RBC Capital Raises Cdn Bank Price Targets

� Slight Upward Target Revisions. We are raising our bank target prices by 7% to reflect our 2007 EPS estimates. Our new lower assumed target forward P/E for the sector at 13.1x correlates to an assumed Canada 10-year bond yield of 4.25% by end of 2006, below our previous 13.4x target multiple which was based on a lower assumed 4.0% bond yield. The group currently trades at 13.6x consensus 2006