#1INVESTOR PRESENTATION Q2|20 May 26, 2020 NATIONAL BANK#2CAUTION REGARDING FORWARD-LOOKING STATEMENTS From time to time, the Bank makes written and oral forward-looking statements such as those contained in this document, in other filings with Canadian securities regulators, and in other communications. All such statements are made in accordance with applicable securities legislation in Canada and the United States. Forward- looking statements in this document may include, but are not limited to, statements with respect to the economy-particularly the Canadian and U.S. economies-market changes, the Bank's objectives, outlook and priorities for fiscal year 2020 and beyond, its strategies or future actions for achieving them, expectations for the Bank's financial condition, the regulatory environment in which it operates, the potential impacts of - and the Bank's response to the COVID-19 pandemic, and certain risks it faces. These forward-looking statements are typically identified by words such as "outlook", "believe", "foresee", "forecast", "anticipate", "estimate", "project", "expect", "intend", "plan", and similar expressions of future or conditional verbs such as "will", "may", "should", "could" or "would". Such forward-looking statements are made for the purpose of assisting the holders of the Bank's securities in understanding the Bank's financial position and results of operations as at and for the periods ended on the dates presented, as well as the Bank's financial performance objectives, vision and strategic goals, and may not be appropriate for other purposes. By their very nature, these forward-looking statements require assumptions to be made and involve inherent risks and uncertainties, both general and specific. Assumptions about the performance of the Canadian and U.S. economies in 2020, including in the context of the COVID-19 pandemic, and how that will affect the Bank's business are among the main factors considered in setting the Bank's strategic priorities and objectives and, including provisions for credit losses. In determining its expectations for economic conditions, both broadly and in the financial services sector in particular, the Bank primarily considers historical economic data provided by the governments of Canada, the United States and certain other countries in which the Bank conducts business, as well as their agencies. There is a strong possibility that the Bank's express or implied predictions, forecasts, projections, expectations or conclusions will not prove to be accurate, that its assumptions may not be correct and that its financial performance objectives, vision and strategic goals will not be achieved. The Bank recommends that readers not place undue reliance on forward-looking statements, as a number of factors, many of which are beyond the Bank's control, including the impacts of the COVID-19 pandemic, could cause actual results to differ significantly from the expectations, estimates or intentions expressed in these statements. These factors include credit risk, market risk, liquidity and funding risk, operational risk, regulatory compliance risk, reputation risk, strategic risk and environmental risk, all of which are described in more detail in the Risk Management section beginning on page 58 of the Bank's 2019 Annual Report, and more specifically, general economic environment and financial market conditions in Canada, the United States and certain other countries in which the Bank conducts business; regulatory changes affecting the Bank's business; geopolitical uncertainty; important changes in consumer behaviour; Canadian housing and household indebtedness; changes in the Bank's customers' and counterparties' performance and creditworthiness; changes in the accounting policies the Bank uses to report its financial condition, including uncertainties associated with assumptions and critical accounting estimates; tax laws in the countries in which the Bank operates, primarily Canada and the United States (including the U.S. Foreign Account Tax Compliance Act (FATCA)); changes to capital and liquidity guidelines and to the manner in which they are to be presented and interpreted; changes to the credit ratings assigned to the Bank; potential disruption to key suppliers of goods and services to the Bank; potential disruptions to the Bank's information technology systems, including evolving cyberattack risk; and possible impacts of catastrophic events affecting local and global economies, including natural disasters and public health emergencies such as the COVID-19 pandemic. Statements about the expected impacts of the COVID-19 pandemic on the Bank's business, results of operations, corporate reputation, financial position and liquidity, and on the global economy may be inaccurate and differ, possibly materially, from what is currently expected as they depend on future developments that are highly uncertain and cannot be predicted. The foregoing list of risk factors is not exhaustive. Additional information about these factors can be found in the Risk Management section of the Bank's 2019 Annual Report and in the COVID-19 Pandemic section of the Bank's Report to Shareholders for the Second Quarter of 2020. Investors and others who rely on the Bank's forward-looking statements should carefully consider the above factors as well as the uncertainties they represent and the risks they entail. Except as required by law, the Bank does not undertake to update any forward-looking statements, whether written or oral, that may be made from time to time, by it or on its behalf. 2 |#3OVERVIEW Louis Vachon President & Chief Executive Officer NATIONAL BANK#4PEOPLE FIRST - OUR RESPONSE TO COVID-19 Our Employees ■ Prioritizing health & safety ■ Successful transition to working remotely (~70% of employees) ■ Committed to protecting employee's jobs this year, in response to COVID-19 ■ Maintain regular salary with flexible arrangements to accommodate employees ■ Special compensation for on-premise employees ■ Five additional "wellness days" and free access to telemedicine ■ Strong employee engagement scores throughout the crisis Our Retail Clients ■ Offering uninterrupted service with -75% of branches remaining open and gradual re-openings starting late May ■ Increased digital support and in-call centre capacity ■ Loan deferrals: ~39,000 mortgages and ~27,000 other loans; no "interest on the interest" to eligible clients ■ Credit card deferrals: ~9,300 credit cards ■ Waiving certain fees to eligible clients ■ Special measures and dedicated services for seniors ■ Broadbased uptick in client satisfaction during the crisis (1) Our Business Clients ■ Extending balance sheet: ~$3.8B in incremental draws and $1.8B in new lending during Q2 ■ ~3,100 clients with payment deferrals ~$830M to ~21,000 SMEs under CEBA government program(2) ■ Providing liquidity on all assets to our corporate and institutional clients in volatile markets ■ Supporting debt markets, advisory and financing needs for corporate clients and governments in these extraordinary times ■ #1 client satisfaction in Canada for SME banking during the crisis (3) Our Communities ■ $1 million to food banks, vulnerable groups and the Canadian Red Cross ■ $500,000 to the United Way COVID-19 Fund ■ $500,000 to 10 mental health organizations ■ Donations to the Breakfast Club of Canada and Héma-Québec ■ Accelerated disbursement program to NPOS requesting support ■ Committed to supporting those impacted by the crisis and vulnerable populations OUR MISSION: HAVING A POSITIVE IMPACT ON OUR EMPLOYEES, OUR CLIENTS AND OUR COMMUNITIES Note: Excluding USSF&I. Data points provided as at April 30, 2020. Other retail loan deferrals exclude student loans deferrals. Please refer to pages 6-7 of the Bank's Q2- 20 Report to Shareholders for additional details regarding relief measures for clients. (1) As established by the variation in the Bank's Net Promoter Score between March and April 2020. (2) Canada Emergency Business Account. (3) Source: Canadian Federation of Independent Business, COVID-19 survey results published on April 15, 2020. 4#5OVERVIEW - Q2|20 RESULTS PTPP(1) $991 MM +20% YoY Total PCL $504 MM >5X QoQ We entered the COVID-19 crisis on solid footings: Strong balance sheet Strong credit quality Net Income $379 MM EPS $1.01 CET1 11.4% ROE 10.7% ☐ Defensive positioning Our business is holding up well: Revenue growth in all business segments Solid PTPP growth, up 20% YoY Prudent provisioning in uncertain macroeconomic environment: Total PCL of $504M, increased more than 5x QoQ Strong capital and liquidity ratios ◉ Dividend maintained at $0.71 per share (1) Pre-tax pre-provision earnings, presented on a taxable equivalent basis (TEB). 5 |#6SEGMENT HIGHLIGHTS - Q2|20 P&C Banking PTPP: $389 MM +3% YoY ☐ Supporting our clients with payment deferrals and extending balance sheet for businesses Strong interest income driven by solid volumes on both sides of the balance sheet ◉ ▪ Lower consumer activity in context of crisis impacted non-interest income Wealth Management PTPP: $196 MM +23% YoY ■ Favorable business mix and client-facing strategy leading to a strong performance ■ Solid growth driven by high transaction volumes and fee-based revenues Financial Markets PTPP: $378 MM +70% YoY ◉ Excellent quarter for Financial Markets with revenues of $598M Strong volume growth across Global Markets amid volatile markets Supporting our clients on liquidity, financing and advisory through the crisis USSF&I PTPP: $101 MM (3)% YoY ■ Resilient assets, well positioned to perform through the crisis ■ Modest growth expected in F2020 ■ Well positioned to continue to generate attractive growth in the medium term 6#7RISK MANAGEMENT William Bonnell Executive Vice-President Risk Management NATIONAL BANK#8PROVISIONS FOR CREDIT LOSSES Provisions for credit losses Q2 20 ($MM) $113 $504 Impaired $120 $391 POCI ($7) Non- Retail $317 Non- Retail $254 Retail $111 USSF&I $26 Retail $155 USSF&I $32 Performing Impaired Total PCL & POCI Q1 20 Personal 108 Commercial 107 FM 142 WM Other 35 322- 43 151 49 43 150 21 20 162 9 1 45 Total PCL X-USSF&I 365 107 472 79 USSF&I (1) 26 6 32 Total PCL ($MM) 391 113 504 89 Total PCL (bps) 99 29 128 2222 10 23 (1) Impaired PCL includes ($7M) from POCI. Total PCL: The deterioration in economic conditions caused by the COVID pandemic led to total PCLs of $504M in Q2, a >5 times increase QoQ PCL on performing loans: ☐ ☐ ☐ ■ Increased to $391M (99bps) - key drivers were revisions of macroeconomic scenarios (>75%), portfolio growth, migration and an increase in management overlay Performing PCLs for retail credit were $111M, reflecting the significant deterioration in employment outlook tempered by our relative underweight in unsecured consumer lending Performing PCLs in non-retail portfolios were $254M, reflecting broad based deterioration in economic factors Performing PCLs in the USSF&I segment increased materially to $26M due to revision of macroeconomic forecasts tempered by portfolio mix (primarily secured lending) PCL on impaired loans: Impaired PCLs were stable QoQ across Personal banking, WM and USSF&I Impaired PCLs in Commercial and FM increased from last quarter as provisions were taken in a number of files across multiple sectors 8#9ALLOWANCE FOR CREDIT LOSSES Allowance for credit losses Q2 20 ($MM) $769 Non-Retail $345 Retail $378 USSF&I $104 POCI ($58) PCL $504 ($64) 57% increase in allowances QoQ ACL Q1 20 PCL Net charge-offs Non-Retail $656 Retail $490 $1,211 Non- Performing $302 Performing $978 (1) USSF&I $134 POCI ($69) POCI ($69) ACL Q2 20(2) Total Allowances: ☐ Total Allowances for Credit Losses increased by 57% QoQ from $769M to $1.21B Allowances for retail lending increased 30% reflecting our product and geographic mix, and allowances for non-retail lending increased 90% Net charge-offs were lower QoQ at $64M Performing Allowances: Performing ACLs increased by 67% QoQ to $978M Represents about 3 times coverage of LTM impaired PCLS Non-performing Allowances: Increased to $302M or 39% of GIL vs 36% of GIL last quarter (1) Performing ACL includes allowances on drawn ($801M), undrawn ($140M) and other assets ($37M). (2) Total ACL in Q2 20 includes $2M of FX variation. 9 |#10PRUDENT PROVISIONING IN UNCERTAIN ECONOMIC ENVIRONMENT Strong Performing ACL Coverage Performing ACL / LTM PCL on impaired loans Q2 19 Q1 20 Q2 20 Total ACL consistent with portfolio positioning Total ACL over total loans excluding FVTPL Q2 19 Q1 20 Q2 20 Total Bank 1.7x 1.8x 2.8x Total Bank 0.52% 0.51% 0.77% Total Bank x-USSF&I 2.2x 2.1x 3.0x Retail x-USSF&I 0.45% 0.45% 0.59% Consistent Reserve Build Total PCL Net charge-off ($MM) 2018 2019 YTD 2020 Non-Retail x-USSF&I 0.62% 0.61% 1.07% Total allowances cover >4X NCOs Total ACL over LTM net charge-off Q2 19 Q1 20 Q2 20 Total Bank 2.6x 2.6x 4.1x Total Bank $5 $48 $455 Total Bank x-USSF&I $28 $61 $440 Total Bank x-USSF&I 4.0x 3.2x 4.9x Note: Performing ACL includes allowances on drawn ($801M), undrawn ($140M) and other assets ($37M). 10 10#11GROSS IMPAIRED LOANS (1) AND FORMATIONS(2) Gross Impaired Loans (GIL) (SMM) 48 44 44 43 42 $ 780M $ 674M $ 684M $ 677M $ 627M $ 462M $ 322M $ 384M $ 387M $ 374M $ 269M $ 254M $ 261M $ 264M $ 274M $ 36M Q2 19 $ 36M $ 36M $ 39M Q3 19 Q4 19 Q1 20 USSF&I Retail Non-Retail Net Formations by Business Segment $ 44M Q2 20 GIL ratio (bps) Gross impaired loan ratio increased 5bps to 48bps ($780M) due primarily to new formations in Commercial and FM The Commercial and FM formations were across a few provinces and several different sectors ($MM) Q2 20 Q1 20 Q4 19 Q3 19 Q2 19 Personal 53 48 54 34 36 Commercial 64 (21) 47 31 40 Financial Markets 37 30 (4) 36 Wealth Management (1) Credigy 16 17 20 23 27 ABA Bank 6 2 Total GIL Net Formations 177 78 118 125 104 (1) (2) Under IFRS 9, impaired loans are all loans classified in stage 3 of the expected credit loss model. Those loans do not take into account purchased or originated credit-impaired loans. Formations include new accounts, disbursements, principal repayments, and exchange rate fluctuation; net of write-offs. 11#12LIMITED EXPOSURE TO COVID-19 MOST IMPACTED INDUSTRIES Non-Food / Non-Pharmacy Retailers Essential Services Retailers Gross Loans % of book Comments Other Retailers Car Dealerships $780M 0.5% $666M 0.4% $637M 0.4% Remained open during Covid Limited Growth (1% YoY) / Diversified customer base / Less than 25% in apparel Limited Growth (4% YoY) / Diversified across brands / Typically secured by real estate Hospitality and Entertainment Entertainment $550M Hotels $338M Restaurants $258M 0.3% 0.2% 0.2% 50% in professional sports teams which are 82% IG Remained disciplined in the sector / Secured portfolio with conservative LTV and branded assets Maintained a low risk appetite for the sector throughout the years / 75% IG Air Transportation & Aeronautics Aviation Aeronautics $663M $98M 0.4% 66% IG / 1/3 in airports and airport operations 0.1% Auto and Auto Parts Manufacturing | $233M 0.1% Retail Real Estate Diversified REITS Commercial Retail $745M 0.5% $1,851M 1.1% Constrained portfolio growth in recent years Primarily IG REITs with good liquidity and continued access to capital markets More than 90% with street access / about 50% of leases with essential services tenants 12#13OIL & GAS AND PIPELINES SECTOR O&G producers & services exposure (Gross loans in $MM and % of total loans) $3,956 3.7% 28% reduction in outstanding loans Q1 15 O&G and Pipeline sector Total gross loans of $5.4B $2,863 1.8% Q2 20 ☐ ☐ O&G producers & services exposure significantly reduced 28% reduction in outstanding loans: down from $4B in Q1/15 to $2.9B in Q2/20 Reduction as a % of total loans: down from 3.7% in Q1/15 to 1.8% in Q2/20 Canadian focused strategy, minimal direct US exposure Overall O&G and Pipeline portfolio refocused from mid-cap to large cap Producers share declined from 82% in Q1/15 to 48% in Q2/20 - 62% of the portfolio is Investment Grade (as of Q2/20) Very modest indirect exposure to unsecured retail loans in the oil regions (~0.1% of total loans) 4% Services 5% Refinery & Integrated Midstream 9% 11% Services 4% IG: 100% IG: 50% ☐ Producers 82% Q1 15 Producers share declined to 48% Midstream 37% IG: 78% Producers 48% Q2 20 IG: 43% 13#14COVID-19: SUPPORTING OUR CLIENTS THROUGH PAYMENT DEFERRALS Number of loans subject Deferrals/accomodations by product to deferrals Value of loans subject to deferrals ($MM) As % of loan balances Retail Mortgages(1) 38,682 $ 8,624 (2) 12% Personal loans 26,627 $ 464 6% Student loans (3) 39,308 $ 292 53 % Credit cards (4) 9,316 $ 67 4 % 113,933 Non-retail(5) 3,148 $ 4,483 6% (1) Mortgages: Deferral of payments for up to 6 months. (2) Of which 46% are insured mortgages. (3) 100% government insured. (4) Credit Cards: Deferral of payments for up to 90 days; effective interest rate on credit cards temporarily reduced, if eligible. (5) Non-Retail: Deferral of capital repayment up to 6 months (case-by-case basis). 14#15RETAIL MORTGAGE AND HELOC PORTFOLIO Canadian Distribution by Province (as at April 30, 2020) 55% 68% 26% Insured Uninsured & HELOC 63% 8% 32% 6% 5% 37% 31% 57% 69% 43% 48% QC ON AB BC Other Provinces 60% 52% 69% 51% 57% Average LTV - Uninsured and HELOC(1) Canadian Uninsured and HELOC Portfolio HELOC Uninsured Average LTV(1) 57% 60% Average Credit Bureau Score 792 771 90+ Days Past Due (bps) 9 23 ☐ Insured mortgages account for 39% of the total RESL portfolio (69% in Alberta) Distribution across product and geography remained stable Uninsured mortgages and HELOC in GTA and GVA represent 10% and 2% of the total portfolio and have an average LTV(1) of 51% for each segment Canadian Distribution by Mortgage Type HELOC $23.4B (2) / 32% $72.4B Uninsured $21.2B / 29% Insured $27.8B / 39% (1) LTV are based on authorized limit for HELOCs and outstanding amount for Uninsured Mortgages. They are updated using Teranet-National Bank sub-indices by area and property type. (2) Of which $14.0B are amortizing HELOC. 15#16FINANCIAL REVIEW Ghislain Parent Chief Financial Officer and Executive Vice-President, Finance NATIONAL BANK#17STRONG CAPITAL POSITION CET1 ratio 11.65% Q1 20 0.52% Net Income Ex. PCL (Net of Div.) (0.41%) (0.71%) 0.11% 0.23% ◉ 11.39% Total PCL (After-tax) RWA (Ex. FX) ECL Transitional Add-Back(2) Pension and Q2 20 Other ☐ Strong CET1 ratio of 11.4% (1) Strong pre-tax pre-provision earnings from underlying businesses. Prudent approach to provisioning Total PCL of $504M (41 bps after-tax) ■ RWA growth primarily driven by Credit Risk (see next slide) ◉ Favorable pension plan remeasurement - Favorable hedging of assets Lower pension fund liability due to higher discount rates (1) Ratio takes into account the transitional relief measures granted by OSFI in the context of COVID-19. For additional details regarding relief measures introduced by the regulatory authorities, please refer to pages 7-8 of the Bank's Q2-2020 Report to Shareholders. (2) Transitional measure applicable to expected credit loss provisioning. 17#18RWA GROWTH Risk-weighted assets ($MM) $86,206 $5,486 $313 ($276) $1,026 $92,755 Q1 20 Credit Risk Operational Risk Market Risk FX impact Q2 20 ◉ ☐ Higher RWA on higher Credit Risk primarily driven by: Business lending from incremental draws and new loans Maturity of a Series of the credit card securitized portfolio - Loan migration FX impact mainly from US$ denominated. portfolios 18#19STRONG CAPITAL AND LIQUIDITY POSITIONS Capital and capital ratios Our capital levels remain strong ($MM) Q2 20 Q1 20 Q4 19 ■ Total capital ratio of 15.5% Capital CET1 Tier 1 $13,368 Total $14,370 $10,568 $10,046 $9,692 $12,846 $12,492 $13,755 $13,366 ■ Strong liquidity coverage ratio of 149% Capital ratios CET1 11.4% 11.7% 11.7% Tier 1 14.4% 14.9% 15.0% Total 15.5% 16.0% 16.1% Leverage 4.4% 4.0% 4.0% Liquidity coverage ratio 149% 144% 146% 199 19#20APPENDICES NATIONAL BANK#21APPENDIX 1 | OVERVIEW - Q2|20 RESULTS ($MM, TEB) Q2 20 Q1 20(1) Q2 19 QoQ YOY Revenues 2,112 2,010 1,850 5% 14% Operating Expenses 1,121 1,078 1,026 4% 9% Pre-tax / Pre-provisions 991 932 824 6% 20% up 20% YoY Provisions for Credit Losses 504 89 84 466% 500% Net Income 379 620 558 (39%) (32%) Diluted EPS $1.01 $1.70 $1.51 (41%) (33%) Return on Equity 10.7% 18.3% 17.8% CET1 Ratio 11.4% 11.7% 11.5% ■ Revenue growth in all segments, led by Financial Markets and Wealth Management Pre-tax pre-provision earnings Significant increase in PCLs reflecting revision of macroeconomic factors Net income of $379 million, down 32% YoY Key Metrics ($MM) Q2 20 Q1 20 Q2 19 QoQ YOY Loans & BAS - Total (avg vol.) 160,008 154,558 147,139 4% 9% Deposits Total (avg vol.) 205,097 198,974 180,421 3% 14% (1) Results for the first quarter of 2020 exclude a $13 million charge related to Maple Financial Group. Please refer to page 23 of the Bank's Second Quarter 2020 Report to Shareholders for additional information. 21#22APPENDIX 2 | PERSONAL AND COMMERCIAL BANKING ■ ($MM) Q2 20 Q1 20 Q2 19 QoQ YOY Revenues 848 880 834 (4%) 2% Personal Commercial 524 547 527 (4%) (1%) 324 333 307 (3%) 6% Operating Expenses 459 468 458 (2%) Pre-tax / Pre-provisions 389 412 376 (6%) 3% Provisions for Credit Losses 301 70 63 330% 378% Revenue growth driven by solid volume on both sides of the balance sheet Lower non-interest income due to lower credit cards volumes, unfavorable mark-to-market on securities portfolio in the insurance business, and lower banking fees Net Income 65 251 230 (74%) (72%) ◉ Continued disciplined cost management Key Metrics ($MM) Q2 20 Q1 20 Q2 19 QoQ YOY Loans & BAS - Personal (avg vol.) 78,295 77,903 75,425 1% 4% Loans & BAS - Commercial (avg vol.) 38,241 37,542 36,008 2% 6% Loans & BAS - Total (avg vol.) 116,536 115,445 111,433 1% 5% Margin Evolution (1) Deposits Total (avg vol.) 63,869 64,388 60,578 (1%) 5% NIM (%) 2.22% 2.21% 2.23% 0.01% (0.01%) Efficiency Ratio (%) 54.1% 53.2% 54.9% +90 bps -80 bps 2.23% 2.23% 2.23% 2.21% 2.22% PCL ratio 1.05% 0.24% 0.23% 0.81% 0.82% (1) NIM is on Earning Assets. Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 -NIM - P&C 22 22#23APPENDIX 3 | WEALTH MANAGEMENT ($MM) Q2 20 Q1 20 Q2 19 QoQ YOY Revenues 474 465 426 2% 11% Fee-based 267 273 249 (2%) 7% Transaction & Others 97 73 69 33% 41% Net Interest Income 110 119 108 (8%) 2% Operating Expenses 278 282 267 (1%) 4% Pre-tax / Pre-provisions 196 183 159 7% 23% Provision for Credit Losses Net Income 141 135 117 4% 21% Key Metrics ($B) Q2 20 Q1 20 Q2 19 QoQ YOY Loans & BAs (avg vol.) 4.8 4.8 4.8 1% (1%) ■ ■ Solid revenue growth at 11% YoY - High transaction volumes at National Bank Direct Brokerage and National Bank Independent Network in context of crisis Higher fee-based revenues as higher volumes more than offset markets decline Disciplined expense management and favorable business mix leading to a strong operating leverage of 7% Assets under Management ($MM) Deposits (avg vol.) 34.5 32.4 32.5 6% 6% 86,014 Asset Under Administration 466 521 474 (10%) (2%) 78,740 80,760 82,548 75,842 38,776 Asset Under Management 83 86 76 (4%) 9% 36,324 36,353 36,819 34,407 Efficiency Ratio (%) 58.6% 60.6% 62.7% -200 bps -410 bps 41,435 42,387 43,941 47,238 46,224 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Individual Mutual funds 23#24APPENDIX 4 | FINANCIAL MARKETS ◉ ($MM, TEB) Q2 20 Q1 20 Q2 19 QoQ YOY Revenues 598 458 405 31% 48% ☐ Global Markets 396 289 216 37% 83% - Corporate & Investment Banking 202 169 189 20% 7% Operating Expenses 220 199 182 11% 21% Pre-tax / Pre-provisions 378 259 223 46% 70% Provision for Credit Losses 162 9 7 Net Income 159 184 158 (14%) 1% ☐ Strong quarter for Financial Markets with revenues up 48% Record quarter for Global Markets with revenues of $396 million Higher activity level in all business segments in the context of extreme market volatility Solid performance in C&IB driven by M&A and government debt underwriting Very active supporting our clients through challenging and uncertain markets Other Metrics ($MM) Q2 20 Q1 20 Q2 19 QoQ Loans & BAs (avg vol.) Corporate banking Efficiency Ratio (%) 19,436 17,025 16,407 14% YOY 18% Global Markets Revenues ($MM) 396 36.8% 43.4% 44.9% -660 bps -810 bps 299 289 267 227 216 197 174 164 123 64 78 78 8 29 25 24 Q2 19 Q3 19 Q4 19 Equity Fixed income 105 85 86 64 30 Q1 20 Q2 20 Commodity and Foreign exchange 24#25APPENDIX 5 | US SPECIALTY FINANCE & INTERNATIONAL ABA Bank Cambodia: Limited health impacts with no COVID-19 related casualties to date Slowing economic growth with manufacturing and tourism sectors most impacted Continued growth, at a slower pace: - Revenues up 4% QoQ 11 branch openings YoY, resulting in higher expenses Solid credit position: - Prudent provisioning approach historically Portfolio 98% secured Loan deferrals representing 6% of portfolio (interest paid on 95% of deferrals; LTV of 36% on deferrals) Tax incentive of $20M to support bond listing on the Cambodia Securities Exchange Expect modest earnings growth in F2020 Credigy Lower revenues reflecting mark-to-market portfolio value adjustments Higher PCLs due to revision of macroeconomic factors Diversified book, well positioned to limit downside impact of COVID-19 stress Maintaining disciplined growth strategy going forward Flat earnings expected in F2020 ($MM) Q2 20 Q1 20 Q2 19 QoQ YOY Revenues 183 195 178 (6%) 3% Credigy 82 98 107 (16%) (23%) ABA 99 95 69 4% 43% Other 2 2 2 Operating Expenses 82 78 74 5% 11% Credigy 34 36 42 (6%) (19%) - ABA 47 41 31 15% 52% Other 1 1 1 " Provision for Credit Losses 32 10 14 220% 129% Credigy 24 7 12 243% 100% ABA 8 3 2 167% 300% Net Income 74 85 72 (13%) 3% Credigy 19 43 42 (56%) (55%) ABA 54 41 29 32% 86% ■ Other 1 1 1 ◉ Other Metrics ($MM) Q2 20 Q1 20 Q2 19 QoQ YOY Loans (avg vol.) 7,718 6,413 6,108 20% 26% Credigy Loans (avg vol.) 4,015 3,467 2,603 16% 54% ABA Deposits (avg vol.) 4,813 4,373 3,238 10% ■ 49% ABA Efficiency Ratio (%) 44.8% 40.0% 41.6% +480 bps +320 bps Number of Branches 77 77 66 ABA Bank 17% ■ 25 25#26APPENDIX 6 | OTHER ($MM, TEB) Q2 20 Q1 20 (1) Q2 19 Revenues 9 12 7 Operating Expenses 82 51 45 Pre-tax / Pre-provisions (73) (39) (38) Provision 5 for Credit Losses Pre-tax Income (78) (39) (38) Net Income (60) (35) (19) REPORTED RESULTS ($MM) Specified Items Net Income Q2 20 Q1 20 Q2 19 (10) (60) (45) (19) ◉ Incremental expenses of $17M for health and safety measures in the context of the pandemic (1) Results for the first quarter of 2020 exclude a $13 million charge related to Maple Financial Group. Please refer to page 23 of the Bank's Second Quarter 2020 Report to Shareholders for additional information. 26 26#27APPENDIX 7 TOTAL LOAN PORTFOLIO OVERVIEW Loan Distribution by Borrower Category ☐ Secured lending accounts for 93% of Retail loans Indirect auto loans in the retail portfolio represents 1.7% of total loans ($2.8B) Limited exposure to unsecured retail and cards (4% of total loans) Non-Retail portfolio is well-diversified across industries ($B) Retail - Secured - Mortgage & HELOC - Secured - Other - Unsecured (1) As at % of Total April 30, 2020 - Credit Cards Total Retail 77.4 47% 8.8 5% 4.6 3% 1.7 1% 92.5 56% Non-Retail - Real Estate and Construction RE 12.7 8% - Manufacturing 6.6 4% - Agriculture 6.4 4% - Retail & Wholesale trade 6.0 4% - Oil & Gas and Pipeline 5.4 3% Oil & Gas 2.8 2% Pipeline & Other 2.6 1% - Other Services 5.4 3% - Finance and Insurance - Other(2 Total Non-Retail 5.3 3% 22.3 14% 70.1 43% Purchased or Originated Credit-impaired Total Gross Loans and Acceptances 1.1 1% 163.7 100% (1) Includes indirect lending and other lending secured by assets other than real estate. (2) Includes Mining, Utilities, Transportation, Professional Services, Construction, Communication, Government and Education & Health Care. 27 27#28APPENDIX 8 | REGIONAL DISTRIBUTION OF CANADIAN LOANS Maritimes (2 (2) Oil Quebec Ontario BC/MB Regions (1) and Territories TOTAL As at April 30, 2020 Retail Secured 26.7% 13.0% 4.7% 3.5% 1.1% 49.0% - Mortgage & HELOC Secured 2.9% 1.2% 0.5% 0.6% 0.3% 5.5% Within the Canadian loan portfolio: Limited exposure to unsecured consumer loans (3.7%) - Other Unsecured 2.9% 0.4% 0.1% 0.1% 0.2% 3.7% Modest exposure to and Credit Cards unsecured consumer Total Retail 32.5% 14.6% 5.3% 4.2% 1.6% 58.2% loans outside Non-Retail Québec (0.8%) Commercial 17.3% 4.0% 2.0% 1.1% 0.6% 25.0% RESL exposure Corporate Banking 5.2% 5.5% 3.9% 1.6% 0.6% 16.8% and Other (3) predominantly in Québec Total Non-Retail 22.5% 9.5% 5.9% 2.7% 1.2% 41.8% Total 55.0% 24.1% 11.2% 6.9% 2.8% 100.0% (1) Oil regions include Alberta, Saskatchewan and Newfoundland (2) Maritimes include New Brunswick, Nova Scotia and P.E.I. (3) Includes Corporate, Other FM and Government portfolios 28#29APPENDIX 9 | DAILY TRADING AND UNDERWRITING REVENUES VS. VAR ($MM) 40.0 30.0 20.0 10.0 0.0 (10.0) (20.0) باسات TRADING P&L -Trading VaR (30.0) Feb-2020 March 2020 April 2020 29 29#30APPENDIX 10 | TRADING VAR TREND ($MM) Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 -5.7 -6.1 -6.2 -5.6 -9.5 30 |#31APPENDIX 11 | LOAN & DEPOSIT OVERVIEW ($B) Loans & BA's Deposits 162.7 158.9 148.7 151.3 153.3 156.2 152.0 143.1 145.3 136.7 55.4 56.5 57.2 58.9 64.2 78.5 84.1 85.3 90.6 95.0 93.3 94.9 96.1 97.2 98.5 58.2 59.0 60.1 61.4 63.9 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q2 19 Q3 19 Retail Business & Govt Retail Q4 19 ■Business & Govt Q1 20 Q2 20 Loan growth YoY 9.4% Deposits growth YoY 16.2% - Retail 5.6% Retail 9.8% Business & Govt 15.8% Business & Govt 21.0% 31#32INVESTOR RELATIONS CONTACT INFORMATION W: www.nbc.ca/investorrelations [email protected] 1-866-517-5455 Linda Boulanger, Vice President 514-394-0296 | [email protected] Marianne Ratté, Senior Director 514-412-5437 | [email protected] Arslan Benbakouche, Senior Manager 514-412-8027 | [email protected] Marie-Claude Jarry, Senior Advisor 514-412-8144 | [email protected] NATIONAL BANK