National Bank of Canada (NA) Scotiabank Financials Summit summary

Transaction update and strategic rationale

• CWB acquisition progressing well, with regulatory discussions and applications underway; aiming for early 2025 close.

• Strategic fit seen as an accelerator to organic growth, especially outside Québec in commercial and wealth segments.

• Integration expected to boost ROE to peer levels over the medium to long term, despite initial dilution.

• Revenue synergies targeted through expanded commercial, private bank, and wealth offerings, plus digital products and branch network growth.

• Capital upside anticipated from advanced models and potential share buybacks post-integration.

Integration, branding, and culture

• Branch and product integration plans to be finalized during the integration period, optimizing commercial, wealth, and private banking.

• Decision on CWB brand retention will be based on market studies and profitability.

• Cultural fit between the two banks considered strong, with shared entrepreneurial values and client approach.

Business performance and outlook

• Québec market benefits from lower leverage, subsidized daycare, and less mortgage shock, supporting sustainable performance.

• Financial markets segment delivered 23% YTD earnings growth, attributed to disciplined, agile capital deployment and niche focus.

• Wealth business generates 40% of revenues outside Québec, driven by advisor-led distribution, open architecture, and product specialization.