Canadian Western Bank — Merger or Acquisition (June 2024)
12 slides from Canadian Western Bank's merger presentation, Jun 13, 2024
Slide 1: National Bank of Canada
NATIONAL BANK OF CANADA document has been filed with the securities regulatory authorities in each of the provincebfand territories nt to the documents are or will be (as applicable) accessible through SEDAR*+. Copies ofthe documents [email protected]. estors should read the final base shelf prospectus, a
Slide 2: Caution Regarding Forward-Looking Statements
Forward-looking statements : Caution Regarding Forward-Looking Statements Certain statements in this presentation are forward-looking statements. All such statements are made in accordance with applicable securities legislation in Canada and the United States. Forward-looking statements in this pres
Slide 3: Non-GAAP financial measures and disclaimers
Non-GAAP financial measures and disclaimers 3 Non-GAAP and Other Financial Measures This presentation refers to financial measures that are not recognized under Intemational Reporting Standards (IFRS), namely non-GAAP financial measures. While National Bank evaluates the performance of its ‘operatio
Slide 4: Strategic transaction accelerating our domestic growth
Strategic transaction accelerating our domestic growth 4 Re > Complementary platforms leverage the strengths of National Bank ("NA") and Canadian Western . Bank ("CWB") to create a stronger coast-to-coast competitor, providing more choice for Canadians Highly Complementary Platform Across Capabiliti
Slide 5: Transaction summary
Transaction summary 5 Re > NA to acquire 100% of the common shares of CWB, other than those NA already owns > NA currently owns 5.668MM shares” of CWB (5.9% of CWB's outstanding common shares) > Total transaction value of $5.0B ($4.7B excluding shares owned by NA) > 100% share consideration at fixed
Slide 6: CWB at a glance
CWB at a glance ‘py Unique Commercial Client Focus Highlights As at Q2-24 > Founded in 1984, CWB is a leading commercially focused ( P bank in Canada i $42.0B “_ $7.1B { | LA Personal Loans ‘and Mortgages $30.1B Total Assets Se comme al Loans > High-touch, relationship-driven model with a targeted f
Slide 7: CWB brings a well-diversified, attractive commercial franchise
CWB brings a well-diversified, attractive commercial franchise ... Diversified Loan Portfolio Loan Portfolio (Q2-24)"” Disciplined Portfolio Growth Loan Portfolio inner 1 General Commercial | $30.1B ! 12% q Commercial 1 5-Year CAGR }S, Loan Portfolio 4 38% (vs. total portfolio at 6%) (PaaS NO 29%) @
Slide 8: Meaningfully expanding our domestic earnings power
... Meaningfully expanding our domestic earnings power 8 Re > Growing our P&C and Wealth businesses across Canada is a key piece of NA’s strategy > NA has demonstrated strong success across Canada so far, particularly in commercial lending > NA‘’s commercial loan book outside Quebec has grown at an
Slide 9: And enhancing balance sheet and revenue diversification
... And enhancing balance sheet and revenue diversification 9 Re oh — . Increases Revenue Contribution from P&C > NA’'s highly complementary platform significantly increases geographic diversification and client coverage across NA Pro Forma LTM Q2-24 Revenues by Business Segment (SB) Canada > Increa
Slide 10: Highly complementary capabilities supporting significant revenue upside potential
Highly complementary capabilities supporting significant o Re revenue upside potential Bs 7. Bs + w. ———_ NA Revenues by Geography (FY'23) CWB Revenues by Geography (FY'23) NA Pro Forma Revenues by Geography (FY‘23)) [Ree a | Complementary Footprint P&C Banking Bank 4 ses $58) Reach Across Il Other
Slide 11: Compelling opportunity to realize meaningful synergies
Compelling opportunity to realize meaningful synergies 1 Re Overview of Cost and Funding Synergies Comprehensive Integration Plan > Expect ~$270MM in pre-tax cost and funding synergies > Highly experienced joint leadership committed to annually by year 3 integration success > Strong cultural alignme
Slide 12: National Bank of Canada to acquire Canadian Western Bank
National Bank of Canada to acquire Canadian Western Bank
Canadian Western Bank/ — Merger or Acquisition (June 2024) on 6ix