Sun Life 2010 Annual Report Download - page 80

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Financial Reporting Responsibilities
Management is responsible for preparing the Consolidated Financial Statements. This responsibility includes selecting appropriate
accounting policies and making estimates and other judgments consistent with Canadian generally accepted accounting principles. It
also includes ensuring the use of appropriate accounting policies and estimates in the disclosure of the information that was prepared
following accounting principles generally accepted in the United States of America. The financial information presented elsewhere in
the annual report to shareholders is consistent with these statements.
The Board of Directors (“Board”) oversees management’s responsibilities for financial reporting. An Audit Committee of
non-management directors is appointed by the Board to review the Consolidated Financial Statements and report to the Board prior to
their approval of the Consolidated Financial Statements for issuance to shareholders. Other key responsibilities of the Audit Committee
include reviewing the Company’s existing internal control procedures and planned revisions to those procedures, and advising the
Board on auditing matters and financial reporting issues.
Management is also responsible for maintaining systems of internal control that provide reasonable assurance that financial information
is reliable, that all financial transactions are properly authorized, that assets are safeguarded, and that Sun Life Financial Inc. and its
subsidiaries, collectively referred to as “the Company”, adhere to legislative and regulatory requirements. These systems include the
communication of policies and the Company’s Code of Business Conduct throughout the organization. Internal controls are reviewed
and evaluated by the Company’s internal auditors.
Management conducted an assessment of the effectiveness of the Company’s internal control over financial reporting, as of
December 31, 2010, based on the framework and criteria established in Internal Control—Integrated Framework, issued by the
Committee of Sponsoring Organizations of the Treadway Commission. Based on that assessment, management has concluded that
internal control over financial reporting was effective as of December 31, 2010.
The Audit Committee also conducts such review and inquiry of management and the internal and external auditors as it deems
necessary towards establishing that the Company is employing appropriate systems of internal control, is adhering to legislative and
regulatory requirements and is applying the Company’s Code of Business Conduct. Both the internal and external auditors and the
Appointed Actuary have full and unrestricted access to the Audit Committee, with and without the presence of management.
The Office of the Superintendent of Financial Institutions, Canada conducts periodic examinations of the Company. These
examinations are designed to evaluate compliance with provisions of the Insurance Companies Act of Canada and to ensure that the
interests of policyholders, depositors and the public are safeguarded. The Company’s foreign operations and foreign subsidiaries are
examined by regulators in their local jurisdictions.
The Appointed Actuary, who is a member of management, is appointed by the Board to discharge the various actuarial responsibilities
required under the Insurance Companies Act of Canada, and conducts the valuation of the Company’s actuarial liabilities. The role of
the Appointed Actuary is described in more detail in Note 9. The report of the Appointed Actuary accompanies these consolidated
financial statements.
The Company’s external auditors, Deloitte & Touche LLP, Independent Registered Chartered Accountants, have audited the
Company’s internal control over financial reporting as of December 31, 2010 in addition to auditing the Company’s Consolidated
Financial Statements for the year ended December 31, 2010. Their reports to the Board and Shareholders express an unqualified
opinion and accompany these consolidated financial statements. Deloitte & Touche meet separately with both management and the
Audit Committee to discuss the results of their audit.
Donald A. Stewart Colm J. Freyne
Chief Executive Officer Executive Vice-President and Chief Financial Officer
Toronto, February 16, 2011
76 Sun Life Financial Inc. Annual Report 2010 Consolidated Financial Statements