Sun Life 2012 Annual Report Download - page 50

Download and view the complete annual report

Please find page 50 of the 2012 Sun Life annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 176

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160
  • 161
  • 162
  • 163
  • 164
  • 165
  • 166
  • 167
  • 168
  • 169
  • 170
  • 171
  • 172
  • 173
  • 174
  • 175
  • 176

Corporate’s reported net income from Discontinued Operations was $7 million in 2012, compared to $29 million in 2011. The reported
loss (Combined Operations) for Corporate was $66 million in 2012, compared to $183 million in 2011.
Summary statements of operations
($ millions) 2012 2011
SLF U.K.(1) 213 156
Corporate Support(1) (282) (355)
Operating net income (loss) from Continuing Operations(1) (69) (199)
Restructuring and other related costs:
SLF U.K. –(3)
Corporate Support (4) (10)
Reported net income (loss) from Continuing Operations (73) (212)
Reported net income (loss) (66) (183)
(1) Represents a non-IFRS financial measure. See Use of Non-IFRS Financial Measures.
SLF U.K.
SLF U.K. has almost 900,000 in-force life and pension policies, which constitute a run-off block of business with approximately
£12.0 billion of AUM. Since December 2010, SLF U.K. has been closed to new business and focuses on supporting existing customers
only. Most administrative functions have been outsourced to external service providers, which are managed by an in-house
management team.
SLF U.K.’s reported net income was $213 million in 2012, compared to $153 million in 2011. Restructuring and other related costs
were nil in 2012, compared to $3 million in 2011. Operating net income was $213 million in 2012, compared to $156 million in 2011.
Net income in 2012 reflected favourable impacts from investment activity on insurance contract liabilities, refinements to actuarial
models and tax related items. Net income in 2011 included a net tax benefit related to the reorganization of our U.K. operations,
partially offset by the unfavourable impact of investment activity on insurance contract liabilities. Net income in both 2012 and 2011
reflected investment in regulatory initiatives such as Solvency II.
48 Sun Life Financial Inc. Annual Report 2012 Management’s Discussion and Analysis