Strengthening Capital and Wealth Management Presentation

13 14 International Banking: Record Net Income Scotiabank 257 Net Income ($ millions) 360 402 26 376 Q2/101 Q1/112 Q2/11 • • Additional negative goodwill from recent acquisition Year-over-Year • Revenues up 16% • + Negative goodwill $52MM ($26MM from new accounting standard) + Strong organic growth in Retail and Commercial + Benefit of acquisitions PCLs down $67MM or 39% Expenses up 13% - Impact of new acquisitions - Investment in growth initiatives Quarter-over-Quarter Revenues flat + Negative goodwill of $52MM ($26MM from new accounting standard) - Foreign currency translation PCLs down $1MM Expenses down 8% + Lower stock-based compensation, loyalty program costs, business and capital taxes (1) Represents net income before deducting non-controlling interest to ensure comparability with 2011 results (2) Restated due to adopting new accounting standards Global Wealth Management: Record Net Income Net Income ($ millions) • 489 223 208 . 260 Scotiabank Year-over-Year Revenues up 100% + Up 52% excluding gain + Acquisition of DundeeWealth + Strong performance from existing businesses Expenses up 83% - Consolidation of DundeeWealth and transaction and integration costs of $27MM (after tax) Q2/101 Q1/112 • 229 • Q2/11 Gain on revaluation of original 18% stake in DundeeWealth Quarter-over-Quarter Revenues up 82% + Up 39% excluding gain + Higher fee income - Fewer days in quarter Expenses up 61% - Consolidation of DundeeWealth and transaction and integration costs of $27mm (after tax) + Lower stock-based compensation (1) Represents net income before deducting non-controlling interest to ensure comparability with 2011 results (2) Restated due to adopting new accounting standards 7

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