2008 Corporate Responsibility Report How are we making a difference? TD Bank Financial Group - Corporate Responsibility Report 2008 Corporate Responsibility How are we making a difference? From taking action on the environment to investing in our people to championing community programs across the globe, TD is committed to being a strong contributor to society, as well as a leader in good business practice. CEO’s Priorities & Quick Facts GRI Index Message Scorecards 2 TD Bank Financial Group - Corporate Responsibility Report President and CEO’s Message President and CEO’s Message We sat down with Ed Clark to learn more about how TD Bank Financial Group (TD) is delivering on its corporate responsibility commitments. What a year 2008 was. With all the market turmoil, did corporate citizenship get the attention it deserved? Absolutely. In 2008, the financial crisis definitely made for a challenging year in the financial industry. For some organizations, in trying times like these, being a strong corporate citizen can become less of a priority. I’m proud to say, in 2008, TD stood firm in its commitment to its communities, customers, employees, shareholders, fellow citizens, and the environment we all share. At TD we don’t just talk about being an involved and active corporate citizen — we act. The environment and diversity are two great examples of that. Overall, we donated more than $47 million to communities worldwide in 2008 — donations that I’m pleased to say surpassed what we gave in 2007. How did TD do in 2008 from a corporate responsibility perspective? We made a clear impact. Let me give you four examples. First, we continue to devote significant time and energy to the environment. We are increasingly concerned about the mounting evidence that links human activity to rising greenhouse gas emissions (GHGs). We believe that corporations like TD must contribute to the debate and be part of the solution. That’s why we fund research on policy issues around climate change. In 2008, we continued to take action to reduce our energy consumption across the Bank. TD was the first major Canadian bank to publicly commit its domestic operations in becoming carbon neutral — a goal set for 2010. To make that happen, we will — in addition to reducing energy consumption — purchase renewable sources of energy such as wind power, and establish an investment fund that will help offset any emissions we cannot eliminate ourselves. 2008 also made history with more Canadians than ever before — 63,000 — signing up to take part in the TD Great Canadian Shoreline Cleanup. The result? Over 135 tonnes of litter were removed from Canada’s shorelines. Outstanding! Second, we invested in our communities. In the United States, our “Housing for Everyone” campaign helped fund 48 nonprofit organizations to meet the housing needs of low and moderate-income people. Our investment in this campaign totaled more than $1.5 million in 2008, up from $1 million in 2007. In Canada, our focus is on children’s health, children’s education and literacy, and the environment. One of our highlights is giving a book to every grade one student as part of the TD Canadian Children’s Book Week. A lasting commitment to diversity is also fundamental to how we operate globally at TD. In 2008, we were honoured to have been named one of Canada’s 25 Best Diversity Employers as well as one of Canada’s Best Employers to New Canadians. Diversity is a priority for us in the United States as well. We want our organization to be a place that’s supportive of all our employees — a place where differences are celebrated and supported, and where every employee has the opportunity to fulfill his or her potential. We also want TD to be a place where customers can see themselves reflected in our workforce — that way they’ll feel more comfortable doing business with us. We support diverse communities across Canada by sponsoring events like South Asia Festivals and Pride celebrations in Toronto and elsewhere. In 2008, almost half of our Canadian people managers completed a diversity workshop — walking away with fresh perspectives on how to better build and lead diverse, inclusive teams. 3 Lastly, strong governance remains a priority for us. As a leading financial institution, we understand people expect more from us. So our commitment to them is to do the right thing to the highest ethical standards. How we behave as an organization is enormously important to us, including the open and transparent ways in which we communicate with our employees, customers, shareholders and the public overall. We know it’s up to us to continually look for ways to elevate our performance — all the while, remaining accountable to the public. In keeping with our approach to communicate openly and transparently with our shareholders, we began reporting on our operations around the world and against the Sustainability Reporting Guidelines (G3) in 2007. This year, we’ve built on that commitment by expanding coverage of our global operations in our Corporate Responsibility Report and by adding new G3 indicators to our benchmark measurements. Are there areas where TD could do better? Yes, there are always opportunities to be better. Corporate responsibility is no exception. You can’t sit back on your laurels — winning organizations keep driving to improve and push themselves to think in new and unique ways. We realized, for example, that the representation of Aboriginal Peoples at TD was not what we’d like. That meant we were missing out on some talented employees, and it meant that we weren’t doing what we felt we could do to support this community. So last year we made expanding opportunities for Aboriginal Peoples a formal area of focus for our diversity initiative — we’re working to understand the issues, strengthen community partnerships and increase employment opportunities for Aboriginal Peoples. What should we expect from TD in 2009? Being consistent. Delivering on our commitments. That’s our plan of action for everything we do, so people can expect TD to maintain the highest standards of ethics and integrity and operate in a sustainable, responsible manner. We will continue to provide our employees with every opportunity to succeed, and promote a work environment that is open and inclusive. We will keep building prosperous communities through investments in areas that matter to our customers and clients. And we will remain an active participant in public policy discussions and initiatives that address important societal issues. We recognize these commitments take on even greater meaning as we continue to build the first truly North American bank. Our growing presence will mean additional accountability to millions more customers and clients, thousands more employees and shareholders, and a growing number of communities across North America. We are excited about this future, and motivated to continue to set ourselves apart as the different kind of bank. Ed Clark President and Chief Executive Officer 4 TD Bank Financial Group - Corporate Responsibility Report About this Report About This Report Each year we report on our corporate responsibility performance and the many ways we're making a positive difference in the community. In this section, you can learn how we put this report together, give us suggestions and more. Profile of TD Suggestion Box An overview of our organization. Have a comment or suggestion about this report? Let us know! Quick Facts Report Library Key facts from 2008. Download our full 2008 report, past reports or snapshots for quicker reading. Report Scope Contacts The scope, profile and boundaries of this report. How to contact us about this report. Priorities & Scorecards Quick access to priorities and scorecards for each section of this report. 5 TD Bank Financial Group - Corporate Responsibility Report About this Report Profile Of TD Headquartered in Toronto, Canada, with more than 2,300 locations and approximately 17 million customers worldwide, The Toronto-Dominion Bank and its subsidiaries are collectively known as TD Bank Financial Group (TD). One of the Largest Banks in North America Today TD is the 6th largest bank in North America as measured by number of branches. That’s quite a journey from a company that started out with a single branch serving grain millers and merchants in 1855. We are committed to being the better bank — a growth oriented, customer focused, integrated bank that owns the brand position of North America’s most convenient bank. We’re a conservatively-run bank with strong risk management practices; award-winning retail operations that deliver consistent, reliable earnings; a powerful brand; a commitment to transparency and doing what we say we’re going to do; and a team of 74,000 employees who we see as the best team in banking today. Our Businesses Canadian Personal and Commercial Banking From chequing and savings accounts to commercial lending, TD offers a full range of personal financial services and small business banking products. This includes loans and lines of credit, mortgages, credit cards, student services and U.S. banking. TD Insurance The wide range of TD Insurance products help our customers protect themselves from the 'accidents of life' including credit protection, life, health, travel, home and auto insurance. With more than three million customers, TD Insurance products and services are available through a network of more than 1,000 TD Canada Trust branches, the Internet and telephone. U.S. Personal and Commercial Banking TD Bank, America’s Most Convenient Bank, provides a full range of retail and commercial banking products and services to customers in the U.S. from Maine to Florida. Wholesale Banking TD Securities provides a range of capital market products and services to corporate, government and institutional clients.