EX-99.1

EX-99.1 2 d308482dex991.htm EX-99.1 EX-99.1

Exhibit 99.1

LOGO

CIBC announces fourth quarter and fiscal 2022 results

CIBC’s 2022 audited annual consolidated financial statements and accompanying management’s discussion and analysis (MD&A) will be available today at www.cibc.com, along with the supplementary financial information and supplementary regulatory capital reports which include fourth quarter financial information. Our 2022 Annual Report is available on SEDAR at www.sedar.com. All amounts are expressed in Canadian dollars, unless otherwise indicated.

Toronto, ON – December 1, 2022 – CIBC (TSX: CM) (NYSE: CM) today announced its results for the fourth quarter and fiscal year ended October 31, 2022.

“In 2022, we delivered solid financial performance and furthered the strong momentum across our bank through the execution of our client-focused strategy, thanks to the efforts of our CIBC team who live our purpose each day – to help make your ambition a reality,” said Victor Dodig, President and CEO, CIBC. “We enter the new fiscal year as a modern, relationship-oriented bank with a strong capital position and focus on growing in key client segments, elevating the client experience, and investing in future differentiators that build long-term competitive advantages. Our bank is well-diversified and resilient, and our proven ability to navigate in an uncertain operating environment will enable us to continue to deliver value to our stakeholders and contribute meaningfully to a more sustainable future,” concluded Mr. Dodig.

Fourth quarter highlights


	Q4/22	Q4/21	Q3/22	YoY Variance	QoQ Variance

Revenue	$5,388 million	$5,064 million	$5,571 million	+6%	-3%

Reported Net Income	$1,185 million	$1,440 million	$1,666 million	-18%	-29%

Adjusted Net Income ⁽¹⁾	$1,308 million	$1,573 million	$1,724 million	-17%	-24%

Adjusted pre-provision, pre-tax earnings ⁽¹⁾	$2,072 million	$2,109 million	$2,465 million	-2%	-16%

Reported Diluted Earnings Per Share (EPS)⁽²⁾	$1.26	$1.54	$1.78	-18%	-29%

Adjusted Diluted EPS ⁽¹⁾⁽²⁾	$1.39	$1.68	$1.85	-17%	-25%

Reported Return on Common Shareholders’ Equity (ROE)⁽³⁾	10.1%	13.4%	14.6%

Adjusted ROE ⁽¹⁾	11.2%	14.7%	15.1%

Common Equity Tier 1 (CET1) Ratio ⁽⁴⁾	11.7%	12.4%	11.8%

CIBC’s results for the fourth quarter of 2022 were affected by the following items of note aggregating to a negative impact of $0.13 per share:

●

$91 million ($67 million after-tax) increase in legal provisions;

●

$37 million ($27 million after-tax) charge related to the consolidation of our real estate portfolio;

●

$27 million ($21 million after-tax) amortization of acquisition-related intangible assets; and

●

$12 million ($8 million after-tax) in acquisition and integration-related costs as well as purchase accounting adjustments⁽⁵⁾ associated with the acquisition of the Canadian Costco credit card portfolio.

For the year ended October 31, 2022, CIBC reported net income of $6.2 billion and adjusted net income⁽¹⁾ of $6.6 billion, compared with reported net income of $6.4 billion and adjusted net income⁽¹⁾ of $6.7 billion for 2021, and adjusted pre-provision, pre-tax earnings⁽¹⁾ of $9.4 billion, compared with $8.8 billion for 2021.

(1)	This measure is a non-GAAP measure. For additional information, see the “Non-GAAP measures” section.

(2)

On April 7, 2022, CIBC shareholders approved a two-for-one share split (Share Split) of CIBC’s issued and outstanding common shares. Each shareholder of record at the close of business on May 6, 2022 (Record Date) received one additional share on May 13, 2022 (Payment Date) for every one share held on the Record Date. All common share numbers and per common share amounts have been adjusted to reflect the Share Split as if it was retroactively applied to all periods presented.

(3)	For additional information on the composition of these specified financial measures, see the “Fourth quarter financial highlights” section.

(4)

Our capital ratios are calculated pursuant to the Office of the Superintendent of Financial Institution’s (OSFI’s) Capital Adequacy Requirements (CAR) Guideline, which are based on the Basel Committee on Banking Supervision (BCBS) standards. For additional information, see the “Capital management” section of our 2022 Annual Report available on SEDAR at www.sedar.com.

(5)

The following table summarizes our performance in 2022 against our key financial measures and targets, set over the medium term, which we define as three to five years, assuming a normal business environment and credit cycle.



Financial Measure	2022 Target	2022 Reported Results	2022 Adjusted Results ⁽²⁾

Diluted EPS growth ⁽³⁾	5%–10% annually ⁽¹⁾	$6.68, down 4% from 2021 3-year CAGR⁽⁴⁾ = 6.1% 5-year CAGR = 3.5%	$7.05, down 2% from 2021 3-year CAGR = 5.8% 5-year CAGR = 4.9%

ROE ⁽⁵⁾	At least 15% ⁽¹⁾	14.0% 3-year average = 13.4% 5-year average = 14.2%	14.7% 3-year average = 14.4% 5-year average = 15.2%

Operating leverage ⁽⁵⁾	Positive ⁽¹⁾	(1.9)%, a decrease of 720 basis points from 2021 3-year average = (0.2)% 5-year average = 0.1%	(1.9)%, a decrease of 260 basis points from 2021 3-year average = (0.6)% 5-year average = 0.5%

CET1 ratio	Strong buffer to regulatory requirement	11.7%

Dividend payout ratio ⁽⁵⁾	40%–50% ⁽¹⁾	48.8% 3-year average = 53.8% 5-year average = 51.3%	46.3% 3-year average = 48.9% 5-year average = 47.4%

Total shareholder return	Outperform the S&P/TSX Composite Banks Index over a rolling three- and five-year period	CIBC: S&P/TSX Composite Banks Index:	3-year 5-year 28.5% 40.2% 29.0% 40.6%

Core business performance

F2022 Financial Highlights



(C$ million)	F2022	F2021	YoY Variance

Canadian Personal and Business Banking

Reported Net Income	$2,249	$2,494	down 10%

Adjusted Net Income ⁽²⁾	$2,396	$2,503	down 4%

Pre-provision, pre-tax earnings ⁽²⁾	$3,934	$3,736	up 5%

Adjusted pre-provision, pre-tax earnings ⁽²⁾	$4,039	$3,748	up 8%



Canadian Commercial Banking and Wealth Management

Reported Net Income	$1,895	$1,665	up 14%

Adjusted Net Income ⁽²⁾	$1,895	$1,665	up 14%

Pre-provision, pre-tax earnings ⁽²⁾	$2,598	$2,227	up 17%

Adjusted pre-provision, pre-tax earnings ⁽²⁾	$2,598	$2,227	up 17%



U.S. Commercial Banking and Wealth Management

Reported Net Income	$760	$926	down 18%

Adjusted Net Income ⁽²⁾	$810	$976	down 17%

Pre-provision, pre-tax earnings ⁽²⁾	$1,129	$1,073	up 5%

Adjusted pre-provision, pre-tax earnings ⁽²⁾	$1,197	$1,141	up 5%



Capital Markets

Reported Net Income	$1,908	$1,857	up 3%

Adjusted Net Income ⁽²⁾	$1,908	$1,857	up 3%

Pre-provision, pre-tax earnings ⁽²⁾	$2,564	$2,403	up 7%

Adjusted pre-provision, pre-tax earnings ⁽²⁾	$2,564	$2,403	up 7%

(1)	Based on adjusted results. Adjusted measures are non-GAAP measures. For additional information, see the “Non-GAAP measures” section.

(2)	This measure is a non-GAAP measure. For additional information, see the “Non-GAAP measures” section.

(3)

(4)	The 3-year compound annual growth rate (CAGR) is calculated from 2019 to 2022 and the 5-year CAGR is calculated from 2017 to 2022.

(5)	For additional information on the composition of these specified financial measures, see the “Fourth quarter financial highlights” section.


CIBC Fourth Quarter 2022 News Release		2

Strong fundamentals

While investing in core businesses, CIBC has continued to strengthen key fundamentals. In 2022, CIBC maintained its capital strength and sound risk management practices:

●

Capital ratios were strong, with a CET1 ratio⁽¹⁾ of 11.7% as noted above, and Tier 1⁽¹⁾ and Total capital ratios⁽¹⁾ of 13.3% and 15.3%, respectively, at October 31, 2022;

●

Market risk, as measured by average Value-at-Risk, was $8.7 million in 2022 compared with $7.6 million in 2021;

●

We continued to have solid credit performance, with a loan loss ratio⁽²⁾ of 14 basis points compared with 16 basis points in 2021;

●

Liquidity Coverage Ratio⁽¹⁾ was 129% for the three months ended October 31, 2022; and

●

Leverage Ratio⁽¹⁾ was 4.4% at October 31, 2022.

CIBC announced an increase in its quarterly common share dividend from $0.83 per share to $0.85 per share for the quarter ending January 31, 2023.

(1)

Our capital ratios are calculated pursuant to the OSFI’s CAR Guideline and the leverage ratio is calculated pursuant to OSFI’s Leverage Requirements Guideline, and liquidity coverage ratio is calculated pursuant to OSFI’s Liquidity Adequacy Requirements Guideline, all of which are based on the BCBS standards. For additional information, see the “Capital management” and “Liquidity risk” sections of our 2022 Annual Report available on SEDAR at www.sedar.com.

(2)	For additional information on the composition of these specified financial measures, see the “Fourth quarter financial highlights” section.

Credit quality

Provision for credit losses was $436 million for the fourth quarter, up $358 million or 459% from the same quarter last year. The current quarter included a provision for credit losses on performing loans of $217 million mainly due to an unfavourable change in our economic outlook, while the same quarter last year included a provision reversal of $34 million reflective of a favourable change in our economic outlook, partially offset by model parameter updates. Provision for credit losses on impaired loans was up $107 million, mainly attributable to Canadian Personal and Business Banking, and U.S. Commercial Banking and Wealth Management.

Making a difference in our Communities

At CIBC, we believe there should be no limits to ambition. We invest our time and resources to remove barriers to ambitions and demonstrate that when we come together, positive change happens that helps our communities thrive. This quarter:

●

We joined more than 45,000 Canadians, including nearly 10,000 team members, in support of the Canadian Cancer Society CIBC Run for the Cure. In total, more than $13 million was raised to help advance breast cancer research, education and support programs – including over $2 million by Team CIBC.

●

In response to numerous domestic and international disasters, we provided timely donations to support communities with their recovery efforts. CIBC donated more than $450,000 to community organizations in response to Hurricane Ian, Hurricane Fiona, flooding in Pakistan, and the tragedy in James Smith Cree Nation.

●

CIBC Foundation announced a new Social Impact Alliance launched together with Microsoft Canada, which will focus on closing the digital skills gap by providing new education and employment opportunities in the technology sector, and ensuring equal access for all communities across the country. To support this goal, CIBC Foundation and Microsoft will be working with NPower Canada and March of Dimes Canada to accelerate skills training and development, as well as to create access to careers in technology.

In the first year of its operation, CIBC Foundation disbursed $3.5 million of new, incremental and impactful funding to 68 charitable organizations in Canada.


CIBC Fourth Quarter 2022 News Release		3

Fourth quarter financial highlights


					As at or for the three months ended						As at or for the twelve months ended
Unaudited			2022 Oct. 31			2022 Jul. 31			2021 Oct. 31			2022 Oct. 31			2021 Oct. 31
Financial results ($ millions)
Net interest income		$	3,185		$	3,236		$	2,980		$	12,641		$	11,459
Non-interest income			2,203			2,335			2,084			9,192			8,556
Total revenue			5,388			5,571			5,064			21,833			20,015
Provision for credit losses			436			243			78			1,057			158
Non-interest expenses			3,483			3,183			3,135			12,803			11,535
Income before income taxes			1,469			2,145			1,851			7,973			8,322
Income taxes			284			479			411			1,730			1,876
Net income		$	1,185		$	1,666		$	1,440		$	6,243		$	6,446
Net income attributable to non-controlling interests			7			6			4			23			17
Preferred shareholders and other equity instrument holders			37			46			47			171			158
Common shareholders			1,141			1,614			1,389			6,049			6,271
Net income attributable to equity shareholders		$	1,178		$	1,660		$	1,436		$	6,220		$	6,429
Financial measures
Reported efficiency ratio⁽¹⁾			64.6	%		57.1	%		61.9	%		58.6	%		57.6	%
Reported operating leverage⁽¹⁾			(4.7	) %		1.1	%		1.7	%		(1.9	) %		5.3	%
Loan loss ratio⁽²⁾			0.16	%		0.12	%		0.10	%		0.14	%		0.16	%
Reported return on common shareholders’ equity⁽¹⁾⁽³⁾			10.1	%		14.6	%		13.4	%		14.0	%		16.1	%
Net interest margin⁽¹⁾			1.33	%		1.43	%		1.41	%		1.40	%		1.42	%
Net interest margin on average interest-earning assets⁽¹⁾⁽⁴⁾			1.51	%		1.61	%		1.58	%		1.58	%		1.59	%
Return on average assets⁽¹⁾⁽⁴⁾			0.50	%		0.73	%		0.68	%		0.69	%		0.80	%
Return on average interest-earning assets⁽¹⁾⁽⁴⁾			0.56	%		0.83	%		0.77	%		0.78	%		0.89	%
Reported effective tax rate			19.3	%		22.3	%		22.2	%		21.7	%		22.5	%
Common share information
Per share ($) ⁽⁵⁾	- basic earnings	$	1.26		$	1.79		$	1.54		$	6.70		$	6.98
	- reported diluted earnings		1.26			1.78			1.54			6.68			6.96
	- dividends		0.830			0.830			0.730			3.270			2.920
	- book value ⁽⁶⁾		49.95			48.97			45.83			49.95			45.83
Closing share price ($)⁽⁵⁾			61.87			64.78			75.09			61.87			75.09
Shares outstanding (thousands) ⁽⁵⁾	- weighted-average basic		905,120			903,742			900,937			903,312			897,906
	- weighted-average diluted		906,533			905,618			904,055			905,684			900,365
	- end of period		906,040			904,691			901,656			906,040			901,656
Market capitalization ($ millions)		$	56,057		$	58,606		$	67,701		$	56,057		$	67,701
Value measures
Total shareholder return			(3.17	) %		(7.57	) %		4.55	%		(13.56	) %		58.03	%
Dividend yield (based on closing share price)			5.3	%		5.1	%		3.9	%		5.3	%		3.9	%
Reported dividend payout ratio⁽¹⁾			65.9	%		46.4	%		47.3	%		48.8	%		41.8	%
Market value to book value ratio			1.24			1.32			1.64			1.24			1.64
Selected financial measures – adjusted⁽⁷⁾
Adjusted efficiency ratio⁽⁸⁾			60.9	%		55.2	%		57.8	%		56.4	%		55.4	%
Adjusted operating leverage⁽⁸⁾			(5.8	) %		(0.3	) %		(2.8	) %		(1.9	) %		0.7	%
Adjusted return on common shareholders’ equity⁽³⁾			11.2	%		15.1	%		14.7	%		14.7	%		16.7	%
Adjusted effective tax rate			20.1	%		22.4	%		22.5	%		21.9	%		22.7	%
Adjusted diluted earnings per share⁽⁵⁾		$	1.39		$	1.85		$	1.68		$	7.05		$	7.23
Adjusted dividend payout ratio			59.5	%		44.8	%		43.2	%		46.3	%		40.3	%
On- and off-balance sheet information ($ millions)
Cash, deposits with banks and securities		$	239,740		$	222,183		$	218,398		$	239,740		$	218,398
Loans and acceptances, net of allowance for credit losses			528,657			516,595			462,879			528,657			462,879
Total assets			943,597			896,790			837,683			943,597			837,683
Deposits			697,572			678,457			621,158			697,572			621,158
Common shareholders’ equity⁽¹⁾			45,258			44,304			41,323			45,258			41,323
Average assets⁽⁴⁾			947,830			899,963			835,931			900,213			809,621
Average interest-earning assets⁽¹⁾⁽⁴⁾			834,639			796,592			747,009			799,224			721,686
Average common shareholders’ equity⁽¹⁾⁽⁴⁾			44,770			43,875			40,984			43,354			38,881
Assets under administration (AUA)^(1)(9)(10)			2,854,828			2,851,405			2,963,221			2,854,828			2,963,221
Assets under management (AUM)^(1)(10)			291,513			298,122			316,834			291,513			316,834
Balance sheet quality and liquidity measures ⁽¹¹⁾
Risk-weighted assets (RWA) ($ millions)		$	315,634		$	303,743		$	272,814		$	315,634		$	272,814
CET1 ratio⁽¹²⁾			11.7	%		11.8	%		12.4	%		11.7	%		12.4	%
Tier 1 capital ratio⁽¹²⁾			13.3	%		13.2	%		14.1	%		13.3	%		14.1	%
Total capital ratio⁽¹²⁾			15.3	%		15.3	%		16.2	%		15.3	%		16.2	%
Leverage ratio			4.4	%		4.3	%		4.7	%		4.4	%		4.7	%
Liquidity coverage ratio (LCR)⁽¹³⁾			129	%		123	%		127	%		n/a			n/a
Net stable funding ratio (NSFR)			118	%		117	%		118	%		118	%		118	%
Other information
Full-time equivalent employees			50,427			49,505			45,282			50,427			45,282

(1)	Certain additional disclosures on the composition of these specified financial measures have been incorporated by reference and can be found in the “Glossary” section of our 2022 Annual Report, available on SEDAR at www.sedar.com.

(2)	The ratio is calculated as the provision for (reversal of) credit losses on impaired loans to average loans and acceptances, net of allowance for credit losses.

(3)	Annualized.

(4)	Average balances are calculated as a weighted average of daily closing balances.

(5)

(6)	Common shareholders’ equity divided by the number of common shares issued and outstanding at end of period.

(7)

Adjusted measures are non-GAAP measures. Adjusted measures are calculated in the same manner as reported measures, except that financial information included in the calculation of adjusted measures is adjusted to exclude the impact of items of note. For additional information and a reconciliation of reported results to adjusted results, see the “Non-GAAP measures” section.

(8)	Calculated on a taxable equivalent basis (TEB).

(9)	Includes the full contract amount of AUA or custody under a 50/50 joint venture between CIBC and The Bank of New York Mellon of $2,258.1 billion (July 31, 2022: $2,241.6 billion; October 31, 2021: $2,341.1 billion).

(10)	AUM amounts are included in the amounts reported under AUA.

(11)

RWA and our capital ratios are calculated pursuant to OSFI’s CAR Guideline, the leverage ratio is calculated pursuant to OSFI’s Leverage Requirements Guideline, and LCR and NSFR are calculated pursuant to OSFI’s Liquidity Adequacy Requirements (LAR) Guideline, all of which are based on BCBS standards. For additional information, see the “Capital management” and “Liquidity risk” sections of our 2022 Annual Report available on SEDAR at www.sedar.com.

(12)	Ratios reflect the expected credit loss transitional arrangement announced by OSFI on March 27, 2020 in response to the onset of the COVID-19 pandemic.

(13)	Average for the three months ended for each respective period.

n/a	Not applicable.


CIBC Fourth Quarter 2022 News Release		4

Review of Canadian Personal and Business Banking fourth quarter results


$ millions, for the three months ended		2022 Oct. 31			2022 Jul. 31			2021 Oct. 31
Revenue	$	2,262		$	2,321		$	2,128
Provision for (reversal of) credit losses
Impaired		158			136			87
Performing		147			64			77
Total provision for credit losses		305			200			164
Non-interest expenses		1,313			1,313			1,152
Income before income taxes		644			808			812
Income taxes		173			213			215
Net income	$	471		$	595		$	597
Net income attributable to:
Equity shareholders	$	471		$	595		$	597
Total revenue
Net interest income	$	1,720		$	1,767		$	1,542
Non-interest income⁽¹⁾		542			554			586
	$	2,262		$	2,321		$	2,128
Net interest margin on average interest-earning assets⁽²⁾⁽³⁾		2.19	%		2.29	%		2.17	%
Efficiency ratio		58.0	%		56.6	%		54.1	%
Operating leverage		(7.7	)%		(4.7	)%		(0.4	)%
Return on equity⁽⁴⁾		22.1	%		28.1	%		35.9	%
Average allocated common equity⁽⁴⁾	$	8,437		$	8,387		$	6,608
Full-time equivalent employees		13,840			13,576			12,629
Net income for the quarter was $471 million, down $126 million from the fourth quarter of 2021. Adjusted pre-provision, pre-tax earnings⁽⁴⁾ were $968 million, down $20 million from the fourth quarter of 2021, due to higher expenses partially offset by higher revenue.
Revenue of $2,262 million was up $134 million from the fourth quarter of 2021, primarily due to higher net interest income, mainly from volume growth in deposits and assets, including from the acquisition of the Canadian Costco credit card portfolio, partially offset by lower non-interest income.
Net interest margin on average interest-earning assets was up 2 basis points mainly due to higher deposit margins and the impact of the Costco credit card portfolio, partially offset by lower loan margins.
Provision for credit losses of $305 million was up $141 million from the fourth quarter of 2021, due to a higher provision for credit losses on performing loans reflective of an unfavourable change in our economic outlook, and a higher provision for credit losses on impaired loans related to higher write-offs and increased provisions reflective of higher impaired balances.
Non-interest expenses of $1,313 million were up $161 million from the fourth quarter of 2021 due to higher spending on strategic initiatives, including the Canadian Costco credit card portfolio, and higher employee-related compensation.

(1) Includes intersegment revenue, which represents internal sales commissions and revenue allocations under the Product Owner/Customer Segment/Distributor Channel allocation management model. (2) Average balances are calculated as a weighted average of daily closing balances. (3) Certain additional disclosures on the composition of these specified financial measures have been incorporated by reference and can be found in the “Glossary” section of our 2022 Annual Report, available on SEDAR at www.sedar.com. (4) This measure is a non-GAAP measure. For additional information, see the “Non-GAAP measures” section.


CIBC Fourth Quarter 2022 News Release		5

Review of Canadian Commercial Banking and Wealth Management fourth quarter results


$ millions, for the three months ended		2022 Oct. 31			2022 Jul. 31			2021 Oct. 31
Revenue
Commercial banking	$	601		$	604		$	489
Wealth management		715			734			751
Total revenue		1,316			1,338			1,240
Provision for (reversal of) credit losses
Impaired		14			9			6
Performing		7			1			(11)
Total provision for (reversal of) credit losses		21			10			(5)
Non-interest expenses		658			670			646
Income before income taxes		637			658			599
Income taxes		168			174			157
Net income	$	469		$	484		$	442
Net income attributable to:
Equity shareholders	$	469		$	484		$	442
Total revenue
Net interest income	$	452		$	442		$	352
Non-interest income⁽¹⁾		864			896			888
	$	1,316		$	1,338		$	1,240
Net interest margin on average interest-earning assets⁽²⁾⁽³⁾		3.38	%		3.40	%		3.28	%
Efficiency ratio		50.0	%		50.1	%		52.0	%
Operating leverage		4.1	%		2.4	%		1.1	%
Return on equity⁽⁴⁾		21.6	%		22.8	%		24.9	%
Average allocated common equity⁽⁴⁾	$	8,598		$	8,423		$	7,039
Full-time equivalent employees		5,711			5,668			5,241

Net income for the quarter was $469 million, up $27 million from the fourth quarter of 2021. Adjusted pre-provision, pre-tax earnings⁽⁴⁾ were $658 million, up $64 million from the fourth quarter of 2021, due to higher revenue partially offset by higher expenses.

Revenue of $1,316 million was up $76 million from the fourth quarter of 2021, driven mainly by higher net interest income from volume growth in loans, higher deposit spreads that benefited from the rising interest rate environment, and higher fees in commercial banking. Revenue in wealth management decreased due to market depreciation impacting AUA and AUM and lower commission revenue from decreased client activity, partially offset by the impact of volume growth and favourable rates in private banking.

Net interest margin on average interest-earning assets was up 10 basis points primarily due to higher deposit margins, partially offset by lower loan margins.

The current quarter included a provision for credit losses of $21 million, largely due to an unfavourable change in our economic outlook and a few impaired provisions, compared with a provision reversal of $5 million in the fourth quarter of 2021, mainly due to a favourable change in our economic outlook.

Non-interest expenses of $658 million were up $12 million from the fourth quarter of 2021, primarily due to higher spending on strategic initiatives and higher employee-related compensation.

(1)	Includes intersegment revenue, which represents internal sales commissions and revenue allocations under the Product Owner/Customer Segment/Distributor Channel allocation management model.

(2)	Average balances are calculated as a weighted average of daily closing balances.

(3)	Certain additional disclosures on the composition of these specified financial measures have been incorporated by reference and can be found in the “Glossary” section of our 2022 Annual Report, available on SEDAR at www.sedar.com.

(4)	This measure is a non-GAAP measure. For additional information, see the “Non-GAAP measures” section.


CIBC Fourth Quarter 2022 News Release		6

Review of U.S. Commercial Banking and Wealth Management fourth quarter results in Canadian dollars


$ millions, for the three months ended		2022 Oct. 31			2022 Jul. 31			2021 Oct. 31
Revenue
Commercial banking	$	432		$	388		$	366
Wealth management⁽¹⁾		221			216			196
Total revenue⁽²⁾		653			604			562
Provision for (reversal of) credit losses
Impaired		34			15			8
Performing		66			20			(59)
Total provision for (reversal of) credit losses		100			35			(51)
Non-interest expenses		356			334			296
Income before income taxes		197			235			317
Income taxes		36			42			61
Net income	$	161		$	193		$	256
Net income attributable to:
Equity shareholders	$	161		$	193		$	256
Total revenue⁽²⁾
Net interest income	$	466		$	415		$	368
Non-interest income		187			189			194
	$	653		$	604		$	562
Net interest margin on average interest-earning assets⁽³⁾⁽⁴⁾		3.49	%		3.36	%		3.48	%
Efficiency ratio		54.5	%		55.3	%		52.5	%
Return on equity⁽⁵⁾		5.8	%		7.3	%		11.2	%
Average allocated common equity⁽⁵⁾	$	11,015		$	10,534		$	9,085
Full-time equivalent employees		2,472			2,395			2,170

Review of U.S. Commercial Banking and Wealth Management fourth quarter results in U.S. dollars
$ millions, for the three months ended		2022 Oct. 31			2022 Jul. 31			2021 Oct. 31
Revenue
Commercial banking	$	320		$	304		$	293
Wealth management⁽¹⁾		163			169			155
Total revenue⁽²⁾		483			473			448
Provision for (reversal of) credit losses
Impaired		25			12			7
Performing		51			16			(47)
Total provision for (reversal of) credit losses		76			28			(40)
Non-interest expenses		264			261			235
Income before income taxes		143			184			253
Income taxes		27			32			49
Net income	$	116		$	152		$	204
Net income attributable to:
Equity shareholders	$	116		$	152		$	204
Total revenue⁽²⁾
Net interest income		346			325			293
Non-interest income		137			148			155
		483			473			448
Operating leverage		(4.1)	%		(9.3)	%		(1.9)	%

Net income for the quarter was $161 million (US$116 million), down $95 million (down US$88 million) from the fourth quarter of 2021. Adjusted pre-provision, pre-tax earnings⁽⁵⁾ were $314 million (US$232 million), up $32 million (up US$6 million) from the fourth quarter of 2021, due to higher net interest income, partially offset by higher expenses and lower fee income.

Revenue of US$483 million was up US$35 million from the fourth quarter of 2021, primarily due to higher loan and deposit volumes and the impact of rising rates, partially offset by lower asset management fees.

Net interest margin on average interest-earning assets was up 1 basis point primarily due to higher deposit margins, partially offset by lower loan margins and lower repayment fees due to the U.S. Paycheck Protection Program.

The current quarter included a provision for credit losses of US$76 million, largely due to an unfavourable change in our economic outlook, model parameter updates, unfavourable portfolio migration, and higher provisions in impaired loans, attributable to the real estate and construction, and oil and gas sectors. The fourth quarter of 2021 included a provision reversal of credit losses of US$40 million, due to a favourable change in our economic outlook driven by the recovery from the COVID-19 pandemic, and favourable portfolio migration.

Non-interest expenses of US$264 million were up US$29 million from the fourth quarter of 2021, primarily due to higher employee-related compensation and higher expenses related to investments in the business and infrastructure.

(1)	Includes revenue related to the U.S. Paycheck Protection Program.

(2)	Included $2 million (US$1 million) of income relating to the accretion of the acquisition date fair value discount on the acquired loans of The PrivateBank, for the quarter ended October 31, 2022 (July 31, 2022: $1 million (US$1 million); October 31, 2021: $3 million (US$3 million)).

(3)	Average balances are calculated as a weighted average of daily closing balances.

(4)	Certain additional disclosures on the composition of these specified financial measures have been incorporated by reference and can be found in the “Glossary” section of our 2022 Annual Report, available on SEDAR at www.sedar.com.

(5)	This measure is a non-GAAP measure. For additional information, see the “Non-GAAP measures” section.


CIBC Fourth Quarter 2022 News Release		7

Review of Capital Markets fourth quarter results


$ millions, for the three months ended		2022 Oct. 31			2022 Jul. 31			2021 Oct. 31
Revenue
Global markets	$	463		$	512		$	420
Corporate and investment banking		440			432			382
Direct financial services		279			255			210
Total revenue⁽¹⁾		1,182			1,199			1,012
Provision for (reversal of) credit losses
Impaired		(5)			(15)			-
Performing		4			6			(34)
Total provision for (reversal of) credit losses		(1)			(9)			(34)
Non-interest expenses		656			593			528
Income before income taxes		527			615			518
Income taxes⁽¹⁾		149			168			140
Net income	$	378		$	447		$	378
Net income attributable to:
Equity shareholders	$	378		$	447		$	378
Efficiency ratio		55.4	%		49.5	%		52.2	%
Operating leverage		(7.1)	%		(7.2)	%		(7.2)	%
Return on equity⁽²⁾		15.8	%		19.3	%		19.7	%
Average allocated common equity⁽²⁾	$	9,522		$	9,200		$	7,632
Full-time equivalent employees		2,384			2,410			2,225

Reported net income for the quarter was $378 million, compared with reported net income of $378 million for the fourth quarter of 2021. Adjusted pre-provision, pre-tax earnings⁽²⁾ were up $42 million or 9% from the fourth quarter of 2021, due to higher revenue partially offset by higher expenses.

Revenue of $1,182 million was up $170 million from the fourth quarter of 2021. In global markets, revenue increased due to higher foreign exchange and fixed income trading revenue, partially offset by lower equity derivatives trading revenue. In corporate and investment banking, higher corporate banking and advisory revenue was partially offset by lower debt and equity underwriting activity. Direct Financial Services revenue increased due to higher revenue from Simplii Financial.

Provision reversal of credit losses was down $33 million from the fourth quarter of 2021, mainly due to a favourable change in our economic outlook in the same quarter last year.

Non-interest expenses of $656 million were up $128 million from the fourth quarter of 2021, primarily due to higher employee-related compensation and investments made in strategic business initiatives.

Review of Corporate and Other fourth quarter results


$ millions, for the three months ended		2022 Oct. 31		2022 Jul. 31		2021 Oct. 31
Revenue
International banking	$	220	$	189	$	180
Other		(245)		(80)		(58)
Total revenue⁽¹⁾		(25)		109		122
Provision for (reversal of) credit losses
Impaired		18		11		11
Performing		(7)		(4)		(7)
Total provision for credit losses		11		7		4
Non-interest expenses		500		273		513
Loss before income taxes		(536)		(171)		(395)
Income taxes⁽¹⁾		(242)		(118)		(162)
Net loss	$	(294)	$	(53)	$	(233)
Net income (loss) attributable to:
Non-controlling interests	$	7	$	6	$	4
Equity shareholders		(301)		(59)		(237)
Full-time equivalent employees		26,020		25,456		23,017

Net loss for the quarter was $294 million, compared with a net loss of $233 million for the fourth quarter of 2021. Adjusted pre-provision, pre-tax losses⁽²⁾ were up $155 million or 65% from the fourth quarter of 2021, due to lower revenue, partially offset by lower expenses.

Revenue was down $147 million from the fourth quarter of 2021, due to lower treasury revenue, partially offset by higher revenue in CIBC FirstCaribbean driven by the impact of foreign exchange translation, higher product margins, volume growth and fees.

Provision for credit losses was up $7 million from the fourth quarter of 2021, mainly due to a higher provision on impaired loans in CIBC FirstCaribbean.

Non-interest expenses of $500 million were down $13 million from the fourth quarter of 2021. Adjusted non-interest expenses⁽²⁾ of $369 million were up $8 million from the fourth quarter of 2021, primarily due to higher employee termination costs and higher expenses in CIBC FirstCaribbean, partially offset by lower unallocated corporate support costs.

Income tax benefit was up $80 million from the fourth quarter of 2021 primarily due to a higher loss.

(1)

Revenue and income taxes of Capital Markets are reported on a TEB. The equivalent amounts are offset in the revenue and income taxes of Corporate and Other. Accordingly, revenue and income taxes include a TEB adjustment of $51 million for the quarter ended October 31, 2022 (July 31, 2022: $48 million; October 31, 2021: $48 million).

(2)	This measure is a non-GAAP measure. For additional information, see the “Non-GAAP measures” section.


CIBC Fourth Quarter 2022 News Release		8

Consolidated balance sheet


$ millions, as at October 31	2022			2021

ASSETS

Cash and non-interest-bearing deposits with banks	$	31,535		$	34,573

Interest-bearing deposits with banks		32,326			22,424

Securities		175,879			161,401

Cash collateral on securities borrowed		15,326			12,368

Securities purchased under resale agreements		69,213			67,572

Loans

Residential mortgages		269,706			251,526

Personal		45,429			41,897

Credit card		16,479			11,134

Business and government		188,542			150,213

Allowance for credit losses		(3,073	)		(2,849	)

		517,083			451,921

Other

Derivative instruments		43,035			35,912

Customers’ liability under acceptances		11,574			10,958

Property and equipment		3,377			3,286

Goodwill		5,348			4,954

Software and other intangible assets		2,592			2,029

Investments in equity-accounted associates and joint ventures		632			658

Deferred tax assets		480			402

Other assets		35,197			29,225

		102,235			87,424

	$	943,597		$	837,683
LIABILITIES AND EQUITY
Deposits
Personal	$	232,095		$	213,932
Business and government		397,188			344,388
Bank		22,523			20,246
Secured borrowings		45,766			42,592
		697,572			621,158
Obligations related to securities sold short		15,284			22,790
Cash collateral on securities lent		4,853			2,463
Obligations related to securities sold under repurchase agreements		77,171			71,880
Other
Derivative instruments		52,340			32,101
Acceptances		11,586			10,961
Deferred tax liabilities		45			38
Other liabilities		28,072			24,923
		92,043			68,023
Subordinated indebtedness		6,292			5,539
Equity
Preferred shares and other equity instruments		4,923			4,325
Common shares		14,726			14,351
Contributed surplus		115			110
Retained earnings		28,823			25,793
Accumulated other comprehensive income (AOCI)		1,594			1,069
Total shareholders’ equity		50,181			45,648
Non-controlling interests		201			182
Total equity		50,382			45,830
	$	943,597		$	837,683


CIBC Fourth Quarter 2022 News Release		9

Consolidated statement of income


		For the three							For the twelve
		months ended							months ended
$ millions, except as noted	2022 Oct. 31			2022 Jul. 31		2021 Oct. 31		2022 Oct. 31		2021 Oct. 31
Interest income⁽¹⁾
Loans	$	5,806		$	4,449	$	3,103	$	16,874	$	12,150
Securities		1,243			884		527		3,422		2,141
Securities borrowed or purchased under resale agreements		669			308		75		1,175		319
Deposits with banks		474			159		32		708		131
		8,192			5,800		3,737		22,179		14,741
Interest expense
Deposits		4,177			2,123		612		7,887		2,651
Securities sold short		121			103		61		380		236
Securities lent or sold under repurchase agreements		564			252		42		943		208
Subordinated indebtedness		84			55		29		203		122
Other		61			31		13		125		65
		5,007			2,564		757		9,538		3,282
Net interest income		3,185			3,236		2,980		12,641		11,459
Non-interest income
Underwriting and advisory fees		143			120		151		557		713
Deposit and payment fees		221			222		216		880		797
Credit fees		331			324		295		1,286		1,152
Card fees		102			98		125		437		460
Investment management and custodial fees		428			435		441		1,760		1,621
Mutual fund fees		418			430		469		1,776		1,772
Insurance fees, net of claims		80			94		87		351		358
Commissions on securities transactions		79			87		101		378		426
Gains (losses) from financial instruments measured/designated at fair value through profit or loss (FVTPL), net		309			318		82		1,172		607
Gains (losses) from debt securities measured at fair value through other comprehensive income (FVOCI) and amortized cost, net		(6	)		6		22		35		90
Foreign exchange other than trading		25			76		50		242		276
Income from equity-accounted associates and joint ventures		9			11		11		47		55
Other		64			114		34		271		229
		2,203			2,335		2,084		9,192		8,556
Total revenue		5,388			5,571		5,064		21,833		20,015
Provision for credit losses		436			243		78		1,057		158
Non-interest expenses
Employee compensation and benefits		1,897			1,767		1,669		7,157		6,450
Occupancy costs		253			192		327		853		916
Computer, software and office equipment		598			606		552		2,297		2,030
Communications		89			90		76		352		318
Advertising and business development		101			90		87		334		237
Professional fees		82			76		95		313		277
Business and capital taxes		33			30		28		123		111
Other		430			332		301		1,374		1,196
		3,483			3,183		3,135		12,803		11,535
Income before income taxes		1,469			2,145		1,851		7,973		8,322
Income taxes		284			479		411		1,730		1,876
Net income	$	1,185		$	1,666	$	1,440	$	6,243	$	6,446
Net income attributable to non-controlling interests	$	7		$	6	$	4	$	23	$	17
Preferred shareholders and other equity instrument holders	$	37		$	46	$	47	$	171	$	158
Common shareholders		1,141			1,614		1,389		6,049		6,271
Net income attributable to equity shareholders	$	1,178		$	1,660	$	1,436	$	6,220	$	6,429
Earnings per share (in dollars)⁽²⁾
Basic	$	1.26		$	1.79	$	1.54	$	6.70	$	6.98
Diluted		1.26			1.78		1.54		6.68		6.96
Dividends per common share (in dollars)⁽²⁾		0.83			0.83		0.73		3.27		2.92

(1)	Interest income included $7.6 billion for the quarter ended October 31, 2022 (July 31, 2022: $5.2 billion; October 31, 2021: $3.4 billion) calculated based on the effective interest rate method.

(2)


CIBC Fourth Quarter 2022 News Release		10

Consolidated statement of comprehensive income


		For the three									For the twelve
		months ended									months ended
		2022			2022			2021			2022			2021
$ millions		Oct. 31			Jul. 31			Oct. 31			Oct. 31			Oct. 31
Net income	$	1,185		$	1,666		$	1,440		$	6,243		$	6,446
Other comprehensive income (loss) (OCI), net of income tax, that is subject to subsequent reclassification to net income
Net foreign currency translation adjustments
Net gains (losses) on investments in foreign operations		2,691			(136	)		(301	)		4,043			(2,610	)
Net gains (losses) on hedges of investments in foreign operations		(1,510	)		81			172			(2,290	)		1,495
		1,181			(55	)		(129	)		1,753			(1,115	)
Net change in debt securities measured at FVOCI
Net gains (losses) on securities measured at FVOCI		(107	)		(104	)		(33	)		(784	)		(50	)
Net (gains) losses reclassified to net income		5			(5	)		(15	)		(25	)		(66	)
		(102	)		(109	)		(48	)		(809	)		(116	)
Net change in cash flow hedges
Net gains (losses) on derivatives designated as cash flow hedges		(488	)		(121	)		(187	)		(1,351	)		178
Net (gains) losses reclassified to net income		50			248			32			552			(315	)
		(438	)		127			(155	)		(799	)		(137	)
OCI, net of income tax, that is not subject to subsequent reclassification to net income
Net gains (losses) on post-employment defined benefit plans		(198	)		(32	)		254			198			917
Net gains (losses) due to fair value change of fair value option (FVO) liabilities attributable to changes in credit risk		40			75			17			262			12
Net gains (losses) on equity securities designated at FVOCI		(5	)		(84	)		30			(35	)		100
		(163	)		(41	)		301			425			1,029

Total OCI⁽¹⁾		478			(78	)		(31	)		570			(339	)
Comprehensive income	$	1,663		$	1,588		$	1,409		$	6,813		$	6,107
Comprehensive income attributable to non-controlling interests	$	7		$	6		$	4		$	23		$	17
Preferred shareholders and other equity instrument holders	$	37		$	46		$	47		$	171		$	158
Common shareholders		1,619			1,536			1,358			6,619			5,932
Comprehensive income attributable to equity shareholders	$	1,656		$	1,582		$	1,405		$	6,790		$	6,090

(1) Includes $48 million of losses for the quarter ended October 31, 2022 (July 31, 2022: $43 million of losses; October 31, 2021: $9 million of losses), relating to our investments in equity-accounted associates and joint ventures.
		For the three									For the twelve
		months ended									months ended
		2022			2022			2021			2022			2021
$ millions		Oct. 31			Jul. 31			Oct. 31			Oct. 31			Oct. 31
Income tax (expense) benefit allocated to each component of OCI
Subject to subsequent reclassification to net income
Net foreign currency translation adjustments
Net gains (losses) on investments in foreign operations	$	(91	)	$	5		$	11		$	(136	)	$	45
Net gains (losses) on hedges of investments in foreign operations		82			(5	)		(10	)		131			(53	)
		(9	)		-			1			(5	)		(8	)
Net change in debt securities measured at FVOCI
Net gains (losses) on securities measured at FVOCI		15			12			5			160			(11	)
Net (gains) losses reclassified to net income		(2	)		2			5			9			23
		13			14			10			169			12
Net change in cash flow hedges
Net gains (losses) on derivatives designated as cash flow hedges		174			43			66			482			(64	)
Net (gains) losses reclassified to net income		(18	)		(88	)		(11	)		(197	)		112
		156			(45	)		55			285			48
Not subject to subsequent reclassification to net income
Net gains (losses) on post-employment defined benefit plans		44			12			(74	)		(97	)		(311	)
Net gains (losses) due to fair value change of FVO liabilities attributable to changes in credit risk		(14	)		(27	)		(6	)		(93	)		(4	)
Net gains (losses) on equity securities designated at FVOCI		2			28			(10	)		9			(34	)
		32			13			(90	)		(181	)		(349	)

	$	192		$	(18	)	$	(24	)	$	268		$	(297	)


CIBC Fourth Quarter 2022 News Release		11

Consolidated statement of changes in equity


		For the three									For the twelve
		months ended									months ended
		2022			2022			2021			2022			2021
$ millions		Oct. 31			Jul. 31			Oct. 31			Oct. 31			Oct. 31
Preferred shares and other equity instruments
Balance at beginning of period	$	4,325		$	4,325		$	3,575		$	4,325		$	3,575
Issue of preferred shares and limited recourse capital notes		600			800			750			1,400			750
Redemption of preferred shares		-			(800	)		-			(800	)		-
Treasury shares		(2	)		-			-			(2	)		-
Balance at end of period	$	4,923		$	4,325		$	4,325		$	4,923		$	4,325
Common shares
Balance at beginning of period	$	14,643		$	14,545		$	14,252		$	14,351		$	13,908
Issue of common shares		81			95			99			401			458
Purchase of common shares for cancellation		-			-			-			(29	)		-
Treasury shares		2			3			-			3			(15	)
Balance at end of period	$	14,726		$	14,643		$	14,351		$	14,726		$	14,351
Contributed surplus
Balance at beginning of period	$	107		$	115		$	117		$	110		$	117
Compensation expense arising from equity-settled share-based awards		9			3			2			24			19
Exercise of stock options and settlement of other equity-settled share-based awards		(1	)		(11	)		(14	)		(20	)		(43	)
Other		-			-			5			1			17
Balance at end of period	$	115		$	107		$	110		$	115		$	110
Retained earnings
Balance at beginning of period	$	28,439		$	27,567		$	25,055		$	25,793		$	22,119
Net income attributable to equity shareholders		1,178			1,660			1,436			6,220			6,429
Dividends and distributions
Preferred and other equity instruments		(37	)		(46	)		(47	)		(171	)		(158	)
Common		(752	)		(750	)		(657	)		(2,954	)		(2,622	)
Premium on purchase of common shares for cancellation		-			-			-			(105	)		-
Realized gains (losses) on equity securities designated at FVOCI reclassified from AOCI		(1	)		9			9			45			27
Other		(4	)		(1	)		(3	)		(5	)		(2	)
Balance at end of period	$	28,823		$	28,439		$	25,793		$	28,823		$	25,793
AOCI, net of income tax
AOCI, net of income tax, that is subject to subsequent reclassification to net income
Net foreign currency translation adjustments
Balance at beginning of period	$	630		$	685		$	187		$	58		$	1,173
Net change in foreign currency translation adjustments		1,181			(55	)		(129	)		1,753			(1,115	)
Balance at end of period	$	1,811		$	630		$	58		$	1,811		$	58
Net gains (losses) on debt securities measured at FVOCI
Balance at beginning of period	$	(514	)	$	(405	)	$	241		$	193		$	309
Net change in securities measured at FVOCI		(102	)		(109	)		(48	)		(809	)		(116	)
Balance at end of period	$	(616	)	$	(514	)	$	193		$	(616	)	$	193
Net gains (losses) on cash flow hedges
Balance at beginning of period	$	(224	)	$	(351	)	$	292		$	137		$	274
Net change in cash flow hedges		(438	)		127			(155	)		(799	)		(137	)
Balance at end of period	$	(662	)	$	(224	)	$	137		$	(662	)	$	137
AOCI, net of income tax, that is not subject to subsequent reclassification to net income
Net gains (losses) on post-employment defined benefit plans
Balance at beginning of period	$	1,030		$	1,062		$	380		$	634		$	(283	)
Net change in post-employment defined benefit plans		(198	)		(32	)		254			198			917
Balance at end of period	$	832		$	1,030		$	634		$	832		$	634
Net gains (losses) due to fair value change of FVO liabilities attributable to changes in credit risk
Balance at beginning of period	$	194		$	119		$	(45	)	$	(28	)	$	(40	)
Net change attributable to changes in credit risk		40			75			17			262			12
Balance at end of period	$	234		$	194		$	(28	)	$	234		$	(28	)
Net gains (losses) on equity securities designated at FVOCI
Balance at beginning of period	$	(1	)	$	92		$	54		$	75		$	2
Net gains (losses) on equity securities designated at FVOCI		(5	)		(84	)		30			(35	)		100
Realized gains (losses) on equity securities designated at FVOCI reclassified to retained earnings		1			(9	)		(9	)		(45	)		(27	)
Balance at end of period	$	(5	)	$	(1	)	$	75		$	(5	)	$	75
Total AOCI, net of income tax	$	1,594		$	1,115		$	1,069		$	1,594		$	1,069
Non-controlling interests
Balance at beginning of period	$	195		$	193		$	177		$	182		$	181
Net income attributable to non-controlling interests		7			6			4			23			17
Dividends		(2	)		(2	)		(6	)		(8	)		(9	)
Other		1			(2	)		7			4			(7	)
Balance at end of period	$	201		$	195		$	182		$	201		$	182
Equity at end of period	$	50,382		$	48,824		$	45,830		$	50,382		$	45,830


CIBC Fourth Quarter 2022 News Release		12

Consolidated statement of cash flows


		For the three									For the twelve
		months ended									months ended
		2022			2022			2021			2022			2021
$ millions		Oct. 31			Jul. 31			Oct. 31			Oct. 31			Oct. 31
Cash flows provided by (used in) operating activities
Net income	$	1,185		$	1,666		$	1,440		$	6,243		$	6,446
Adjustments to reconcile net income to cash flows provided by (used in) operating activities:
Provision for credit losses		436			243			78			1,057			158
Amortization and impairment ⁽¹⁾		278			260			287			1,047			1,017
Stock options and restricted shares expense		9			3			2			24			19
Deferred income taxes		(118	)		(31	)		(11	)		(46	)		(41	)
Losses (gains) from debt securities measured at FVOCI and amortized cost		6			(6	)		(22	)		(35	)		(90	)
Net losses (gains) on disposal of land, buildings and equipment		3			(9	)		-			(6	)		-
Other non-cash items, net		(786	)		(278	)		470			(1,126	)		927
Net changes in operating assets and liabilities
Interest-bearing deposits with banks		(12,942	)		7,868			(2,362	)		(9,902	)		(3,437	)
Loans, net of repayments		(13,188	)		(14,320	)		(14,462	)		(65,000	)		(46,883	)
Deposits, net of withdrawals		20,188			9,169			18,948			74,511			47,521
Obligations related to securities sold short		(4,895	)		1,209			975			(7,506	)		6,827
Accrued interest receivable		(532	)		(188	)		(170	)		(959	)		46
Accrued interest payable		839			222			114			1,228			(419	)
Derivative assets		(6,740	)		10,382			(1,546	)		(7,073	)		(3,172	)
Derivative liabilities		12,991			(5,515	)		2,797			20,622			1,582
Securities measured at FVTPL		3,718			(3,061	)		(191	)		4,949			(9,552	)
Other assets and liabilities measured/designated at FVTPL		2,173			3,438			6,081			9,404			7,277
Current income taxes		171			69			37			(809	)		543
Cash collateral on securities lent		1,554			205			(1,148	)		2,390			639
Obligations related to securities sold under repurchase agreements		13,233			(3,131	)		1,533			3,680			(2,248	)
Cash collateral on securities borrowed		(49	)		(654	)		928			(2,958	)		(3,821	)
Securities purchased under resale agreements		(9,078	)		4,154			(4,662	)		(1,641	)		(1,977	)
Other, net		409			(3,747	)		(812	)		(5,379	)		(4,694	)
		8,865			7,948			8,304			22,715			(3,332	)
Cash flows provided by (used in) financing activities
Issue of subordinated indebtedness		-			-			-			1,000			1,000
Redemption/repurchase/maturity of subordinated indebtedness		(2	)		-			-			(2	)		(1,008	)
Issue of preferred shares and limited recourse capital notes, net of issuance cost		597			798			748			1,395			748
Redemption of preferred shares		-			(800	)		-			(800	)		-
Issue of common shares for cash		40			44			51			228			284
Purchase of common shares for cancellation		-			-			-			(134	)		-
Net sale (purchase) of treasury shares		-			3			-			1			(15	)
Dividends and distributions paid		(750	)		(755	)		(670	)		(2,972	)		(2,649	)
Repayment of lease liabilities		(86	)		(81	)		(82	)		(326	)		(305	)
		(201	)		(791	)		47			(1,610	)		(1,945	)
Cash flows provided by (used in) investing activities
Purchase of securities measured/designated at FVOCI and amortized cost		(16,689	)		(13,782	)		(15,249	)		(70,954	)		(49,896	)
Proceeds from sale of securities measured/designated at FVOCI and amortized cost		6,298			4,679			5,748			23,183			23,917
Proceeds from maturity of debt securities measured at FVOCI and amortized cost		7,555			7,410			5,780			27,574			23,312
Acquisition of Canadian Costco credit card portfolio		(7	)		-			-			(3,085	)		-
Net sale (purchase) of property, equipment, software and other intangible assets		(392	)		(272	)		(270	)		(1,109	)		(839	)
		(3,235	)		(1,965	)		(3,991	)		(24,391	)		(3,506	)
Effect of exchange rate changes on cash and non-interest-bearing deposits with banks		156			(10	)		(21	)		248			(175	)
Net increase (decrease) in cash and non-interest-bearing deposits with banks during the period		5,585			5,182			4,339			(3,038	)		(8,958	)
Cash and non-interest-bearing deposits with banks at beginning of period		25,950			20,768			30,234			34,573			43,531
Cash and non-interest-bearing deposits with banks at end of period ⁽²⁾	$	31,535		$	25,950		$	34,573		$	31,535		$	34,573
Cash interest paid	$	4,168		$	2,342		$	643		$	8,310		$	3,701
Cash interest received		7,368			5,349			3,363			20,120			13,890
Cash dividends received		292			263			204			1,100			897
Cash income taxes paid		231			441			385			2,585			1,374

(1)	Comprises amortization and impairment of buildings, right-of-use assets, furniture, equipment, leasehold improvements, software and other intangible assets, and goodwill.

(2)	Includes restricted cash of $493 million (July 31, 2022: $482 million; October 31, 2021: $446 million) and interest-bearing demand deposits with Bank of Canada.


CIBC Fourth Quarter 2022 News Release		13

Non-GAAP measures

We use a number of financial measures to assess the performance of our business lines. Some measures are calculated in accordance with International Financial Reporting Standards (IFRS or GAAP), while other measures do not have a standardized meaning under GAAP, and accordingly, these measures may not be comparable to similar measures used by other companies. Investors may find these non-GAAP measures, which include non-GAAP financial measures and non-GAAP ratios as defined in National Instrument 52-112 “Non-GAAP and Other Financial Measures Disclosure”, useful in understanding how management views underlying business performance.

Management assesses results on a reported and adjusted basis and considers both as useful measures of performance. Adjusted measures, which include adjusted total revenue, adjusted provision for credit losses, adjusted non-interest expenses, adjusted income before income taxes, adjusted income taxes, adjusted net income and adjusted pre-provision, pre-tax earnings, remove items of note from reported results to calculate our adjusted results. Adjusted measures represent non-GAAP measures. Non-GAAP ratios include an adjusted measure as one or more of their components. Non-GAAP ratios include adjusted diluted EPS, adjusted efficiency ratio, adjusted operating leverage, adjusted dividend payout ratio, adjusted return on common shareholders’ equity and adjusted effective tax rate.

Certain additional disclosures for these specified financial measures have been incorporated by reference and can be found in the “Non-GAAP measures” section of our 2022 Annual Report available on SEDAR at www.sedar.com.

The following table provides a reconciliation of GAAP (reported) net income to non-GAAP (adjusted) pre-provision, pre-tax earnings on a segmented basis.


$ millions, for the three months ended October 31, 2022	Canadian Personal and Business Banking		Canadian Commercial Banking and Wealth Management	U.S. Commercial Banking and Wealth Management		Capital Markets		Corporate and Other		CIBC Total		U.S. Commercial Banking and Wealth Management (US$ millions)

Operating results – reported

Total revenue	$ 2,262		$ 1,316	$ 653		$ 1,182		$ (25	)	$ 5,388		$ 483

Provision for (reversal of) credit losses	305		21	100		(1	)	11		436		76

Non-interest expenses	1,313		658	356		656		500		3,483		264

Income (loss) before income taxes	644		637	197		527		(536	)	1,469		143

Income taxes	173		168	36		149		(242	)	284		27

Net income (loss)	471		469	161		378		(294	)	1,185		116

Net income attributable to non-controlling interests	-		-	-		-		7		7		-

Net income (loss) attributable to equity shareholders	471		469	161		378		(301	)	1,178		116

Diluted EPS ($)⁽¹⁾										$ 1.26

Impact of items of note⁽²⁾

Revenue

Acquisition and integration-related costs as well as purchase accounting adjustments⁽³⁾	$ (6	)	$ -	$ -		$ -		$ -		$ (6	)	$ -

Impact of items of note on revenue	(6	)	-	-		-		-		(6	)	-

Non-interest expenses

Amortization of acquisition-related intangible assets	(7	)	-	(17	)	-		(3	)	(27	)	(13	)

Acquisition and integration-related costs as well as purchase accounting adjustments⁽³⁾	(18	)	-	-		-		-		(18	)	-

Charge related to the consolidation of our real estate portfolio	-		-	-		-		(37	)	(37	)	-

Increase in legal provisions	-		-	-		-		(91	)	(91	)	-

Impact of items of note on non-interest expenses	(25	)	-	(17	)	-		(131	)	(173	)	(13	)

Total pre-tax impact of items of note on net income	19		-	17		-		131		167		13

Income taxes

Amortization of acquisition-related intangible assets	1		-	5		-		-		6		4

Acquisition and integration-related costs as well as purchase accounting adjustments⁽³⁾	4		-	-		-		-		4		-

Charge related to the consolidation of our real estate portfolio	-		-	-		-		10		10		-

Increase in legal provisions	-		-	-		-		24		24		-

Impact of items of note on income taxes	5		-	5		-		34		44		4

Total after-tax impact of items of note on net income	$ 14		$ -	$ 12		$ -		$ 97		$ 123		$ 9

Impact of items of note on diluted EPS ($)⁽¹⁾										$ 0.13

Operating results – adjusted⁽⁴⁾

Total revenue – adjusted⁽⁵⁾	$ 2,256		$ 1,316	$ 653		$ 1,182		$ (25	)	$ 5,382		$ 483

Provision for (reversal of) credit losses – adjusted	305		21	100		(1	)	11		436		76

Non-interest expenses – adjusted	1,288		658	339		656		369		3,310		251

Income (loss) before income taxes – adjusted	663		637	214		527		(405	)	1,636		156

Income taxes – adjusted	178		168	41		149		(208	)	328		31

Net income (loss) – adjusted	485		469	173		378		(197	)	1,308		125

Net income attributable to non-controlling interests – adjusted	-		-	-		-		7		7		-

Net income (loss) attributable to equity shareholders – adjusted	485		469	173		378		(204	)	1,301		125

Adjusted diluted EPS ($)⁽¹⁾										$ 1.39

(1)

(2)	Items of note are removed from reported results to calculate adjusted results.

(3)

Acquisition and integration costs are comprised of incremental costs incurred as part of planning for and executing the integration of the Canadian Costco credit card portfolio, including enabling franchising opportunities, the upgrade and conversion of systems and processes, project delivery, communication costs and client welcome bonuses. Purchase accounting adjustments include the accretion of the acquisition date fair value discount on the acquired Canadian Costco credit card receivables. Provision for credit losses for performing loans associated with the acquisition of the Canadian Costco credit card portfolio, shown as an item of note in the second quarter of 2022 included the stage 1 ECL allowance established immediately after the acquisition date and the impact of the migration of stage 1 accounts to stage 2 during the second quarter of 2022.

(4)	Adjusted to exclude the impact of items of note. Adjusted measures are non-GAAP measures.

(5)	CIBC total results excludes a tax equivalent basis (TEB) adjustment of $51 million (July 31, 2022: $48 million; October 31, 2021: $48 million). Our adjusted efficiency ratio and adjusted operating leverage are calculated on a TEB.


CIBC Fourth Quarter 2022 News Release		14

The following table provides a reconciliation of GAAP (reported) net income to non-GAAP (adjusted) pre-provision, pre-tax earnings on a segmented basis.


$ millions, for the three months ended July 31, 2022	Canadian Personal and Business Banking		Canadian Commercial Banking and Wealth Management		U.S. Commercial Banking and Wealth Management		Capital Markets		Corporate and Other		CIBC Total		U.S. Commercial Banking and Wealth Management (US$ millions)

Operating results – reported

Total revenue	$	2,321	$	1,338	$	604	$	1,199	$	109	$	5,571	$	473

Provision for (reversal of) credit losses		200		10		35		(9)		7		243		28

Non-interest expenses		1,313		670		334		593		273		3,183		261

Income (loss) before income taxes		808		658		235		615		(171)		2,145		184

Income taxes		213		174		42		168		(118)		479		32

Net income (loss)		595		484		193		447		(53)		1,666		152

Net income attributable to non-controlling interests		-		-		-		-		6		6		-

Net income (loss) attributable to equity shareholders		595		484		193		447		(59)		1,660		152

Diluted EPS ($)⁽¹⁾											$	1.78

Impact of items of note⁽²⁾

Revenue

Acquisition and integration-related costs as well as purchase accounting adjustments⁽³⁾	$	(6)	$	-	$	-	$	-	$	-	$	(6)	$	-

Impact of items of note on revenue		(6)		-		-		-		-		(6)		-

Non-interest expenses

Amortization of acquisition-related intangible assets		(7)		-		(17)		-		(3)		(27)		(13)

Acquisition and integration-related costs as well as purchase accounting adjustments⁽³⁾		(56)		-		-		-		-		(56)		-

Impact of items of note on non-interest expenses		(63)		-		(17)		-		(3)		(83)		(13)

Total pre-tax impact of items of note on net income		57		-		17		-		3		77		13

Income taxes

Amortization of acquisition-related intangible assets		3		-		4		-		-		7		3

Acquisition and integration-related costs as well as purchase accounting adjustments⁽³⁾		12		-		-		-		-		12		-

Impact of items of note on income taxes		15		-		4		-		-		19		3

Total after-tax impact of items of note on net income	$	42	$	-	$	13	$	-	$	3	$	58	$	10

Impact of items of note on diluted EPS ($)⁽¹⁾											$	0.07

Operating results – adjusted⁽⁴⁾

Total revenue – adjusted⁽⁵⁾	$	2,315	$	1,338	$	604	$	1,199	$	109	$	5,565	$	473

Provision for (reversal of) credit losses – adjusted		200		10		35		(9)		7		243		28

Non-interest expenses – adjusted		1,250		670		317		593		270		3,100		248

Income (loss) before income taxes – adjusted		865		658		252		615		(168)		2,222		197

Income taxes – adjusted		228		174		46		168		(118)		498		35

Net income (loss) – adjusted		637		484		206		447		(50)		1,724		162

Net income attributable to non-controlling interests – adjusted		-		-		-		-		6		6		-

Net income (loss) attributable to equity shareholders – adjusted		637		484		206		447		(56)		1,718		162

Adjusted diluted EPS ($)⁽¹⁾											$	1.85

See previous page for footnote references.


CIBC Fourth Quarter 2022 News Release		15

The following table provides a reconciliation of GAAP (reported) net income to non-GAAP (adjusted) pre-provision, pre-tax earnings on a segmented basis.


$ millions, for the three months ended October 31, 2021	Canadian Personal and Business Banking		Canadian Commercial Banking and Wealth Management		U.S. Commercial Banking and Wealth Management		Capital Markets		Corporate and Other		CIBC Total		U.S. Commercial Banking and Wealth Management (US$ millions)

Operating results – reported

Total revenue	$	2,128	$	1,240	$	562	$	1,012	$	122	$	5,064	$	448

Provision for (reversal of) credit losses		164		(5)		(51)		(34)		4		78		(40)

Non-interest expenses		1,152		646		296		528		513		3,135		235

Income (loss) before income taxes		812		599		317		518		(395)		1,851		253

Income taxes		215		157		61		140		(162)		411		49

Net income (loss)		597		442		256		378		(233)		1,440		204

Net income attributable to non-controlling interests		-		-		-		-		4		4		-

Net income (loss) attributable to equity shareholders		597		442		256		378		(237)		1,436		204

Diluted EPS ($)⁽¹⁾											$	1.54

Impact of items of note⁽²⁾

Non-interest expenses

Amortization of acquisition-related intangible assets	$	-	$	-	$	(16)	$	-	$	(3)	$	(19)	$	(13)

Acquisition and integration-related costs⁽³⁾		(12)		-		-		-		-		(12)		-

Charge related to the consolidation of our real estate portfolio		-		-		-		-		(109)		(109)		-

Increase in legal provisions		-		-		-		-		(40)		(40)		-

Impact of items of note on non-interest expenses		(12)		-		(16)		-		(152)		(180)		(13)

Total pre-tax impact of items of note on net income		12		-		16		-		152		180		13

Income taxes

Amortization of acquisition-related intangible assets		-		-		4		-		-		4		3

Acquisition and integration-related costs⁽³⁾		3		-		-		-		-		3		-

Charge related to the consolidation of our real estate portfolio		-		-		-		-		29		29		-

Increase in legal provisions		-		-		-		-		11		11		-

Impact of items of note on income taxes		3		-		4		-		40		47		3

Total after-tax impact of items of note on net income	$	9	$	-	$	12	$	-	$	112	$	133	$	10

Impact of items of note on diluted EPS ($)⁽¹⁾											$	0.14

Operating results – adjusted⁽⁴⁾

Total revenue – adjusted⁽⁵⁾	$	2,128	$	1,240	$	562	$	1,012	$	122	$	5,064	$	448

Provision for (reversal of) credit losses – adjusted		164		(5)		(51)		(34)		4		78		(40)

Non-interest expenses – adjusted		1,140		646		280		528		361		2,955		222

Income (loss) before income taxes – adjusted		824		599		333		518		(243)		2,031		266

Income taxes – adjusted		218		157		65		140		(122)		458		52

Net income (loss) – adjusted		606		442		268		378		(121)		1,573		214

Net income attributable to non-controlling interests – adjusted		-		-		-		-		4		4		-

Net income (loss) attributable to equity shareholders – adjusted		606		442		268		378		(125)		1,569		214

Adjusted diluted EPS ($)⁽¹⁾											$	1.68

See previous pages for footnote references.


CIBC Fourth Quarter 2022 News Release		16

The following table provides a reconciliation of GAAP (reported) net income to non-GAAP (adjusted) pre-provision, pre-tax earnings on a segmented basis.


$ millions, for the twelve months ended October 31, 2022	Canadian Personal and Business Banking		Canadian Commercial Banking and Wealth Management		U.S. Commercial Banking and Wealth Management		Capital Markets		Corporate and Other		CIBC Total		U.S. Commercial Banking and Wealth Management (US$ millions)

Operating results – reported

Total revenue	$	8,909	$	5,254	$	2,457	$	5,001	$	212	$	21,833	$	1,902

Provision for (reversal of) credit losses		876		23		218		(62)		2		1,057		169

Non-interest expenses		4,975		2,656		1,328		2,437		1,407		12,803		1,028

Income (loss) before income taxes		3,058		2,575		911		2,626		(1,197)		7,973		705

Income taxes		809		680		151		718		(628)		1,730		117

Net income (loss)		2,249		1,895		760		1,908		(569)		6,243		588

Net income attributable to non-controlling interests		-		-		-		-		23		23		-

Net income (loss) attributable to equity shareholders		2,249		1,895		760		1,908		(592)		6,220		588

Diluted EPS ($)⁽¹⁾											$	6.68

Impact of items of note⁽²⁾

Revenue

Acquisition and integration-related costs as well as purchase accounting adjustments and provision for credit losses for performing loans⁽³⁾	$	(16)	$	-	$	-	$	-	$	-	$	(16)	$	-

Impact of items of note on revenue		(16)		-		-		-		-		(16)		-

Provision for (reversal of) credit losses

Acquisition and integration-related costs as well as purchase accounting adjustments and provision for credit losses for performing loans⁽³⁾		(94)		-		-		-		-		(94)		-

Impact of items of note on provision for (reversal of) credit losses		(94)		-		-		-		-		(94)		-

Non-interest expenses

Amortization of acquisition-related intangible assets		(18)	$	-		(68)		-		(12)		(98)		(53)

Acquisition and integration-related costs as well as purchase accounting adjustments and provision for credit losses for performing loans⁽³⁾		(103)		-		-		-		-		(103)		-

Charge related to the consolidation of our real estate portfolio		-		-		-		-		(37)		(37)		-

Increase in legal provisions		-		-		-		-		(136)		(136)		-

Impact of items of note on non-interest expenses		(121)		-		(68)		-		(185)		(374)		(53)

Total pre-tax impact of items of note on net income		199		-		68		-		185		452		53

Income taxes

Amortization of acquisition-related intangible assets		4		-		18		-		1		23		14

Acquisition and integration-related costs as well as purchase accounting adjustments and provision for credit losses for performing loans⁽³⁾		48		-		-		-		-		48		-

Charge related to the consolidation of our real estate portfolio		-		-		-		-		10		10		-

Increase in legal provisions		-		-		-		-		36		36		-

Impact of items of note on income taxes		52		-		18		-		47		117		14

Total after-tax impact of items of note on net income	$	147	$	-	$	50	$	-	$	138	$	335	$	39

Impact of items of note on diluted EPS ($)⁽¹⁾											$	0.37

Operating results – adjusted⁽⁴⁾

Total revenue – adjusted⁽⁵⁾	$	8,893	$	5,254	$	2,457	$	5,001	$	212	$	21,817	$	1,902

Provision for (reversal of) credit losses – adjusted		782		23		218		(62)		2		963		169

Non-interest expenses – adjusted		4,854		2,656		1,260		2,437		1,222		12,429		975

Income (loss) before income taxes – adjusted		3,257		2,575		979		2,626		(1,012)		8,425		758

Income taxes – adjusted		861		680		169		718		(581)		1,847		131

Net income (loss) – adjusted		2,396		1,895		810		1,908		(431)		6,578		627

Net income attributable to non-controlling interests – adjusted		-		-		-		-		23		23		-

Net income (loss) attributable to equity shareholders – adjusted		2,396		1,895		810		1,908		(454)		6,555		627

Adjusted diluted EPS ($)⁽¹⁾											$	7.05

See previous pages for footnote references.


CIBC Fourth Quarter 2022 News Release		17

The following table provides a reconciliation of GAAP (reported) net income to non-GAAP (adjusted) pre-provision, pre-tax earnings on a segmented basis.


$ millions, for the twelve months ended October 31, 2021	Canadian Personal and Business Banking		Canadian Commercial Banking and Wealth Management		U.S. Commercial Banking and Wealth Management		Capital Markets		Corporate and Other		CIBC Total		U.S. Commercial Banking and Wealth Management (US$ millions)
Operating results – reported
Total revenue	$	8,150	$	4,670	$	2,194	$	4,520	$	481	$	20,015	$	1,748
Provision for (reversal of) credit losses		350		(39)		(75)		(100)		22		158		(61)
Non-interest expenses		4,414		2,443		1,121		2,117		1,440		11,535		893
Income (loss) before income taxes		3,386		2,266		1,148		2,503		(981)		8,322		916
Income taxes		892		601		222		646		(485)		1,876		177
Net income (loss)		2,494		1,665		926		1,857		(496)		6,446		739
Net income attributable to non-controlling interests		-		-		-		-		17		17		-
Net income (loss) attributable to equity shareholders		2,494		1,665		926		1,857		(513)		6,429		739
Diluted EPS ($)⁽¹⁾											$	6.96
Impact of items of note⁽²⁾
Non-interest expenses
Amortization of acquisition-related intangible assets	$	-	$	-	$	(68)	$	-	$	(11)	$	(79)	$	(54)
Acquisition and integration-related costs⁽³⁾		(12)		-		-		-		-		(12)		-
Charge related to the consolidation of our real estate portfolio		-		-		-		-		(109)		(109)		-
Increase in legal provisions		-		-		-		-		(125)		(125)		-
Impact of items of note on non-interest expenses		(12)		-		(68)		-		(245)		(325)		(54)
Total pre-tax impact of items of note on net income		12		-		68		-		245		325		54
Income taxes
Amortization of acquisition-related intangible assets		-		-		18		-		1		19		14
Acquisition and integration-related costs⁽³⁾		3		-		-		-		-		3		-
Charge related to the consolidation of our real estate portfolio		-		-		-		-		29		29		-
Increase in legal provisions		-		-		-		-		33		33		-
Impact of items of note on income taxes		3		-		18		-		63		84		14
Total after-tax impact of items of note on net income	$	9	$	-	$	50	$	-	$	182	$	241	$	40
Impact of items of note on diluted EPS ($)⁽¹⁾											$	0.27
Operating results – adjusted⁽⁴⁾
Total revenue – adjusted⁽⁵⁾	$	8,150	$	4,670	$	2,194	$	4,520	$	481	$	20,015	$	1,748
Provision for (reversal of) credit losses – adjusted		350		(39)		(75)		(100)		22		158		(61)
Non-interest expenses – adjusted		4,402		2,443		1,053		2,117		1,195		11,210		839
Income (loss) before income taxes – adjusted		3,398		2,266		1,216		2,503		(736)		8,647		970
Income taxes – adjusted		895		601		240		646		(422)		1,960		191
Net income (loss) – adjusted		2,503		1,665		976		1,857		(314)		6,687		779
Net income attributable to non-controlling interests – adjusted		-		-		-		-		17		17		-
Net income (loss) attributable to equity shareholders – adjusted		2,503		1,665		976		1,857		(331)		6,670		779
Adjusted diluted EPS ($)⁽¹⁾											$	7.23

See previous pages for footnote references.


CIBC Fourth Quarter 2022 News Release		18

The following table provides a reconciliation of GAAP (reported) net income to non-GAAP (adjusted) pre-provision, pre-tax earnings on a segmented basis.


														U.S.
				Canadian		U.S.								Commercial
		Canadian		Commercial		Commercial								Banking
		Personal		Banking		Banking								and Wealth
		and Business		and Wealth		and Wealth		Capital		Corporate		CIBC		Management
$ millions, for the three months ended		Banking		Management		Management		Markets		and Other		Total		(US$ millions)
2022	Net income (loss)	$	471	$	469	$	161	$	378	$	(294)	$	1,185	$	116
Oct. 31	Add: provision for (reversal of) credit losses		305		21		100		(1)		11		436		76
	Add: income taxes		173		168		36		149		(242)		284		27
	Pre-provision (reversal), pre-tax earnings (losses)⁽¹⁾		949		658		297		526		(525)		1,905		219
	Pre-tax impact of items of note⁽²⁾		19		-		17		-		131		167		13
	Adjusted pre-provision (reversal), pre-tax earnings (losses)⁽³⁾	$	968	$	658	$	314	$	526	$	(394)	$	2,072	$	232
2022	Net income (loss)	$	595	$	484	$	193	$	447	$	(53)	$	1,666	$	152
Jul. 31	Add: provision for (reversal of) credit losses		200		10		35		(9)		7		243		28
	Add: income taxes		213		174		42		168		(118)		479		32
	Pre-provision (reversal), pre-tax earnings (losses)⁽¹⁾		1,008		668		270		606		(164)		2,388		212
	Pre-tax impact of items of note⁽²⁾		57		-		17		-		3		77		13
	Adjusted pre-provision (reversal), pre-tax earnings (losses)⁽³⁾	$	1,065	$	668	$	287	$	606	$	(161)	$	2,465	$	225
2021	Net income (loss)	$	597	$	442	$	256	$	378	$	(233)	$	1,440	$	204
Oct. 31	Add: provision for (reversal of) credit losses		164		(5)		(51)		(34)		4		78		(40)
	Add: income taxes		215		157		61		140		(162)		411		49
	Pre-provision (reversal), pre-tax earnings (losses)⁽¹⁾		976		594		266		484		(391)		1,929		213
	Pre-tax impact of items of note⁽²⁾		12		-		16		-		152		180		13
	Adjusted pre-provision (reversal), pre-tax earnings (losses)⁽³⁾	$	988	$	594	$	282	$	484	$	(239)	$	2,109	$	226

$ millions, for the twelve months ended
2022	Net income (loss)	$	2,249	$	1,895	$	760	$	1,908	$	(569)	$	6,243	$	588
Oct. 31	Add: provision for (reversal of) credit losses		876		23		218		(62)		2		1,057		169
	Add: income taxes		809		680		151		718		(628)		1,730		117
	Pre-provision (reversal), pre-tax earnings (losses)⁽¹⁾		3,934		2,598		1,129		2,564		(1,195)		9,030		874
	Pre-tax impact of items of note⁽²⁾⁽⁴⁾		105		-		68		-		185		358		53
	Adjusted pre-provision (reversal), pre-tax earnings (losses)⁽³⁾	$	4,039	$	2,598	$	1,197	$	2,564	$	(1,010)	$	9,388	$	927
2021	Net income (loss)	$	2,494	$	1,665	$	926	$	1,857	$	(496)	$	6,446	$	739
Oct. 31	Add: provision for (reversal of) credit losses		350		(39)		(75)		(100)		22		158		(61)
	Add: income taxes		892		601		222		646		(485)		1,876		177
	Pre-provision (reversal), pre-tax earnings (losses)⁽¹⁾		3,736		2,227		1,073		2,403		(959)		8,480		855
	Pre-tax impact of items of note⁽²⁾		12		-		68		-		245		325		54
	Adjusted pre-provision (reversal), pre-tax earnings (losses)⁽³⁾	$	3,748	$	2,227	$	1,141	$	2,403	$	(714)	$	8,805	$	909

(1)	Non-GAAP measure.

(2)	Items of note are removed from reported results to calculate adjusted results.

(3)	Adjusted to exclude the impact of items of note. Adjusted measures are non-GAAP measures.

(4)	Excludes the impact of the provision for credit losses for performing loans from the acquisition of the Canadian Costco credit card portfolio, as the amount is included in the add back of provision for (reversal of) credit losses.


CIBC Fourth Quarter 2022 News Release		19

Basis of presentation

The interim consolidated financial information in this news release is prepared in accordance with IFRS and is unaudited whereas the annual consolidated financial information is derived from audited financial statements. These interim consolidated financial statements follow the same accounting policies and methods of application as CIBC’s consolidated financial statements as at and for the year ended October 31, 2022.

Conference Call/Webcast

The conference call will be held at 7:30 a.m. (ET) and is available in English (416-340-2217, or toll-free 1-800-806-5484, passcode 1028175#) and French (514-392-1587, or toll-free 1-800-898-3989, passcode 7008374#). Participants are asked to dial in 10 minutes before the call. Immediately following the formal presentations, CIBC executives will be available to answer questions.

A live audio webcast of the conference call will also be available in English and French at www.cibc.com/en/about-cibc/investor-relations/quarterly-results.html.

Details of CIBC’s 2022 fourth quarter and fiscal year results, as well as a presentation to investors, will be available in English and French at www.cibc.com, Investor Relations section, prior to the conference call/webcast. We are not incorporating information contained on the website in this news release.

A telephone replay will be available in English (905-694-9451 or 1-800-408-3053, passcode 2796615#) and French (514-861-2272 or 1-800-408-3053, passcode 7602633#) until 11:59 p.m. (ET) January 1, 2023. The audio webcast will be archived at www.cibc.com/en/about-cibc/investor-relations/quarterly-results.html.

About CIBC

CIBC is a leading North American financial institution with 13 million personal banking, business, public sector and institutional clients. Across Personal and Business Banking, Commercial Banking and Wealth Management, and Capital Markets businesses, CIBC offers a full range of advice, solutions and services through its leading digital banking network, and locations across Canada, in the United States and around the world. Ongoing news releases and more information about CIBC can be found at https://www.cibc.com/en/about-cibc/media-centre.html.

For further information:

Investor Relations: Financial analysts, portfolio managers and other investors requiring financial information may contact:


Geoff Weiss, SVP	416-980-5093	geoffrey.weiss@cibc.com

Media Enquiries: Financial, business and trade media may contact:

Erica Belling	416-594-7251	erica.belling@cibc.com
Tom Wallis	416-980-4048	tom.wallis@cibc.com

The information below forms a part of this news release.

Nothing in CIBC’s corporate website (www.cibc.com) should be considered incorporated herein by reference.

The Board of Directors of CIBC reviewed this news release prior to it being issued.


CIBC Fourth Quarter 2022 News Release		20

A NOTE ABOUT FORWARD-LOOKING STATEMENTS:

From time to time, we make written or oral forward-looking statements within the meaning of certain securities laws, including in this news release, in other filings with Canadian securities regulators or the U.S. Securities and Exchange Commission, in other reports to shareholders, and in other communications. All such statements are made pursuant to the “safe harbour” provisions of, and are intended to be forward-looking statements under applicable Canadian and U.S. securities legislation, including the U.S. Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements made in the “Core business performance”, “Strong fundamentals”, and “Making a difference in our Communities” sections of this news release, and the Management’s Discussion and Analysis in our 2022 Annual Report under the heading “Economic and market environment – Outlook for calendar year 2023” and other statements about our operations, business lines, financial condition, risk management, priorities, targets, ongoing objectives, strategies, the regulatory environment in which we operate and outlook for calendar year 2023 and subsequent periods. Forward-looking statements are typically identified by the words “believe”, “expect”, “anticipate”, “intend”, “estimate”, “forecast”, “target”, “objective” and other similar expressions or future or conditional verbs such as “will”, “should”, “would” and “could”. By their nature, these statements require us to make assumptions, including the economic assumptions set out in the “Economic and market environment – Outlook for calendar year 2023” section of our 2022 Annual Report, as updated by quarterly reports, and are subject to inherent risks and uncertainties that may be general or specific. Given the continuing impact of high inflation, rising interest rates and the war in Ukraine on the global economy, financial markets, and our business, results of operations, reputation and financial condition, there is inherently more uncertainty associated with our assumptions as compared to prior periods. A variety of factors, many of which are beyond our control, affect our operations, performance and results, and could cause actual results to differ materially from the expectations expressed in any of our forward-looking statements. These factors include: inflationary pressures; global supply-chain disruptions; geopolitical risk, including from the war in Ukraine, the occurrence, continuance or intensification of public health emergencies, such as the COVID-19 pandemic, and any related government policies and actions; credit, market, liquidity, strategic, insurance, operational, reputation, conduct and legal, regulatory and environmental risk; currency value and interest rate fluctuations, including as a result of market and oil price volatility; the effectiveness and adequacy of our risk management and valuation models and processes; legislative or regulatory developments in the jurisdictions where we operate, including the Organisation for Economic Co-operation and Development Common Reporting Standard, and regulatory reforms in the United Kingdom and Europe, the Basel Committee on Banking Supervision’s global standards for capital and liquidity reform, and those relating to bank recapitalization legislation and the payments system in Canada; amendments to, and interpretations of, risk-based capital guidelines and reporting instructions, and interest rate and liquidity regulatory guidance; the resolution of legal and regulatory proceedings and related matters; the effect of changes to accounting standards, rules and interpretations; changes in our estimates of reserves and allowances; changes in tax laws; changes to our credit ratings; political conditions and developments, including changes relating to economic or trade matters; the possible effect on our business of international conflicts, such as the war in Ukraine, and terrorism; natural disasters, disruptions to public infrastructure and other catastrophic events; reliance on third parties to provide components of our business infrastructure; potential disruptions to our information technology systems and services; increasing cyber security risks which may include theft or disclosure of assets, unauthorized access to sensitive information, or operational disruption; social media risk; losses incurred as a result of internal or external fraud; anti-money laundering; the accuracy and completeness of information provided to us concerning clients and counterparties; the failure of third parties to comply with their obligations to us and our affiliates or associates; intensifying competition from established competitors and new entrants in the financial services industry including through internet and mobile banking; technological change; global capital market activity; changes in monetary and economic policy; general business and economic conditions worldwide, as well as in Canada, the U.S. and other countries where we have operations, including increasing Canadian household debt levels and global credit risks; climate change and other environmental and social risks; our success in developing and introducing new products and services, expanding existing distribution channels, developing new distribution channels and realizing increased revenue from these channels; changes in client spending and saving habits; our ability to attract and retain key employees and executives; our ability to successfully execute our strategies and complete and integrate acquisitions and joint ventures; the risk that expected benefits of an acquisition, merger or divestiture will not be realized within the expected time frame or at all; and our ability to anticipate and manage the risks associated with these factors. This list is not exhaustive of the factors that may affect any of our forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on our forward-looking statements. Any forward-looking statements contained in this news release represent the views of management only as of the date hereof and are presented for the purpose of assisting our shareholders and financial analysts in understanding our financial position, objectives and priorities and anticipated financial performance as at and for the periods ended on the dates presented, and may not be appropriate for other purposes. We do not undertake to update any forward-looking statement that is contained in this news release or in other communications except as required by law.


CIBC Fourth Quarter 2022 News Release		21