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1 ASX ANNOUNCEMENT National Australia Bank Limited ABN Bourke Street Docklands Victoria 3008 AUSTRALIA Monday, 30 January 2012 Fitch Ratings review Please find attached an announcement made by Fitch Ratings today. For further information: Media Brian Walsh M: +61 (0) Investor Relations Ross Brown M: +61 (0) Meaghan Telford M: +61 (0) Craig Horlin M: +61 (0)

2 FITCH PLACES MAJOR AUSTRALIAN BANKS ON RWN; AFFIRMS CANADIAN BANKS Fitch Ratings-Sydney/New York/Singapore-30 January 2012: Fitch Ratings says that in conjunction with its broad review of the largest banking institutions in the world and following the newly-published special report on major banks in Australia and Canada, Fitch has placed four major Australian banks' Long-Term Issuer Default Ratings (IDR) and Viability Ratings (VR) together with many of their subsidiaries' ratings, on Rating Watch Negative (RWN). The four banks are Commonwealth Bank of Australia, National Australia Bank Limited, Westpac Banking Corporation, Australia and New Zealand Banking Group. At the same time, the agency has affirmed six major Canadian banks (Royal Bank of Canada, Toronto-Dominion Bank, Canadian Imperial Bank of Commerce, Bank of Nova Scotia, Bank of Montreal, and National Bank of Canada) all with Stable Rating Outlooks. The report 'Australian and Canadian Major Banks: Structural Features Favourable but Remains Key Issue for Australian Banks' is available on and a full list of rating actions is at the end of this commentary. The assessment and comparison of major Australian and Canadian banks reflects their status as some of the highest rated banks in Fitch's universe as well as a number of broad similarities in their economies and banking systems. These similarities include comparably sized economies, some benefits derived from favourable commodity prices, outperformance of their major banks since the start of the global financial crisis in 2007 as well as significant growth in credit and house prices since the 1990s. Fitch's review of the major banks, summarised in the newly-published report, confirms its opinion that the four Australian and six Canadian major banks are justifiably highly rated. Nevertheless, the agency views the Australian major banks' ratings as under some pressure at their current levels. Specifically, the RWN for the four major Australian banks largely reflects Fitch's view that despite significant improvements, these banks continue to have a weaker funding profile than other similarly rated peers. In addition, the agency notes that Australian and Canadian banks are each subject to many of the same themes and trends as other banks globally including an uncertain macroeconomic environment and evolving regulatory regimes. Fitch expects to resolve the RWN within a short time frame and will incorporate an updated view of Australian banks' strengths, weaknesses and trends. The agency expects that any downgrades of the four major Australian banks' ratings are most likely to be limited to one notch with those entities currently rated at 'AA' most at risk The resolution of the RWN will be based on Fitch's review of the most recent available data, including any new or additional information provided by the issuers that is relevant to their ratings. The affirmation of the major Canadian banks reflects confirmation of their consistent earnings trends, favourable funding positions and sound capitalisation as well as Canada's comparatively favourable economic environment and a currently stable domestic banking market. Although Canadian banks are clearly not immune to global developments and face increased challenges in the current environment, especially relating to household leverage and future earnings growth, at this juncture, the agency does not view these issues as calling into question existing ratings. Nonetheless, given their already high ratings, upward momentum is unlikely. Moreover, depending on the evolution of the challenges facing Canadian banks, this may result in the potential deviation of an individual banks' rating performance going forward. The rating actions are as follows:

3 Australia & New Zealand Banking Group (ANZ) -- Long-Term IDR: 'AA-', on RWN; -- Short-Term IDR: 'F1+', on RWN; -- VR: 'aa-', on RWN; -- Support Rating Floor: affirmed at 'A'; -- Government guaranteed debt: affirmed at 'AAA'; -- Unguaranteed senior unsecured debt: 'AA-', on RWN; and -- Subordinated debt: 'A+', on RWN. ANZ National Bank Limited (ANZNB) -- Long-Term foreign currency IDR: 'AA-', on RWN; -- Short-Term foreign currency IDR: 'F1+', on RWN; -- Long-Term local currency IDR: 'AA-', on RWN; -- Short-Term local currency IDR: 'F1+', on RWN; -- VR: 'a' unaffected; -- Government guaranteed debt: affirmed at 'AA'; -- Unguaranteed senior unsecured debt: 'AA-', on RWN; and -- Short-term debt: 'F1+', on RWN. Commonwealth Bank of Australia (CBA) -- Long-Term IDR: 'AA', on RWN; -- Short-Term IDR: affirmed at 'F1+'; -- VR: 'aa', on RWN; -- Support Rating Floor: affirmed at 'A'; -- Government guaranteed debt: affirmed at 'AAA'; -- Unguaranteed senior unsecured debt: 'AA', on RWN; -- Short-term debt: affirmed at 'F1+'; -- Subordinated debt: 'AA-', on RWN; and -- Preferred stock: 'A', RWN maintained. Bank of Western Australia (BankWest) -- Long-Term IDR: 'AA', on RWN; -- Short-term IDR: affirmed at 'F1+'; and -- Unguaranteed senior unsecured debt: 'AA', on RWN. ASB Bank Limited (ASB) -- Long-Term foreign currency IDR: 'AA', on RWN; -- Short-Term foreign currency IDR: affirmed at 'F1+'; -- Long-Term local currency IDR: 'AA', on RWN; -- Short-Term local currency IDR: affirmed at 'F1+'; -- VR: 'a' unaffected; and -- Support Rating: affirmed at '1'. Colonial Finance Ltd. (CFL) -- Long-Term IDR: 'AA-', on RWN; -- Short-Term IDR: 'F1+', on RWN; -- Unguaranteed senior unsecured debt: 'AA-', on RWN; and -- Short-Term debt: 'F1+', on RWN. National Australia Bank Limited (NAB) -- Long-Term IDR: 'AA', on RWN; -- Short-Term IDR: affirmed at 'F1+'; -- VR: 'aa', on RWN; -- Support Rating Floor: affirmed at 'A';

4 -- Government guaranteed debt: affirmed at 'AAA'; -- Unguaranteed senior unsecured debt: 'AA', on RWN; -- Subordinated debt: 'AA-', on RWN; and -- Preferred stock: 'A', RWN maintained. Bank of New Zealand (BNZ) -- Long-Term foreign currency IDR: 'AA', on RWN; -- Short-Term foreign currency IDR: affirmed at 'F1+'; -- Long-Term local currency IDR: 'AA', on RWN; -- Short-Term local currency IDR: affirmed at 'F1+'; -- VR: 'a' unaffected; and -- Unguaranteed senior unsecured debt: 'AA', on RWN. Clydesdale Bank PLC (CB) -- Long-Term IDR: 'A+', on RWN; -- Short-Term IDR: affirmed at 'F1'; -- VR: 'bbb' unaffected; and Westpac Banking Corporation (WBC) -- Long-Term IDR: 'AA', on RWN; -- Short-Term IDR: affirmed at 'F1+'; -- VR: 'aa', on RWN; -- Support Rating Floor: affirmed at 'A'; -- Government guaranteed debt: affirmed at 'AAA'; -- Unguaranteed senior unsecured debt: 'AA', on RWN; -- Market-linked debt: 'AAemr', on RWN; -- Short-Term debt: affirmed at 'F1+'; -- Subordinated debt: 'AA-', on RWN; and -- Hybrid capital: 'A', RWN maintained. Westpac New Zealand Limited (WNZL) -- Long-Term foreign currency IDR: 'AA', on RWN; -- Short-Term foreign currency IDR: affirmed at 'F1+'; -- Long-Term local currency IDR: 'AA', on RWN; -- Short-Term local currency IDR: affirmed at 'F1+'; -- VR: 'a' unaffected; -- Government guaranteed debt: affirmed at 'AA'; and -- Unguaranteed senior unsecured debt: 'AA', on RWN. Westpac Lenders Mortgage Insurance Limited (WLMI) -- Insurer Financial Strength Rating: 'AA', on RWN Bank of Montreal (BMO) Bank of Montreal --Long-Term IDR affirmed at 'AA-', Outlook Stable; --VR affirmed at 'aa-'; --Senior unsecured debt affirmed at 'AA-'; --Subordinated debt affirmed at 'A+'; --Commercial paper affirmed at `F1+'; BMO Harris Bank National Association (formerly Harris N.A.)

5 --Long-Term IDR affirmed at 'AA-', Outlook Stable: --VR affirmed at 'bbb+'; --Long-Term deposits affirmed at 'AA'; --Short-Term deposits affirmed at 'F1+'; BMO Subordinated Notes Trust --Subordinated debt affirmed at 'A+'. BMO Capital Trust D BMO Capital Trust E BMO Capital Trust II --Preferred stock rating of 'A', RWN maintained. Marshall & Ilsley Corporation --Senior Debt affirmed at 'AA-'; M&I Marshall & Ilsley Bank --Long-Term deposits affirmed at 'AA'; --Senior Debt affirmed at 'AA-'; --Subordinated Debt affirmed at 'A+'; --Short-Term deposits affirmed at 'F1+'. M&I Bank FSB --Long-Term deposits affirmed at 'AA'; --Short-Term deposits affirmed at 'F1+'. Bank of Nova Scotia (BNS) The Bank of Nova Scotia --Long-Term deposits affirmed at 'AA-'; --Senior debt affirmed at 'AA-'; --Subordinated debt affirmed at 'A+'; --Short-Term debt affirmed at 'F1+'; --VR affirmed at 'aa-'; Scotiabank Capital Trust --Trust Securities at 'A'; RWN maintained. Canadian Imperial Bank of Commerce (CIBC) Canadian Imperial Bank of Commerce --VR affirmed at 'aa-' --Short-Term Debt affirmed at 'F1+'; --Senior unsecured debt affirmed at 'AA-'; --Senior market-linked securities affirmed at 'AA-emr'; --Subordinated debt affirmed at 'A+'; --Preferred stock at 'A'; RWN maintained; Canadian Imperial Holdings, Inc.

6 --Short-Term debt affirmed at 'F1+'. CIBC Capital Trust --Preferred stock at 'A', RWN maintained. National Bank of Canada (NBC) National Bank of Canada --Long-Term IDR affirmed at 'A+'; --Viability Rating (VR) affirmed at 'a+'; --Short-Term rating affirmed at 'F1'; --Senior debt affirmed at 'A+'; --Subordinated debt affirmed at 'A'; --Preferred stock at 'A-' RWN maintained; --Short-Term deposits affirmed at 'F1'; National Bank of Canada New York Branch --Commercial Paper affirmed at 'F1'; --Short-Term rating affirmed at 'F1'. NBC Asset Trust --Preferred Stock at 'A-'; RWN maintained. Royal Bank of Canada (RBC) Royal Bank of Canada --Long-Term IDR affirmed at 'AA'; Outlook Stable; --VR affirmed at 'aa'; --Short-Term Debt affirmed at 'F1+'; --Senior unsecured debt affirmed at 'AA'; --Subordinated debt affirmed at 'AA-'; --Market-Linked Securities affirmed at 'AAemr'; RBC Capital Trust RBC Capital Trust II --Preferred Stock at 'A+'; RWN maintained. Fitch has maintained the following ratings on RWN: RBC Bank (USA) --Long-Term IDR 'AA'; --Short-Term IDR 'F1+'; --Short-Term deposits 'F1+'; --Market-Linked Deposits 'AA+emr'; --Support Rating '1'. RBC Bank (USA) --VR at 'bbb'; maintained on Rating Watch Positive. Toronto-Dominion Bank (TD) Toronto-Dominion Bank

7 --Short-term debt affirmed at 'F1+'; --Viability Rating affirmed at 'aa-' --Senior debt affirmed at 'AA-'; --Subordinated debt affirmed at 'A+'; --Preferred at 'A'; RWN maintained; --Support Floor affirmed at 'A-'. TD Bank U.S. Holding Company --Support Rating affirmed at '1'. TD Bank, NA --VR affirmed at 'a'; --Long-Term deposits affirmed at 'AA'; --Short-Term deposits affirmed at 'F1+'; --Senior debt affirmed at 'AA-'; --Support Rating affirmed at '1'. TD Capital Trust II, III, IV Northgroup Preferred Capital Corporation --Preferred at 'A'; RWN maintained. Hudson United Bank --Subordinated debt affirmed at 'A+'. Contacts: Primary Analyst (ANZ, CBA, BankWest, CFL, NAB and WBC) Tim Roche Director Fitch Australia Pty Ltd, Level 15, 77 King Street, Sydney, NSW 2000 Primary Analyst (ANZNB, ASB, BNZ and WNZL) Andrea Jaehne Director Fitch Australia Pty Ltd, Level 15, 77 King Street, Sydney, NSW 2000 Primary Analyst (CB) Julien Noizet Analyst Fitch Ratings Limited 30 North Colonnade London E14 5GN Primary Analyst (WLMI) John Birch Director Fitch Australia Pty Ltd, Level 15, 77 King Street, Sydney, NSW 2000

8 Secondary Analyst (ANZ, ANZNB, CBA, BankWest, ASB, CFL, NAB, BNZ, WBC, WNZL and WLMI) John Miles Secondary Analyst (CB) Andrew Shenton Director Committee Chairperson Mark Young Managing Director Contact for Canadian Banks: Primary Analyst (RBC, TD, NBC) Fabrice Toka Fitch, Inc. One State Street Plaza New York, NY Primary Analyst (BNS, CIBC) Joe Scott Primary Analyst (BMO) Julie Solar Secondary Analyst(s) Nathan Flanders (RBC, TD, NBC) Managing Director Fabrice Toka (BMO, BNS, CIBC) Committee Chairperson Christopher D Wolfe Managing Director Media Relations: Brian Bertsch, New York, Tel: , brian.bertsch@fitchratings.com; Matthew Robinson, Sydney, Tel: , matthew.robinson@fitchratings.com. Additional information is available at Bank of New Zealand's ratings were unsolicited and have been provided by Fitch as a service to investors. All other ratings above were solicited by, or on behalf of, the issuer, and therefore, Fitch has been

9 compensated for the provision of the ratings. Applicable criteria "Global Financial Institutions Rating Criteria" dated 16 August 2011 available at Applicable Criteria and Related Research: Global Financial Institutions Rating Criteria ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S FREE WEBSITE ' PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM THE 'CODE OF CONDUCT' SECTION OF THIS SITE. Fitch Australia Pty Ltd holds an Australian financial services licence (AFS licence no ) which authorises it to provide credit ratings to wholesale clients only. Credit ratings information published by Fitch is not intended to be used by persons who are retail clients within the meaning of the Corporations Act 2001.