TRC Reduces Its Offer for Sun Life Financial Services of Canada Inc. to $26.00 Per Share.

Business Editors

TORONTO--(BUSINESS WIRE)--Feb. 12, 2003

TRC Capital Corporation (TRC) announced today that it is varying its $28.10 cash offer to purchase 5,000,000 common shares of Sun Life Financial Services of Canada Inc. (NYSE:SLF) (TSE:SLF) as follows:

-- decreasing the offer price from $28.10 to $26.00;

-- extending the period for the deposit of Sun Life common shares by shareholders to 5:00 p.m. on February 24, 2003, unless the offer is withdrawn or extended.

TRC's bid was initially made on January 24, 2003 at $28.10 per share.

TRC will accept for payment and will pay for all shares validly tendered prior to the expiration date and not properly withdrawn in accordance with the terms of the offer.

TRC will not be required to accept for payment or pay for any shares and may terminate the offer if certain conditions which, in the reasonable judgment of TRC in any such case, makes it inadvisable to proceed with the offer or with such acceptance for payment or payment.

Investors and security holders are strongly advised to read the definitive Offer to Purchase together with the Notice of Variation and Extension because they contain important information. Investors can obtain a free copy of the Offer to Purchase and the Notice of Variation and Extension from the depositary, CNRA Financial Services Inc., by calling [phone].

TRC Capital Corporation is a private investment corporation that manages a diverse investment portfolio focusing on manufacturing and other commodity and basic industries.