Investor Presentaiton

Canadian Banking Net Income ($MM) 575 565 550 555 507 Q2/13 Q3/13 Q4/13 Q1/14 Q2/14 Average Assets ($B) 273 274 276 277 278 Highlights ■ Strong quarter, net income up 12% Y/Y ■ Good loan growth of 3% Y/Y Double digit growth in credit card and consumer auto loan volumes Mortgage growth largely offset by the Tangerine mortgage run-off ■NIM up 3 bps Q/Q, 8 bps Y/Y Net Interest Margin (%). Slight increase in PCLs due to mix 2.02 2.05 2.06 2.07 2.10 Q2/13 Q3/13 Q4/13 Q1/14 Q2/14 Q2/13 Q3/13 Q4/13 Q1/14 Q2/14 Expenses up only 2.7% Y/Y excluding Tangerine brand transition costs ■ Positive operating leverage of 1.9% YTD Margin expansion and positive operating leverage (1) Attributable to equity holders of the Bank 9 Scotiabank International Banking 1 Net Income ($MM) Highlights ■ Solid quarter, net income flat Y/Y 490 - 415 90 410 401 416 400 Q2/13 Q3/13 Q4/13 Q1/14 Q2/14 Net one-time benefit International Banking Average Assets ($B) Lower contributions from associated corporations ■ Strong loan growth of 14% Y/Y Broad-based growth in LatAm & Asia ■ Very good deposit growth of 16% Y/Y ■ PCL ratio up 4 bps Y/Y, primarily driven by commercial PCLs and Colpatria credit mark run-off Net Interest Margin (%) NIM slightly higher this quarter, but 137 143 122 122 126 4.24 4.14 3.90 3.93 4.00 - Q2/13 Q3/13 Q4/13 Q1/14 Q2/14 Q2/13 Q3/13 Q4/13 Q1/14 Q2/14 down 24 bps Y/Y Lower interest rates in key markets Regulatory changes Shift in asset mix Expenses down 1% Y/Y Good expense control across all regions Strong asset growth and expense control offset by lower NIM and higher PCLS (1) Attributable to equity holders of the Bank 10 Scotiabank 5

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