Investor Presentaiton

Scotiabank Scotiabank Lower Net Interest Margin 1.79 1.79 (%) 1.76 1.68 1.53 Q1/08 Q2/08 Q3/08 Q4/08 Q1/09 All-Bank: (15) bps qtr/qtr · competitive pricing pressures on deposits - decreased tax-exempt dividend income significant decline in interest rates + wider spreads in corporate banking + ALM hedging loss in Q4/08 11 Expenses Well Managed Non-interest expenses ($ millions) 2,010 1,944 1,669 1,058 1,130 978 382 388 321 504 492 370 Q1/08 Q4/08 Q1/09 Salaries & employee benefits ■Premises & technology Other Q1/09 vs. Q4/08 expenses: up 3% - higher performance based compensation due to increased capital markets revenues - negative impact of forex - increased business & capital taxes + lower advertising & travel expenses Q1/09 vs. Q1/08 expenses: up 20% ■ expenses up 7% excluding FX, acquisitions & higher performance-based compensation - higher salaries & premises, driven by growth initiatives, including branch expansion higher business taxes + lower stock-based compensation 12

View entire presentation