Investor Presentation Third Quarter, 2008
Scotiabank
Higher Expenses
Acquisitions, Growth Initiatives
Non-interest expenses
($ millions)
1,889
1,794
1,752
1,013
1,005
1,068
359
368
335
404
430
453
Q3/07
Q2/08
Q3/08
Salaries & employee benefits
â– Premises & technology
Q3/08 vs. Q3/07 expenses: up 8%
- higher salaries, premises & technology, mainly
due to acquisitions, branch expansion, other
growth initiatives
- higher advertising, rewards program costs
+ lower performance-based compensation
+ favourable forex impact
Q3/08 vs. Q2/08 expenses: up 5%
- higher salaries due to longer quarter
- increased performance-based compensation in
line with improved trading results
- indemnity provision in Peru
- higher stock-based compensation
+ lower professional fees
Other
Scotiabank
9
Strong Capital
9.8
9.6
Tier 1
9.3
TCE
7.2
7.5
7.6
Q4/07
Q2/08
Q3/08
Higher Tier 1 and TCE ratios (%)
+ strong internal capital generation
+ capital issuances
+ positive impact of Basel II in 2008
- risk-weighted asset growth
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