Strong Quarter Financial Performance slide image

Strong Quarter Financial Performance

Scotia Capital: Solid Quarter, Challenging Trading Environment 470 Net Income ($ millions) 391 305 Year-over-Year ■ Revenues down 37% - Lower trading revenues - Significantly lower loan volumes - Lower MTM gains PCLs down $131MM (1) Expenses flat Quarter-over-Quarter Q3/09 Q2/10 Q3/10 ■ Revenues down 19% - Lower revenues in fixed income and institutional equity - Lower loan volumes - Lower MTM gains ■ PCLs down $1MM (1) Expenses down 11% + Lower performance-based compensation (1) Includes reversal of Scotia Capital portion of auto sectoral provisions of $19MM in Q2/10 and $18MM in Q3/10. Scotiabank Other Segment (1) ($ millions) Q3/10 Q2/10 Q3/09 Funding Net Interest Income (117) (105) (94) Broker Deposits (2) -- (57) Net Securitization Revenues (3) (110) (112) (96) AFS Securities Writedowns 5 (11) (95) Financial Instruments (4) (6) 24 -- General Provision -- (100) Expenses & Net Other Items 20 36 (41) TEB Offset (70) (71) (68) Taxes 124 72 200 Total Other (164) (166) (351) (1) Includes Group Treasury and other corporate items, which are not allocated to a business line (2) Effective Q1/10, Broker deposits were transferred to Canadian Banking 13 (3) Represents the impact to the Other segment of CMB securitization revenues recognized in other income, and the reduction in mortgage net interest income earned as a result of removing the mortgages from the Balance Sheet (4) In Q3/09 Financial Instruments was reported in Funding Net Interest Income, as well as Net Other Items Scotiabank 14
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