CIBC Announces Fourth Quarter and Fiscal 2016 Results

CIBC's 2016 audited annual consolidated financial statements and accompanying management's discussion & analysis (MD&A) will be available today at www.cibc.com, along with the supplementary financial information report which includes fourth quarter financial information.

TORONTO, Dec. 1, 2016 /CNW/ - CIBC (TSX: CM) (NYSE: CM) today announced its results for the fourth quarter and fiscal year ended October 31, 2016.

Fourth quarter highlights

Reported net income of $931 million , compared with $778 million for the fourth quarter a year ago, and $1,441 million for the prior quarter; adjusted net income (1) of $1,041 million , compared with $952 million for the fourth quarter a year ago, and $1,072 million for the prior quarter.

Reported diluted earnings per share (EPS) of $2.32 , compared with $1.93 for the fourth quarter a year ago, and $3.61 for the prior quarter; adjusted diluted EPS (1) of $2.60 , compared with $2.36 for the fourth quarter a year ago, and $2.67 for the prior quarter.

Reported return on common shareholders' equity (ROE) of 16.8% and adjusted ROE (1) of 18.8%.

Basel III Common Equity Tier 1 ratio on an all-in basis (CET1 ratio) of 11.3%, compared with 10.8% a year ago.

Announced a quarterly dividend increase of three cents to $1.24 per common share.

CIBC's results for the fourth quarter of 2016 were affected by the following items of note aggregating to a negative impact of $0.28 per share:

$134 million ( $98 million after-tax, or $0.25 per share) in restructuring charges primarily relating to employee severance;

( after-tax, or per share) in restructuring charges primarily relating to employee severance; $9 million ( $7 million after-tax, or $0.02 per share) loss from the structured credit run-off business; and

( after-tax, or per share) loss from the structured credit run-off business; and $7 million ( $5 million after-tax, or $0.01 per share) amortization of intangible assets.

For the year ended October 31, 2016, CIBC reported net income of $4.3 billion and adjusted net income(1) of $4.1 billion, compared with reported net income of $3.6 billion and adjusted net income(1) of $3.8 billion for 2015.

Subsequent to year end, CIBC entered into an agreement to sell and lease back 89 retail properties located mainly in Ontario and British Columbia. The closing of the agreement is expected to occur during the first quarter of 2017 and result in an after-tax gain of $247 million that would add approximately 15 basis points to CIBC's CET1 ratio on an all-in basis.

The following table summarizes our strong performance in 2016 against our key financial measures and targets:

Financial Measure Target 2016 Reported Results 2016 Adjusted Results (1) Diluted EPS growth 5% to 10% on average, annually (2) $10.70, up 21% from 2015 $10.22, up 8% from 2015 ROE 18% to 20% (2) 19.9% 19.0% Efficiency ratio 55% by 2019 59.7%, an improvement of 420

basis points from 2015 58.0%, an improvement of 160

basis points from 2015 Basel III CET1 ratio Strong buffer to regulatory minimum 11.3% Dividend payout ratio Approximately 50% 44.3% 46.4% Total shareholder return Outperform the S&P/TSX Composite

Banks Index over a rolling five-year

period CIBC – 68.6% Banks Index – 85.9%

(1) For additional information, see the "Non-GAAP measures" section. (2) Going forward, our medium term EPS and ROE targets are at least 5% and at least 15%, respectively.

"In 2016, CIBC delivered record net income, industry-leading capital strength and the highest return on equity of the major North American banks," says Victor G. Dodig, CIBC President and Chief Executive Officer. "Our transformation to build a strong, innovative, relationship-oriented bank by executing on our three integrated bank-wide priorities of client focus, innovation and simplification gained momentum this year."

Core business performance

Retail and Business Banking reported net income of $2,689 million in 2016, compared with $2,530 million in 2015. Excluding items of note(1), adjusted net income was $2,664 million, up $162 million or 6% from $2,502 million in 2015.

In 2016, Retail and Business Banking continued to make progress against its objectives of enhancing the client experience and accelerating profitable revenue growth. Key highlights included:

Delivering products that fit the lives of our clients, including the CIBC Smart TM account and the CIBC Smart TM Prepaid Travel Visa Card, and transforming our physical banking centres to emphasize relationships and advice;

account and the CIBC Smart Prepaid Travel Visa Card, and transforming our physical banking centres to emphasize relationships and advice; Continuing our leadership in innovation for our clients by launching Apple Pay, Digital Account Open, and the CIBC Hello Home TM app, to meet the needs of our clients who prefer to bank through their mobile devices;

app, to meet the needs of our clients who prefer to bank through their mobile devices; Partnering with fintechs to simplify our processes and enhance client experience, including our recent partnership with Borrowell that provides qualified clients with a faster and easier loan process; and

Formed a unique strategic alliance with National Australia Bank and Israel's Bank Leumi focused on delivering new and innovative ways to enhance client experience.

In November 2016, we were the first bank in Canada to bring Samsung Pay to our clients, providing them with another mobile payment option.

"We continued to build momentum in 2016 towards becoming the number one retail and business bank in Canada in client experience, and we delivered above-market growth in both lending and deposits," says David Williamson, SEVP and Group Head, Retail and Business Banking. "We will accelerate our transformation in the year ahead by maintaining our focus on deepening relationships with our clients, developing innovative products and services, and making it easier to bank when, where and how our clients want."

Wealth Management reported net income of $864 million in 2016, compared with $518 million in 2015. Excluding the gain on the sale of our investment in American Century Investments (ACI) in 2016 and other items of note(1), adjusted net income was $490 million in 2016, down $46 million or 9% from $536 million in 2015. Further adjusting for net income from ACI of $15 million and $101 million for 2016 and 2015, respectively, net income from our continuing businesses was up $40 million, or 9% from 2015.

Wealth Management made good progress in 2016 against its objectives of enhancing the client experience, driving asset growth, and simplifying and optimizing its business platform. Key highlights included:

Aligning our Canadian private wealth management and Wood Gundy businesses under one leadership structure to elevate our high net worth client experience and better meet client needs;

Launching several successful products including Renaissance Flexible Yield Fund, Renaissance Private Investment Program, and PPS Income Generation Portfolios to meet the changing needs of investors; and

Reporting progress in the most recent J.D. Power Canadian Investor Satisfaction Surveys for our Investor's Edge and Wood Gundy businesses, reflecting our commitment to client relationships.

"Our Wealth Management businesses delivered solid results this year thanks to a clear focus on our clients," says Steve Geist, SEVP and Group Head, Wealth Management. "In 2017, we will continue to enhance our investment advice and solutions, with an emphasis on delivering an integrated wealth management experience to meet the complex needs of high net worth Canadian families."

Capital Markets reported net income of $1,076 million in 2016, compared with $957 million in 2015. Excluding items of note(1), adjusted net income was $1,104 million, up $139 million or 14% from $965 million in 2015.

Capital Markets provides integrated global markets products and services, investment banking advisory and execution, corporate banking services and top-ranked research to corporate, government and institutional clients around the world. During 2016, Capital Markets was:

Financial advisor to Suncor Energy Inc. on its $7 billion acquisition of Canadian Oil Sands Limited and joint bookrunner on Suncor's $2.9 billion bought common share offering, one of the largest-ever equity bought deals in Canada ;

acquisition of Canadian Oil Sands Limited and joint bookrunner on Suncor's bought common share offering, one of the largest-ever equity bought deals in ; Financial advisor, financing co-underwriter and lead agent on related foreign exchange to Lowe's Companies Inc. on its $3.2 billion acquisition of RONA Inc.;

acquisition of RONA Inc.; Financial advisor, lead bookrunner on $525 million of subscription receipts, sole lead arranger, underwriter and bookrunner on $1.8 billion of credit facilities and sole foreign exchange provider supporting Stantec's acquisition of MWH Global Inc.;

of subscription receipts, sole lead arranger, underwriter and bookrunner on of credit facilities and sole foreign exchange provider supporting Stantec's acquisition of MWH Global Inc.; Exclusive financial advisor, administrative agent and joint bookrunner on $925 million in credit facilities supporting Cheung Kong Infrastructure Holdings Limited's and Power Assets Holdings Limited's acquisition of a 65% interest in midstream assets from Husky Energy Inc.; and

in credit facilities supporting Cheung Kong Infrastructure Holdings Limited's and Power Assets Holdings Limited's acquisition of a 65% interest in midstream assets from Husky Energy Inc.; and Introduced CIBC Air Canada® AC ConversionTM Visa Prepaid Card, a first-of-its-kind in Canada , allowing travellers to purchase and store up to 10 currencies on a single card that can be used at retailers around the globe.

"In 2016, we launched specialized new advisory teams to add value for clients in the areas of technology and innovation, private capital and corporate finance solutions," says Harry Culham, SEVP and Group Head, Capital Markets. "We also expanded our product capabilities to help meet client needs at home and abroad, while delivering innovative financial solutions to clients across CIBC in areas such as foreign exchange and precious metals."

(1) For additional information, see the "Non-GAAP measures" section.

Strong fundamentals

While investing in core businesses, CIBC has continued to strengthen key fundamentals. In 2016, CIBC maintained its capital strength, competitive productivity and sound risk management practices:

CIBC's capital ratios were strong, with a Basel III CET1 ratio of 11.3% as noted above, and Tier 1 and Total capital ratios of 12.8% and 14.8% respectively, at October 31, 2016 ;

; Market risk, as measured by average Value-at-Risk, was $5.8 million in 2016 compared with $4.0 million in 2015; and

in 2016 compared with in 2015; and We continued to have strong credit performance, with CIBC's loan loss ratio of 31 basis points compared with 27 basis points in 2015.

Making a difference in our Communities

CIBC is committed to investing in the social and economic development of communities across Canada. During the fourth quarter of 2016, CIBC:

Marked 20 years of partnership with the Canadian Breast Cancer Foundation (CBCF) and helped to raise an estimated $17 million for breast cancer research, education and support programs through the 2016 CBCF CIBC Run for the Cure, including the nearly $3 million contributed by Team CIBC;

for breast cancer research, education and support programs through the 2016 CBCF CIBC Run for the Cure, including the nearly contributed by Team CIBC; Partnered with the Canadian Paralympic Committee (CPC) to host seven Welcome Home events at CIBC banking centres across the country as Premier Partner of the Canadian Paralympic Team, celebrating and honouring athletes returning home from the 2016 Paralympic Games; and

Announced a 5-year partnership with the Canadian Hockey League (CHL), solidifying CIBC as the Official Bank of the CHL, its three regional leagues, and 23 teams.

During the quarter, CIBC was:

Ranked among the Top 10 Safest Banks in North America by Global Finance magazine;

by magazine; Recipient of four awards at ACT Canada's IVIE Awards, including Silver for Most Innovative Organization; and

Recognized by Mediacorp as one of Canada's Top 100 Employers for a fifth consecutive year.

CIBC was once again named a constituent of the following widely regarded indices:

Dow Jones Sustainability North American Index since its inception in 2005;

FTSE4Good Index since 2001; and

Jantzi Social Index since 2000.

Fourth quarter financial highlights



As at or for the



As at or for the



three months ended



twelve months ended



2016 2016

2015



2016 2015

Unaudited Oct. 31 Jul. 31

Oct. 31



Oct. 31 Oct. 31

Financial results ($ millions)





























Net interest income $ 2,110

$ 2,113

$ 2,043



$ 8,366

$ 7,915

Non-interest income

1,571



2,023



1,440





6,669



5,941

Total revenue

3,681



4,136



3,483





15,035



13,856

Provision for credit losses

222



243



198





1,051



771

Non-interest expenses

2,347



2,218



2,383





8,971



8,861

Income before income taxes

1,112



1,675



902





5,013



4,224

Income taxes

181



234



124





718



634

Net income $ 931

$ 1,441

$ 778



$ 4,295

$ 3,590

Net income attributable to non-controlling interests

4



6



2





20



14



Preferred shareholders

10



9



9





38



45



Common shareholders

917



1,426



767





4,237



3,531

Net income attributable to equity shareholders $ 927

$ 1,435

$ 776



$ 4,275

$ 3,576

Financial measures































Reported efficiency ratio

63.8 %

53.6 %

68.4 %



59.7 %

63.9 % Adjusted efficiency ratio (1)

58.2 %

57.8 %

60.4 %



58.0 %

59.6 % Loan loss ratio (2)

0.27 %

0.32 %

0.26 %



0.31 %

0.27 % Reported return on common shareholders' equity

16.8 %

26.8 %

15.1 %



19.9 %

18.7 % Adjusted return on common shareholders' equity (1)

18.8 %

19.8 %

18.5 %



19.0 %

19.9 % Net interest margin

1.59 %

1.64 %

1.70 %



1.64 %

1.74 % Net interest margin on average interest-earning assets

1.81 %

1.87 %

1.95 %



1.88 %

2.00 % Return on average assets

0.70 %

1.12 %

0.65 %



0.84 %

0.79 % Return on average interest-earning assets

0.80 %

1.28 %

0.74 %



0.96 %

0.91 % Total shareholder return

2.54 %

(0.94) %

8.61 %



5.19 %

1.96 % Reported effective tax rate

16.2 %

14.0 %

13.7 %



14.3 %

15.0 % Adjusted effective tax rate (1)

17.5 %

15.4 %

15.5 %



16.6 %

15.5 % Common share information































Per share ($) - basic earnings $ 2.32

$ 3.61

$ 1.93



$ 10.72

$ 8.89





- reported diluted earnings

2.32



3.61



1.93





10.70



8.87





- adjusted diluted earnings (1)

2.60



2.67



2.36





10.22



9.45





- dividends

1.21



1.21



1.12





4.75



4.30





- book value

56.59



54.54



51.25





56.59



51.25

Share price ($) - high

104.46



104.19



102.74





104.46



107.16





- low

97.51



96.84



86.00





83.33



86.00





- closing

100.50



99.19



100.28





100.50



100.28

Shares outstanding (thousands) - weighted-average basic

395,181



394,753



397,253





395,389



397,213





- weighted-average diluted

395,750



395,328



397,838





395,919



397,832





- end of period

397,070



394,838



397,291





397,070



397,291

Market capitalization ($ millions) $ 39,906

$ 39,164

$ 39,840



$ 39,906

$ 39,840

Value measures































Dividend yield (based on closing share price)

4.8 %

4.9 %

4.4 %



4.7 %

4.3 % Reported dividend payout ratio

52.2 %

33.5 %

58.0 %



44.3 %

48.4 % Adjusted dividend payout ratio (1)

46.6 %

45.2 %

47.4 %



46.4 %

45.4 % Market value to book value ratio

1.78



1.82



1.96





1.78



1.96

On- and off-balance sheet information ($ millions)































Cash, deposits with banks and securities $ 101,588

$ 98,093

$ 93,619



$ 101,588

$ 93,619

Loans and acceptances, net of allowance

319,781



312,273



290,981





319,781



290,981

Total assets

501,357



494,490



463,309





501,357



463,309

Deposits

395,647



389,573



366,657





395,647



366,657

Common shareholders' equity

22,472



21,533



20,360





22,472



20,360

Average assets

527,702



511,925



476,700





509,140



455,324

Average interest-earning assets

462,970



448,834



415,783





445,134



395,616

Average common shareholders' equity

21,763



21,198



20,122





21,275



18,857

Assets under administration (AUA) (3)(4) 2,041,887

1,993,740

1,846,142



2,041,887

1,846,142

Assets under management (AUM) (4) 183,715

179,903

170,465



183,715

170,465

Balance sheet quality (All-in basis) and liquidity measures































Risk-weighted assets (RWA) ($ millions)

































Common Equity Tier 1 (CET1) capital RWA $ 168,996

$ 168,077



156,107



$ 168,996



156,107



Tier 1 capital RWA

169,322



168,407



156,401





169,322



156,401



Total capital RWA

169,601



168,690



156,652





169,601



156,652

Capital ratios

































CET1 ratio

11.3 %

10.9 %

10.8 %



11.3 %

10.8 %

Tier 1 capital ratio

12.8 %

12.4 %

12.5 %



12.8 %

12.5 %

Total capital ratio

14.8 %

14.4 %

15.0 %



14.8 %

15.0 % Basel III leverage ratio

































Leverage ratio exposure ($ millions)

545,480



537,172



502,552





545,480



502,552



Leverage ratio

4.0 %

3.9 %

3.9 %



4.0 %

3.9 % Liquidity coverage ratio (LCR)

124 %

120 %

119 %



n/a



n/a

Other information































Full-time equivalent employees

43,213



43,741



44,201





43,213



44,201



(1) For additional information, see the "Non-GAAP measures" section. (2) The ratio is calculated as the provision for credit losses on impaired loans to average loans and acceptances, net of allowance for credit losses. (3) Includes the full amount of AUA or custody under a 50/50 joint venture between CIBC and The Bank of New York Mellon of $1,640.2 billion (July 31, 2016: $1,598.8 billion; October 31, 2015: $1,465.7 billion). (4) AUM amounts are included in the amounts reported under AUA. n/a Not applicable.

Review of Retail and Business Banking fourth quarter results





























2016



2016



2015

$ millions, for the three months ended



Oct. 31



Jul. 31



Oct. 31 (1) Revenue





















Personal banking

$ 1,825

$ 1,779

$ 1,743



Business banking



443



435



414



Other



22



11



19

Total revenue



2,290



2,225



2,176

Provision for credit losses



206



197



163

Non-interest expenses



1,149



1,121



1,100

Income before income taxes



935



907



913

Income taxes



248



241



241

Net income

$ 687

$ 666

$ 672

Net income attributable to:





















Equity shareholders (a)

$ 687

$ 666

$ 672

Efficiency ratio



50.1 %

50.3 %

50.6 % Return on equity (2)



49.6 %

50.0 %

54.7 % Charge for economic capital (2) (b)

$ (135)

$ (129)

$ (146)

Economic profit (2) (a+b)

$ 552

$ 537

$ 526

Full-time equivalent employees



20,280



20,414



21,532



(1) Certain information has been reclassified to conform to the presentation adopted in the current year.

See the "External reporting changes" section of the MD&A for additional details. (2) For additional information, see the "Non-GAAP measures" section.

Net income was $687 million, up $15 million from the fourth quarter of 2015. Adjusted net income (2) was $688 million, up $15 million from the fourth quarter of 2015.

Revenue of $2,290 million was up $114 million from the fourth quarter of 2015. Personal banking and business banking revenue increased primarily due to volume growth across most products and higher fees.

Provision for credit losses of $206 million was up $43 million from the fourth quarter of 2015, mainly due to higher losses in business lending, and higher write-offs and bankruptcies in our personal lending and card portfolios.

Non-interest expenses of $1,149 million were up $49 million from the fourth quarter of 2015, mainly due to higher spending on strategic initiatives.

Review of Wealth Management fourth quarter results

































2016



2016



2015

$ millions, for the three months ended





Oct. 31



Jul. 31



Oct. 31 (1) Revenue























Retail brokerage



$ 332

$ 317

$ 317



Asset management





190



196



178



Private wealth management





98



94



91



Other





-



428



21

Total revenue





620



1,035



607

Non-interest expenses





444



438



447

Income before income taxes





176



597



160

Income taxes





50



91



38

Net income



$ 126

$ 506

$ 122

Net income attributable to:























Equity shareholders (a)



$ 126

$ 506

$ 122

Efficiency ratio





71.5 %

42.4 %

73.5 % Return on equity (2)





32.4 %

134.1 %

20.2 % Charge for economic capital (2) (b)



$ (38)

$ (37)

$ (71)

Economic profit (2) (a+b)



$ 88

$ 469

$ 51

Full-time equivalent employees





4,295



4,232



4,350



(1) Certain information has been reclassified to conform to the presentation adopted in the current year.

See the "External reporting changes" section of the MD&A for additional details. (2) For additional information, see the "Non-GAAP measures" section.

Net income for the quarter was $126 million, up $4 million from the fourth quarter of 2015. Adjusted net income(2) was $127 million, down $1 million from the fourth quarter of 2015.

Revenue of $620 million was up $13 million from the fourth quarter of 2015, driven by strong asset growth across all businesses reflecting market appreciation and strong net sales. This was partially offset by lower revenue due to the sale of ACI, and lower commission revenue in full-service brokerage due to a decline in transactional volumes.

Non-interest expenses of $444 million were down $3 million from the fourth quarter of 2015, primarily due to lower employee-related costs including performance-based compensation.

Review of Capital Markets fourth quarter results

































2016



2016



2015

$ millions, for the three months ended





Oct. 31



Jul. 31



Oct. 31 (1) Revenue























Global markets



$ 365

$ 415

$ 271



Corporate and investment banking





313



364



302



Other





(5)



30



(2)

Total revenue (2)





673



809



571

Provision for credit losses





-



47



22

Non-interest expenses





333



370



326

Income before income taxes





340



392



223

Income taxes (2)





64



88



42

Net income



$ 276

$ 304

$ 181

Net income attributable to:























Equity shareholders (a)



$ 276

$ 304

$ 181

Efficiency ratio





49.4 %

45.7 %

57.1 % Return on equity (3)





31.1 %

33.4 %

25.5 % Charge for economic capital (3) (b)



$ (86)

$ (88)

$ (84)

Economic profit (3) (a+b)



$ 190

$ 216

$ 97

Full-time equivalent employees





1,324



1,369



1,342



(1) Certain information has been reclassified to conform to the presentation adopted in the current year.

See the "External reporting changes" section of the MD&A for additional details. (2) Revenue and income taxes are reported on a taxable equivalent basis (TEB) basis. Accordingly, revenue

and income taxes include a TEB adjustment of $97 million for the quarter ended October 31, 2016

(July 31, 2016: $142 million; October 31, 2015: $91 million). (3) For additional information, see the "Non-GAAP measures" section.

Net income for the quarter was $276 million, compared with net income of $181 million for the fourth quarter of 2015. Adjusted net income(3) for the quarter was $283 million, compared with $183 million for the prior year quarter.

Revenue of $673 million was up $102 million from the fourth quarter of 2015. In global markets, higher commodities, interest rate and equity trading revenue, and higher global markets financing activity were partially offset by lower foreign exchange trading revenue. In corporate and investment banking, higher corporate banking and equity underwriting revenue was partially offset by lower debt underwriting and advisory revenue, and higher investment portfolio write-downs.

Provision for credit losses was nil, compared with $22 million in the fourth quarter of 2015, mainly due to lower losses in the oil and gas sector.

Non-interest expenses of $333 million were up $7 million from the fourth quarter of 2015, as higher spending on strategic initiatives was largely offset by lower performance-related compensation.

Review of Corporate and Other fourth quarter results























2016 2016 2015

$ millions, for the three months ended



Oct. 31 Jul. 31 Oct. 31 (1) Revenue



















International banking



$ 176 $ 176 $ 180



Other





(78)

(109)

(51)

Total revenue (2)





98

67

129

Provision for (reversal of) credit losses





16

(1)

13

Non-interest expenses





421

289

510

Loss before income taxes





(339)

(221)

(394)

Income taxes (2)





(181)

(186)

(197)

Net loss



$ (158) $ (35) $ (197)

Net income (loss) attributable to:



















Non-controlling interests



$ 4 $ 6 $ 2



Equity shareholders





(162)

(41)

(199)

Full-time equivalent employees





17,314

17,726

16,977



(1) Certain information has been reclassified to conform to the presentation adopted in the current year.

See the "External reporting changes" section of the MD&A for additional details. (2) TEB adjusted. See footnote 2 in the "Capital Markets" section for additional details. (3) For additional information, see the "Non-GAAP measures" section.

Net loss for the quarter was $158 million, compared with a net loss of $197 million in the same quarter last year, primarily due to lower non-interest expenses. Adjusted net loss (3) for the quarter was $57 million, compared with a net loss of $32 million for the prior year quarter.

Revenue of $98 million was down $31 million from the fourth quarter of 2015, primarily due to lower Treasury revenue.

Provision for credit losses was comparable with the fourth quarter of 2015.

Non-interest expenses of $421 million were down $89 million from the fourth quarter of 2015, as the prior year included higher restructuring charges primarily relating to employee severance, shown as items of note in both years.

Income tax benefit was down $16 million from the fourth quarter of 2015, mainly due to the tax impact of the restructuring charges noted above.

Consolidated balance sheet

















$ millions, as at October 31



2016

2015 ASSETS









Cash and non-interest-bearing deposits with banks

$ 3,500 $ 3,053 Interest-bearing deposits with banks



10,665

15,584 Securities









Trading



49,915

46,181 Available-for-sale (AFS)



37,253

28,534 Designated at fair value (FVO)



255

267





87,423

74,982 Cash collateral on securities borrowed



5,433

3,245 Securities purchased under resale agreements



28,377

30,089 Loans









Residential mortgages



187,298

169,258 Personal



38,041

36,517 Credit card



12,332

11,804 Business and government



71,437

65,276 Allowance for credit losses



(1,691)

(1,670)





307,417

281,185 Other









Derivative instruments



27,762

26,342 Customers' liability under acceptances



12,364

9,796 Land, buildings and equipment



1,898

1,897 Goodwill



1,539

1,526 Software and other intangible assets



1,410

1,197 Investments in equity-accounted associates and joint ventures



766

1,847 Deferred tax assets



771

507 Other assets



12,032

12,059





58,542

55,171



$ 501,357 $ 463,309 LIABILITIES AND EQUITY









Deposits









Personal

$ 148,081 $ 137,378 Business and government



190,240

178,850 Bank



17,842

10,785 Secured borrowings



39,484

39,644





395,647

366,657 Obligations related to securities sold short



10,338

9,806 Cash collateral on securities lent



2,518

1,429 Obligations related to securities sold under repurchase agreements



11,694

8,914 Other









Derivative instruments



28,807

29,057 Acceptances



12,395

9,796 Deferred tax liabilities



21

28 Other liabilities



12,898

12,195





54,121

51,076 Subordinated indebtedness



3,366

3,874 Equity









Preferred shares



1,000

1,000 Common shares



8,026

7,813 Contributed surplus



72

76 Retained earnings



13,584

11,433 Accumulated other comprehensive income (AOCI)



790

1,038 Total shareholders' equity



23,472

21,360 Non-controlling interests



201

193 Total equity



23,673

21,553



$ 501,357 $ 463,309

Consolidated statement of income







For the three

For the twelve

months ended

months ended

2016 2016 2015

2016 2015 $ millions, except as noted Oct. 31 Jul. 31 Oct. 31

Oct. 31 Oct. 31 Interest income





















Loans $ 2,531 $ 2,492 $ 2,385

$ 9,833 $ 9,573 Securities

457

446

385



1,774

1,524 Securities borrowed or purchased under resale agreements

90

86

60



329

310 Deposits with banks

37

44

23



156

76



3,115

3,068

2,853



12,092

11,483 Interest expense





















Deposits

878

814

680



3,215

2,990 Securities sold short

45

57

52



199

230 Securities lent or sold under repurchase agreements

36

36

23



127

110 Subordinated indebtedness

35

37

39



137

181 Other

11

11

16



48

57



1,005

955

810



3,726

3,568 Net interest income

2,110

2,113

2,043



8,366

7,915 Non-interest income





















Underwriting and advisory fees

103

142

100



446

427 Deposit and payment fees

207

206

208



832

830 Credit fees

166

169

140



638

533 Card fees

125

115

115



470

449 Investment management and custodial fees

233

223

208



882

814 Mutual fund fees

378

369

363



1,462

1,457 Insurance fees, net of claims

97

99

103



396

361 Commissions on securities transactions

83

87

88



342

385 Trading income (loss)

(32)

(28)

(114)



(88)

(139) AFS securities gains, net

6

46

19



73

138 FVO gains (losses), net

10

(6)

19



17

(3) Foreign exchange other than trading

53

201

46



367

92 Income from equity-accounted associates and joint ventures

24

23

37



96

177 Other

118

377

108



736

420



1,571

2,023

1,440



6,669

5,941 Total revenue

3,681

4,136

3,483



15,035

13,856 Provision for credit losses

222

243

198



1,051

771 Non-interest expenses





















Employee compensation and benefits

1,292

1,274

1,379



4,982

5,099 Occupancy costs

209

196

209



804

782 Computer, software and office equipment

393

344

335



1,398

1,292 Communications

75

75

80



319

326 Advertising and business development

77

66

80



269

281 Professional fees

61

51

78



201

230 Business and capital taxes

18

14

16



68

68 Other

222

198

206



930

783



2,347

2,218

2,383



8,971

8,861 Income before income taxes

1,112

1,675

902



5,013

4,224 Income taxes

181

234

124



718

634 Net income $ 931 $ 1,441 $ 778

$ 4,295 $ 3,590 Net income attributable to non-controlling interests $ 4 $ 6 $ 2

$ 20 $ 14

Preferred shareholders $ 10 $ 9 $ 9

$ 38 $ 45

Common shareholders

917

1,426

767



4,237

3,531 Net income attributable to equity shareholders $ 927 $ 1,435 $ 776

$ 4,275 $ 3,576 Earnings per share (in dollars)























Basic $ 2.32 $ 3.61 $ 1.93

$ 10.72 $ 8.89

Diluted

2.32

3.61

1.93



10.70

8.87 Dividends per common share (in dollars)

1.21

1.21

1.12



4.75

4.30

Consolidated statement of comprehensive income









For the three



For the twelve



months ended



months ended



2016

2016

2015



2016

2015 $ millions

Oct. 31

Jul. 31

Oct. 31



Oct. 31

Oct. 31 Net income $ 931 $ 1,441 $ 778

$ 4,295 $ 3,590 Other comprehensive income (OCI), net of income tax, that is subject





















to subsequent reclassification to net income























Net foreign currency translation adjustments























Net gains (losses) on investments in foreign operations

606

327

2



487

1,445

Net (gains) losses on investments in foreign operations

reclassified to net income

-

(254)

-



(272)

(21)

Net gains (losses) on hedges of investments in foreign

operations

(383)

(100)

(2)



(257)

(720)

Net (gains) losses on hedges of investments in foreign

operations reclassified

to net income

-

113

-



121

18





223

86

-



79

722

Net change in AFS securities























Net gains (losses) on AFS securities

14

73

(71)



125

(67)

Net (gains) losses on AFS securities reclassified to net income

(5)

(33)

(15)



(58)

(97)





9

40

(86)



67

(164)

Net change in cash flow hedges























Net gains (losses) on derivatives designated as cash flow hedges

8

1

35



13

(7)

Net (gains) losses on derivatives designated as cash flow hedges























reclassified to net income

(11)

7

(29)



(12)

3



(3)

8

6



1

(4) OCI, net of income tax, that is not subject to subsequent reclassification

to net income























Net gains (losses) on post-employment defined benefit plans

55

(148)

240



(390)

374

Net fair value change of FVO liabilities attributable to changes

in credit risk

(3)

1

7



(5)

5 Total OCI

281

(13)

167



(248)

933 Comprehensive income $ 1,212 $ 1,428 $ 945

$ 4,047 $ 4,523 Comprehensive income attributable to non-controlling interests $ 4 $ 6 $ 2

$ 20 $ 14

Preferred shareholders $ 10 $ 9 $ 9

$ 38 $ 45

Common shareholders

1,198

1,413

934



3,989

4,464 Comprehensive income attributable to equity shareholders $ 1,208 $ 1,422 $ 943

$ 4,027 $ 4,509

























































For the three



For the twelve





months ended



months ended





2016

2016

2015



2016

2015 $ millions

Oct. 31

Jul. 31

Oct. 31



Oct. 31

Oct. 31 Income tax (expense) benefit





















Subject to subsequent reclassification to net income























Net foreign currency translation adjustments























Net gains (losses) on investments in foreign operations $ (19) $ (34) $ -

$ (17) $ (118)

Net (gains) losses investments in foreign operations reclassified

to net income

-

37

-



37

3

Net gains (losses) on hedges of investments in foreign operations

69

60

1



128

91

Net (gains) losses on hedges of investments in foreign operations

reclassified to net income

-

(23)

-



(26)

(6)





50

40

1



122

(30)

Net change in AFS securities























Net gains (losses) on AFS securities

(6)

(16)

18



(24)

42

Net (gains) losses on AFS securities reclassified to net income

1

13

5



15

48





(5)

(3)

23



(9)

90

Net change in cash flow hedges























Net gains (losses) on derivatives designated as cash flow hedges

(3)

(1)

(13)



(5)

2

Net (gains) losses on derivatives designated as cash flow hedges























reclassified to net income

4

(2)

10



5

(2)





1

(3)

(3)



-

- Not subject to subsequent reclassification to net income























Net gains (losses) on post-employment defined benefit plans

(13)

54

(79)



149

(129)

Net fair value change of FVO liabilities attributable to changes

in credit risk

-

-

(2)



1

(1)



$ 33 $ 88 $ (60)

$ 263 $ (70)

Consolidated statement of changes in equity









For the three

For the twelve



months ended

months ended





2016

2016

2015



2016

2015 $ millions

Oct. 31

Jul. 31

Oct. 31



Oct. 31

Oct. 31 Preferred shares





















Balance at beginning of period $ 1,000 $ 1,000 $ 1,000

$ 1,000 $ 1,031 Issue of preferred shares

-

-

-



-

600 Redemption of preferred shares

-

-

-



-

(631) Balance at end of period $ 1,000 $ 1,000 $ 1,000

$ 1,000 $ 1,000 Common shares





















Balance at beginning of period $ 7,806 $ 7,792 $ 7,800

$ 7,813 $ 7,782 Issue of common shares

212

23

8



273

30 Purchase of common shares for cancellation

-

-

(2)



(61)

(2) Treasury shares

8

(9)

7



1

3 Balance at end of period $ 8,026 $ 7,806 $ 7,813

$ 8,026 $ 7,813 Contributed surplus





















Balance at beginning of period $ 73 $ 74 $ 79

$ 76 $ 75 Stock option expense

2

1

1



5

5 Stock options exercised

(2)

(2)

(1)



(9)

(4) Other

(1)

-

(3)



-

- Balance at end of period $ 72 $ 73 $ 76

$ 72 $ 76 Retained earnings





















Balance at beginning of period $ 13,145 $ 12,197 $ 11,119

$ 11,433 $ 9,626 Net income attributable to equity shareholders

927

1,435

776



4,275

3,576 Dividends























Preferred

(10)

(9)

(9)



(38)

(45)

Common

(478)

(478)

(445)



(1,879)

(1,708) Premium on purchase of common shares for cancellation

-

-

(9)



(209)

(9) Other

-

-

1



2

(7) Balance at end of period $ 13,584 $ 13,145 $ 11,433

$ 13,584 $ 11,433 AOCI, net of income tax





















AOCI, net of income tax, that is subject to subsequent

reclassification to net income























Net foreign currency translation adjustments























Balance at beginning of period $ 891 $ 805 $ 1,035

$ 1,035 $ 313

Net change in foreign currency translation adjustments

223

86

-



79

722

Balance at end of period $ 1,114 $ 891 $ 1,035

$ 1,114 $ 1,035

Net gains (losses) on AFS securities























Balance at beginning of period $ 152 $ 112 $ 180

$ 94 $ 258

Net change in AFS securities

9

40

(86)



67

(164)

Balance at end of period $ 161 $ 152 $ 94

$ 161 $ 94

Net gains (losses) on cash flow hedges























Balance at beginning of period $ 26 $ 18 $ 16

$ 22 $ 26

Net change in cash flow hedges

(3)

8

6



1

(4)

Balance at end of period $ 23 $ 26 $ 22

$ 23 $ 22 AOCI, net of income tax, that is not subject to subsequent

reclassification to net income























Net gains (losses) on post-employment defined

benefit plans





















Balance at beginning of period $ (563) $ (415) $ (358)

$ (118) $ (492)

Net change in post-employment defined benefit plans

55

(148)

240



(390)

374

Balance at end of period $ (508) $ (563) $ (118)

$ (508) $ (118)

Net fair value change of FVO liabilities attributable to

changes in credit risk























Balance at beginning of period $ 3 $ 2 $ (2)

$ 5 $ -

Net change attributable to changes in credit risk

(3)

1

7



(5)

5

Balance at end of period $ - $ 3 $ 5

$ - $ 5 Total AOCI, net of income tax $ 790 $ 509 $ 1,038

$ 790 $ 1,038 Non-controlling interests





















Balance at beginning of period $ 188 $ 187 $ 194

$ 193 $ 164 Net income (loss) attributable to non-controlling interests

4

6

2



20

14 Dividends

-

(4)

-



(19)

(5) Other

9

(1)

(3)



7

20 Balance at end of period $ 201 $ 188 $ 193

$ 201 $ 193 Equity at end of period $ 23,673 $ 22,721 $ 21,553

$ 23,673 $ 21,553

Consolidated statement of cash flows









For the three



For the twelve



months ended



months ended



2016

2016

2015



2016

2015 $ millions

Oct. 31

Jul. 31

Oct. 31



Oct. 31

Oct. 31 Cash flows provided by (used in) operating activities





















Net income $ 931 $ 1,441 $ 778

$ 4,295 $ 3,590 Adjustments to reconcile net income to cash flows provided

by (used in) operating activities:























Provision for credit losses

222

243

198



1,051

771

Amortization and impairment (1)

129

115

109



462

435

Stock option expense

2

1

1



5

5

Deferred income taxes

14

51

(11)



(20)

(61)

AFS securities gains, net

(6)

(46)

(19)



(73)

(138)

Net losses (gains) on disposal of land, buildings

and equipment

(11)

(2)

(4)



(72)

(2)

Other non-cash items, net

(93)

(459)

(27)



(692)

(257)

Net changes in operating assets and liabilities

























Interest-bearing deposits with banks

(479)

(1,552)

1,293



4,919

(4,731)



Loans, net of repayments

(9,003)

(8,344)

(4,104)



(27,464)

(22,610)



Deposits, net of withdrawals

6,277

20,148

5,847



28,440

40,510



Obligations related to securities sold short

905

(192)

(1,591)



532

(3,193)



Accrued interest receivable

(49)

34

(95)



(98)

(112)



Accrued interest payable

194

(130)

263



(72)

(77)



Derivative assets

768

208

3,675



(1,425)

(5,655)



Derivative liabilities

(1,386)

(2,548)

(2,815)



(232)

7,204



Trading securities

(746)

(2,971)

1,368



(3,734)

880



FVO securities

7

(7)

3



12

(14)



Other FVO assets and liabilities

15

527

421



807

327



Current income taxes

(20)

19

30



8

140



Cash collateral on securities lent

(212)

416

(138)



1,089

526



Obligations related to securities sold under

repurchase agreements

1,056

(3,781)

812



2,780

(948)



Cash collateral on securities borrowed

(116)

(871)

114



(2,188)

144



Securities purchased under resale agreements

2,766

133

(2,098)



1,712

3,318



Other, net

1,409

(886)

(92)



169

(569)







2,574

1,547

3,918



10,211

19,483 Cash flows provided by (used in) financing activities





















Issue of subordinated indebtedness

-

-

-



1,000

- Redemption/repurchase/maturity of subordinated indebtedness

(14)

-

-



(1,514)

(1,130) Issue of preferred shares

-

-

-



-

600 Redemption of preferred shares

-

-

-



-

(631) Issue of common shares for cash

210

21

7



264

26 Purchase of common shares for cancellation

-

-

(11)



(270)

(11) Net proceeds from treasury shares

8

(9)

7



1

3 Dividends paid

(488)

(487)

(454)



(1,917)

(1,753) Share issuance costs

-

-

1



-

(7)







(284)

(475)

(450)



(2,436)

(2,903) Cash flows provided by (used in) investing activities





















Purchase of AFS securities

(6,380)

(7,883)

(15,709)



(31,625)

(41,145) Proceeds from sale of AFS securities

1,755

2,370

1,450



10,750

9,264 Proceeds from maturity of AFS securities

2,925

3,204

10,738



12,299

15,451 Net cash provided by dispositions

-

1,363

-



1,363

185 Net purchase of land, buildings and equipment

(75)

(66)

(91)



(170)

(256)







(1,775)

(1,012)

(3,612)



(7,383)

(16,501) Effect of exchange rate changes on cash and non-interest-

bearing deposits with banks

43

61

(1)



55

280 Net increase (decrease) in cash and non-interest-bearing

deposits with banks





















during period

558

121

(145)



447

359 Cash and non-interest-bearing deposits with banks at

beginning of period

2,942

2,821

3,198



3,053

2,694 Cash and non-interest-bearing deposits with banks at

end of period (2) $ 3,500 $ 2,942 $ 3,053

$ 3,500 $ 3,053 Cash interest paid $ 811 $ 1,085 $ 548

$ 3,798 $ 3,646 Cash income taxes paid

187

164

105



730

555 Cash interest and dividends received

3,066

3,102

2,758



11,994

11,371 (1) Comprises amortization and impairment of buildings, furniture, equipment, leasehold improvements, and software and other intangible assets. (2) Includes restricted balance of $422 million (July 31, 2016: $410 million; October 31, 2015: $406 million).

Non-GAAP measures

We use a number of financial measures to assess the performance of our business lines. Some measures are calculated in accordance with International Financial Reporting Standards (IFRS or GAAP), while other measures do not have a standardized meaning under GAAP, and accordingly, these measures may not be comparable to similar measures used by other companies. Investors may find these non-GAAP measures useful in analyzing financial performance.

The following table provides a quarterly reconciliation of non-GAAP to GAAP measures related to CIBC on a consolidated basis. For a more detailed discussion and for an annual reconciliation of non-GAAP to GAAP measures, see the "Non-GAAP measures" section of CIBC's 2016 Annual Report.





As at or for the



As at or for the







three months ended



twelve months ended













2016



2016



2015





2016



2015



$ millions





Oct. 31



Jul. 31



Oct. 31





Oct. 31



Oct. 31



Reported and adjusted diluted EPS





































Reported net income attributable to common shareholders A

$ 917

$ 1,426

$ 767



$ 4,237

$ 3,531



After-tax impact of items of note (1)





110



(369)



172





(191)



230



Adjusted net income attributable to common shareholders (2) B

$ 1,027

$ 1,057

$ 939



$ 4,046

$ 3,761



Diluted weighted-average common shares outstanding (thousands) C



395,750



395,328



397,838





395,919



397,832



Reported diluted EPS ($) A/C

$ 2.32

$ 3.61

$ 1.93



$ 10.70

$ 8.87



Adjusted diluted EPS ($) (2) B/C



2.60



2.67



2.36





10.22



9.45



Reported and adjusted return on common shareholders' equity





































Average common shareholders' equity D

$ 21,763

$ 21,198

$ 20,122



$ 21,275

$ 18,857



Reported return on common shareholders' equity A/D (3)

16.8 %

26.8 %

15.1 %



19.9 %

18.7 %

Adjusted return on common shareholders' equity (2) B/D (3)

18.8 %

19.8 %

18.5 %



19.0 %

19.9 %









Retail and



















Business

Wealth Capital Corporate CIBC

$ millions, for the three months ended Banking Management Markets and Other Total

Oct. 31 Reported net income (loss) $ 687 $ 126 $ 276 $ (158) $ 931

2016 After-tax impact of items of note (1)

1

1

7

101

110





Adjusted net income (loss) (2) $ 688 $ 127 $ 283 $ (57) $ 1,041

Jul. 31 Reported net income (loss) $ 666 $ 506 $ 304 $ (35) $ 1,441

2016 After-tax impact of items of note (1)

1

(380)

9

1

(369)





Adjusted net income (loss) (2) $ 667 $ 126 $ 313 $ (34) $ 1,072

Oct. 31 Reported net income (loss) $ 672 $ 122 $ 181 $ (197) $ 778

2015(4) After-tax impact of items of note (1)

1

6

2

165

174





Adjusted net income (loss) (2) $ 673 $ 128 $ 183 $ (32) $ 952































$ millions, for the twelve months ended











Oct. 31 Reported net income (loss) $ 2,689 $ 864 $ 1,076 $ (334) $ 4,295

2016 After-tax impact of items of note (1)

(25)

(374)

28

180

(191)





Adjusted net income (loss) (2) $ 2,664 $ 490 $ 1,104 $ (154) $ 4,104

Oct. 31 Reported net income (loss) $ 2,530 $ 518 $ 957 $ (415) $ 3,590

2015(4) After-tax impact of items of note (1)

(28)

18

8

234

232



Adjusted net income (loss) (2) $ 2,502 $ 536 $ 965 $ (181) $ 3,822



(1) Reflects impact of items of note under the "Financial results" section of the MD&A.

(2) Non-GAAP measure.

(3) Annualized.

(4) Certain information has been reclassified to conform to the presentation adopted in the current year. See the "External reporting changes" section of the MD&A for additional details.

Items of note









For the three





For the twelve



months ended





months ended



2016

2016

2015





2016

2015 $ millions

Oct. 31

Jul. 31

Oct. 31





Oct. 31

Oct. 31 Gain, net of related transaction costs, on the sale of our minority investment in ACI $ - $ (428) $ -



$ (428) $ - Gain, net of related transaction and severance costs, on the sale of a processing centre

-

-

-





(53)

- Gain arising from accounting adjustments on credit card-related balance sheet amounts

-

-

-





-

(46) Gain on sale of an investment in our merchant banking portfolio

-

-

-





-

(23) Loss (income) from the structured credit run-off business

9

(28)

3





(3)

29 Amortization of intangible assets

7

7

11





30

42 Increase in legal provisions

-

-

-





77

- Increase in collective allowance (1) recognized in Corporate and Other

-

-

-





109

- Loan losses in our exited European leveraged finance portfolio

-

40

-





40

- Restructuring charges primarily relating to employee severance

134

-

211





134

296 Pre-tax impact of items of note on net income

150

(409)

225





(94)

298

Income tax impact on above items of note

(40)

40

(51)





(52)

(66)

Income tax recovery due to the settlement of transfer pricing-related matters

-

-

-





(30)

-

Income tax recovery arising from a change in our expected utilization of tax loss carryforwards

-

-

-





(15)

- After-tax impact of items of note on net income

110

(369)

174





(191)

232

After-tax impact of items of note on non-controlling interests

-

-

(2)





-

(2) After-tax impact of items of note on net income attributable to common shareholders $ 110 $ (369) $ 172



$ (191) $ 230

(1) Relates to the collective allowance, except for (i) residential mortgages greater than 90 days delinquent; (ii) personal loans and scored small business loans greater than 30 days delinquent; and (iii) net write-offs for the cards portfolio, which are all reported in the respective strategic business units.

Basis of presentation

The interim consolidated financial information in this news release is prepared in accordance with IFRS and is unaudited whereas the annual consolidated financial information is derived from audited financial statements. These interim financial statements follow the same accounting policies and methods of application as CIBC's consolidated financial statements for the year ended October 31, 2016.

Conference Call/Webcast

The conference call will be held at 8:00 a.m. (ET) and is available in English (416-340-2217, or toll-free 1-866-696-5910, passcode 9489619#) and French (514-861-2255, or toll-free 1-877-405-9213, passcode 3878208#). Participants are asked to dial in 10 minutes before the call. Immediately following the formal presentations, CIBC executives will be available to answer questions.

A live audio webcast of the conference call will also be available in English and French at www.cibc.com/ca/investor-relations/quarterly-results.html.

Details of CIBC's 2016 fourth quarter and fiscal year results, as well as a presentation to investors, will be available in English and French at www.cibc.com, Investor Relations section, prior to the conference call/webcast. We are not incorporating information contained on the website in this news release.

A telephone replay will be available in English (905-694-9451 or 1-800-408-3053, passcode 1837101#) and French (514-861-2272 or 1-800-408-3053, passcode 7075207#) until 11:59 p.m. (ET) December 8, 2016. The audio webcast will be archived at www.cibc.com/ca/investor-relations/quarterly-results.html.

About CIBC

CIBC is a leading Canadian-based global financial institution with 11 million personal banking and business clients. Through our three major business units - Retail and Business Banking, Wealth Management and Capital Markets - CIBC offers a full range of products and services through its comprehensive electronic banking network, branches and offices across Canada with offices in the United States and around the world. Ongoing news releases and more information about CIBC can be found at www.cibc.com/ca/media-centre/ or by following on Twitter @CIBC, Facebook (www.facebook.com/CIBC) and Instagram @CIBCNow.

The information below forms a part of this press release.

Nothing in CIBC's corporate website (www.cibc.com) should be considered incorporated herein by reference.

The Board of Directors of CIBC reviewed this news release prior to it being issued.

A NOTE ABOUT FORWARD-LOOKING STATEMENTS:

From time to time, we make written or oral forward-looking statements within the meaning of certain securities laws, including in this news release, in other filings with Canadian securities regulators or the U.S. Securities and Exchange Commission and in other communications. All such statements are made pursuant to the "safe harbour" provisions of, and are intended to be forward-looking statements under applicable Canadian and U.S. securities legislation, including the U.S. Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements made in the "Core business performance", "Strong fundamentals", and "Making a difference in our Communities" sections of this news release, and the Management's Discussion and Analysis in our 2016 Annual Report under the heading "Financial performance overview – Outlook for calendar year 2017" and other statements about our operations, business lines, financial condition, risk management, priorities, targets, ongoing objectives, strategies, the regulatory environment in which we operate and outlook for calendar year 2017 and subsequent periods. Forward-looking statements are typically identified by the words "believe", "expect", "anticipate", "intend", "estimate", "forecast", "target", "objective" and other similar expressions or future or conditional verbs such as "will", "should", "would" and "could". By their nature, these statements require us to make assumptions, including the economic assumptions set out in the "Financial performance overview – Outlook for calendar year 2017" section of our 2016 Annual Report, as updated by quarterly reports, and are subject to inherent risks and uncertainties that may be general or specific. A variety of factors, many of which are beyond our control, affect our operations, performance and results, and could cause actual results to differ materially from the expectations expressed in any of our forward-looking statements. These factors include: credit, market, liquidity, strategic, insurance, operational, reputation and legal, regulatory and environmental risk; the effectiveness and adequacy of our risk management and valuation models and processes; legislative or regulatory developments in the jurisdictions where we operate, including the Dodd-Frank Wall Street Reform and Consumer Protection Act and the regulations issued and to be issued thereunder, the Organisation for Economic Co-operation and Development Common Reporting Standard, and regulatory reforms in the United Kingdom and Europe, the Basel Committee on Banking Supervision's global standards for capital and liquidity reform, and those relating to the payments system in Canada; amendments to, and interpretations of, risk-based capital guidelines and reporting instructions, and interest rate and liquidity regulatory guidance; the resolution of legal and regulatory proceedings and related matters; the effect of changes to accounting standards, rules and interpretations; changes in our estimates of reserves and allowances; changes in tax laws; changes to our credit ratings; political conditions and developments; the possible effect on our business of international conflicts and the war on terror; natural disasters, public health emergencies, disruptions to public infrastructure and other catastrophic events; reliance on third parties to provide components of our business infrastructure; potential disruptions to our information technology systems and services; increasing cyber security risks which may include theft of assets, unauthorized access to sensitive information, or operational disruption; social media risk; losses incurred as a result of internal or external fraud; anti-money laundering; the accuracy and completeness of information provided to us concerning clients and counterparties; the failure of third parties to comply with their obligations to us and our affiliates or associates; intensifying competition from established competitors and new entrants in the financial services industry including through internet and mobile banking; technological change; global capital market activity; changes in monetary and economic policy; currency value and interest rate fluctuations, including as a result of market and oil price volatility; general business and economic conditions worldwide, as well as in Canada, the U.S. and other countries where we have operations, including increasing Canadian household debt levels and global credit risks; our success in developing and introducing new products and services, expanding existing distribution channels, developing new distribution channels and realizing increased revenue from these channels; changes in client spending and saving habits; our ability to attract and retain key employees and executives; our ability to successfully execute our strategies and complete and integrate acquisitions and joint ventures; the risk that expected synergies and benefits of the acquisition of PrivateBancorp, Inc. will not be realized within the expected time frame or at all or the possibility that the acquisition does not close when expected or at all because required regulatory, shareholder or other approvals are not received or other conditions to the closing are not satisfied on a timely basis or at all; and our ability to anticipate and manage the risks associated with these factors. This list is not exhaustive of the factors that may affect any of our forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on our forward-looking statements. Any forward-looking statements contained in this news release represent the views of management only as of the date hereof and are presented for the purpose of assisting our shareholders and financial analysts in understanding our financial position, objectives and priorities and anticipated financial performance as at and for the periods ended on the dates presented, and may not be appropriate for other purposes. We do not undertake to update any forward-looking statement that is contained in this news release or in other communications except as required by law.

SOURCE CIBC - Investor Relations