Bank of Montreal Protected Deposit Notes Advantage Minimum Y.I.E.L.D

Bank of Montreal Protected Deposit Notes Advantage Minimum Y.I.E.L.D. Class TM, Series 1

> Key Features

• 5 year term to maturity • Minimum annual interest payment of 0.70% • Annual interest payment ranging from 0.70% to 7.0% based on the price performance of a portfolio of ten (10) Canadian issuers* • 100% principal guaranteed by BMO as issuer if held to maturity

*The amount of annual interest paid is unlikely to mirror the price performance of the securities in the Benchmark Portfolio since the return cannot exceed 7.0% of the Deposit Amount and could be zero provided no extraordinary event has occurred under the terms of the Information Statement.

> Hypothetical Return Examples

On an Interest Payment Date a Holder will be entitled to receive Interest on a Deposit Note equal to: (i) the maximum amount of Interest of 7.0% of the Deposit Amount, if the Closing Price of each Security has increased from the Closing Date to the applicable Valuation Date; (ii) 0.70% of the Deposit Amount, if the simple average of the effective returns is zero or negative; or (iii) a percentage of the Deposit Amount greater than 0.70% and less than 7.0%, if the simple average of the effective returns is greater than 0% and less than 6.3%. The following examples are included for illustration purposes only. The values of the Deposit Notes used to illustrate two different scenarios are hypothetical and are not estimates or forecasts of expected returns from the Closing Date to and including the Final Valuation Date. Each of the scenarios refers to an investor holding a single Deposit Note and assumes that none of the events set out under “Special Circumstances” in the Information Statement has occurred. Final Price Actual Return Effective Return Initial Issuer Ticker Price Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 The Bank of Nova Scotia BNS 43.23 45.25 47.63 48.65 42.25 52.22 4.7% 10.2% 12.5% -2.3% 20.8% 6.30% 6.30% 6.30% -2.27% 6.30% Barrick Gold Corporation ABX 39.65 41.52 42.55 45.99 50.22 56.32 4.7% 7.3% 16.0% 26.7% 42.0% 6.30% 6.30% 6.30% 6.30% 6.30% Canadian Imperial Bank of Commerce CM 58.09 59.65 60.25 68.25 68.50 69.06 2.7% 3.7% 17.5% 17.9% 18.9% 6.30% 6.30% 6.30% 6.30% 6.30% Canadian National Railway Company CNR 48.57 49.52 51.25 53.35 55.63 60.25 2.0% 5.5% 9.8% 14.5% 24.0% 6.30% 6.30% 6.30% 6.30% 6.30% Emera Incorporated EMA 21.52 23.52 25.79 25.75 27.66 29.02 9.3% 19.8% 19.7% 28.5% 34.9% 6.30% 6.30% 6.30% 6.30% 6.30% Potash Corporation of Sasckatchewan Inc. POT 111.13 113.25 115.25 114.25 113.25 132.00 1.9% 3.7% 2.8% 1.9% 18.8% 6.30% 6.30% 6.30% 6.30% 6.30% Research in Motion Limited RIM 80.93 81.65 83.36 87.52 85.63 84.60 0.9% 3.0% 8.1% 5.8% 4.5% 6.30% 6.30% 6.30% 6.30% 6.30% Suncor Energy Inc. SU 33.16 35.63 37.52 38.95 40.25 51.25 7.4% 13.1% 17.5% 21.4% 54.6% 6.30% 6.30% 6.30% 6.30% 6.30% Sun Life Financial Inc. SLF 30.45 34.44 33.25 36.51 35.25 45.56 13.1% 9.2% 19.9% 15.8% 49.6% 6.30% 6.30% 6.30% 6.30% 6.30% TransCanada Corporation TRP 31.16 34.25 36.05 34.58 36.52 38.65 9.9% 15.7% 11.0% 17.2% 24.0% 6.30% 6.30% 6.30% 6.30% 6.30% Average 5.66% 9.13% 13.48% 14.74% 29.22% 6.30% 6.30% 6.30% 5.44% 6.30% Interest 7.00% 7.00% 7.00% 6.14% 7.00%

Positive Example – In the example above, for each Deposit Note, an investor would receive annual Interest payments of $7.00, $7.00, $7.00, $6.14 and $7.00 over the term of the Deposit Note. This represents a cumulative return of 34.14% of the Deposit Amount, and an annual compounded rate of return of approximately 6.84%. In addition, at Maturity, an investor would receive the Deposit Amount of $100 per Deposit Note, regardless of price performance of the Benchmark Portfolio.

Final Price Actual Return Effective Return Initial Issuer Ticker Price Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 The Bank of Nova Scotia BNS 43.23 33.05 25.26 33.39 36.65 30.00 -23.5% -41.6% -22.8% -15.2% -30.6% -23.55% -25.00% -22.76% -15.22% -25.00% Barrick Gold Corporation ABX 39.65 43.2 38.65 39.58 39.75 38.52 9.0% -2.5% -0.2% 0.3% -2.8% 6.30% -2.52% -0.18% 6.30% -2.85% Canadian Imperial Bank of Commerce CM 58.09 39.63 37.65 38.96 36.59 38.63 -31.8% -35.2% -32.9% -37.0% -33.5% -25.00% -25.00% -25.00% -25.00% -25.00% Canadian National Railway Company CNR 48.57 45.69 48.93 45.23 50.36 47.59 -5.9% 0.7% -6.9% 3.7% -2.0% -5.93% 6.30% -6.88% 6.30% -2.02% Emera Incorporated EMA 21.52 21.43 21.97 20.65 24.97 21.65 -0.4% 2.1% -4.0% 16.0% 0.6% -0.42% 6.30% -4.04% 6.30% 6.30% Potash Corporation of Sasckatchewan Inc. POT 111.13 90.29 85.63 82.97 89.63 91.63 -18.8% -22.9% -25.3% -19.3% -17.5% -18.75% -22.95% -25.00% -19.35% -17.55% Research in Motion Limited RIM 80.93 15.88 16.31 17.45 15.85 14.24 -80.4% -79.8% -78.4% -80.4% -82.4% -25.00% -25.00% -25.00% -25.00% -25.00% Suncor Energy Inc. SU 33.16 36.52 38.96 33.12 37.00 33.61 10.1% 17.5% -0.1% 11.6% 1.4% 6.30% 6.30% -0.12% 6.30% 6.30% Sun Life Financial Inc. SLF 30.45 28.96 29.56 27.88 28.95 25.40 -4.9% -2.9% -8.4% -4.9% -16.6% -4.89% -2.92% -8.44% -4.93% -16.58% TransCanada Corporation TRP 31.16 22.16 18.96 26.00 19.26 23.65 -28.9% -39.2% -16.6% -38.2% -24.1% -25.00% -25.00% -16.56% -25.00% -24.10% Average -17.55% -20.38% -19.57% -16.36% -20.76% -11.59% -10.95% -13.40% -8.93% -12.55% Interest 0.70% 0.70% 0.70% 0.70% 0.70% Negative Example – In the example above, for each Deposit Note, an investor would receive annual Interest payments of $0.70, $0.70, $0.70, $0.70 and $0.70 over the term of the Deposit Note. In addition, at Maturity, an investor would receive the Deposit Amount of $100 per Deposit Note, regardless of price performance of the Benchmark Portfolio.

For further information, please contact your Investment Advisor > Company Description

The Bank of Nova Scotia The Bank of Nova Scotia provides retail, commercial, international, corporate, investment and private banking services and products. Barrick Gold Corporation Barrick Gold Corporation is an international gold company with operating mines and development projects in the United States, Canada, South America, Australia, and Africa. Canadian Imperial Bank of Commerce Canadian Imperial Bank of Commerce provides banking and financial services to consumers, individuals, and corporate clients in Canada and around the world. Canadian National Railway Company Canadian National Railway Company operates a network of track in Canada and the United States. The Company transports forest products, grain and grain products, coal, sulfur, and fertilizers, intermodal, and automotive products. Canadian National operates a fleetof locomotives and railcars. Emera Incorporated Emera Inc. provides diversified energy and services through its subsidiaries. The Company supplies electric generation, transmission, and distribution in Nova Scotia , Canada. Emera also delivers bunker oil, diesel fuel, and light fuel. In addition, the Company delivers Sable Island natural gas to markets in Maritime Canada and the northeastern United States. Potash Corporation of Saskatchewan Inc. Potash Corporation of Saskatchewan Inc. produces potash, phosphate, and nitrogen to the agricultural and industrial industries worldwide. The Company conducts operations in Canada, Chile, the United States, Brazil and Trinidad. Research in Motion Limited Research in Motion Limited (RIM) designs, manufactures, and markets wireless solutions for the worldwide mobile communications market. The Company provides platforms and solutions for access to email, phone, SMS messaging, Internet, and Intranet-based applications. Suncor Energy Inc. Suncor Energy, Inc. is a integrated energy company focused on developing the Athabasca oil sands basin. The Company extracts and upgrades oil sands into refinery feedstock and diesel fuel, explores for, develops and produces natural gas, refines crude oil and markets a range of petroleum and petrochemical products, and operates crude oil pipelines and retail petroleum stations. Sun life Financial Inc. Sun Life Financial Inc. is an international financial services organization providing a diverse range of wealth accumulation andprotection products and services. The Company provides insurance, mutual funds, annuities, pensions, investment management, trust services,and banking services. Sun Life serves individuals and corporate customers worldwide. TransCanada Corporation TransCanada Corporation is the parent company of TransCanada PipeLines Limited. The Company is focused on natural gas transmission and power services. TransCanada’s network of pipeline transports the majority of Western Canada’s natural gas production to markets in Canada and the United States. The Company also has interest in power plants in Canada and the United States. Source: Bloomberg This is only a summary of the Offering and should be read in read be should and summarythe Offering a is only of This

Issuer > SummaryBank of Montreal (the “Bank”). Selling Period Until August 14, 2009.

Issue Date On or about August 19th , 2009.

Maturity The Deposit Notes will mature on August 19th, 2014 (“Maturity” or “Maturity Date”), resulting in a term to Maturity of 5 Date/Term years.

Minimum $2,000 (20 Deposit Notes). Purchase

Annual Interest Annual interest on the Deposit Notes will be payable on or about August 19, 2010, August 19, 2011, August 20, 2012 Payments and August 19, 2013 and at Maturity. The annual interest amount will not exceed 7% of the Deposit Amount, will not be less than 0.7% of the Deposit Amount (provided no Extraordinary Event has occurred) and will be based on 0.7% plus a simple average of the effective return of each security in the Benchmark Portfolio. The simple average of the effective return of each security in the Benchmark Portfolio depends on the price performance (adjusted as indicated below) of each security in the Benchmark Portfolio measured from the date of the issuance to the date approximately three business days before the interest payment date. If the price performance of a security is positive, then for the purpose of the Interest Rate Formula, the return of the security is deemed to be 6.3% regardless of the actual price performance of the security. If the price performance of a security is zero or negative, the actual price performance of the security, subject to a lower limit of negative 25%, is used for the purpose of the Interest Rate Formula.

Payment at Subject to the occurrence of certain special circumstances, for each Deposit Note a Holder holds at Maturity, the Holder Maturity will receive (i) the Deposit Amount, and (ii) interest at the interest rate determined by applying the Interest Rate Formula as described under “Interest Payments”, above. conjunction with the Informatio conjunction Fees and Expenses of this offering of $2.50 (2.50%) per Deposit Note will be paid out of the proceeds of this offering to BMO Expenses of the Nesbitt Burns Inc. for its services as selling agent. The selling agent will pay all or a portion of this amount to qualified Offering selling members for selling the Deposit Notes.

FundSERV Code JHN051

Secondary Market The Deposit Notes will not be listed on any stock exchange. Moreover, Holders do not have the right to redeem the Deposit Notes prior to Maturity. However, BMO Capital Markets, in normal market conditions, will use reasonable efforts to arrange for a secondary market for the sale of Deposit Notes but reserves the right not to do so in the future, without providing prior notice to Holders. Secondary market “redemption” orders and settlements can be made using the FundSERV network. Changes in laws and regulations may impact the procedures and timing relating to selling Deposit Notes on the secondary market.

Early Trading An Early Trading Charge will apply to secondary redemption orders for Deposit Notes placed using the FundSERV Charge network within the first 360 days from the Closing Date, determined as a percentage of the Deposit Amount as follows: If Sold Within 0-60 61-120 121-180 181-240 241-300 301-360 Thereafter days days days days days days 13, 2009 July dated n Statement Early Trading Charge 4.00% 3.33% 2.67% 2.00% 1.33% 0.67% Nil

CDIC Eligibility The deposit notes are not insured under the Canada Deposit Insurance Corporation Act.

The Deposit Notes are issued by and constitute direct, unconditional obligations of Bank of Montreal. This summary is issued for discussion purposes only to provide an overview of the proposed Deposit Notes and does not constitute investment advice or an offer to sell or a solicitation to purchase. Details of certain risks of investing in the Deposit Notes, as well as complete disclosure of how interest on the Deposit Notes is calculated are contained in the related Information Statement which will be available through your financial advisor or at www.bmosp.com. You should read the Information Statement carefully before investing and discuss all the key features, of the Deposit Notes, including their suitability for you with your financial advisor. The Deposit Notes may not be suitable for all types of investors. The prices and value of the Deposit Notes may fluctuate and/or be adversely affected by a number of factors. The fluctuation of the performance of the underlying basket will directly impact the interest payable on the Deposit Notes at Maturity. The Deposit Notes will not be listed on any stock exchange. You do not have the right to require Bank of Montreal to redeem the Deposit Notes prior to maturity Bank of Montreal makes no recommendations concerning equity investments as asset classes or the suitability of investing in securities generally or Deposit Notes in particular. No person has been authorized to give any information or to make any representation not contained in the Information Statement relating to the Deposit Notes and Bank of Montreal does not accept any responsibility for any information not contained in the Information Statement. “BMO (M-bar rounded symbol” and “BMO Capital Markets” are registered trademarks of Bank of Montreal used under license.