writing business in Bermuda, plans to become a publicly traded stock company.

This means many of the 8,000 policyholders in Bermuda will be eligible to receive stock in the Canadian-based company once the board of directors decide to proceed with the plan.

The stock will be distributed to participating policyholders, those with life insurance policies which pay back cash values and dividends. Sun Life is currently a mutual company, one in which ownership and profits are distributed among members in relation to the amount of business each member does with the company.

In Bermuda Sun Life is classified as a non-resident insurance undertaking -- a non-Bermudian company licensed to sell insurance locally.

Sun Life plans to demutualise Local company branch manager Joan Woods was not available for comment yesterday.

Sun Life's board of directors stated in a press release that the conversion of the company to a publicly traded company from a mutual would require regulatory and policyholder approval.

"Becoming a publicly traded company can provide substantial value for our policyholders and unlock our capital base, allowing the company to compete effectively in the global financial services marketplace,'' Sun Life chairman and chief executive officer John McNeil stated. "Participating policyholders would receive shares representing ownership of the company that could be traded on stock exchanges, and they would retain contractual benefits of their existing policies.'' Only those holding participating policies that are in force on January 27, 1998 will be eligible for the share issue.

Once the demutualisation plan is approved eligible policyholders will be able to vote at a meeting expected to be held next year.