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Investor Presentaiton

Global Banking and Markets Net Income ($MM) 517 461 469 421 323 Q2/16 Q3/16 Q4/16 Q1/17 Q2/17 · · • Average Loans² ($B) Net Interest Margin (%) 84 81 81 82 80 1.78 1.75 1.72 • 1.63 1.60 Q2/16 Q3/16 Q4/16 Q1/17 Q2/17 Q2/16 Q3/16 Q4/16 Q1/17 Q2/17 (1) Attributable to equity holders of the Bank (2) (3) Average Business & Government Loans & Acceptances Corporate Banking only 10 Year-over-Year Highlights Net Income up 60% Increased income from equities related primarily to higher client activity in equity trading, contributing 40% of the year-over-year earnings growth Remaining increases from Corporate Banking businesses primarily in U.S. and Canada, as well as lower PCLS Partly offset by lower results in derivatives and commodities businesses Revenue up 14% PCL ratio improved by 56 bps, driven by lower provisions in the energy sector Expenses up 2% • Higher performance based compensation, as well as higher expenses related to technology and regulatory initiatives Higher contributions from equities and improved credit performance Scotiabank®
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