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Investor Presentaiton

Canadian Banking 1 Net Income ($MM) 977 930 954 875 837 100 Q4/15 Q1/16 877 Q2/16 Q3/16 Q4/16 Gain on sale of a non-core lease financing business • • Average Assets ($B) 304 307 307 310 313 10 9 8 Net Interest Margin (%) . 2.35 2.38 2.38 2.39 • 2.26 294 298 299 303 307 Q4/15 Q1/16 Q2/16 Q3/16 Q4/16 Q4/15 Q1/16 Q2/16 Q3/16 Q4/16 Tangerine run-off mortgage portfolio (1) Attributable to equity holders of the Bank (2) Adjusting for the gain on sale of a non-core lease financing business 8 Year-over-Year Highlights Net income up 14% Loan growth of 3% Ex. Tangerine run-off portfolio, up 4% Double digit growth in credit cards Deposits up 6% • Retail savings deposits were up 11% and chequing was up 8% NIM up 13 bps Higher margin personal lending and margin expansion in deposits • Impact of acquisition • Run-off of low spread Tangerine mortgages PCL ratio up 4 bps Expenses up 4% or 2% excluding acquisition Higher spending on technology, projects and strategic investments, partially offset by benefits realized from cost reduction initiatives Operating leverage of +2.2% in 20162 Strong volume growth and margin expansion Scotiabank®
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