TD Bank 2003 Annual Report Download - page 89

TD BANK FINANCIAL GROUP ANNUAL REPORT 2003 • Financial Results 87
Condensed Consolidated Balance Sheet
As at October 31
(millions of dollars) 2003 2002
Canadian U.S. Canadian U.S.
GAAP Adjustments GAAP GAAP Adjustments GAAP
Assets
Cash resources $ 7,719 $ – $ 7,719 $ 6,538 $ – $ 6,538
Securities purchased under
resale agreements 17,475 – 17,475 13,060 – 13,060
Securities
Investment 24,775 1,844 26,619 28,802 1,838 30,640
Trading 54,890 195 55,085 53,395 – 53,395
Loans (net) 118,058 3,996 122,054 122,627 6,454 129,081
Derivatives’ market revaluation 28,451 3,732 32,183 25,739 3,104 28,843
Intangible assets 2,737 34 2,771 3,383 29 3,412
Goodwill 2,263 64 2,327 3,134 64 3,198
Other assets 17,164 42 17,206 21,362 36 21,398
Total assets $273,532 $9,907 $283,439 $278,040 $11,525 $289,565
Liabilities
Deposits $182,880 $ – $182,880 $189,190 $ – $189,190
Derivatives’ market revaluation 28,000 4,006 32,006 25,954 3,328 29,282
Other liabilities 42,404 1,003 43,407 44,262 1,322 45,584
Subordinated notes, debentures
and other debt 5,887 4,224 10,111 4,343 6,524 10,867
Non-controlling interest in
subsidiaries 1,250 350 1,600 1,250 350 1,600
Total liabilities 260,421 9,583 270,004 264,999 11,524 276,523
Shareholders’ equity
Preferred shares 1,535 (350) 1,185 1,485 (350) 1,135
Common shares 3,179 17 3,196 2,846 – 2,846
Contributed surplus 92231 –––
Foreign currency translation
adjustments (130) 174 44 418 (374) 44
Retained earnings 8,518 249 8,767 8,292 189 8,481
Accumulated other
comprehensive income
Net unrealized gains on
available for sale securities – 306 306 – 368 368
Foreign currency translation
adjustments – (174) (174) – 374 374
Derivative instruments –8080 – (92) (92)
Minimum pension liability
adjustment –––– (114) (114)
Total shareholders’ equity 13,111 324 13,435 13,041 1 13,042
Total liabilities and
shareholders’equity $273,532 $9,907 $283,439 $278,040 $11,525 $289,565
Employee future benefits
Under Canadian GAAP, the Bank adopted the employee future
benefits standard in fiscal 2001 on a retroactive basis without
restatement. The Canadian standard requires the accrual of
employee future benefits. Previous Canadian GAAP permitted
non-pension benefits to be expensed as paid. U.S. GAAP similarly
requires the accrual of employee future benefits. For purposes of
U.S. GAAP, the Bank adopted the employee future benefits stan-
dard on a prospective basis. Consequently, differences between
U.S. and Canadian GAAP remain, as the transitional impacts will
be amortized over the expected average remaining service life of
the employee group for U.S. GAAP.
U.S. GAAP also requires an additional minimum liability to be
recorded if the accumulated benefit obligation is greater than the
fair value of plan assets. Canadian GAAP has no such require-
ment. For U.S. GAAP purposes, the Bank recognized the amounts
noted in the table below in the Consolidated Balance Sheet.
(millions of dollars) 2003 2002
Prepaid pension expense $ 236 $ (23)
Intangible assets 34 29
Accumulated other comprehensive income before income taxes –186
Net amount recognized $ 270 $192