The ratings on the Bank of Nova Scotia (Scotiabank) reflect its market position as one of the five dominant universal banks in Canada, its consistent earnings performance, a solid capital base even when risk adjusted for higher risk activities, its broad business mix, geographic diversification, and the efficiency of its operations. This is offset by its higher risk lending profile and Latin American investments. Based on the past three years' results, about 45.0% of the bank's earnings were derived from its domestic banking operations, 35.0% from global wholesale or corporate and investment banking, and 20.0% from its international banking operations. Despite a difficult operating environment, the personal and commercial (P&C) bank, both domestically and in the Caribbean, continues to contribute
