920
Tel: (021) 521-1428
India
Birla Sun Life Asset Management
Company
Ahura Centre, 2nd Floor
Mahakali Caves Road, Andheri (E)
Mumbai, India  400 093
Tel: 91-22-5692-8000
Birla Sun Life Insurance Company
Ahura Centre, 1st Floor
Mahakali Caves Road, Andheri (E)
Mumbai, India  400 093
Tel: 91-22-5691-7777
Mon. to Fri. 7:00 a.m.  11:00 p.m.
www.birlasunlife.com
Peoples Republic of China
Beijing Representative Office
Bright China Chang An Building
Suite 1010, Tower A
No.7 Jianguomennei Dajie
Beijing, Peoples Republic of China
100005
Tel: (8610) 6510-2783
Philippines
12th Floor, The Enterprise Centre
Tower 2
6766 Ayala Avenue cor.
Paseo de Roxas
Makati City, Philippines
Tel: (632) 886-6188
Call Centre: (632) 849-9888
Mon. to Fri. 8:00 a.m.  6:00 p.m.
www.sunlife.com.ph

23



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##### 



Corporate Information

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |  |                                                                                                                                                                                                                                                                                                                                                                                                         
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|TRANSFER AGENT
For information on your Sun Life Financial
Inc. shareholdings, please contact the
Transfer Agent in the country where you
reside. If you do not live in any of the
countries listed, please contact the
Canadian office.
Canada and the United States
CIBC Mellon Trust Company
PO Box 7010
Adelaide Street Postal Station
Toronto, Ontario
Canada M5C 2W9
Within North America:
Tel:1 877 224-1760 (English)
       1 888 290-0048 (French)
Outside of North America:
Tel:(416) 348-9412
Fax:(416) 643-5501
Mon. to Fri. 8:30 a.m.  6:00 p.m. EST
inquiries@cibcmellon.com
www.cibcmellon.com
United Kingdom
Capita IRG Plc
Bourne House
34 Beckenham Road
Beckenham, Kent
United Kingdom BR3 4TU
Within the U.K.: |  | Philippines
The Hongkong and Shanghai Banking
Corporation Limited
30/F The Discovery Suites
#25 ADB Avenue
Ortigas Centre, Pasig
Metro Manila, Philippines
From Metro Manila:
Tel: (632) 683-2601
From the Provinces:
Tel: 1 800 1 888-2422
Mon. to Fri. 9:00 a.m.  5:30 p.m.
www.hsbc.com.ph
Hong Kong
Computershare Hong Kong Investor
Services Limited
Rooms 19011905, 19th Floor
Hopewell Centre
183 Queens Road East
Wanchai, Hong Kong
Tel: (852) 2862-8628
Mon. to Fri. 9:00 a.m.  5:30 p.m.
Sat. 9:00 a.m.  12:30 p.m.
hkinfo@computershare.com.hk
www.computershare.com |  | DIVIDENDS
Subject to the approval of the Board of
Directors, dividends are paid at the end
of each calendar quarter.
STOCK EXCHANGE LISTINGS
Ticker Symbol: SLF
Sun Life Financial Inc.
common shares are listed on the
Toronto (TSX), New York (NYSE) and
Philippine (PSE) stock exchanges.
As of July 31, 2003 there were
603,866,391 outstanding common shares,
which are the only voting securities.
|Tel: (0845) 602 1587
Outside the U.K.:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |  |                                                                                                                                                                                                                                                                                                                                                                                                         
|Tel: +44 20 8639 2064
Mon. to Fri. 9:00 a.m.  5:00 p.m.
ssdblueco@capitaregistrars.com
www.capitaregistrars.com                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |  |                                                                                                                                                                                                                                                                                                                                                                                                         

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(SUN LIFE LOGO)

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150 KING STREET WEST
TORONTO, ONTARIO
CANADA M5H 1J9

www.sunlife.com