424B3 1 a424b3.txt 424B3 Rule 424(b)(3) Registration No. 333-39034 SUPPLEMENT DATED JUNE 26, 2000 TO PROFILE DATED JUNE 23, 2000 AND PROSPECTUS DATED JUNE 23, 2000 OF MFS REGATTA CHOICE VARIABLE AND FIXED ANNUITY OFFERED BY SUN LIFE ASSURANCE COMPANY OF CANADA (U.S.) The following changes and additions are hereby made to the Profile dated June 23, 2000 (the "Profile") and the Prospectus dated June 23, 2000 (the "Prospectus") of the Futurity III Variable and Fixed Annuity: 1. The "EXAMPLES" column of the summary expense chart appearing in Section 5, "Expenses," of the Profile is hereby amended and supplemented as follows:
EXAMPLES TOTAL EXPENSES AT END --------------------------------------------------------- (a) (b) --------------------------------------------------------- 1 YEAR 10 YEARS 1 YEAR 10 YEARS ------ -------- ------ -------- Bond Series $82 $232 $ 85 $273 Capital Appreciation Series $82 $236 $ 86 $277 Capital Opportunities Series $83 $245 $ 86 $285 Emerging Growth Series $82 $235 $ 86 $276 Emerging Markets Equity Series $90 $320 $ 94 $357 Equity Income Series $83 $253 $ 87 $293 Global Asset Allocation Series $83 $250 $ 87 $290 Global Governments Series $83 $251 $ 87 $291 Global Growth Series $84 $262 $ 88 $302 Global Total Return Series $83 $250 $ 87 $290 Government Securities Series $81 $221 $ 84 $262 High Yield Series $82 $242 $ 86 $282 International Growth Series $86 $284 $ 90 $323 International Growth and Income Series $86 $277 $ 89 $316 Managed Sectors Series $82 $239 $ 86 $280 Massachusetts Investors Growth Stock Series $83 $244 $ 86 $284 Massachusetts Investors Trust Series $80 $218 $ 84 $260 Money Market Series $80 $216 $ 84 $258 New Discovery Series $85 $267 $ 89 $307 Research Series $82 $235 $ 86 $276 Research Growth and Income Series $83 $247 $ 87 $287 Research International Series $86 $284 $ 90 $323 Strategic Growth Series $84 $261 $ 88 $301 Strategic Income Series $85 $269 $ 88 $308 Technology Series $84 $287 $ 89 $301 Total Return Series $81 $229 $ 85 $270 Utilities Series $83 $243 $ 86 $283
-------------------- (a) Assuming no optional death benefit riders have been elected (b) Assuming all three optional death benefit riders have been elected 2. The "Summary of Contract Expenses" table and the related footnotes appearing on page 4 of the Prospectus, are deleted in their entirety and replaced by the following: SUMMARY OF CONTRACT EXPENSES TRANSACTION EXPENSES Sales Load Imposed on Purchase Payments..........................................................$ 0 Deferred Sales Load (as a percentage of Purchase Payments withdrawn) (1) Number of complete Account Years Purchase Payment in Account 0-1..................................................................................... 7% 1-2..................................................................................... 7% 2-3..................................................................................... 6% 3-4..................................................................................... 6% 4-5..................................................................................... 5% 5-6..................................................................................... 4% 6-7..................................................................................... 3% 7or more................................................................................ 0% Transfer Fee (2).................................................................................$15 ANNUAL ACCOUNT FEE per Contract or Certificate (3)...............................................$50 VARIABLE ACCOUNT ANNUAL EXPENSES (as a percentage of average Variable Account assets)
FOR CONTRACTS WITH AN INITIAL FOR CONTRACTS WITH AN INITIAL PURCHASE PAYMENT OF PURCHASE PAYMENT OF LESS THAN $1,000,000: $1,000,000 OR MORE: Mortality and Expense Risks Charge (4)......1.00% Mortality and Expense Risks Charge (4)......0.85% Administrative Expenses Charge..............0.15% Administrative Expenses Charge..............0.15% ----- ----- Total Variable Annuity Annual Total Variable Annuity Annual Expenses....................................1.15% Expenses....................................1.00%
DEATH BENEFIT CHARGE (if one or more of the optional death benefit riders is elected)
NUMBER OF % OF AVERAGE RIDERS ELECTED DAILY VALUE -------------- ------------ 1 0.15% 2 0.25% 3 0.40%
-------------------------------- (1) A portion of your Account may be withdrawn each year without imposition of any withdrawal charge and, after a Purchase Payment has been in your Account for 7 Account Years, it may be withdrawn free of the withdrawal charge. (2) Currently, we impose no fee upon transfers; however, we reserve the right to impose up to $15 per transfer. In addition, a Market Value Adjustment may be imposed on amounts transferred from or within the Fixed Account. (3) The annual Account Fee is currently $35. After the fifth Account Year, the fee may be changed annually, but it will never exceed $50. (4) We will assess an additional 0.25% during the Income Phase on Contracts that annuitize before their seventh Contract Anniversary. 3. The Examples on page 6 of the Prospectus are supplemented as follows: If you surrender your Contract at the end of applicable time period, you would pay the following expenses on a $1,000 investment, assuming an average Contract size of $35,000, a 5% annual return, and all three optional death benefit riders have been elected: 2
1 YEAR 3 YEARS 5 YEARS 10 YEARS ------ ------- ------- -------- Bond Series $85 $130 $176 $273 Capital Appreciation Series $86 $131 $178 $277 Capital Opportunities Series $86 $133 $182 $285 Emerging Growth Series $86 $131 $177 $276 Emerging Markets Equity Series $94 $154 $217 $357 Equity Income Series $87 $135 $185 $293 Global Asset Allocation Series $87 $135 $184 $290 Global Governments Series $87 $135 $184 $291 Global Growth Series $88 $138 $190 $302 Global Total Return Series $87 $135 $184 $290 Government Securities Series $84 $127 $171 $262 High Yield Series $86 $132 $180 $282 International Growth Series $90 $144 $200 $323 International Growth and Income Series $89 $142 $197 $316 Managed Sectors Series $86 $132 $179 $280 Massachusetts Investors Growth Stock Series $86 $133 $181 $284 Massachusetts Investors Trust Series $84 $126 $170 $260 Money Market Series $84 $126 $169 $258 New Discovery Series $89 $139 $192 $307 Research Series $86 $131 $177 $276 Research Growth and Income Series $87 $134 $183 $287 Research International Series $90 $144 $200 $323 Strategic Growth Series $88 $138 $189 $301 Strategic Income Series $89 $140 $193 $308 Technology Series $88 $138 $189 $301 Total Return Series $85 $129 $175 $270 Utilities Series $86 $133 $181 $283
If you do NOT surrender your Contract, or if you annuitize, at the end of the applicable time period, you would pay the following expenses on a $1,000 investment, assuming an average Contract size of $35,000, a 5% annual return, and all three optional death benefit riders have been elected:
1 YEAR 3 YEARS 5 YEARS 10 YEARS ------ ------- ------- -------- Bond Series $24 $74 $127 $273 Capital Appreciation Series $24 $75 $129 $277 Capital Opportunities Series $25 $78 $133 $285 Emerging Growth Series $24 $75 $128 $276 Emerging Markets Equity Series $33 $100 $170 $357 Equity Income Series $26 $80 $137 $293 Global Asset Allocation Series $26 $79 $135 $290 Global Governments Series $26 $79 $136 $291 Global Growth Series $27 $83 $141 $302 Global Total Return Series $26 $79 $135 $290 Government Securities Series $23 $71 $121 $262 High Yield Series $25 $77 $131 $282 International Growth Series $29 $89 $152 $323 International Growth and Income Series $28 $87 $148 $316 Managed Sectors Series $25 $76 $130 $280 Massachusetts Investors Growth Stock Series $25 $77 $132 $284 Massachusetts Investors Trust Series $23 $70 $120 $260 Money Market Series $23 $69 $119 $258 New Discovery Series $27 $84 $143 $307 Research Series $24 $75 $128 $276 Research Growth and Income Series $25 $78 $134 $287 3 Research International Series $29 $89 $152 $323 Strategic Growth Series $27 $82 $141 $301 Strategic Income Series $28 $85 $144 $308 Technology Series $27 $82 $141 $301 Total Return Series $24 $73 $125 $270 Utilities Series $25 $77 $132 $283
THE EXAMPLES SHOULD NOT BE CONSIDERED TO BE REPRESENTATIONS OF PAST OR FUTURE EXPENSES, AND ACTUAL EXPENSES MAY BE GREATER OR LOWER THAN THOSE SHOWN. THE EXAMPLES ASSUME THAT ALL CURRENT WAIVERS AND REIMBURSEMENTS CONTINUE THROUGHOUT ALL PERIODS. THIS SUPPLEMENT IS NOT VALID UNLESS ACCOMPANIED OR PRECEDED BY THE CURRENT PROSPECTUS OF THE MFS REGATTA CHOICE VARIABLE AND FIXED ANNUITY, DATED JUNE 23, 2000, AND THE CURRENT PROSPECTUS(ES) OF THE FUNDS. THIS SUPPLEMENT AND THE PROSPECTUSES SHOULD BE READ AND RETAINED FOR FURTHER REFERENCE. 4