Expands Direct Investing Solutions with Acquisition of Canada's largest
    independent online brokerage firm

    TORONTO, July 14 /CNW/ - Scotiabank announced today that it will purchase
E(*)TRADE Canada from U.S.-based parent E(*)TRADE Financial Corporation (NASDAQ:
ETFC). Under this definitive agreement, Scotiabank will purchase E(*)TRADE
Canada for USD$442 million (approximately C$444 million), subject to
regulatory approvals. The completion of today's announcement will double
Scotiabank's footprint in the Canadian online investing market.
    "Scotiabank's agreement to purchase E(*)TRADE Canada demonstrates our
commitment to pursuing opportunities to grow our wealth management business
and drive revenue growth," said Rick Waugh, President and CEO, Scotiabank.
"This is an excellent growth opportunity that will build on Scotiabank's
strong position as a leading online investing solution."
    "This announcement is consistent with our overall strategic focus on
growing our wealth management business in Canada and around the world," he
added.
    With approximately $4.7 billion in assets under administration and 190
employees, E(*)TRADE Canada is a top-ranked online brokerage. E(*)TRADE Canada
offers a variety of products and services to retail and institutional
investors buying and selling securities via electronic trading platforms.
    "Through this acquisition, Scotiabank has demonstrated its commitment to
growing its online investing business," said Duncan Hannay, President, E(*)TRADE
Canada. "The E(*)TRADE Canada team will help Scotiabank achieve its goals by
continuing to deliver exceptional value to the self-directed investor. This
acquisition marks a new chapter for our business and the industry, and
represents an exciting growth opportunity for all. We anticipate a smooth
transition for our customers."
    Today's announcement builds on Scotiabank's 2007 completion of the
acquisition of TradeFreedom Securities Inc., a Canadian online brokerage
boutique.
    "Online brokerage is playing an increasingly significant role in wealth
management as more Canadians are using online investment solutions, and many
are becoming more active traders," said Chris Hodgson, Executive
Vice-President, Head of Domestic Personal Banking, Scotiabank. "The addition
of E(*)TRADE Canada's products and services to those offered by Scotiabank will
provide greater online investing solutions for all customers, a comprehensive
range of highly competitive direct investing choices for Canadians and
continued excellent customer service.
    "In addition to retail services, E(*)TRADE Canada's institutional business
is included in the transaction," said Hodgson. "E(*)TRADE Canada will continue
to provide full support for all of their institutional technology product
offerings."
    "For the immediate term as we seek regulatory approvals, it will continue
to be business as usual," added Barbara Mason, Executive Vice-President,
Wealth Management, Scotiabank. "E(*)TRADE Canada clients can be assured that
they will continue to receive the benefits that they currently enjoy, and
employees will continue to have a great place to work. We are committed to
bringing together the best of E(*)Trade Canada and Scotiabank to provide a
seamless transition to a highly competitive online investing solution for all
Canadians."
    For this acquisition, Scotia Capital is acting as exclusive financial
advisor to Scotiabank.Analyst Conference Call
    -----------------------
    - An analyst conference call will take place on Monday, July 14th, 2008
      at 5:00 p.m. EDT.
    - Interested parties are invited to access the call live, in listen-only
      mode:
      - Via telephone, toll-free, at 416-644-3419 or 1-800-732-0232 (please
        call five to 15 minutes in advance).


    Conference Call Archive
    -----------------------
    - A telephone replay of the call will be available until July, 28, 2008
      by calling 416-640-1917 (identification code 21278325 followed by the
      number sign).About E(*)TRADE FINANCIAL

    The E(*)TRADE FINANCIAL family of companies provides financial services
including trading, investing and banking for retail and institutional
customers.
    E(*)TRADE Canada is a service of E(*)TRADE Canada Securities Corporation
(Discount Broker - Order-Execution Only Accounts), a member of the TSX, the
TSX Venture Exchange, the Montreal Exchange, the Investment Industry
Regulatory Organization of Canada and the Canadian Investor Protection Fund.
The E(*)TRADE Canada service is offered in all provinces. E(*)TRADE, E(*)TRADE
Canada, and E(*)TRADE FINANCIAL are trademarks or registered trademarks of
E(*)TRADE FINANCIAL Corp. or its subsidiaries and are used with permission.
E(*)TRADE FINANCIAL Corp., a U.S. public holding company listed on Nasdaq, is
the indirect parent of E(*)TRADE Canada Securities Corporation.

    About Scotiabank

    Scotiabank is one of North America's premier financial institutions and
Canada's most international bank. With more than 60,000 employees, Scotiabank
Group and its affiliates serve approximately 12.5 million customers in some 50
countries around the world. Scotiabank offers a diverse range of products and
services including personal, commercial, corporate and investment banking.
With $453 billion in assets (as at April 30, 2008), Scotiabank trades on the
Toronto (BNS) and New York Exchanges (BNS). For more information please visit
www.scotiabank.com.