Prospectus Supplement for Index Linked Notes slide image

Prospectus Supplement for Index Linked Notes

determines appropriate in order to account for such Material Index Change or Market Disruption Event, as the case may be, or (C) determine if another comparable index exists that (1) is reasonably representative of the market which was represented by the Index affected by the Material Index Change or Market Disruption Event, and (2) may be as efficiently and economically hedged by dealers in such market as such Index was so hedged. For greater certainty, the provisions of this section are in addition to the provisions under the section "Market Disruption Event" and apply notwithstanding that any event giving rise to either a Market Disruption Event or a Material Index Change has occurred on the Issue Date or on any Valuation Date. If the Calculation Agent determines that such other comparable index exists, then such other comparable index shall replace the Index as of the date of such determination. Upon any such replacement (a "Replacement Event"), the Successor Index shall be deemed to be the Index for purposes of determining the Index Return for the purposes of the Notes in the future and the Bank shall, as soon as practicable after such Replacement Event, make adjustments to any one or more of the components or variables relevant to the calculation of any amounts payable on the Notes. Adjustments will be made in such a way as the Calculation Agent determines appropriate to account for the performance of the Index up to the occurrence of such Replacement Event and the subsequent performance of the Successor Index in replacement thereof thereafter. Upon any Replacement Event and the making of any such adjustment, the Calculation Agent shall promptly give notice and brief details at www.investorsolutions.gbm.scotiabank.com. Market Disruption Event If the Calculation Agent determines, in its sole discretion, that a Market Disruption Event (as defined below) in respect of an Index has occurred and is continuing on the Issue Date or on any Valuation Date then the Issue Date or that Valuation Date, as the case may be, the determination of the applicable Closing Index Level, the calculation of the applicable Index Return, and any other determination or calculation to be made on the Issue Date or such Valuation Date, as the case may be, will be postponed to the next Exchange Business Day on which there is no Market Disruption Event in effect. If, on the eighth Exchange Business Day following the date originally scheduled as the Issue Date or a Valuation Date, as the case may be, such Issue Date or Valuation Date, as applicable, has not occurred due to a Market Disruption Event, then, subject as set forth below, and despite the occurrence of any Market Disruption Event in respect of that Index on or after such eighth Exchange Business Day (including, for greater certainty, due to any one or more Market Disruption Events that may have occurred in respect of the Index or any of the securities comprising the Index on any one or more of the Exchanges or Related Exchanges, and in all such circumstances the respective Exchange Business Days on which any such Market Disruption Event(s) have occurred, may be included in and counted towards the eight Exchange Business Days referred to above whether or not consecutive), the Calculation Agent may determine that: (a) such eighth Exchange Business Day shall be the Issue Date or the Valuation Date, as applicable, and (b) the Closing Index Level of such Index for such Issue Date or Valuation Date, as applicable, used in the calculation of the Index Return will be equal to the estimate of the Calculation Agent for the Closing Index Level as at such Valuation Date reasonably taking into account all relevant market circumstances. A Market Disruption Event may delay the determination of a Closing Index Level or the Index Return and consequently, the calculation and payment of any amounts that may be payable on the Notes, during the term and at maturity, as applicable. In such circumstances, the Bank may delay such payment until the tenth Business Day following the determination of the applicable Closing Index Level or Index Return or the calculation of any other amounts payable on the Notes and no interest shall be paid in respect of such delay. PROD-SUP-ILN-7
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