Sun Life Financial Inc. has completed two annuity buy-in transactions totaling $114 million with the Board of Trustees for two New Brunswick shared risk pension plans, covering more than 700 former employees of Fraser Papers Inc.
The deal, advised by Paul Chang Consulting, is significant for former Fraser Papers employees whose pensions were affected when the company entered creditor protection under the Companies' Creditors Arrangement Act (CCAA) in 2009. The agreement allows for the termination of the shared risk plans and concludes the CCAA process for these members.
"We're proud to have played a role in helping secure benefits for Fraser Papers' plan members," said Mathieu Tessier, Vice-President, Client Relationships & Innovation, Defined Benefit Solutions at Sun Life. "This transaction showcases our commitment to developing solutions that protect pensioners, even in the most challenging circumstances."
The partnership involved close cooperation between Sun Life, the Boards of Trustees, and their consultant to maximize benefit levels and provide options for plan members.
"Paul Chang Consulting's expert advice to our Board has been instrumental in obtaining the desired result for our plan members in a timely and efficient manner," said Paul McKinley, Board Chairman of the Fraser Salaried Pension Plan. "We appreciate the excellent cooperation and flexibility that Sun Life demonstrated throughout this process."
Sun Life will now be responsible for ensuring uninterrupted monthly pension payments to plan members.
The transaction highlights Sun Life's position as a leader in Canada's pension risk transfer market. Since 2008, over $70 billion in pension obligations have been transferred to insurers across the industry. Of this amount, Sun Life has received more than $22 billion in pension obligations during this period.
Sun Life operates internationally with services including asset management, wealth management, insurance, and health solutions across several countries such as Canada, United States, United Kingdom, Ireland, Hong Kong, Philippines, Japan, Indonesia, India, China, Australia, Singapore, Vietnam, Malaysia and Bermuda. As of September 30, 2025, Sun Life reported total assets under management of $1.62 trillion. More information can be found at www.sunlife.com.
Sun Life Financial Inc. is listed on stock exchanges in Toronto (TSX), New York (NYSE), and Philippines (PSE) under the ticker symbol SLF.