Commercial Banking

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• GLOBAL BUSINESS SUMMIT
• MAY 25, 2009
• CRISTIAN MANDACHESCU
• VICE PRESIDENT
• GLOBAL TRANSACTION BANKING
• SCOTIABANK

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• GLOBAL FINANCIAL MARKETS
• FINANCIAL MARKETS IN CANADA
• EXTRAORDINARY FINANCING FRAMEWORK
• SCOTIABANK WORKING WITH CUSTOMERS
• SCOTIABANK SOLUTIONS FOR CANADIAN EXPORTERS
• SCOTIABANK GROUP

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GLOBAL FINANCIAL MARKETS

• THEN
• Worst crisis since the Great Depression
• Global impact with some (US, UK, Eastern Europe)
  impacted more than others (Latin America, China)
• Capitalist system brought to its knees no
  confidence, no liquidity
• AND NOW
• Still recession but
• Stimulus packages introduced globally are working
• Leverage has declined and the Liability side of
  banks balance sheets continues to strengthen
• Global equity markets have had significant upside
  momentum in recent weeks
• Increasing market conviction in the recovery story

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FINANCIAL MARKETS IN CANADA

• BEST BANKING SECTOR IN THE WORLD
• Well capitalized
• Strong regulatory framework
• Good decisions on managing risk, embracing
  diversification and ensuring proper governance
• HOWEVER
• Liquidity vs. high capital ratios
• Foreign banks and non-bank financial institutions
  retrenchment from market
• Canadian financial institutions Crown
  Corporations required to fill the gap

FOCUS ON PRUDENT LENDING
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EXTRAORDINARY FINANCING FRAMEWORK

• FINANCIAL SOLUTIONS FOR CREDITWORTHY BUSINESSES
• Budget 2009 - 200 billion to improve access to
  credit
• Business Credit Availability Program (BCAP)
• 5 billion in new financing to Canadian
  businesses with viable business models, whose
  access to financing would otherwise be restricted
• Delivered through an enhanced cooperation between
  Crown Corporation and private sector financial
  institutions
• Export Development Canada (EDC) - two year
  expanded mandate with domestic component
• Business Development Bank of Canada (BDC)
  increased access new solutions
• Canadian Small Business Financing Act (CSBFA) -
  new lending limits
• Canadian Secured Credit Facility

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SCOTIABANK WORKING WITH CUSTOMERS
SCOTIABANK IMPLEMENTS BCAP Steering Committee
led by Executive Vice President is leading
implementation of BCAP initiatives including

• Frequent, proactive meetings with customers
• Active promotion of BCAP programs with customers
• Web, phone, in person
• Extensive internal communication and training for
  all Bank relationship managers
• Close partnerships with BDC and EDC

SUCCESS STORIES
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SCOTIABANK SOLUTIONS FOR CANADIAN EXPORTERS

• SCOTIABANK PARTNERS WITH EDC TO SUPPORT CANADIAN
  EXPORTERS IN CANADA
• Providing working capital for pre and post
  shipment financing (Exporter Guarantee Program)
• Providing Stand-by Letters of Credit and
  Guarantees for contractual obligations
  (Performance Security Guarantee)
• Providing financing for foreign direct investment
  (Financial Security Guarantee)
• Providing guarantees for foreign exchange
  facilities (Foreign Exchange Guarantee)

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SCOTIABANK SOLUTIONS FOR CANADIAN EXPORTERS

• AND GLOBALLY
• Scotiabank-EDC co-financing foreign purchasers of
  Canadian goods and services
• EDC provides guarantees to Scotiabank for credits
  to the foreign purchasers of Canadian goods and
  services
• EDC co-finances and guarantees Scotiabank credits
  to the foreign subsidiaries of Canadian companies

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SCOTIABANK GROUP
Scotiabank is one of North America's premier
financial institutions and Canada's most
international bank. With more than 69,000
employees, Scotiabank Group and its affiliates
serve approximately 12.8 million customers in
some 50 countries around the world. Scotiabank
offers a diverse range of products and services
including personal, commercial, corporate and
investment banking. With more than 509 billion
in assets (as at January 31, 2009), Scotiabank
trades on the Toronto (BNS) and New York
Exchanges (BNS). For more information please
visit www.scotiabank.com.

• Our credit ratings include
• Long Term Debt/Deposits
• Aa1 Moodys Investors Services
• AA- Standard Poors
• AA- Fitch Ratings
• AA Dominion Bond Rating Service

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SCOTIABANK GROUPS NETWORK