Forward-Looking Statements From time to time, the Bank makes written - PDF document

Scotia Capital Ed Clark Financials Sum m it 2 0 0 6 President & CEO TD Bank Financial Group September 12, 2006 Forward-Looking Statements From time to time, the Bank makes written and oral forward-looking statem ents, including in this presentation, in other filings with Canadian regulators or the U.S. Securities and Exchange Commission (SEC), and in other com munications. All such statem ents are made pursuant to the “safe harbour” provisions of the United States Private Securities Litigation Reform Act of 1995 and any applicable Canadian securities legislation. Forward-looking statem ents include, am ong others, statem ents regarding the Bank’s objectives and targets for 2006 and beyond, strategies to achieve them , the outlook for the Bank’s business lines, and the Bank’s anticipated financial performance. The economic assumptions for 2006 for each of our business segm ents are set out in the 2005 Annual Report under Leading “Economic Outlook” and “Business Outlook and Focus for 2006”. Forward-looking statem ents are typically identified by words such as “believe”, “expect”, “anticipate”, “intend”, “estimate”, “plan”, “may” and “could”. By their very nature, these statem ents require us to make assumptions and are subject to inherent risks and uncertainties, general and specific, which may cause actual results to differ materially from the expectations expressed in the forward-looking statem ents. Som e of the factors that could cause such differences include: the credit, market, liquidity, interest rate, operational, reputational, insurance, strategic, foreign exchange, regulatory, legal and other risks discussed in the managem ent discussion and analysis section in other regulatory filings made in Canada and with the SEC, including the Bank’s 2005 Annual Report; general business and economic conditions in Canada, the United States and other countries in which the Bank conducts business, as well as the effect of changes in monetary policy in those jurisdictions and changes in the foreign exchange rates for the currencies of those jurisdictions; the degree of competition in the m arkets in which the Bank operates, both from established competitors and new entrants; legislative and regulatory developm ents; the accuracy and completeness of information the Bank receives on custom ers and counterparties; the developm ent and introduction of new products and services in markets; expanding existing distribution channels; developing new distribution channels and realizing increased revenue from these channels, including electronic comm erce-based efforts; the Bank's ability to execute its integration, growth and acquisition strategies, including those of its subsidiaries, particularly in the U.S.; changes in accounting policies and m ethods the Bank uses to report its financial condition, including uncertainties associated with critical accounting assumptions and estimates; the effect of applying future accounting changes; global capital market activity; consolidation in the Canadian financial services sector; the Bank’s ability to attract and retain key executives; reliance on third parties to provide components of the Bank’s business infrastructure; technological changes; change in tax laws; unexpected judicial or regulatory proceedings; continued negative impact of the United States litigation environm ent; unexpected changes in consum er spending and saving habits; the possible impact on the Bank's businesses of international conflicts and terrorism; acts of God, such as earthquakes; the effects of disease or illness on local, national or international economies; the effects of disruptions to public infrastructure, such as transportation, communications, power or water supply; and managem ent’s ability to anticipate and manage the risks associated with these factors and execute the Bank’s strategies. A substantial amount of the Bank’s business involves making loans or otherwise committing resources to specific companies, industries or countries. Unforeseen events affecting such borrowers, industries or countries could have a material adverse effect on the Bank’s financial results, businesses, financial condition or liquidity. The preceding list is not exhaustive of all possible factors. Other factors could also adversely affect the Bank’s results. For m ore information see the discussion starting on page 56 of the 2005 Annual Report. All such factors should be considered carefully when making decisions with respect to the Bank, and undue reliance should not be placed on the Bank’s forward-looking statem ents. The Bank does not undertake to update any forward-looking statem ents, whether written or oral, that may be made from tim e to time by or on its behalf. 2 1

A Top 10 North American Player Market Cap Rank 1 Market Cap $ US billion $ US billion Money Center 1 Citigroup $244.0 $41.5B 2 Bank of America $232.9 3 JP Morgan Chase $158.5 Super Regional $25.7B 4 Wells Fargo $117.0 5 Wachovia $86.8 6 US Bancorp $57.2 $12.0B 7 RBC $56.3 8 Scotiabank $42.1 TD Bank # 9 $41.5 10 Washington Mutual $40.4 2002 2004 31-Aug-06 1. Market Cap as of August 31, 2006 3 TD At A Glance Earnings Breakdow n YTD Q3 / 0 6 1 Wealth Management 17% TDW Canadian Retail Canada 68% TD AMTD 1 2 % U.S. Retail 5 % 12% TD Canada TD Trust 7 % Banknorth 5 6 % 2 0 % TD Securities 1. The Bank’s financial results prepared in accordance with GAAP are referred to as “reported” results. The Bank also utilizes “adjusted” earnings (i.e., reported earnings excluding “items of note”, net of tax) to assess each of its businesses and measure overall Bank performance. Adjusted net income, adjusted earnings per share (EPS) and related terms used in this presentation are not defined terms under GAAP and may not be comparable to similar terms used by other issuers. See page 5 of the Q3 2006 Report to Shareholders ( td.com/ investor ) for an explanation of how the Bank reports and a reconciliation of adjusted earnings to reported basis (GAAP) results. 4 2

TD – Earnings Growth Leader… Grow th in EPS 1 (Average of year-over-year growth 2003-2006 YTD) 21.3% 19.9% 19.3% 9.6% Canadian Peers 2 Money Center Top 3 (4 banks) Banks 3 Super-Regional Banks 4 1. TD’s results based on adjusted earnings as described on slide #4 2. Canadian Peers- other big 4 banks (RY, BNS, BMO and CM) adjusted on a comparable basis to exclude identified non-underlying items other than Q4/05 and Q1/06 impact of reserves for hurricane claims 3. Money Center Banks include C, BAC, JPM. Adjusted earnings based on SNL Financial database – Net Income before Non-recurring items, Extraordinary Items, Security gains and Amortization. 4. Super-regional Banks include WFC, WB and USB. Adjusted earnings based on SNL Financial database – Net Income before Non-recurring items, Extraordinary Items, Security gains and Amortization. 5 … Delivering Superior Shareholder Returns Total Shareholder Returns – Oct 3 1 / 0 2 to August 3 1 / 0 6 1 (Excluding FX Impact) 25.1% 21.3% 17.8% 14.1% Canadian Peers Money Center Top 3 (4 banks) Banks Super-Regional Banks 1. Shareholder return is compounded annually and includes change in share price from October 31, 2002 to August 31, 2006 plus dividends paid but not reinvested. Canadian and U.S. peer groups (Money Center and Super-Regional Banks) as defined on Slide #5 6 3

Why TD Bank 1. 1. Positioned in attractive Canadian market Positioned in attractive Canadian market – fundamentals best of G7 – fundamentals best of G7 2. A different kind of bank – better growth at lower risk 3. Industry-leading performance – proven record as earnings growth leader 4. Best U.S. growth platform – two franchises: TD Banknorth, TD Ameritrade 7 Attractive Canadian Market U.S. Canada 2 0 0 7 Real GDP 2.9% 2.7% Forecast $C 35K Real GDP/ capita $US 39K Unem ploym ent Rate 6.0% 5.1% ( U.S. m easure) Fiscal position Surplus + 1.7% Deficit -3.8% ( % of GDP) Current Account Surplus + 2.2% Deficit -6.3% Position 2.2% 3.4% I nflation Fundamentals best of G7 Source: The Economist August 26, 2006, Bureau of Labour Statistics, Statistics Canada, OECD, Department of Finance, Haver Analytics 8 4

Why TD Bank 1. Positioned in attractive Canadian market – fundamentals best of G7 2. 2. A different kind of bank A different kind of bank – better growth at lower risk – better growth at lower risk 3. Industry-leading performance – proven record as earnings growth leader 4. Best U.S. growth platform – two franchises: TD Banknorth, TD Ameritrade 9 A Different Kind of Bank Premium earnings mix Better grow th Lower risk wholesale focus at low er risk Strong capital base Lower risk = more consistent earnings 10 5

Premium Earnings Mix Retail as % of Total Earnings 1 8 0 % 74% 69% 66% Canadian Peers Money Center Top 3 (4 banks) Banks Super-Regional Banks 1. Canadian Banks - Retail% as per YTD Q3 2006 Earnings. U.S. Banks – Retail% as per YTD Q2 2006 Earnings. Canadian and U.S. Peer groups as defined in slide #5 11 Wholesale Bank: Lower Risk, High Return Focus Reduced Capital… Maintained I ncome… Higher Returns $4.2B 30% $588 $551 $529 $518 25% 22% 20% $2.3B FY02 Q306 FY03 FY04 FY05 YTD FY03 FY04 FY05 YTD Q3/ 06 Q3/ 06 I nvested Capital Adjusted Net I ncom e 1 ROI C 1 1. Based on adjusted earnings as described on slide #4 12 6