We have come to a resolution with United States authorities and regulators on our U.S. Anti-Money Laundering (AML) matters.

Money laundering is a serious global threat, and as a bank, we have an obligation to protect the financial system from criminal activity. Our U.S. AML program did not deliver, and bad actors used our weaknesses to launder illegally gained funds.

This is unacceptable and we take full responsibility.

We have identified the issue, and work is underway across the Bank to drive the change required and remediate our U.S. AML program.

TD is a strong, well-capitalized bank, and we have mobilized the required resources to deliver.

As we make the required investments to remediate our U.S. AML program, we will continue to serve and support you, and help you to achieve your financial goals. That commitment is embedded in our culture and in everything we do.

We know that you may have questions. We have tried to answer a few key ones below.

Bharat Masrani

Group President and Chief Executive Officer

TD Bank Group

Questions

How did TD allow this to happen?

Criminals relentlessly target financial institutions to launder money, and use many tactics and people to deliberately avoid detection. Our U.S. AML program at times failed to detect or respond to thwart their efforts, and we have taken full responsibility for these failures.

Do the facts described in the resolutions apply to Canada?

No. This resolution is regarding our U.S. AML program.

We will apply the learnings from the U.S. AML remediation program to enhance our program in Canada and globally.

How do the issues outlined in the media affect me as a customer?

There is no impact to you. We remain focused on supporting your needs.

You have entrusted us with your finances, and we will continue to deliver and help you achieve your financial goals.

How is TD addressing this matter?

We are taking this matter very seriously. We continue to work with urgency to meet our obligations and remediate our AML program sustainably. This is our number one priority.

Our remediation is expected to be a multi-year endeavor. We have made steady progress to date, with investments in new talent, training, process redesign, technology implementation, and revisions to policies and procedures. We have more to do and are committed to building a strong, sustainable program that meets our obligations now and well into the future.

Have the employees responsible for the U.S. AML issues been held accountable?

Yes. We have replaced all the leaders responsible for our U.S. AML program.

A new team with qualified leaders is focused on this critical work to enhance our program and meet our obligations. It is the number one priority of the Bank, the Board and management.

Additionally, two former store-level employees have been charged for their roles in helping criminals to launder money and three others were terminated for AML-related misconduct.

Can customers and clients trust that TD is a well-managed bank?

Yes. TD is a strong and stable institution, and we will continue to serve the needs of our nearly 28 million customers and clients around the world who rely on us for their financial goals.

We have taken full responsibility for the failures in our U.S. AML program and held those responsible accountable. We have already taken important and decisive steps to rebuild our AML program, with more work ahead.

Will the terms of the resolution impact the Bank's products and services in Canada?

No. These terms apply to our U.S. retail business.

Will the terms of the resolution impact TD Securities?

No. The terms of the resolution do not apply to TD Securities, or any of our Canadian or global businesses