How we are building The Better Bank 2014 Corporate Responsibility Report Designed to be viewed online This report is designed to be viewed Note: Throughout this report, “TD” refers to TD Bank Symbol key Group. “TD Bank” refers to TD Bank, America’s Most online. The links provide access to more Convenient Bank®. All currency is in Canadian dollars Table of Contents details, additional resources, supporting unless otherwise noted. All material restatements + Supporting content (external links) and significant changes from the previous report are videos and case studies. described in the performance data footnotes. Navigate to a different section GRI: TD has used the Global Reporting Initiative (GRI) Facts and figures over which Ernst & Young LLP framework for corporate responsibility reporting since provided limited level of assurance 2007. TD’s 2014 Corporate Responsibility Report is Facts and figures over which Ernst & Young LLP On the cover written in accordance with the G4 framework and provided reasonable level of assurance fulfils the requirements for a Core report. EN7 Indicates a GRI disclosure. Click to view the full GRI Index online. + Online GRI Index Ways to reach us Materiality Disclosure Service: TD’s 2014 Corporate Responsibility Report has successfully We interact with several stakeholder groups on a daily and/or completed the Materiality Disclosure Service. weekly basis, responding to the issues and concerns brought to our attention. If you would like to contact TD with feedback, here are a few ways to reach us: How we are building External Assurance Reports: Selected The Better Bank performance indicators were independently assured by Customers: [email protected] Ernst & Young LLP. Ernst & Young performed a limited Shareholders: [email protected] assurance engagement for a selected number of TD’s Investors: [email protected] 2014 Corporate Responsibility Report performance indicators including TD’s greenhouse Suppliers: [email protected] gas emissions and Carbon Neutral Schedule, and TD’s Community groups: [email protected] paper usage figures. The results of Ernst & Young’s Feedback on this report: [email protected] ▲ Lisa Nguyen, a Customer Service Representative at assurance engagements are documented in its the TD Canada Trust Woodward branch in Downtown On Twitter: @TD_Canada or @TDBank_US Eastside Vancouver. Watch the video to learn more assurance statement. By text: TDHELP (834357) about this remarkable branch. + Assurance Statement for the 2014 Greenhouse Gas Emissions + Assurance Statement for the 2014 Carbon Neutral Schedule + Green Bond Assurance Report Appendix: All of TD’s 2014 detailed social and environmental data, including three-year performance trends can be found in a separate online PDF. + Appendix: Performance Data TD 2014 Corporate Responsibility Report Table of Contents How We Are Building How We Are Building An The Better Bank 1 Extraordinary Workplace 27 A Message from Our CEO 1 Employee Engagement 28 2014 Snapshot 2 Diversity and Inclusion 32 About TD 3 Health and Well-Being 34 Corporate Responsibility at TD 4 Scorecard and Goals 5 How We Demonstrate Environmental Leadership 35 How We Identify Adapting to a Changing Climate 37 Our Material Issues 6 Our Low Carbon Journey 38 Stakeholder Panel 7 Eco-Efficiency 39 2014 Matrix and Trends 9 Responsible Finance and Investing 42 Contextual Trends 10 Green Product Options 45 How We Operate How We Are Governance, Ethics and Integrity 11 Strengthening Communities 47 Corporate Governance and Integrity 12 Community Investment 48 Executive Compensation 14 Financial Education 51 Managing Risk 15 Affordable Housing 53 Sourcing 55 How We Deliver Tax Policy 57 Responsible Banking 16 Economic Value 17 How We Approach Reporting 58 Customer Service 18 Privacy and Data Security 20 Access to Banking 22 Products and Services 24 TD 2014 Corporate Responsibility Report Table of Contents The Better Bank A Message from Our CEO G4-1 Building The Better Bank ▲ A Message from Our CEO 2014 Snapshot Building a better bank is a journey of continuous improvement. It’s a About TD process that begins with a commitment to being a responsible bank Corporate Responsibility at TD and is reinforced with feedback from our stakeholders to ensure that Scorecard and Goals we’re on the right track. Material Issues How We Operate At TD, we are profoundly aware of our role in society and continue to Responsible Banking embed corporate responsibility principles and practices to ensure that Extraordinary Workplace each transaction is well-managed and remains within our risk appetite. Environmental Leadership Strengthening Communities Reporting Progress In 2014 The View Ahead We delivered strong financial results in TD’s sustainability performance also received It is a privilege to lead more than 85,000 extraordi- a challenging operating environment while significant global recognition. We were named one nary TD colleagues who live our commitment making meaningful progress in our Corporate of the Global 100 Most Sustainable Corporations, to our communities. With our strong team and Responsibility performance. I want to and were included in the Dow Jones Sustainability our better-business model we are well-positioned highlight some of our governance and World Index, which recognizes the top 10% to continue delivering long-term value to our sustainability milestones. of sustainable banks worldwide. TD was the customers, shareholders and communities. only Canadian bank listed on the global climate We were the first Canadian commercial bank Thank you for your support. performance leadership index produced by CDP to to issue a green bond, demonstrating that recognize actions to reduce climate change. market instruments can deliver a return and drive an environmental mandate. We continued to Building Better Communities champion diversity and inclusion through many Many of the social and environmental challenges initiatives, including our platinum sponsorship facing the world today require forward thinking Bharat Masrani of WorldPride, hosted in Toronto. In the U.S., and investment. We are helping improve our ® Group President and Chief Executive Officer TD Bank, America’s Most Convenient Bank was communities through affordable housing, green recognized by DiversityInc as a Top 50 Company spaces and financial education. We are supporting for Diversity. our neighbours, community leaders, women and For our customers and colleagues, a highlight minorities. We are making investments in which of 2014 was our #TDThanksYou campaign. the return on investment, while perhaps not TD ATMs were transformed into Automated immediately apparent, will deliver value over Thanking Machines to create special experiences the long term. for customers. #TDThanksYou captured our commitment to legendary customer service. TD 2014 Corporate Responsibility Report Page 1 The Better Bank 2014 Snapshot Building The Better Bank A Message from Our CEO TD Named to the Diverse and Inclusive #TDTHANKSYOU CEO Transition Global 100 Most TD Bank, America’s Most November 1, 2014 marked ▲ 2014 Snapshot Sustainable Companies Convenient Bank® was Bharat Masrani’s first day as TD was one of only five recognized as a 2014 Group President and CEO of TD About TD companies from Canada to DiversityInc Top 50 Company Bank Group – an exciting new Corporate Responsibility at TD make the international list. for Diversity. chapter for the organization. Continued Recognition Scorecard and Goals in Sustainability Material Issues TD Says Thanks In a Big Way TD was the only Canadian bank We turned ATMs into recognized on the 2014 A List: How We Operate “Automated Thanking Machines” The CDP Climate Performance to surprise loyal customers with Leadership Index for our efforts Responsible Banking trips, cash and more, with the to combat climate change and moments captured in a YouTube reduce carbon emissions. Extraordinary Workplace video that received 18+ million views. Over 30,000 customers Environmental Leadership using branches, phone and online banking received a thank-you gift. Strengthening Communities Reporting January April July September November March June August October TD Continues To Be a Leader in Customer Satisfaction with Retail and Business Banking in Canada TD Canada Trust was named “Highest in Customer Satisfaction Among the Big Five TD Issues Green Bond Retail Banks” for the ninth year TD became the first commercial in a row by J.D. Power in the bank in Canada to issue a Canadian Retail Banking Study.1 green bond. The $500 million TD Forests - Art For Trees three-year bond supports the TD Bank and the New York low-carbon economy. Restoration Project turned Loud and Proud 115 of our NYC stores TD was the Platinum Sponsor into a city-wide art gallery, of WorldPride 2014 in Toronto. displaying tree-inspired works TD is a longtime sponsor of of art by 10 New York based Pride celebrations across much artists, with proceeds given to of North America. local conservation groups. 1 TD Canada Trust received the highest numerical score among the big five retail banks in the proprietary J.D. Power 2006-2014 Canadian Retail Banking Customer Satisfaction StudySM. Study based on 17,183 total responses and measures opinions of consumers with their primary banking institution. Proprietary study results are based on experiences and perceptions of consumers surveyed May-June 2014. Your experiences may vary. Visit jdpower.com TD 2014 Corporate Responsibility Report Page 2 The Better Bank About TD G4-8 Building The Better Bank KEY FACTS