Scotiabank Announces Subordinated Debentures Offering

/NOT FOR RELEASE OR DISSEMINATION IN THE UNITED STATES/

TORONTO, July 31, 2012 /CNW/ - Scotiabank today announced that it intends to issue $1.5 billion of 2.898% Subordinated Debentures due 2022 (the "Debentures") pursuant to its June 8, 2012 base shelf prospectus.

The Debentures, to be sold through an agency syndicate led by Scotiabank Global Banking & Markets, are expected to be issued on August 3, 2012, and will pay a coupon of 2.898% until August 3, 2017. From August 3, 2017 to maturity on August 3, 2022 the Debentures will pay a quarterly coupon commencing November 3, 2017 at the 90 day bankers' acceptance rate plus 1.255%. The Debentures are redeemable at the Bank's option at par on or after August 3, 2017 with the prior approval of the Superintendent of Financial Institutions Canada. Scotiabank intends to file, in Canada, a pricing supplement to its June 8, 2012 base shelf prospectus.

The Debentures have not been and will not be registered under the United States Securities Act of 1933 (the "Act"), as amended, or under any state securities laws and, subject to certain exceptions, may not be offered, sold, or delivered directly or indirectly, within the United States of America, its territories and possessions or to, or for the account or benefit of, U.S. persons. This release does not constitute an offer to sell or a solicitation to buy the Debentures in the United States.

Scotiabank is one of North America's premier financial institutions and Canada's most international bank. With more than 80,000 employees, Scotiabank and its affiliates serve some 19 million customers in more than 55 countries around the world. Scotiabank offers a broad range of products and services including personal, commercial, corporate and investment banking. With assets of $660 billion (as at April 30, 2012), Scotiabank trades on the Toronto (BNS) and New York Exchanges (BNS). For more information please visit www.scotiabank.com.

SOURCE: Scotiabank

Jake Lawrence, Managing Director, Group Treasury, Scotiabank,
[phone], or [email protected]