Toronto, July 09, 2013 -- Moody's Investors Service continues the reviews of several ratings of Sun Life Financial Inc. (TSX; SLF: preferred stock at Baa3 (hyb), review for upgrade) and affiliates, initiated on December 17, 2012, as the transaction that prompted the reviews has not yet closed. On the date of initiation of the reviews, Moody's downgraded to Baa2 from A3 the insurance financial strength (IFS) rating of Sun Life Assurance Company of Canada (U.S.) (Sun Life US), the wholly-owned U.S. life insurance subsidiary of SLF. The rating was also placed on review for further downgrade. In the same rating action, the Baa1 senior secured debt rating of Sun Life Financial Global Funding III, L.P. (SLFGF III) was placed under review with direction uncertain. In addition, the rating agency placed SLF's preferred stock Baa3 (hyb) rating on review for upgrade. These rating actions followed the announcement by SLF that it had executed a definitive agreement to sell 100% of the shares of Sun Life US, including SLF's US variable annuity (VA), fixed and fixed indexed annuity, BOLI/COLI, and variable life insurance liabilities, to Delaware Life Holdings (unrated), a company owned by shareholders of Guggenheim Partners, LLC (Guggenheim; unrated) for approximately $1.35billion.
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