Strategic Economic and Financial Overview

11 12 Canadian Banking: Very Strong Performance 426 Net Income ($ millions) 521 461 Year-over-Year Revenues up 7% + Strong asset and deposit growth + $32MM gain (after-tax) on sale of a leasing business - Margin decline PCLs down $28MM to $118MM Expenses up 1% Q3/11 Q2/12 Scotiabank Q3/12 Quarter-over-Quarter Revenues up 7% + $32MM gain (after-tax) on sale of a leasing business + Higher transaction-driven card and deposit revenues - Modestly lower margin PCLs down $2MM to $118MM Expenses up 3% + Two more days in the quarter - Higher marketing expenses International Banking: Solid Quarter Net Income ($ millions) 448 1 442 343 Q3/11 (1) Q2/12 Q3/12 Before deducting non-controlling interest Scotiabank • • Year-over-Year Revenues up 27% + Strong diversified loan and deposit growth + Positive impact from recent acquisitions + Wider margins in Peru and Asia PCLs up $42MM to $168MM Expenses up 23% - More than two thirds of growth due to acquisitions - Higher costs from annual inflationary increases and to support business growth Quarter-over-Quarter Revenues up 2% + Full quarter contribution of Colpatria + Good retail loan and deposit growth PCLs up $23MM to $168MM Expenses up 1% + Expense control remains a priority

View entire presentation