Corporate

The Corporate segment includes non-controlling interests in subsidiaries, certain gains on dispositions of businesses, real estate investments, the effect of securitizations, treasury management, general provisions for credit losses, certain taxable equivalent adjustments, corporate level tax benefits and residual unallocated revenues and expenses.

During fiscal 2003, the Corporate segment had an operating cash basis net income of $2 million. The most significant factors contributing to this result were pre-tax income from the $157 million general allowances release in the fourth quarter 2003, interest income earned on income tax refunds of $55 million before tax in the third quarter 2003, securitization gain of $11 million after-tax in the third quarter 2003, and tax recoveries of $13 million in the third quarter 2003. This income was offset by a $39 million after-tax loss to address a previously unhedged non-trading U.S. dollar exposure arising from our U.S. dollar Visa business, a $30 million tax adjustment in the second quarter 2003 relating to lease write downs, as well as costs associated with net treasury activities and net unallocated revenues, expenses and taxes.

During fiscal 2002, the Corporate segment had an operating cash basis net loss of $47 million. The most significant factors contributing to this result were net losses of $10 million related to transfer pricing differences, net treasury activities, and net unallocated revenues, expenses and taxes. The above net losses were offset by net earnings of $27 million from dispositions of businesses. Reported net loss for the Corporate segment was $15 million for fiscal 2002, and includes the special gain of $32 million after-tax related to the sale of the Bank’s mutual fund record keeping and custody business.

Corporate