What Could 2% More Be Worth? Equity-Indexed Annuities Presented by: [NAME] [DATE]

Example • $50,000 single payment in a hypothetical investment • No withdrawals • 3.5% vs. 5.5%

Year

Savings A (3.5%)

Savings B (5.5%)

1

$51,750

$52,750

2

$53,561

$55,651

3

$55,436

$58,712

4

$57,376

$61,941

5

$59,384

$65,348

6

$61,463

$68,942

7

$63,614

$72,734

8

$65,840

$76,734

9

$68,145

$80,955

Hypothetical example illustrates effect of compounding at the stated rates of returns. It does not represent the performance of any savings vehicle and does not guarantee future results.Taxes in an annuity are paid when the money is withdrawn. All withdrawals of earnings are subject to ordinary income tax and withdrawals made prior to age 591/2, may incur a 10% federal tax penalty.

In other words, this 2% difference ($12,810) could mean: • 32 car payments at $400/month! • 4 weeks vacation at $3,000/week! • 10 years of holiday shopping at $1,200/season!

Consider how a Sun Life Financial Equity-Indexed Annuity could help.

What is an equity-indexed annuity? Equity-indexed annuities combine aspects of wellknown financial vehicles as well as insurance-related benefits, including income options and death benefits.

Link of interest earnings to an equity index

Tax Deferral

Principal Protection*

Contractual guarantees are based on claims-paying ability of Sun Life Assurance Company of Canada (U.S.). *Principal is guaranteed if held to the later of the contract term’s end or surrender charge period. Loss of some principal is possible if the annuity is surrendered before the end of the term.

Link of interest earnings to an equity-index • Interest earnings are linked to positive changes in the S&P 500 Index. • When the S&P 500 Index goes up, so do your interest earnings.* • If the Index drops below the initial level, your principal is protected by your minimum guarantee.

Past equity-indexed changes are no guarantee of future equity-indexed changes. The S&P 500 Index does not include dividend earnings so neither the S&P 500 Index nor any equity-indexed annuity is comparable to a direct investment in the equity markets. *Depending on product design and features, interest earnings may not increase as fast or as much as the underlying index to which those interest earnings are linked.

How performance is calculated • Indexing Method – The way the increase, if any, in the account value is calculated. • Participation Rate – This rate determines how much of the increase in the S&P 500 Index will be used to calculate any interest earnings. Remember, at a minimum, your principal is guaranteed if you hold the contract to the end of its term.

It is important to understand these features and how they work together to calculate your interest. Please read the annuity product fact brochure and Product Manual carefully and speak with your financial consultant if you have questions about any features of your Sun Life Financial equity-indexed annuity. Principal is guaranteed if held to the later of the contract term’s end or surrender charge period. Loss of some principal is possible if the annuity is surrendered before the end of the term. This guarantee is backed by the claimspaying ability of Sun Life Assurance Company of Canada (U.S.).

Principal protection Sun Life Assurance Company of Canada (U.S.) guarantees your principal (less any prior withdrawals), so while you may benefit from a portion of the Index’s performance, you have little downside risk.*

*Guarantee is based on claims-paying ability of the insurer issuing the contract.

Tax deferral • You don’t pay taxes on your interest earnings until withdrawn. • Tax-deferral allows your savings to grow faster.

There is no additional tax deferral benefit in an annuity purchased in an IRA or other tax-qualified plan, since these are already afforded tax-deferred status. Thus, an annuity should only be purchased in an IRA or qualified plan if you value other features, such as lifetime income payments or death benefit protection. Withdrawals of taxable amounts may be subject to income tax and may also be subject to a 10% IRS penalty tax if withdrawn before age 591/2.

Equity-indexed annuities offer: • • • • • •

a link of interest earnings to positive changes in the S&P 500 Index, which means the potential to earn even more principal protection (less any prior withdrawals)* a minimum guarantee, regardless of S&P 500 Index performance tax-deferred growth potential income options to meet your specific retirement needs a death benefit that guarantees your beneficiaries receive 100% of your annuity’s indexed value

There is no additional tax deferral benefit in an annuity purchased in an IRA or other tax-qualified plan, since these are already afforded tax-deferred status. Thus, an annuity should only be purchased in an IRA or qualified plan if you value other features, such as lifetime income payments or death benefit protection. *The minimum interest guarantee is 1.75% growth on 90% premium payment. Surrender value will not be less than required by the state in which the contract is issued. Principal is guaranteed if held to the later of the contract term’s end or surrender charge period. Guarantee is based on claims-paying ability of Sun Life Assurance Company of Canada (U.S.).

The strength of Sun Life Financial Sun Life Assurance Company of Canada (U.S.) is rated by these rating agencies for financial strength: • A.M. Best: A++1 (Superior) (First of 16 rating levels) • Standard & Poor’s: AA+ *1 (Very Strong) (Second of 20 rating levels) • Moody’s: Aa21 (Excellent) (Third of 21 rating levels)

1 Outlook stable * Rating also applies to counterparty credit risk

Sun Life Financial equity-indexed annuities provide an end-of-term guarantee of principal (less prior withdrawals and effective if held to end of plan/term) by Sun Life Assurance Company of Canada (U.S.) plus interest earnings linked, based on participation rate to the performance of the S&P 500 Composite Stock Price Index which excludes dividend income. Annuities are designed for long-term retirement planning and are not a substitute for an S&P 500-linked mutual fund or any equity investment. Partial withdrawals will not participate in any future growth of the S&P 500 Index. Withdrawals during a term will result in a penalty of up to 10% of the purchase payment. Withdrawals of taxable amounts are subject to income tax; surrenders prior to age 591/2 may also be subject to additional 10% IRS penalty tax. Sun Life Financial equity indexed annuities are not designed to meet the minimum distribution requirements under the Internal Revenue Code. “S&P 500® ” is a trademark of The McGraw-Hill Companies, Inc. and has been licensed for use by Sun Life Assurance Company of Canada (U.S.). Sun Life Financial’s equity-indexed annuities are not sponsored, endorsed, sold or promoted by S&P and S&P makes no representation regarding the advisability of purchasing the Products. © 2005 Sun Life Assurance Company of Canada (U.S.). All rights reserved. Sun Life Financial and the globe symbol are registered trademarks of Sun Life Assurance Company of Canada. MGA14-5033 (Exp. 11/06) SLPC 13822 (11/05)