Royal Bank of Canada to repurchase up to 30
million of its common shares
TORONTO, October 12, 2012 - Royal Bank of Canada ("RY"
on TSX and NYSE) today announced its intention, subject to
the approval of the Office of the Superintendent of Financial
Institutions (OSFI) and the Toronto Stock Exchange, to commence
a normal course issuer bid through the facilities of the Toronto
Stock Exchange and to repurchase for cancellation up to 30
million of its common shares, representing approximately 2.1
per cent of the bank's outstanding common shares as at September
28, 2012. On September 28, 2012, there were 1,444,700,692
common shares outstanding. The bank intends to file a notice
of intention with the Toronto Stock Exchange in this regard.
Purchases may commence on November 1, 2012, provided the
Toronto Stock Exchange has accepted the notice of intention,
and may continue until October 31, 2013. The amount and timing
of any purchases will be determined by the bank, except that
the amount of purchases on any given day will not exceed 634,500
common shares, which is 25 per cent of the average daily trading
volume on the Toronto Stock Exchange for the six-months ending
September 28, 2012. Purchases under the bid will be made exclusively
on the Toronto Stock Exchange and in accordance with the applicable
Canadian and United States securities laws. The price paid
for any repurchased shares will be the market price of such
shares on the Toronto Stock Exchange at the time of acquisition.
The proposed share repurchases will enable the bank to balance
the imperatives of maintaining strong capital ratios with
the ongoing need to generate shareholder value. On July 31,
2012, the bank's Tier 1 and Total capital ratios were 13.0
per cent and 15.0 per cent, respectively.
CAUTION REGARDING FORWARD-LOOKING STATEMENTS
Certain statements contained in this press release may be
deemed to be forward-looking statements within the meaning
of certain securities laws, including the "safe harbour"
provisions of the United States Private Securities Litigation
Reform Act of 1995 and any applicable Canadian securities
legislation. These forward-looking statements include, but
are not limited to, statements with respect to the proposed
normal course issuer bid by Royal Bank of Canada. Forward-looking
statements are typically identified by words such as "believe",
"expect", "foresee", "forecast",
"anticipate", "intend", "estimate",
"goal", "plan" and "project"
and similar expressions of future or conditional verbs such
as "will", "may", "should",
"could" or "would".
By their very nature, forward-looking statements require us
to make assumptions and are subject to inherent risks and
uncertainties, which give rise to the possibility that our
predictions, forecasts, projections, expectations or conclusions
will not prove to be accurate, that our assumptions may not
be correct and that our forward-looking statements, including
statements about the proposed normal course issuer bid by
Royal Bank of Canada, will not be achieved. We caution readers
not to place undue reliance on these statements as a number
of risk factors could cause our actual results to differ materially
from the expectations expressed in such forward-looking statements.
These factors - many of which are beyond our control and the
effects of which can be difficult to predict - include: credit,
market, operational, and liquidity and funding risks, and
other risks discussed in the Risk management section of our
2011 Annual Report and in our Q3 2012 Report to Shareholders;
general business, economic and financial market conditions
in Canada, the United States and certain other countries in
which we conduct business, including the effects of the European
sovereign debt crisis, changes in accounting standards, policies
and estimates; the effects of changes in government fiscal,
monetary, economic and other policies; changes to and new
interpretations of risk-based capital and liquidity guidelines;
the impact of changes in laws and regulations; judicial or
regulatory judgments and legal proceedings; and our ability
to successfully execute our strategies.
We caution that the foregoing list of risk factors is not
exhaustive and other factors could also adversely affect our
results. When relying on our forward-looking statements to
make decisions with respect to us, investors and others should
carefully consider the foregoing factors and other uncertainties
and potential events. Additional information about these and
other factors can be found in the Risk management and Overview
of other risks sections of our 2011 Annual Report and in the
Risk management section of our Q3 2012 Report to Shareholders.
Except as required by law, we do not undertake to update any
forward-looking statement contained in this press release.
- 30 -
Tanis (Robinson) Feasby,