Canadian Bail-in Regime Update slide image

Canadian Bail-in Regime Update

U.S. Commercial Real Estate - Office Portfolio Majority of challenges behind us • Progress made as we work through maturity profile • • Gross impaired loan ratio has only moderately increased this quarter; we would expect this to decline going forward 13.7% allowance for credit loss coverage of loans in Q1/24, with an annualized net charge-off ratio of 5.6% Loan Balances (US$B) 6.0 5.0 12.5% Decrease 4.0 3.0 2.0 4.0 4.0 3.8 3.7 3.5 1.0 0.0 Q1/23 Q2/23 Q3/23 Q4/23 Q1/24 Watchlist¹ Loan Ratio 16.0% 17.3% 14.2% 11.5% 4.9% Gross Impaired Loan Ratio 1.8% 8.0% 13.4% 18.1% 19.7% Gross Impaired Balances (US$MM) 71 322 518 664 684 Annualized Net Charge-off Ratio 0.0% 0.0% 3.7% 11.0% 5.6% • Endnotes are included on slides 49 to 54. 26
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