Investor Presentation - First Quarter, 2007

Scotiabank 258 Q1/06 Scotia Capital Record quarter Net Income* ($ millions) 294 Q1/07 vs. Q1/06 net income: up 14% Revenues up 2%, higher lending volumes partly offset by lower trading compared to record Q1/06 Expenses up 2% due to higher compensation and technology costs ■ Increased loan loss recoveries mainly in the U.S. 235 Q4/06 Q1/07 * available to common shareholders Q1/07 vs. Q4/06 net income: up 25% ■ Revenues up 10% due to higher lending volumes, interest recoveries and increased trading revenues Expenses up 20% due to higher performance- based and other compensation ■Loan loss recoveries vs. provision in Q4/06, no new provisions in the quarter 25 Scotiabank Scotia Capital revenues - Strong loan volume growth, lower trading revenues (TEB), $ millions 630 620 575 331 370 307 299 250 268 Q1/06 Q4/06 Global Capital Markets (GCM) Q1/07 Global Corporate & Investment Banking (GC&IB) Q1/07 vs. Q1/06 revenues: up 2% Global Corporate & Investment Banking: up 20% Higher loan volumes: up 33% - Canada up $4 billion or 37% - U.S. up $3 billion or 38% - Europe up $700 million or 16% ■ Greater interest recoveries from impaired loans ■ Increased investment banking revenues Higher securities gains Global Capital Markets: down 11% Strong results in foreign exchange, precious metals More than offset by declines in trading, particularly derivatives & equity, from record results in Q1/06 Q1/07 vs. Q4/06 revenues: up 10% ■ Higher equity trading, foreign exchange and precious metals revenues ■ Increased interest recoveries O Partly offset by lower advisory fees, lower spreads 26

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