Investor Presentaiton

Scotiabank Expenses flat quarter over quarter Non-interest expenses ($ millions) 1,708 1,724 1,562 966 1,003 934 322 327 281 420 347 394 Q1/06 Q4/06 Q1/07 Salaries & employee benefits Premises & technology Other Scotiabank Q1/07 vs. Q1/06 expenses: up 10% ■ 60% of increase due to acquisitions Remaining increase due primarily to: " higher salaries and benefits costs • increased premises, data processing and advertising expenses to support business growth initiatives Q1/07 vs. Q4/06 expenses: up 1% Salary increases and higher performance- based compensation reflecting record Q1/07 results ■ Lower seasonal spending in some categories 13 Scotiabank Mexico Contribution Scotiabank Mexico Contribution ($ mm) Q1/07 Q4/06 Q1/06 Net income in pesos, excluding inflation accounting MXP/CAD exchange rate 956 1,081 1,404 9.5 9.8 9.1 Net income in CAD, excluding inflation accounting BNS' share (97%) $101 $111 $154 $98 $108 $150 Canadian GAAP and acquisition adjustments $43 $3 $(12) Total contribution in CAD $141 $111 $138 • Year/Year - contribution up 2%; very strong retail volume growth and higher fee income offset by branch expansion costs, higher advertising expenses, and other business initiatives Qtr/Qtr - contribution up 27%; good retail volume growth, and lower performance- based compensation 14

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