Ms. Brooke Hales reports

TD BANK TAKES AN INITIAL PROVISION RELATED TO BSA/AML MATTERS

Toronto-Dominion Bank's TD Bank Group has taken an initial provision of $450-million (U.S.) in connection with discussions with one of its United States regulators, related to previously disclosed regulatory and law enforcement investigations of TD's U.S. Bank Secrecy Act (BSA)/anti-money laundering (AML) program.

The bank's regulatory and law enforcement discussions with three United States regulators (including the regulator referenced in the earlier paragraph) and the Department of Justice are continuing. The bank anticipates additional monetary penalties. This provision does not reflect the final aggregate amount of potential monetary penalties or any non-monetary penalties, which are unknown and not reliably estimable at this time.

TD's AML program was insufficient to effectively monitor, detect, report and respond to suspicious activity. Work has been under way to remedy these deficiencies. TD is a strong institution with the capital, liquidity and capacity to finance the critical effort currently under way to strengthen its AML program, invest in the business, and continue to serve its customers and clients with excellence.

The referenced provision of $450-million (U.S.) can be found in the U.S. Report of Condition and Income (the call reports), for the three-month period ended March 31, 2024, filed earlier today by the bank's U.S. bank subsidiaries, TD Bank, N.A. and TD Bank USA, with their U.S. regulators. The call reports are filed quarterly and do not comprise the bank's second fiscal quarter consolidated financial results, which are scheduled to be released on May 23, 2024.

About Toronto-Dominion Bank

The Toronto-Dominion Bank and its subsidiaries are collectively known as TD Bank Group. TD is the sixth-largest bank in North America by assets and serves over 27.5 million customers in four key businesses operating in a number of locations in financial centres around the globe: Canadian personal and commercial banking, including TD Canada Trust and TD Auto Finance Canada; United States retail, including TD Bank, America's most convenient bank, TD Auto Finance U.S., TD Wealth (U.S.) and an investment in The Charles Schwab Corp.; wealth management and insurance, including TD Wealth (Canada), TD Direct Investing and TD Insurance; and wholesale banking, including TD Securities and TD Cowen. TD also ranks among the world's leading on-line financial services firms, with more than 17 million active on-line and mobile customers. TD had $1.91-trillion in assets on Jan. 31, 2024. The Toronto-Dominion Bank trades under the symbol TD on the Toronto and New York stock exchanges.

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