CIBC Announces First Quarter 2014 Results

 TORONTO, Feb. 27, 2014 /CNW/ - CIBC (TSX: CM) (NYSE: CM) today announced its  financial results for the first quarter ended January 31, 2014.  First quarter highlights:            --  Reported net income was $1,177 million, compared with $785             million for the first quarter a year ago, and $825 million for             the prior quarter.         --  Adjusted net income(1) was $951 million, compared with $882             million for the first quarter a year ago, and $894 million for             the prior quarter.         --  Reported diluted earnings per share was $2.88, compared with             $1.88 for the prior year quarter, and $2.02 for the prior             quarter.         --  Adjusted diluted earnings(1) per share was $2.31, compared with             $2.12 for the prior year quarter, and $2.19 for the prior             quarter.         --  Reported return on common shareholders' equity (ROE) was 27.5%             and adjusted ROE(1) was 22.1%.  Results for the first quarter of 2014 were affected by the following items of  note aggregating to a positive impact of $0.57 per share:         --  $239 million ($183 million after-tax, or $0.46 per share) gain             in respect of the completed Aeroplan transactions with Aimia             Canada Inc. (Aimia) and The Toronto-Dominion Bank (TD), net of             costs relating to the development of our enhanced travel             rewards program;         --  $78 million ($57 million after-tax, or $0.14 per share) gain,             net of associated expenses, on the sale of an equity investment             in our exited European leveraged finance portfolio;         --  $26 million ($19 million after-tax, or $0.05 per share)             reduction in the portion of the collective allowance recognized             in Corporate and Other, including lower estimated credit losses             relating to the Alberta floods;         --  $26 million ($19 million after-tax, or $0.05 per share) charge             resulting from operational changes in the processing of             write-offs in Retail and Business Banking;         --  $11 million ($8 million after-tax, or $0.02 per share) loss             from the structured credit run-off business; and         --  $8 million ($6 million after-tax, or $0.01 per share)             amortization of intangible assets.  CIBC's Basel III Common Equity Tier 1 ratio at January 31, 2014 was 9.5%, and  our Tier 1 capital ratio and Total capital ratio were 11.5% and 14.2%,  respectively, on an all-in basis compared to Basel III Common Equity Tier 1  ratio of 9.4%, Tier 1 capital ratio of 11.6% and Total capital ratio of 14.6%  in the prior quarter.  CIBC announced a quarterly dividend increase of 2 cents per common share to 98  cents per share.  "Our record results this quarter reflect the progress we continue to make in  executing our client-focused strategy," says Gerald T. McCaughey, CIBC  President and Chief Executive Officer. "Each of our core businesses delivered  strong results. The strength of our underlying fundamentals allows us to  generate high returns for our shareholders."  Core business performance Retail and Business Banking reported net income of $746 million for the first  quarter, up $166 million or 29% from the same quarter last year. Adjusting for  the items of note shown above, adjusted net income((1)) was $643 million, up  $61 million or 11% from the same quarter last year as a result of higher  revenue due to volume growth across most products and higher fees, and also  due to lower loan losses as a result of lower write-offs and bankruptcies.  During the first quarter of 2014, Retail and Business Banking continued to  make progress against our objectives of accelerating profitable revenue growth  and enhancing the client experience:         --  We launched a significant expansion of our industry-leading             mobile payments offer with TELUS, giving more Canadians the             opportunity to pay with their phone and furthering CIBC's             leadership position in this growing market;         --  We began implementing a new partnership with the Greater             Toronto Airports Authority as its exclusive financial             institution sponsor at Toronto Pearson International, providing             CIBC clients and other travellers innovative access to             financial services at Canada's largest airport;         --  First of the major banks in Canada to offer remote deposit             capture, CIBC eDepositTM, allowing CIBC clients to deposit             cheques by simply taking a picture using their smartphone and             CIBC's Mobile Banking App; and         --  First among the big 5 Canadian banks to launch a pilot program             for business banking clients to capture cheque images, enabling             them to quickly scan, securely upload and deposit a high volume             of cheques in a single transaction using a desktop cheque             scanner.  Subsequent to the end of the quarter, we announced an agreement with Tim  Hortons to launch a co-branded loyalty rewards Visa credit card.  Wealth Management reported net income of $114 million for the first quarter,  up $25 million or 28% from the same quarter last year.  Revenue of $502 million was up $70 million or 16% compared with the first  quarter of 2013, primarily due to higher client assets under management driven  by market appreciation and net sales of long-term mutual funds, higher  fee-based and commission revenue, the acquisition of Atlantic Trust on  December 31, 2013, and higher contribution from our investment in American  Century Investments..  During the first quarter of 2014, Wealth Management continued its progress in  support of our strategic priority to build our wealth management platform:         --  We completed our acquisition of Atlantic Trust, a U.S. private             wealth management firm with US$24 billion in assets under             management; and         --  We achieved our 20th consecutive quarter of positive net retail             sales of long-term mutual funds with $1.2 billion of net sales.  Wholesale Banking reported net income of $264 million for the first quarter,  up $55 million or 26% from the prior quarter. Excluding items of note,  adjusted net income((1)) was $215 million, comparable with the prior quarter.  In support of its objective to be a leading wholesale bank in Canada and in  core Canadian industries in the rest of the world, Wholesale Banking acted as:         --  Co-lead arranger and joint bookrunner on Progressive Waste             Solutions' US$1.9 billion revolving credit facility;         --  Joint bookrunner on Cardinal Energy's $248 million initial             public offering;         --  Financial advisor to Penn-West Petroleum on the sale of certain             assets with a value of approximately $500 million in three             separate transactions; and         --  Joint bookrunner on TELUS' $800 million bond offering.  "In summary, CIBC delivered record performance during the quarter," says Mr.  McCaughey. "The strategic focus that each of our businesses place on deepening  client relationships and driving profitable revenue growth continues to  contribute to our financial performance and our ongoing ability to deliver  quality, consistent returns."  CIBC in our communities CIBC is committed to supporting causes that matter to our clients, our  employees and our communities. During the quarter:         --  CIBC employees donated a record $4.6 million on CIBC Miracle             Day to support kids in-need through over 450 children's             charities across Canada, the U.S and in the U.K.;         --  Through the generosity of 21,000 employees and retirees as well             as a corporate donation, CIBC raised $12.4 million for the 2013             United Way campaign, an 11% increase over last year;         --  CIBC announced the 67 members of CIBC Team Next, a $2 million             investment in amateur athletes from across the country; and         --  Thousands joined CIBC to celebrate the Lunar New Year at CIBC             Lunarfest in Vancouver and the inaugural CIBC Lion Dance             Chinese New Year Celebration in Markham, Ontario.     (1) For additional information, see the "Non-GAAP measures" section.  The information on the following pages forms a part of this press release.  (The board of directors of CIBC reviewed this press release prior to it being  issued. CIBC's controls and procedures support the ability of the President  and Chief Executive Officer and the Chief Financial Officer of CIBC to certify  CIBC's first quarter financial report and controls and procedures. CIBC's CEO  and CFO will voluntarily provide to the Securities and Exchange Commission a  certification relating to CIBC's first quarter financial information,  including the attached unaudited interim consolidated financial statements,  and will provide the same certification to the Canadian Securities  Administrators.)  Management's discussion and analysis  Management's discussion and analysis (MD&A) is provided to enable readers to  assess CIBC's financial condition and results of operations as at and for the  quarter ended January 31, 2014, compared with corresponding periods. The MD&A  should be read in conjunction with our 2013 Annual Report and the unaudited  interim consolidated financial statements included in this report. Unless  otherwise indicated, all financial information in this MD&A has been prepared  in accordance with International Financial Reporting Standards (IFRS or GAAP)  and all amounts are expressed in Canadian dollars. This MD&A is current as of  February 26, 2014. Additional information relating to CIBC is available on  SEDAR at www.sedar.com and on the U.S. Securities and Exchange Commission's  (SEC) website at www.sec.gov. No information on CIBC's website (www.cibc.com)  should be considered incorporated herein by reference. A glossary of terms  used throughout this quarterly report can be found on pages 164 to 168 of our  2013 Annual Report.  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 report, in other filings with Canadian securities regulators  or the U.S. Securities and Exchange Commission 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 "Message from the President and Chief Executive  Officer", "External reporting changes", "Overview - Financial results,  "Overview - Significant events", "Overview - Outlook for calendar year 2014",  "Strategic business units overview - Business unit allocations", "Financial  condition - Capital resources", "Management of risk - Risk overview",  "Management of risk - Credit risk", "Management of risk - Market risk",  "Management of risk - Liquidity risk", "Accounting and control matters -  Critical accounting policies and estimates", "Accounting and control matters -  Regulatory developments" and "Accounting and control matters - Controls and  procedures" sections of this report and other statements about our operations,  business lines, financial condition, risk management, priorities, targets,  ongoing objectives, strategies and outlook for calendar year 2014 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 "Overview - Outlook for calendar year 2014" section of this  report, and are subject to inherent risks and uncertainties that may be  general or specific. 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: credit, market,  liquidity, strategic, insurance, operational, reputation and legal, regulatory  and environmental risk; 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 Dodd-Frank Wall Street  Reform and Consumer Protection Act and the regulations issued and to be issued  thereunder, the Basel Committee on Banking Supervision's global standards for  capital and liquidity reform, and those relating to 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; the possible effect on our business of international conflicts  and the war on terror; natural disasters, public health emergencies,  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,  including the evolving risk of cyber attack; losses incurred as a result of  internal or external fraud; 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;  intensifying competition from established competitors and new entrants in the  financial services industry; technological change; global capital market  activity; changes in monetary and economic policy; currency value and interest  rate fluctuations; 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, the high U.S. fiscal deficit and  Europe's sovereign debt crisis; 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; 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. We do not undertake to update any forward-looking statement that  is contained in this report or in other communications except as required by  law.  External reporting changes  The following external reporting changes were made in the first quarter of  2014. Prior period amounts were restated accordingly.  Amendments to IAS 19 "Employee Benefits" We adopted amendments to IAS 19 "Employee Benefits" commencing November 1,  2011, which require us to recognize: (i) actuarial gains and losses in Other  comprehensive income (OCI) in the period in which they arise; (ii) interest  income on plan assets in net income using the same rate as that used to  discount the defined benefit obligation; and (iii) all past service costs  (gains) in net income in the period in which they arise.  Adoption of IFRS 10 "Consolidated Financial Statements" We adopted IFRS 10 "Consolidated Financial Statements" commencing November 1,  2012, which replaces IAS 27 "Consolidated and Separate Financial Statements"  and Standards Interpretation Committee (SIC) - 12 "Consolidated - Special  Purpose Entities". The adoption of IFRS 10 required us to deconsolidate CIBC  Capital Trust from the consolidated financial statements, which resulted in a  replacement of Capital Trust securities issued by CIBC Capital Trust with  Business and government deposits for the senior deposit notes issued by us to  CIBC Capital Trust.  Sale of Aeroplan portfolio On December 27, 2013, we sold approximately 50 percent of our Aerogold VISA  portfolio, consisting primarily of credit card only customers, to the Toronto-  Dominion Bank (TD). Accordingly, the revenue related to the sold credit card  portfolio was moved from Personal Banking to the Other line of business within  Retail and Business Banking.  Allocation of Treasury activities Treasury-related transfer pricing will continue to be charged or credited to  each line of business within our Strategic Business Units (SBUs). We changed  our approach to allocating the residual financial impact of Treasury  activities. Certain fees will be charged directly to the lines of business,  and the residual net revenue will now be retained in Corporate and Other.  Income statement presentation We reclassified certain amounts associated with our self-managed credit card  portfolio from Non-interest expenses to Non-interest income. There was no  impact on consolidated net income due to this reclassification.  First quarter financial highlights                                               2014          2013              2013       Unaudited, as at or for the                                 (1)               (1)     three months ended                    Jan. 31       Oct. 31           Jan. 31     Financial results ($ millions)                                                      Net interest income                 $   1,905    $    1,893        $    1,855       Non-interest income                     1,729         1,287             1,310       Total revenue                           3,634         3,180             3,165       Provision for credit losses               218           271               265       Non-interest expenses                   1,979         1,930             1,988       Income before taxes                     1,437           979               912       Income taxes                              260           154               127       Net income                          $   1,177    $      825        $      785       Net income (loss) attributable      $            $      (7)        $        2       to non-controlling interests                3         Preferred shareholders                   25            24                25         Common shareholders                   1,149           808               758       Net income attributable to          $            $      832        $      783       equity shareholders                     1,174       Financial measures                                                                  Reported efficiency ratio                54.5 %        60.7 %            62.8 %     Adjusted efficiency ratio (2)            56.7 %        56.7 %            56.5 %     Loan loss ratio                          0.38 %        0.41 %            0.42 %     Reported return on common                              20.2 %            20.5 %     shareholders' equity                     27.5 %     Adjusted return on common                                                 shareholders' equity (2)                 22.1 %        21.9 %            23.1 %     Net interest margin                      1.84 %        1.85 %            1.83 %     Net interest margin on average                         2.10 %            2.12 %     interest-earning assets                  2.09 %     Return on average assets                 1.14 %        0.81 %            0.77 %     Return on average                                      0.91 %            0.90 %     interest-earning assets                  1.29 %     Total shareholder return               (1.36) %       15.15 %            7.13 %     Reported effective tax rate              18.1 %        15.9 %            13.9 %     Adjusted effective tax rate (2)          16.5 %        16.5 %            15.9 %     Common share information                                                            Per share ($)  - basic earnings     $    2.88    $     2.02        $     1.88                      - reported                2.88          2.02              1.88                      diluted earnings                          - adjusted                    diluted earnings                                                                    (2)                       2.31          2.19              2.12                    - dividends               0.96          0.96              0.94                      - book value             42.59         40.36             36.49       Share price    - high                                 88.70             84.10       ($)                                     91.58                    - low                    86.57         76.91             76.70                      - closing                86.57         88.70             83.20       Shares         -     outstanding    weighted-average                     399,819           403,332       (thousands)    basic                  398,539                    -                    weighted-average       399,217       400,255           403,770                      diluted                                   - end of period        398,136       399,250           401,960       Market     capitalization                                   $   35,413        $   33,443       ($ millions)                        $  34,467     Value measures                                                                      Dividend yield (based on                                4.3 %             4.5 %     closing share price)                      4.4 %     Reported dividend payout ratio           33.3 %        47.6 %            50.0 %     Adjusted dividend payout ratio                                            (2)                                      41.4 %        43.8 %            44.3 %     Market value to book value                             2.20              2.28       ratio                                    2.03       On- and off-balance sheet                                                           information ($ millions)                            Cash, deposits with banks and       $            $   78,363        $   72,657       securities                             77,290       Loans and acceptances, net of                       256,380           251,145       allowance                             256,819       Total assets                                        398,006           392,508                                             400,955       Deposits                              314,336       315,164           307,967       Common shareholders' equity            16,955        16,113            14,668       Average assets                        410,019       405,239           402,059       Average interest-earning                            357,757           347,038       assets                                361,844       Average common shareholders'                         15,885            14,698       equity                                 16,581       Assets under administration (3)     1,603,022     1,513,126         1,429,049       Balance sheet quality measures                                                      Transitional                                                                        basis                                         Risk-weighted assets (RWA) ($                  $    151.3        $    134.8           billions)                         $   153.2       Common Equity Tier 1 (CET1)                 %        11.0 %            11.5 %       ratio                                  10.9       Tier 1 capital ratio                   11.6 %        11.8 %            12.4 %       Total capital ratio                    13.9 %        14.3 %            15.3 %     All-in basis                                                                          RWA ($ billions)                  $   140.5    $    136.7        $    126.4           CET1 ratio                              9.5 %         9.4 %             9.6 %       Tier 1 capital ratio                   11.5 %        11.6 %            12.0 %       Total capital ratio                    14.2 %        14.6 %            15.3 %     Other                                                                               information                                 Full-time equivalent employees         43,573        43,039            42,793       (1) Certain information has been restated to reflect the         changes in accounting policies stated in Note 1 to the         interim consolidated financial statements and to conform         to the presentation adopted in the current period.      (2) For additional information, see the "Non-GAAP measures"         section.     (3) Includes the full contract amount of assets under         administration or custody under a 50/50 joint venture         between CIBC and The Bank of New York Mellon.  Overview  Financial results Reported net income for the quarter was $1,177 million, compared with $785  million for the same quarter last year and $825 million for the prior quarter.  Adjusted net income((1)) for the quarter was $951 million, compared with $882  million for the same quarter last year and $894 million for the prior quarter.  Reported diluted earnings per share (EPS) for the quarter was $2.88, compared  with $1.88 for the same quarter last year and $2.02 for the prior quarter.  Adjusted diluted EPS((1)) for the quarter was $2.31, compared with $2.12 for  the same quarter last year and $2.19 for the prior quarter.  Net income for the current quarter was affected by the following items of note:         --  $239 million ($183 million after-tax) gain in respect of the             Aeroplan transactions with Aimia Canada Inc. (Aimia) and TD,             net of costs relating to the development of our enhanced travel             rewards program ($123 million after-tax in Retail and Business             Banking, and $60 million after-tax in Corporate and Other). See             the "Significant events" section for further details;         --  $78 million ($57 million after-tax) gain, net of associated             expenses, on the sale of an equity investment in our exited             European leveraged finance portfolio (Wholesale Banking);         --  $26 million ($19 million after-tax) reduction in the portion of             the collective allowance recognized in Corporate and Other(2),             including lower estimated credit losses relating to the Alberta             floods (Corporate and Other);         --  $26 million ($19 million after-tax) charge resulting from             operational changes in the processing of write-offs in Retail             and Business Banking;         --  $11 million ($8 million after-tax) loss from the structured             credit run-off business (Wholesale Banking); and         --  $8 million ($6 million after-tax) amortization of intangible             assets(3) ($1 million after-tax in Retail and Business Banking,             $3 million after-tax in Wealth Management, and $2 million             after-tax in Corporate and Other).  The above items of note increased revenue by $353 million, non-interest  expenses by $55 million, and income tax expenses by $72 million. In aggregate,  these items of note increased net income by $226 million.  Net interest income((4)) Net interest income was up $50 million or 3% from the same quarter last year,  primarily due to volume growth across most retail products and higher revenue  from corporate banking. These factors were partially offset by lower cards  revenue as a result of the Aeroplan transactions noted above, and lower  revenue from our exited FirstLine mortgage broker business.  Net interest income was up $12 million or 1% from the prior quarter, primarily  due to volume growth and wider spreads across most retail products, and higher  interest income from Wholesale Banking, largely offset by lower cards revenue  as a result of the Aeroplan transactions noted above.  Non-interest income((4)) Non-interest income was up $419 million or 32% from the same quarter last  year, primarily due to the gains relating to the Aeroplan transactions with  Aimia and TD and the sale of an equity investment in our exited European  leveraged finance portfolio, both shown as items of note, and higher mutual  fund fees. The same quarter last year included a gain on the sale of our  private wealth management business (Asia), also shown as an item of note.  Non-interest income was up $442 million or 34% from the prior quarter,  primarily due to the gains relating to the Aeroplan transactions and the sale  of an equity investment noted above. The prior quarter included the impairment  of an equity position associated with our exited U.S. leveraged finance  portfolio, also shown as an item of note.  Provision for credit losses Provision for credit losses was down $47 million or 18% from the same quarter  last year. In Retail and Business Banking, the provision was down mainly due  to lower write-offs and bankruptcies in the cards portfolio, partially offset  by a charge resulting from operational changes in the processing of  write-offs, shown as an item of note. In Wholesale Banking, the provision was  down due to lower losses in the U.S. real estate finance portfolio. In  Corporate and Other, the provision was down primarily due to a reduction in  the collective allowance, including lower estimated credit losses relating to  the Alberta floods, shown as an item of note. The current quarter also had  higher losses in FirstCaribbean International Bank Limited (CIBC  FirstCaribbean).  Provision for credit losses was down $53 million or 20% from the prior  quarter. In Retail and Business Banking, the provision was down primarily due  to lower losses in the commercial lending portfolio, partially offset by the  charge relating to write-offs noted above. In Wholesale Banking, the provision  was comparable with the prior quarter. In Corporate and Other, the provision  was down primarily due to the reduction in the collective allowance noted  above. The current quarter also had lower losses in CIBC FirstCaribbean.  Non-interest expenses Non-interest expenses were down $9 million compared with the same quarter last  year, primarily due to lower expenses in the structured credit run-off  business, which included the Lehman-related settlement charge shown as an item  of note in the same quarter last year, largely offset by the costs relating to  the development of our enhanced travel rewards program, and to the Aeroplan  transactions noted above, as well as higher employee-related compensation and  computer, software and office equipment expenses in the current quarter.  Non-interest expenses were up $49 million or 3% from the prior quarter,  primarily due to higher employee-related compensation, partially offset by a  restructuring charge relating to CIBC FirstCaribbean, which was included as an  item of note in the prior quarter.     (1)  For additional information, see the "Non-GAAP measures" section.     (2)  Relates to collective allowance, except for (i) residential          mortgages greater than 90 days delinquent; (ii) personal loans and          scored small business loans greater than 30 days delinquent, and          (iii) net write-offs for the cards portfolio, which are all          reported in the respective SBUs.     (3)  Beginning in the fourth quarter of 2013, also includes          amortization of intangible assets for equity-accounted associates.     (4)  Trading activities and related risk management strategies can          periodically shift trading income between net interest income and          non-interest income. Therefore, we view total trading income as          the most appropriate measure of trading performance.  Income taxes Income tax expense was up $133 million or 105% from the same quarter last  year, and up $106 million or 69% from the prior quarter, primarily due to  higher income.  In prior years, the Canada Revenue Agency issued reassessments disallowing the  deduction of approximately $3 billion of the 2005 Enron settlement payments  and related legal expenses. The matter is currently in litigation. The Tax  Court of Canada trial on the deductibility of the Enron payments is scheduled  to commence in October 2015.  Should we successfully defend our tax filing position in its entirety, we  would recognize an additional accounting tax benefit of $214 million and  taxable refund interest of approximately $199 million. Should we fail to  defend our position in its entirety, we would incur an additional tax expense  of approximately $866 million and non-deductible interest of approximately  $124 million.  Foreign exchange The estimated impact of U.S. dollar translation on key lines of our interim  consolidated statement of income, as a result of changes in average exchange  rates, is as follows:                                          Jan. 31, 2014    Jan. 31, 2014                                                      vs.              vs.       $ millions, for the three            Jan. 31, 2013    Oct. 31, 2013       months ended     Estimated increase in:                                                      Total revenue                     $           37    $          17         Provision for credit                           3                1         losses       Non-interest expense                          15                7         Income taxes                                   1                1         Net income                                    18                8       Average US$ appreciation                       8.5 %            3.6 %     relative to C$  Impact of items of note in prior periods  Net income for the prior quarters was affected by the following items of note:  Q4, 2013         --  $39 million ($37 million after-tax) restructuring charge             relating to CIBC FirstCaribbean (Corporate and Other);         --  $35 million ($19 million after-tax) impairment of an equity             position associated with our exited U.S. leveraged finance             portfolio (Wholesale Banking);         --  $24 million ($18 million after-tax) expenses relating to the             development of our enhanced travel rewards program and to the             Aeroplan transactions with Aimia and TD (Retail and Business             Banking);         --  $15 million ($11 million after-tax) gain from the structured             credit run-off business (Wholesale Banking); and         --  $7 million ($6 million after-tax) amortization of intangible             assets ($1 million after-tax in Retail and Business Banking, $2             million after-tax in Wealth Management, and $3 million             after-tax in Corporate and Other).  The above items of note decreased revenue by $20 million, increased  non-interest expenses by $70 million, and decreased income tax expenses by $21  million. These items of note decreased net income by $69 million.  Q1, 2013         --  $148 million ($109 million after-tax) loss from the structured             credit run-off business, including the charge in respect of a             settlement of the U.S. Bankruptcy Court adversary proceeding             brought by the Estate of Lehman Brothers Holdings, Inc.             (Wholesale Banking);         --  $16 million ($16 million after-tax) gain, net of associated             expenses, on the sale of our Hong Kong and Singapore-based             private wealth management business (Corporate and Other); and         --  $5 million ($4 million after-tax) amortization of intangible             assets ($2 million after-tax in Retail and Business Banking and             $2 million after-tax in Corporate and Other).  The above items of note increased revenue by $28 million, non-interest  expenses by $165 million, and decreased income tax expenses by $40 million. In  aggregate, these items of note decreased net income by $97 million.  Significant events  Aeroplan Agreements and enhancements to CIBC travel rewards program  On December 27, 2013, CIBC completed the transactions contemplated by the  tri-party agreements with Aimia and TD that were announced on September 16,  2013.  CIBC sold to TD approximately 50% of its existing Aerogold VISA credit card  portfolio, consisting primarily of credit card only customers. Consistent with  its strategy to invest in and deepen client relationships, CIBC retained the  Aerogold VISA credit card accounts held by clients with broader banking  relationships at CIBC.  The portfolio divested by CIBC consisted of $3.3 billion of credit card  receivables. Upon closing, CIBC received a cash payment from TD equal to the  credit card receivables outstanding being acquired by TD.  CIBC also received upon closing, in aggregate, $200 million in upfront  payments from TD and Aimia.  In addition to these amounts, CIBC released $81 million of allowance for  credit losses related to the sold portfolio, and incurred $3 million in direct  costs related to the transaction in the three months ended January 31, 2014.  The net gain on sale of the sold portfolio recognized in the three months  ended January 31, 2014, which includes the upfront payments, release of  allowance for credit losses and costs related to the transaction, is $278  million ($211 million after-tax).  Under the terms of the agreements:         --  CIBC continues to have rights to market the Aeroplan program             and originate new Aerogold cardholders through its CIBC branded             channels.         --  The parties have agreed to certain provisions to compensate for             the risk of cardholder migration from one party to another.             There is potential for payments of up to $400 million by             TD/Aimia or CIBC for net cardholder migration over a period of             5 years.         --  CIBC expects to receive annual commercial subsidy payments from             TD of approximately $38 million per year in each of the three             years after closing.         --  The CIBC and Aimia agreement includes an option for either             party to terminate the agreement after the third year and             provides for penalty payments due from CIBC to Aimia if holders             of Aeroplan credit cards from CIBC's retained portfolio switch             to other CIBC credit cards above certain thresholds.         --  CIBC is working with TD under an interim servicing agreement to             effect a smooth transition of the cardholders moving to TD.  In conjunction with the completion of the Aeroplan transaction, CIBC has fully  released Aimia and TD from any potential claims in connection with TD becoming  Aeroplan's primary financial credit card partner.  Separate from the tri-party agreements, CIBC continues with its plan to  provide enhancements to our proprietary travel rewards program, delivering on  our commitment to give our clients access to a market leading travel rewards  program. The enhanced program is built on extensive research and feedback from  our clients and from Canadians about what they want from their travel rewards  card.  CIBC incurred incremental costs of $39 million ($28 million after-tax) in  respect of supporting the tri-party agreements and in respect of the  development of our enhanced travel rewards program in the three months ended  January 31, 2014.  The aggregate increase in pre-tax income of $239 million ($183 million  after-tax) in respect of the above has been treated as an item of note.  Atlantic Trust Private Wealth Management On December 31, 2013, CIBC completed the acquisition of Atlantic Trust Private  Wealth Management (Atlantic Trust) from its parent company, Invesco Ltd., for  $224 million (US$210 million) plus working capital and other adjustments.  Atlantic Trust, which has approximately US$24 billion in assets under  management (AUM), provides integrated wealth management solutions for  high-net-worth individuals, families, foundations and endowments in the United  States. The results of the acquired business have been consolidated from the  date of close and are included in the Wealth Management SBU. For additional  information, see Note 3 to our interim consolidated financial statements.  Sale of equity investment On November 29, 2013, CIBC sold an equity investment that was previously  acquired through a loan restructuring in CIBC's exited European leveraged  finance business. The transaction resulted in an after-tax gain, net of  associated expenses, of $57 million.  Review of quarterly financial information     $ millions,     except per share                                                                                            amounts,     for the three                                                       (1)                               (1)     months ended           2014                                    2013                              2012                            Jan.      Oct.      Jul.      Apr.      Jan.          Oct.      Jul.      Apr.                                  31        31        31        30        31            31        31        30     Revenue                                                                                                         Retail and       Business          $ 2,255   $ 2,087   $ 2,067   $ 1,985   $ 2,010       $ 2,012   $ 2,014   $ 1,935           Banking        Wealth                502       470       458       443       432           420       401       418           Management        Wholesale       Banking (2)           680       520       589       574       557           567       519       455           Corporate and       Other (2)             197       103       135       122       166           140       201       262         Total revenue       $ 3,634   $ 3,180   $ 3,249   $ 3,124   $ 3,165       $ 3,139   $ 3,135   $ 3,070         Net interest        $ 1,905   $ 1,893   $ 1,883   $ 1,822   $ 1,855       $ 1,848   $ 1,883   $ 1,753         income     Non-interest          1,729     1,287     1,366     1,302     1,310         1,291     1,252     1,317         income     Total revenue         3,634     3,180     3,249     3,124     3,165         3,139     3,135     3,070         Provision for           218       271       320       265       265           328       317       308         credit losses     Non-interest          1,979     1,930     1,878     1,825     1,988         1,823     1,830     1,762         expenses     Income before         1,437       979     1,051     1,034       912           988       988     1,000         income taxes     Income taxes            260       154       173       172       127           145       156       198         Net income          $ 1,177   $   825   $   878   $   862   $   785       $   843   $   832   $   802         Net income (loss)                                                                                             attributable to:       Non-controlling   $     3   $   (7)   $     1   $     2   $     2       $     3   $     2   $     1           interests       Equity              1,174       832       877       860       783           840       830       801           shareholders     EPS - basic         $  2.88   $  2.02   $  2.13   $  2.09   $  1.88       $  2.00   $  1.98   $  1.88             - diluted          2.88      2.02      2.13      2.09      1.88          2.00      1.98      1.87         (1) Certain information has been restated to reflect         the changes in accounting policies stated in         Note 1 to the interim consolidated financial                 statements and to conform to the presentation         adopted in the current period.     (2) Wholesale Banking revenue and income taxes are         reported on a taxable equivalent basis (TEB)         with an equivalent offset in the revenue         and income taxes of Corporate and Other.   Our quarterly results are modestly affected by seasonal factors. The second  quarter has fewer days as compared with the other quarters, generally leading  to lower earnings. The summer months (July - third quarter and August - fourth  quarter) typically experience lower levels of capital markets activity, which  affects our brokerage, investment management, and wholesale banking activities.  Revenue Retail and Business Banking revenue has benefitted from volume growth across  most retail products, offset to some extent by the continued low interest rate  environment and attrition in our exited FirstLine mortgage broker business.  The current quarter included the gain relating to the Aeroplan transactions  with Aimia and TD, partially offset by lower cards revenue as a result of  these transactions.  Wealth Management revenue has benefitted from higher average AUM and strong  net sales of long-term mutual funds. The current quarter also included the  impact of the acquisition of Atlantic Trust on December 31, 2013.  Wholesale Banking revenue is influenced to a large extent by capital markets  conditions, and growth in the equity derivatives business which has resulted  in higher tax-exempt income. Revenue has also been impacted by the volatility  in the structured credit run-off business. The current quarter included a gain  on the sale of an equity investment in our exited European leveraged finance  portfolio. The fourth quarter of 2012 included a gain on sale of interests in  entities in relation to the acquisition of TMX Group Inc. and the loss  relating to the change in valuation of collateralized derivatives to an  overnight index swap (OIS) basis. The second quarter of 2012 included a hedge  accounting loss on leveraged leases.  Corporate and Other includes the offset related to tax-exempt income noted  above. The current quarter included the gain relating to the Aeroplan  transactions noted above and the first quarter of 2013 included the gain on  sale of the private wealth management business (Asia).  Provision for credit losses Provision for credit losses is dependent upon the credit cycle in general and  on the credit performance of the loan portfolios. In Retail and Business  Banking, losses in the cards portfolio declined throughout 2012 and 2013. The  current quarter had a charge resulting from operational changes in the  processing of write-offs and the third quarter of 2013 had a charge resulting  from a revision of estimated loss parameters on our unsecured lending  portfolios. In Wholesale Banking, the second and third quarter of 2013 had  higher losses in the exited European leveraged finance portfolio, and the  fourth quarter of 2012 included losses in the exited U.S. leveraged finance  portfolio. 2012 also included higher losses in the U.S. real estate finance  portfolio. In Corporate and Other, the third quarter of 2013 had an increase  in the collective allowance, which included estimated credit losses relating  to the Alberta floods, while the current quarter included a decrease in  collective allowance, including partial reversal of the credit losses relating  to the Alberta floods.  Non-interest expenses Non-interest expenses have fluctuated over the period largely due to changes  in employee-related compensation and benefits, including pension expense. The  current quarter and the prior quarter had expenses relating to the development  of our enhanced travel rewards program, and to the Aeroplan transactions with  Aimia and TD. The prior quarter also had a restructuring charge relating to  CIBC FirstCaribbean. The first quarter of 2013 had higher expenses in the  structured credit run-off business.  Income taxes Income taxes vary with changes in income subject to tax, and the jurisdictions  in which the income is earned. Taxes can also be affected by the impact of  significant items. Tax-exempt income has generally been trending higher for  the periods presented in the table above.  Outlook for calendar year 2014 Global growth is expected to improve in 2014, helped by a diminished burden  from fiscal tightening in both the U.S. and Europe, and a continuation of  stimulative monetary policy. U.S. real gross domestic product (GDP) is  expected to accelerate to approximately 3% as we move past the drag from tax  hikes that affected 2013. A further climb in home building, and the lift to  household incomes and credit quality from ongoing job creation should also  help U.S. real GDP. Europe looks to have emerged from recession. Although some  emerging markets are facing domestic policy challenges, they will benefit from  improved global trade volumes. Canada's growth rate should improve to the 2.0%  to 2.5% range, as firmer global conditions support exports and capital  spending, offsetting a slower pace of housing construction and continued  restraint in government program spending. Consumer demand will be sustained at  moderate growth rates by job creation. Both the U.S. Federal Reserve and the  Bank of Canada are likely to wait until 2015 before raising short-term  interest rates, although longer term rates could increase through the year in  anticipation of that future policy turn.  In Retail banking, household credit demand, which has picked up due to faster  mortgage growth, could decelerate later in the year if mortgage rates begin to  climb and housing sales slow. Demand for business credit should pick up later  in the year as more optimism emerges on capital spending. A further drop in  the unemployment rate should support household credit quality, but there is  little room for business and household insolvency rates to drop from what are  already very low levels. Wealth management should see an improvement in demand  for equities and other higher risk assets as global growth improves. Wholesale  banking should benefit from rising capital spending that increases the demand  for corporate lending and debt financing, and provincial governments will  still have elevated borrowing needs, including those related to infrastructure  projects. A sturdier global climate could reduce uncertainties that held back  equity issuance in the prior year.  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 GAAP (IFRS),  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 useful in  analyzing financial performance. For a more detailed discussion on our  non-GAAP measures, see page 12 of the 2013 Annual Report. The following table  provides a reconciliation of non-GAAP to GAAP measures related to CIBC on a  consolidated basis.                                       2014         2013  (1)       2013  (1)     $ millions, as     at or for the                                                  three months     ended                          Jan. 31       Oct. 31         Jan. 31       Reported and     adjusted diluted                                               EPS                                                                        Reported net     income     attributable to                                                diluted common     shareholders          A      $   1,149     $     808       $     758       After-tax impact     of items of note                                               (2)                              (226)            69              97       Adjusted net     income     attributable to                                                diluted common     shareholders (3)      B      $     923     $     877       $     855       Diluted     weighted-average     common shares                                                  outstanding                                                              (thousands)           C        399,217       400,255         403,770       Reported diluted                                               EPS ($)              A/C     $    2.88     $    2.02       $    1.88       Adjusted diluted                                               EPS ($) (3)          B/C          2.31          2.19            2.12       Reported and     adjusted                                                       efficiency ratio                                                           Reported total                                                 revenue               D      $   3,634     $   3,180       $   3,165       Pre-tax impact     of items of                                                    note (2)                         (353)            20            (28)       TEB                                110            78              92       Adjusted total                                                 revenue (3)           E      $   3,391     $   3,278       $   3,229       Reported     non-interest                                                   expenses              F      $   1,979     $   1,930       $   1,988       Pre-tax impact     of items of                                                    note (2)                          (55)          (70)           (165)       Adjusted     non-interest                                                   expenses (3)          G      $   1,924     $   1,860       $   1,823       Reported                                                       efficiency ratio     F/D          54.5 %        60.7 %          62.8 %     Adjusted     efficiency                                                     ratio (3)            G/E          56.7 %        56.7 %          56.5 %     Reported and     adjusted                                                       dividend payout     ratio                                                                      Reported net     income     attributable to                                                common     shareholders          H      $   1,149     $     808       $     758       After-tax impact     of items of note                                               (2)                              (226)            69              97       Adjusted net     income     attributable to                                                common     shareholders (3)      I      $     923     $     877       $     855       Dividends paid     to common                                                      shareholders          J      $     382     $     384       $     379       Reported     dividend payout                                                ratio                J/H          33.3 %        47.6 %          50.0 %     Adjusted     dividend payout                                                ratio (3)            J/I          41.4 %        43.8 %          44.3 %     Reported and     adjusted return     on common                                                      shareholders'     equity                                                                     Average common     shareholders'                                                  equity                K      $  16,581     $  15,885       $  14,698       Reported return     on common                                                      shareholders'     equity               H/K          27.5 %        20.2 %          20.5 %     Adjusted return     on common                                                      shareholders'     equity (3)           I/K          22.1 %        21.9 %          23.1 %     Reported and     adjusted                                                       effective tax     rate                                                                       Reported income     before income                                                  taxes                 L      $   1,437     $     979       $     912       Pre-tax impact     of items of                                                    note (2)                         (298)            90             137       Adjusted income     before income                                                  taxes (3)             M      $   1,139     $   1,069       $   1,049       Reported income                                                taxes                 N      $     260     $     154       $     127       Tax impact of     items of note                                                  (2)                               (72)            21              40       Adjusted income                                                taxes (3)             O      $     188     $     175       $     167       Reported     effective tax                                                  rate                 N/L          18.1 %        15.9 %          13.9 %     Adjusted     effective tax                                                  rate (3)             O/M          16.5 %        16.5 %          15.9 %                                                                                                                   Retail                                                                               and                                                                                   Business       Wealth    Wholesale    Corporate           CIBC     $ millions, for     the three months         Banking                   Banking                    ended                              Management                 and Other          Total             Reported     Jan.    net                                                                         31      income          $    746    $     114    $     264    $      53    $     1,177             After-tax             impact of                                                                           items of     2014    note (2)           (103)            3         (49)         (77)          (226)             Adjusted             net             income                                                                              (loss)             (3)             $    643    $     117    $     215    $    (24)    $       951             Reported             net                                                                         Oct.    income     31      (loss)          $    613    $     103    $     209    $   (100)    $       825             After-tax             impact of                                                                   2013    items of     (1)     note (2)              19            2            8           40             69             Adjusted             net             income                                                                              (loss)             (3)             $    632    $     105    $     217    $    (60)    $       894             Reported     Jan.    net                                                                         31      income          $    580    $      89    $      86    $      30    $       785             After-tax             impact of                                                                   2013    items of     (1)     note (2)               2            -          109         (14)             97             Adjusted             net                                                                                 income              (3)             $    582    $      89    $     195    $      16    $       882     (1) Certain information has been restated to reflect the         changes in accounting policies stated in Note 1 to the         interim         consolidated financial statements and to conform to the         presentation adopted in the current period.     (2) Reflects impact of items of note under "Financial         results" section.     (3) Non-GAAP measure.  Strategic business units overview  CIBC has three SBUs - Retail and Business Banking, Wealth Management and  Wholesale Banking. These SBUs are supported by six functional groups -  Technology and Operations, Corporate Development, Finance, Treasury,  Administration, and Risk Management, which form part of Corporate and Other.  The expenses of these functional groups are generally allocated to the  business lines within the SBUs. Corporate and Other also includes our  International banking operations comprising mainly CIBC FirstCaribbean,  strategic investments in the CIBC Mellon joint ventures and The Bank of N.T.  Butterfield & Son Limited, and other income statement and balance sheet items  not directly attributable to the business lines.  Business unit allocations Treasury activities impact the reported financial results of the SBUs. Each  line of business within our SBUs is charged or credited with a market-based  cost of funds on assets and liabilities, respectively, which impacts the  revenue performance of the SBUs. Once the interest and liquidity risk inherent  in our client-driven assets and liabilities is transfer priced into Treasury,  it is managed within CIBC's risk framework and limits. The residual financial  results associated with Treasury activities are reported in Corporate and  Other. Capital is attributed to the SBUs in a manner that is intended to  consistently measure and align economic costs with the underlying benefits and  risks associated with SBU activities. Earnings on unattributed capital remain  in Corporate and Other. We review our transfer pricing methodologies on an  ongoing basis to ensure they reflect changing market environments and industry  practices.  To measure and report the results of operations of the lines of business  within our Retail and Business Banking and Wealth Management SBUs, we use a  Manufacturer/Customer Segment/Distributor Management Model. The model uses  certain estimates and allocation methodologies in the preparation of segmented  financial information. Under this model, internal payments for sales and  trailer commissions and distribution service fees are made among the lines of  business and SBUs. Periodically, the sales and trailer commission rates paid  to customer segments for certain products are revised and applied  prospectively.  Non-interest expenses are attributed to the SBUs to which they relate based on  appropriate criteria. Revenue, expenses, and other balance sheet resources  related to certain activities are fully allocated to the lines of business  within the SBUs.  The individual allowances and related provisions are reported in the  respective SBUs. The collective allowances and related provisions are reported  in Corporate and Other except for: (i) residential mortgages greater than 90  days delinquent; (ii) personal loans and scored small business loans greater  than 30 days delinquent; and (iii) net write-offs for the cards portfolio,  which are all reported in the respective SBUs. All allowances and related  provisions for CIBC FirstCaribbean are reported in Corporate and Other.  Retail and Business Banking  Retail and Business Banking provides clients across Canada with financial  advice, banking, investment, and authorized insurance products and services  through a strong team of advisors and more than 1,100 branches, as well as our  ABMs, mobile sales force, telephone banking, online and mobile banking.  Results((1) )                                   2014           2013 (2)         2013 (2)     $ millions, for     the three                     Jan.                                         months ended                    31        Oct. 31          Jan. 31     Revenue                                                                      Personal                   1,576          1,555            1,482           banking                 $            $                $       Business                     380            386              383           banking                                                       Other (3)                    299            146              145         Total revenue                2,255          2,087            2,010         Provision for                                                              credit losses                  210            215              241     Non-interest                                                               expenses                     1,055          1,055              997     Income before                                                              taxes                          990            817              772     Income taxes                   244            204              192         Net income                $    746     $      613       $      580         Net income     attributable                                                               to:                                                                      Equity       shareholders                 746            613              580           (a)                     $            $                $     Efficiency                         %              %                %     ratio                         46.8           50.5             49.6     Return on                                                   equity (4)                    77.9 %         61.5 %           63.8 %     Charge for     economic                                                                   capital (4) (b)           $  (119)     $    (125)       $    (115)     Economic     profit (4)                                                                 (a+b)                     $    627     $      488       $      465     Full-time     equivalent                                                                 employees                   22,243         21,781           22,063     (1) For additional segmented information, see the notes to the interim         consolidated financial         statements.     (2) Certain information has been restated to reflect the changes in         accounting policies stated         in Note 1 to the interim consolidated financial statements and to         conform to the         presentation adopted in the current period.     (3) Includes run-off portfolios relating to FirstLine mortgage broker         business, student loans         and cards.      (4) For additional information, see the "Non-GAAP measures" section.  Financial overview Net income for the quarter was $746 million, up $166 million from the same  quarter last year, primarily due to higher revenue, partially offset by higher  non-interest expenses.  Net income was up $133 million from the prior quarter, mainly due to higher  revenue.  Revenue Revenue was up $245 million or 12% from the same quarter last year.  Personal banking revenue was up $94 million, due to volume growth across most  products, higher fees and wider spreads.  Business banking revenue was comparable with the same quarter last year, as  narrower spreads were offset by volume growth and higher fees.  Other revenue was up $154 million, mainly due to the gain relating to the  Aeroplan transactions with Aimia and TD shown as an item of note, partially  offset by lower cards revenue as a result of these transactions, and lower  revenue from our exited FirstLine mortgage broker business.  Revenue was up $168 million or 8% from the prior quarter.  Personal banking revenue was up $21 million, primarily due to volume growth  and wider spreads.  Business banking revenue was down $6 million, primarily due to narrower  spreads.  Other revenue was up $153 million, mainly due to the gain relating to the  Aeroplan transactions noted above, partially offset by lower cards revenue as  a result of these transactions.  Provision for credit losses Provision for credit losses was down $31 million from the same quarter last  year, mainly due to lower write-offs and bankruptcies in the cards portfolio,  partially offset by a charge resulting from operational changes in the  processing of write-offs, shown as an item of note.  Provision for credit losses was down $5 million from the prior quarter,  primarily due to lower losses in the commercial lending portfolio, partially  offset by the charge relating to write-offs noted above.  Non-interest expenses Non-interest expenses were up $58 million or 6% from the same quarter last  year, primarily due to the costs relating to the development of our enhanced  travel rewards program, and to the Aeroplan transactions noted above.  Non-interest expenses were comparable with the prior quarter.  Income taxes Income taxes were up $52 million and $40 million from the same quarter last  year and the prior quarter, respectively, primarily due to higher income.  Wealth Management  Wealth Management provides relationship-based advisory services and an  extensive suite of leading investment solutions to meet the needs of  institutional, retail and high net worth clients. Our asset management, retail  brokerage and private wealth management businesses combine to create an  integrated offer, delivered through more than 1,500 advisors across Canada and  the U.S.  Results((1) )                                  2014         2013 (2)         2013 (2)        $ millions, for     the three months          Jan. 31      Oct. 31          Jan. 31            ended     Revenue                                                                      Retail brokerage     $      284   $      272       $      259              Asset management            172          165              144              Private wealth               46           33               29              management     Total revenue                 502          470              432            Provision for     (reversal of)                 (1)            1                -            credit losses     Non-interest                  351          335              316            expenses     Income before                 152          134              116            taxes      Income taxes                   38           31               27            Net income             $      114   $      103       $       89            Net income                                                                 attributable to:       Non-controlling      $        1   $        -       $        -              interests       Equity       shareholders                113          103               89              (a)     Efficiency ratio             69.9 %       71.4   %         73.2    %        Return on equity             22.5 %       21.5   %         19.0    %       (3)     Charge for     economic capital       $     (62)   $     (59)       $     (58)            (3)(b)     Economic profit        $       51   $       44       $       31            (3)(a+b)     Full-time     equivalent                  4,056        3,840            3,765            employees     (1) For additional segmented information, see the notes to         the interim consolidated         financial statements.     (2) Certain information has been restated to reflect the         changes in accounting policies         stated in Note 1 to the interim consolidated financial         statements and to conform to the         presentation adopted in the current period.     (3) For additional information, see the "Non-GAAP measures"         section.        Financial overview Net income for the quarter was $114 million, up $25 million from the same  quarter last year, and up $11 million from the prior quarter, primarily due to  higher revenue, partially offset by higher non-interest expenses.  Revenue Revenue was up $70 million or 16% from the same quarter last year.  Retail brokerage revenue was up $25 million, mainly due to higher fee-based  and commission revenue.  Asset management revenue was up $28 million, primarily due to higher client  AUM driven by market appreciation and net sales of long-term mutual funds, and  higher contribution from our equity-accounted investment in American Century  Investments.  Private wealth management revenue was up $17 million, mainly due to the  acquisition of Atlantic Trust on December 31, 2013, and higher AUM driven by  client growth.  Revenue was up $32 million or 7% from the prior quarter.  Retail brokerage revenue was up $12 million, primarily due to higher fee-based  revenue.  Asset management revenue was up $7 million, primarily due to higher client AUM  driven by market appreciation and net sales of long-term mutual funds.  Private wealth management revenue was up $13 million, mainly due to higher  AUM, including the impact of the acquisition noted above.  Non-interest expenses Non-interest expenses were up $35 million or 11% from the same quarter last  year, and up $16 million or 5% from the prior quarter, primarily due to higher  employee-related compensation.  Income taxes Income taxes were up $11 million from the same quarter last year and up $7  million from the prior quarter mainly due to higher income.  Wholesale Banking  Wholesale Banking provides a wide range of credit, capital markets, investment  banking and research products and services to government, institutional,  corporate and retail clients in Canada and in key markets around the world.  Results((1))                                       2014        2013 (2)         2013 (2)     $ millions, for     the three                        Jan.        Oct.             months ended                       31          31          Jan. 31       Revenue                                                                    Capital                                                                    markets                     $   330     $   279       $      327       Corporate and       investment                                                                 banking                         250         246              211       Other                           100         (5)               19         Total revenue                                                 (3)                               680         520              557       Provision for     (reversal of)                                                 credit losses                       2         (1)               10       Non-interest                                                  expenses                          329         271              445       Income before                                                 taxes                             349         250              102       Income taxes                                                  (3)                                85          41               16       Net income                    $   264     $   209       $       86       Net income     attributable                                                  to:                                                                        Equity       shareholders                                                               (a)                         $   264     $   209       $       86     Efficiency                                                    ratio (3)                        48.3 %      52.3 %           79.9 %     Return on                                                     equity (4)                       44.9 %      36.5 %           15.8 %     Charge for     economic                                                    capital (4) (b)               $  (73)     $  (72)       $     (67)       Economic     profit (4)                                                  (a+b)                         $   191     $   137       $       19       Full-time     equivalent                                                    employees                       1,244       1,273            1,261       (1) For additional segmented information, see the notes to         the interim consolidated financial         statements.     (2) Certain information has been restated to reflect the         changes in accounting policies stated         in Note 1 to the interim consolidated financial         statements and to conform to the presentation         adopted in the current period.     (3) Revenue and income taxes are reported on a TEB basis.         Accordingly, revenue and income         taxes include a TEB adjustment of $110 million for the         quarter ended January 31, 2014         (October 31, 2013: $78 million; January 31, 2013: $92         million). The equivalent amounts         are offset in the revenue and income taxes of Corporate         and Other.     (4) For additional information, see the "Non-GAAP measures"         section.  Financial overview Net income for the quarter was $264 million, up $178 million from the same  quarter last year, mainly due to higher revenue and lower non-interest  expenses.  Net income was up $55 million from the prior quarter, mainly due to  higher revenue, partially offset by higher non-interest expenses.  Revenue  Revenue was up $123 million or 22% from the same quarter last year.  Capital markets revenue was up $3 million, primarily due to higher revenue  from foreign exchange and equity derivatives trading, partially offset by a  lower reversal of credit valuation adjustments (CVA) against credit exposures  to derivative counterparties (other than financial guarantors) and lower debt  and equity issuance revenue.  Corporate and investment banking revenue was up $39 million, mainly due to  higher revenue from corporate banking and U.S. real estate finance and higher  investment portfolio gains, partially offset by lower advisory and equity new  issuance revenue.  Other revenue was up $81 million, primarily due to the gain on the sale of an  equity investment in our exited European leveraged finance portfolio, shown as  an item of note, partially offset by losses in the structured credit run-off  business compared with gains in the prior year quarter.  Revenue was up $160 million or 31% from the prior quarter.  Capital markets revenue was up $51 million, mainly due to higher revenue from  foreign exchange and equity derivatives trading, partially offset by lower  debt issuance revenue.  Corporate and investment banking revenue was up $4 million, primarily due to  higher corporate banking and advisory revenue, partially offset by lower  revenue in U.S. real estate finance.  Other revenue was up $105 million from the prior quarter, primarily due to the  gain on the sale of an equity investment noted above, partially offset by  losses in the structured credit run-off business compared with gains in the  prior quarter. The prior quarter included the impairment of an equity position  associated with our exited U.S. leveraged finance portfolio, shown as an item  of note.  Provision for credit losses Provision for credit losses was down $8 million from the same quarter last  year, due to lower losses in the U.S. real estate finance portfolio.  Provision for credit losses was comparable with the prior quarter.  Non-interest expenses Non-interest expenses were down $116 million or 26% from the same quarter last  year, mainly due to higher expenses in the structured credit run-off business  related to the charge in respect of a settlement of the U.S. Bankruptcy Court  adversary proceeding brought by the Estate of Lehman Brothers Holdings, Inc.  in the prior year quarter, partially offset by higher performance-based  compensation.  Non-interest expenses were up $58 million or 21% from the prior quarter,  mainly due to higher performance-based compensation.  Income taxes Income taxes for the quarter were up $69 million from the same quarter last  year, primarily due to higher income.  Income taxes for the quarter were up $44 million from the prior quarter,  primarily due to higher income and the impact of changes in the proportion of  income subject to varying rates of tax in different jurisdictions.  Structured credit run-off business  The results of the structured credit run-off business are included in the  Wholesale Banking SBU.  Results                                             2014          2013          2013     $ millions, for     the three months                    Jan. 31       Oct. 31       Jan. 31     ended     Net interest                      $    (13)     $    (12)     $    (14)     income (expense)     Trading income                            5            15            18     Designated at     fair value (FVO)                        (2)           (2)           (3)     losses      Other income                              -            16             5     Total revenue                          (10)            17             6     Non-interest                              1             2           154     expenses     Income (loss)                          (11)            15         (148)     before taxes      Income taxes                            (3)             4          (39)     Net income (loss)                 $     (8)     $      11     $   (109)  Net loss for the quarter was $8 million (US$7 million), compared with $109  million (US$110 million) for the same quarter last year and net income of $11  million (US$10 million) for the prior quarter.  Net loss for the quarter was mainly due to net interest expense and a decrease  in the value of receivables related to protection purchased from financial  guarantors (on loan assets that are carried at amortized cost), resulting from  an increase in the mark-to-market (MTM) of the underlying positions, partially  offset by gains on unhedged positions and a reduction in CVA relating to  financial guarantors.  Position summary The following table summarizes our positions within our structured credit  run-off business:                                                                    Written credit                                                                                                       derivatives,     Credit protection purchased                                                                         liquidity                from     US$ millions, as     at January 31,                                                     and credit      Financial             Other     2014                           Investments and loans (1)           facilities     guarantors    counterparties                                         Fair    Carrying                                                                                  Fair value                                                                    of   value of    value of                     Fair                                                           trading,                                                           Fair              Fair                               AFS securities  securities                 value of          value             value                                                                           written            net                           and FVO classified  classified                   credit             of            net of               Notional securities   as loans    as loans     Notional derivatives Notional   CVA Notional      CVA     USRMM -                                                      CDO       $      - $        -  $       -  $        -     $    229 $       160  $     - $   -  $   229 $    160     CLO          2,335          1      2,264       2,272        2,257          37    4,175    58      126        3     Corporate                                                    debt             -          -          -           -        4,000          11        -     -    4,000       14     Other          676        450         37          36          500          40      185    10       12        2     Unmatched        -          -          -           -            -           -        -     -      449        2                                                                                                                         $  3,011 $      451  $   2,301  $    2,308     $  6,986 $       248  $ 4,360 $  68  $ 4,816 $    181     October                                                      31, 2013  $  3,269 $      494  $   2,497  $    2,507     $  7,543 $       269  $ 4,718 $  87  $ 5,145 $    188     (1) Excluded from the table above are equity         available-for-sale (AFS) securities that we         obtained in consideration for commutation of our         U.S.         residential mortgage market (USRMM) contracts         with financial guarantors with a carrying value         of US$14 million (October 31, 2013:         US$10 million).  USRMM - collateralized debt obligation (CDO) Our net USRMM position, consisting of a written credit derivative, amounted to  US$69 million. This position was hedged through protection purchased from a  large U.S.-based diversified multinational insurance and financial services  company with which we have market-standard collateral arrangements.  Collateralized loan obligation (CLO) CLO positions consist of senior tranches of CLOs backed by diversified pools  of primarily U.S. (63%) and European-based (35%) senior secured leveraged  loans. As at January 31, 2014, approximately 32% of the total notional amount  of the CLO tranches was rated equivalent to AAA, 64% was rated between the  equivalent of AA+ and AA-, and the remainder was the equivalent of A+ or  lower. As at January 31, 2014, approximately 17% of the underlying collateral  was rated equivalent to BB- or higher, 56% was rated between the equivalent of  B+ and B-, 6% was rated equivalent to CCC+ or lower, with the remainder  unrated. The CLO positions have a weighted-average life of 2.0 years and  average subordination of 30%.  Corporate debt Corporate debt exposure consists of a large matched super senior derivative,  where CIBC has purchased and sold credit protection on the same reference  portfolio. The reference portfolio consists of highly diversified,  predominantly investment grade corporate credit. Claims on these contracts do  not occur until cumulative credit default losses from the reference portfolio  exceed 30% during the remaining 35-month term of the contract. On this  reference portfolio, we have sold protection to an investment dealer.  Other Our significant positions in the Investments and loans section within Other,  as at January 31, 2014, include:         --  Variable rate Class A-1/A-2 notes classified as trading             securities with a notional value of US$260 million and a fair             value of US$231 million, tracking notes classified as AFS with             a notional value of US$6 million and a fair value of US$2             million, and loans with a notional value of US$57 million and             fair value and carrying value of nil. These notes were             originally received in exchange for our non-bank sponsored             asset-backed commercial paper (ABCP) in January 2009, upon the             ratification of the Montreal Accord restructuring;         --  US$156 million notional value of CDOs consisting of trust             preferred securities (TruPs) collateral, which are Tier I             Innovative Capital Instruments issued by U.S. regional banks             and insurers. These securities are classified as FVO securities             and had a fair value of US$130 million;         --  US$95 million notional value of CDO trading securities with             collateral consisting of high-yield corporate debt portfolios             with a fair value of US$81 million; and         --  US$40 million notional value of an asset-backed security (ABS)             classified as a loan, with fair value of US$37 million and             carrying value of US$36 million.  Our significant positions in the Written credit derivatives, liquidity and  credit facilities section within Other, as at January 31, 2014, include:         --  US$269 million notional value of written credit derivatives             with a fair value of US$39 million, on inflation-linked notes,             and CDO tranches with collateral consisting of non-U.S.             residential mortgage-backed securities and TruPs; and         --  US$177 million of undrawn Margin Funding Facility related to             the Montreal Accord restructuring.  Unmatched The underlying in our unmatched position is a reference portfolio of corporate  debt.  Credit protection purchased from financial guarantors and other counterparties The following table presents the notional amounts and fair values of credit  protection purchased from financial guarantors and other counterparties by  counterparty credit quality, based on external credit ratings (Standard &  Poor's (S&P) and/or Moody's Investors Service (Moody's)), and the underlying  referenced assets. Excluded from the table below are certain performing loans  and tranched securities positions in our continuing businesses, with a total  notional amount of approximately US$45 million, which are partly secured by  direct guarantees from financial guarantors or by bonds guaranteed by  financial guarantors.                                                                                         Credit protection                                                                                             purchased                                                                                           from financial                                                                                             guarantors                                        Notional amounts of referenced assets                 and other                                                                                           counterparties                                Corporate     CDO                            Total      Fair            Fair                                                -                                      value           value     US$ millions, as                                                                 before          net of     at January 31,         CLO      debt   USRMM     Other   Unmatched   notional       CVA     CVA     CVA     2014     Financial                                                                                                   guarantors (1)       Investment       $ 2,513  $      -  $    -  $     28    $      -  $   2,541    $   53  $  (9)  $   44       grade       Non-investment        44         -       -       129           -        173        16     (9)       7       grade       Unrated            1,618         -       -        28           -      1,646        29    (12)      17                          4,175         -       -       185           -      4,360        98    (30)      68     Other     counterparties                                                                                              (1)       Investment           126        10     229        12           -        377       164       1     165       grade       Unrated                -     3,990       -         -         449      4,439        16       -      16                            126     4,000     229        12         449      4,816       180       1     181                        $ 4,301  $  4,000  $  229  $    197    $    449  $   9,176    $  278  $ (29)  $  249     October 31, 2013   $ 4,642  $  4,271  $  241  $    229    $    480  $   9,863    $  312  $ (37)  $  275         In cases where more than one credit rating agency     (1) provides ratings and those ratings differ, we use         the lowest rating.  The unrated other counterparties is primarily one Canadian conduit. The  conduit is in compliance with collateral posting arrangements and has posted  collateral exceeding current market exposure. The fair value of the collateral  as at January 31, 2014 was US$271 million relative to US$16 million of net  exposure.  Lehman Brothers bankruptcy proceedings During 2013, we recognized a US$150 million charge (US$110 million after-tax)  in respect of the full settlement of the U.S. Bankruptcy Court adversary  proceeding brought by the Estate of Lehman Brothers Holdings, Inc. challenging  the reduction to zero of our unfunded commitment on a variable funding note.  In 2008, we recognized a US$841 million gain on the variable funding note.  Corporate and Other  Corporate and Other includes the six functional groups - Technology and  Operations, Corporate Development, Finance, Treasury, Administration, and Risk  Management - that support CIBC's SBUs. The expenses of these functional groups  are generally allocated to the business lines within the SBUs. Corporate and  Other also includes our International banking operations comprising mainly  CIBC FirstCaribbean, strategic investments in the CIBC Mellon joint ventures  and The Bank of N.T. Butterfield & Son Limited, and other income statement and  balance sheet items not directly attributable to the business lines.  Results((1) )                                           2014       2013 (2)       2013 (2)     $ millions, for     the three months                      Jan.       Oct.           Jan.         ended                                   31         31             31     Revenue                                                                        International                        154        148            163           banking                         $          $              $       Other                                 43       (45)              3         Total revenue (3)                      197        103            166         Provision for                                                                credit losses                            7         56             14     Non-interest                                                                 expenses                               244        269            230     Loss before                                                                  taxes                                 (54)      (222)           (78)     Income taxes (3)                     (107)      (122)          (108)         Net income (loss)                 $     53   $  (100)       $     30         Net income (loss)                                                            attributable to:                                                           Non-controlling                        2        (7)              2           interests                       $          $              $       Equity                                51       (93)             28           shareholders                                                    Full-time     equivalent                                                                   employees                           16,030     16,145         15,704     (1)  For additional segmented information, see the notes to the          interim consolidated          financial statements.     (2)  Certain information has been restated to reflect the          changes in accounting policies          stated in Note 1 to the interim consolidated financial          statements and to conform to          the presentation adopted in the current period.     (3)  TEB adjusted. See footnote 3 in "Wholesale Banking"          section for additional details.  Financial overview Net Income for the quarter was $53 million, up $23 million from the same  quarter last year, mainly due to higher revenue, partially offset by higher  non-interest expenses.  Net Income for the quarter was $53 million, compared to net loss of $100  million in the prior quarter, mainly due to higher revenue, lower provision  for credit losses and non-interest expenses.  Revenue Revenue was up $31 million or 19% from the same quarter last year.  International banking revenue was down $9 million, primarily due to the gain  on the sale of our private wealth management (Asia) business included as an  item of note in the same quarter last year, partially offset by higher revenue  from CIBC FirstCaribbean.  Other revenue was up $40 million, mainly due to the gain relating to the  Aeroplan transactions with Aimia and TD, shown as an item of note. This was  partially offset by lower treasury revenue and a higher TEB adjustment.  Revenue was up $94 million or 91% from the prior quarter.  International banking revenue was up $6 million, due to higher revenue from  CIBC FirstCaribbean.  Other revenue was up $88 million, primarily due to the gain relating to the  Aeroplan transactions noted above.  Provision for credit losses Provision for credit losses was down $7 million from the same quarter last  year, primarily due to a reduction in the collective allowance, including  lower estimated credit losses relating to the Alberta floods, shown as an item  of note. The current quarter also had higher losses in CIBC FirstCaribbean.  Provision for credit losses was down $49 million from the prior quarter,  primarily due to the reduction in the collective allowance noted above. The  current quarter also had lower losses in CIBC FirstCaribbean.  Non-interest expenses Non-interest expenses were up $14 million or 6% compared with the same quarter  last year, primarily due to higher expenses relating to CIBC FirstCaribbean  and higher unallocated corporate support costs.  Non-interest expenses were down $25 million or 9% from the prior quarter,  mainly due to a restructuring charge relating to CIBC FirstCaribbean shown as  an item of note in the prior quarter, partially offset by higher unallocated  corporate support costs.  Income taxes Income tax benefit was comparable with the same quarter last year.  Income tax benefit was down $15 million from the prior quarter, primarily due  to a lower loss, partially offset by a higher TEB adjustment.  Financial condition  Review of condensed consolidated balance sheet                                                     2014           2013 (1)     $ millions, as at                            Jan. 31        Oct. 31         Assets                                                                      Cash and deposits with banks               $   6,273     $    6,379         Securities                                    71,017         71,984         Securities borrowed or purchased              27,195         28,728         under resale agreements     Loans and acceptances, net of                256,819        256,380         allowance     Derivative instruments                        24,489         19,947         Other assets                                  15,162         14,588                                                    $ 400,955     $  398,006         Liabilities and equity                                                      Deposits                                   $ 314,336     $  315,164         Obligations related to     securities lent or sold short or              20,786         20,313         under repurchase agreements     Derivative instruments                        22,244         19,724         Other liabilities                             20,469         20,583         Subordinated indebtedness                      4,233          4,228         Equity                                        18,887         17,994                                                    $ 400,955     $  398,006         (1) Certain information has been restated to reflect the changes in         accounting policies stated in Note 1 to the interim         consolidated financial statements and to conform to the         presentation adopted in the current period.  Assets As at January 31, 2014, total assets were up $2.9 billion or 1% from October  31, 2013.  Cash and deposits with banks decreased by $106 million or 2%, mostly due to  lower treasury deposit placements.  Securities decreased by $967 million or 1%, primarily due to a decrease in AFS  securities, partially offset by an increase in trading securities. AFS  securities decreased primarily due to lower Canadian government securities,  partially offset by an increase in corporate debt securities. Trading  securities increased primarily due to an increase in foreign government  securities.  Securities borrowed or purchased under resale agreements decreased $1.5  billion or 5%, primarily due to treasury investment management activities.  Net loans and acceptances increased by $439 million. Residential mortgages  were up $1.0 billion, primarily due to growth in CIBC-branded mortgages,  partially offset by attrition in the exited FirstLine mortgage broker  business. Credit card loans were down $3.3 billion, primarily due to the sale  to TD. Business and government loans and acceptances were up $2.8 billion,  largely due to an increase in our foreign lending portfolio.  Derivative instruments increased by $4.5 billion or 23%, largely driven by  foreign exchange derivatives valuation.  Other assets increased $574 million or 4%, primarily due to the assets  acquired as a result of the acquisition of Atlantic Trust.  Liabilities As at January 31, 2014, total liabilities were up $2.1 billion or 1% from  October 31, 2013.  Deposits decreased by $828 million, primarily due to lower outstanding secured  borrowings, partially offset by retail volume growth. Further details on the  composition of deposits are provided in Note 7 to the interim consolidated  financial statements.  Obligations related to securities lent or sold short or under repurchase  agreements increased $473 million or 2%, primarily due to client-driven  activities.  Derivative instruments increased by $2.5 billion or 13%, largely driven by  foreign exchange derivatives valuation.  Equity As at January 31, 2014, equity increased by $893 million or 5% from October  31, 2013, primarily due to a net increase in retained earnings and accumulated  other comprehensive income (AOCI).  Capital resources We actively manage our capital to maintain a strong and efficient capital  base, to maximize risk-adjusted returns to shareholders, and to meet  regulatory requirements. For additional details on capital resources, see  pages 29 to 36 of the 2013 Annual Report.  Regulatory capital requirements under Basel III Our regulatory capital requirements are determined in accordance with  guidelines issued by the Office of the Superintendent of Financial  Institutions (OSFI) which are based upon the risk-based capital standards  developed by the Basel Committee on Banking Supervision (BCBS).  OSFI mandated all institutions to have established a target CET1 ratio of 7%,  comprised of the 2019 all-in minimum ratio plus a conservation buffer  effective the first quarter of 2013. For the Tier 1 and Total capital ratios,  the all-in capital targets are 8.5% and 10.5%, respectively, effective the  first quarter of 2014. "All-in" is defined by OSFI as capital calculated to  include all of the regulatory adjustments that will be required by 2019, but  retaining the phase-out rules for non-qualifying capital instruments. Certain  deductions from CET1 capital are phased in at 20% per year from 2014. Amounts  not yet deducted from capital under OSFI's transitional rules are risk  weighted, creating a difference between RWAs on a transitional and all-in  basis.  A comparison of the BCBS transitional capital ratio requirements and the OSFI  all-in target capital ratio requirements is as follows.  To view graph of "Transitional basis (BCBS)" and " All-in basis (OSFI)",  please click http://files.newswire.ca/256/CIBCgraph1.pdf  CET1 capital includes common shares, retained earnings and AOCI (excluding  AOCI relating to cash flow hedges), less regulatory adjustments for items such  as goodwill and other intangible assets, deferred tax assets, assets related  to defined benefit pension plans as reported on our consolidated balance  sheet, and certain investments. Additional Tier 1 capital primarily includes  preferred shares and innovative Tier 1 notes, and Tier 2 capital consists  primarily of subordinated debentures, subject to phase-out rules for capital  instruments that are non-qualifying.  OSFI has released its guidance on domestic systemically important banks  (DSIBs) and the associated capital surcharge. CIBC is considered to be a DSIB  in Canada along with the Bank of Montreal, the Bank of Nova Scotia, the  National Bank of Canada, the Royal Bank of Canada, and TD. DSIBs will be  subject to a 1% CET1 surcharge commencing January 1, 2016.  Basel leverage ratio requirement The Basel III capital reforms included a non-risk-based capital metric, the  leverage ratio, to supplement risk-based capital requirements. On January 12,  2014, the BCBS issued the full text of its leverage ratio framework which  contained some modifications to its consultative document dated June 2013.  The leverage ratio is defined as the Capital Measure (Tier 1 capital) divided  by the Exposure Measure. The Exposure Measure includes the sum of:     (i)      On-balance sheet assets;     (ii)     Adjustments for securities financing transaction exposures              with a limited form of netting available if certain conditions              are met;     (iii)    Derivative exposures as specified under the rules; and     (iv)     Other off-balance sheet exposures, such as credit commitments              and direct credit substitutes, converted into credit exposure              equivalents using Basel Standardized Approach credit              conversion factors.  Items deducted from Tier 1 capital will be excluded from the Exposure Measure.  The BCBS requires banks to disclose their leverage ratio beginning in 2015.  The document states that the BCBS will continue to test whether a minimum  requirement of 3% for the leverage ratio is appropriate. Any final adjustments  to the rule will be made by 2017, for implementation on January 1, 2018.  OSFI has indicated that it will issue a new leverage guideline later this  year. The guideline will be effective in January 2015 and will replace the  current assets-to-capital multiple (ACM) test with the Basel III leverage  ratio test. Federally regulated deposit-taking institutions will be expected  to have Basel III leverage ratios in excess of 3%.  Continuous enhancement to risk-based capital requirements Last year the BCBS published a number of proposals for changes to the existing  risk-based capital requirements (see page 30 of the 2013 Annual Report), and  continues to do so with the objective of clarifying and increasing the capital  requirements for certain business activities. In addition to the leverage  ratio document discussed above, since the start of the fiscal year, the BCBS  has published the following updated proposal: "Revisions to the securitisation  framework - consultative document".  "Capital requirements for banks' equity investments in funds - final standard"  was published in December 2013. The final revised framework applies to banks'  investments in the equity of funds that are held in the banking book. The  implementation date is January 1, 2017. Banks should look-through to the  underlying assets of the fund in order to more properly reflect the risk of  those investments. A fund's use of leverage should also be considered when  determining risk-based capital requirements associated with investments in the  fund. The BCBS recognizes that a full look-through approach may not always be  feasible to apply, and that alternative approaches are warranted under certain  circumstances.  Regulatory capital  Our capital ratios and ACM are presented in the table below:                                                     2014           2013       $ millions, as at                            Jan. 31        Oct. 31       Transitional basis                                                        CET1 capital                               $  16,705     $   16,698       Tier 1 capital                                17,851         17,830       Total capital                                 21,295         21,601       RWA                                          153,245        151,338       CET1 ratio                                      10.9 %         11.0 %     Tier 1 capital ratio                            11.6 %         11.8 %     Total capital ratio                             13.9 %         14.3 %     ACM                                             18.4 x         18.0 x     All-in basis                                                              CET1 capital                               $  13,347     $   12,793       Tier 1 capital                                16,189         15,888       Total capital                                 19,890         19,961       RWA                                          140,505        136,747       CET1 ratio                                       9.5 %          9.4 %     Tier 1 capital ratio                            11.5 %         11.6 %     Total capital ratio                             14.2 %         14.6 %  Capital ratios (All-in basis) CET1 ratio increased 0.1% from October 31, 2013. CET1 capital increased due to  internal capital generation (net income less dividends and shares repurchased  for cancellation). This helped to offset an increase in RWAs during the  quarter.  RWAs increased by $3.8 billion over the quarter, primarily driven by the  impact of foreign exchange movements, commencement of the phase-in of the  credit valuation capital charge and normal business growth, partially offset  by the sale of the Aeroplan portfolio.  ACM The ACM increased 0.4 times from October 31, 2013. This was due to a  combination of a decrease in capital for ACM purposes along with an increase  in gross assets for ACM purposes this quarter.  Significant capital management activity Normal course issuer bid On September 5, 2013, we announced that the Toronto Stock Exchange had  accepted the notice of CIBC's intention to commence a new normal course issuer  bid. Purchases under this bid commenced on September 18, 2013 and will  terminate upon the earlier of (i) CIBC purchasing up to a maximum of 8 million  common shares, (ii) CIBC providing a notice of termination, or (iii) September  8, 2014.  During the quarter ended January 31, 2014, we purchased and cancelled an  additional 1,415,100 common shares under this bid at an average price of  $89.87 for a total amount of $127 million.  Dividends On February 26, 2014, the Board of Directors approved an increase in our  quarterly common share dividend from $0.96 per share to $0.98 per share for  the quarter ending April 30, 2014.  Off-balance sheet arrangements We enter into off-balance sheet arrangements in the normal course of our  business. We consolidate all of our sponsored trusts that securitize our own  assets with the exception of the commercial mortgage securitization trust.  CIBC-sponsored conduits We sponsor a single-seller conduit and several multi-seller conduits  (collectively, the conduits) in Canada.  As at January 31, 2014, the underlying collateral for various asset types in  our non-consolidated sponsored multi-seller conduits amounted to $2.0 billion  (October 31, 2013: $2.1 billion). The estimated weighted-average life of these  assets was 1.0 years (October 31, 2013: 1.1 years). Our holdings of commercial  paper issued by our non-consolidated sponsored multi-seller conduits that  offer commercial paper to external investors were $15 million (October 31,  2013: $9 million). Our committed backstop liquidity facilities to these  conduits were $3.1 billion (October 31, 2013: $3.2 billion). We also provided  credit facilities of $30 million (October 31, 2013: $30 million) to these  conduits as at January 31, 2014.  We participated in a syndicated facility for a 3-year commitment of $575  million to our single-seller conduit that provides funding to franchisees of a  major Canadian retailer. Our portion of the commitment was $110 million  (October 31, 2013: $110 million). As at January 31, 2014, we funded $84  million (October 31, 2013: $81 million) through the issuance of bankers'  acceptances.                                                          2014                                            2013         $ millions, as                                    Jan. 31                                         Oct. 31         at                                         Undrawn                                         Undrawn                                                         liquidity       Written                         liquidity       Written                         Investment       and credit        credit       Investment       and credit        credit                          and loans (1)   facilities   derivatives (2)    and loans (1)   facilities   derivatives (2)     CIBC-sponsored  $       99       $    2,049    $        -        $      90        $   2,151    $        -         conduits     CIBC-structured        129               46           131              135               43           134         CDO vehicles     Third-party     structured                                                                                                        vehicles       Structured       credit             3,450              202         2,892            3,456              236         2,966           run-off       Continuing           619               23             -              540                -             -         Pass-through     investment           3,087                -             -            3,090                -             -         structures     Commercial     mortgage                12                -             -                5                -             -         securitization     trust     (1) Excludes securities issued by, retained interest         in, and derivatives with entities established by         Canada Mortgage and Housing         Corporation (CMHC), Federal National Mortgage         Association (Fannie Mae), Federal Home Loan         Mortgage Corporation         (Freddie Mac), Government National Mortgage         Association (Ginnie Mae), Federal Home Loan Banks,         Federal Farm Credit         Bank, and Student Loan Marketing Association         (Sallie Mae). $3.0 billion (October 31, 2013: $3.0         billion) of the exposures         related to CIBC-structured vehicles and         third-party structured vehicles - structured         credit run-off were hedged.     (2) The negative fair value recorded on the interim         consolidated balance sheet was $348 million         (October 31, 2013: $368 million).         Notional of $2.6 billion (October 31, 2013: $2.7         billion) was hedged with credit derivatives         protection from third parties. The fair         value of these hedges net of CVA was $212 million         (October 31, 2013: $213 million). An additional         notional of $156 million         (October 31, 2013: $161 million) was hedged         through a limited recourse note. Accumulated fair         value losses were $14 million         (October 31, 2013: $15 million) on unhedged         written credit derivatives.   Additional details of our structured entities are provided in Note 6 to the  interim consolidated financial statements. Details of our other off-balance  sheet arrangements are provided on pages 36 and 37 of the 2013 Annual Report.  Management of risk  Our approach to management of risk, and our governance structure, have not  changed significantly from that described on pages 38 to 72 of the 2013 Annual  Report. Certain disclosures in this section have been shaded as they are  required under IFRS 7 "Financial Instruments - Disclosures" and form an  integral part of the interim consolidated financial statements.  Risk overview Most of CIBC's business activities involve, to a varying degree, a variety of  risks, and effective management of risks is fundamental to CIBC's success. Our  objective is to balance the level of risk with our business objectives for  growth and profitability in order to achieve consistent and sustainable  performance while remaining within our risk appetite.  Our risk appetite defines tolerance levels for various risks. This is the  foundation for our risk management culture, and our risk management framework.  Our risk management framework includes:         --  The Board-approved risk appetite statement;         --  Risk policies, procedures and limits to align activities with             our risk appetite;         --  Regular risk reports to identify and communicate risk levels;         --  An independent control framework to identify and test             compliance with key controls;         --  Stress testing to consider potential impacts of changes in the             business environment on capital, liquidity and earnings;         --  Proactive consideration of risk mitigation options in order to             optimize results; and         --  Oversight through our risk-focused committees and governance             structure.  Managing risk is a shared responsibility at CIBC. Business units and risk  management professionals work in collaboration to ensure that business  strategies and activities are consistent with our risk appetite. CIBC's  approach to enterprise-wide risk management aligns with the three lines of  defence model:     (1)    CIBC's lines of business are responsible for all risks            associated with their activities - this is the first line of            defence;     (2)    As the second line of defence, CIBC's risk management,            compliance and other control functions are responsible for            independent oversight of the enterprise-wide risks inherent in            CIBC's business activities; and     (3)    As the third line of defence, CIBC's Internal Audit function            provides an independent assessment of the design and operating            effectiveness of risk management controls, processes and            systems.  We continuously monitor our risk profile against our defined risk appetite and  related limits, taking actions as needed to maintain an appropriate balance of  risk and return. Monitoring our risk profile includes forward-looking analysis  of sensitivity to local and global market factors, economic conditions, and  political and regulatory environments that influence our overall risk profile.  Regular and transparent risk reporting and discussion at senior management  committees facilitate communication of risks and discussion of risk management  strategies across the organization.  Additional information on our risk governance, risk management process and  risk culture are provided on pages 39 to 43 of the 2013 Annual Report.  Risk management structure The Risk Management group, led by our Chief Risk Officer, is responsible for  setting risk strategies and for providing independent oversight of the  businesses. Risk Management works to identify, assess, mitigate, monitor and  control the risks associated with business activities and strategies, and is  responsible for providing an effective challenge to the lines of businesses.  There were changes made during the quarter to the Risk Management structure.  The current structure is illustrated below.  To view the Risk Management structure please click  http://files.newswire.ca/256/Risk_Management_Structure.pdf  The Risk Management group performs several important activities including:         --  Developing CIBC's risk appetite and associated management             control metrics;         --  Setting risk strategy to manage risks in alignment with our             risk appetite and business strategy;         --  Establishing and communicating risk policies, procedures and             limits to control risks in alignment with risk strategy;         --  Measuring, monitoring and reporting on risk levels;         --  Identifying and assessing emerging and potential strategic             risks; and         --  Deciding on transactions that fall outside of risk limits             delegated to business lines.  The ten key groups within Risk Management, independent of the originating  businesses, contribute to our management of risk:         --  Global Regulatory Affairs and Risk Control - This team provides             expertise in risk, controls and regulatory reporting, and             oversees regulatory interactions across CIBC to ensure             coordinated communication and the effective development of and             adherence to action plans.         --  Capital Markets Risk Management - This unit provides             independent oversight of the measurement, monitoring and             control of market risks (both trading and non-trading), and             trading credit risk across CIBC's portfolios.         --  Balance Sheet, Liquidity and Pension Risk Management - This             unit has primary global accountability for providing an             effective challenge and sound risk oversight to the             treasury/liquidity management function within CIBC.         --  Global Credit Risk Management - This unit is responsible for             the adjudication and oversight of credit risks associated with             our commercial and wholesale lending activities globally,             management of the risks in our investment portfolios, as well             as management of special loan portfolios.         --  Wealth Risk Management - This unit is responsible for the             independent governance and oversight of the wealth management             business/activities in CIBC globally.         --  Retail Lending Risk Management - This unit primarily oversees             the management of credit and fraud risk in the retail lines of             credit and loans, residential mortgage, and small business loan             portfolios, including the optimization of credit portfolio             quality.         --  Card Products Risk Management - This unit oversees the             management of credit risk in the card products portfolio,             including the optimization of credit portfolio quality.         --  Global Operational Risk Management - This team has global             accountability for the identification, measurement and             monitoring of all operational risks, including locations,             people, insurance, technology, subsidiaries/affiliates and             vendors.         --  Enterprise Risk Management - This unit is responsible for             enterprise-wide analysis, including enterprise-wide stress             testing and reporting, risk systems and models, as well as             economic capital methodologies.         --  Special Initiatives - This unit is responsible for assisting in             the design, delivery and implementation of new initiatives             aligned with Risk Management's strategic plan, while enhancing             internal client partnerships and efficiency.  Top and emerging risks We monitor and review top and emerging risks that may affect our future  results, and take action to mitigate potential risks if required. We perform  an in-depth analysis, which can include stress testing our exposures relative  to the risks, and provide updates and related developments to the Board on a  regular basis. The main top and emerging risks that we consider with potential  negative implications, that are material for CIBC, have not changed  significantly from those described on pages 43 to 44 of the 2013 Annual Report.  Risks arising from business activities The chart below shows our business activities and related risk measures based  upon regulatory RWAs and economic capital as at January 31, 2014:  To view the chart please click http://files.newswire.ca/256/CIBC_chart_3.pdf  Credit risk Credit risk is defined as the risk of financial loss due to a borrower or  counterparty failing to meet its obligations in accordance with contractual  terms.  Credit risk arises mainly from our Retail and Business Banking and our  Wholesale lending businesses. Other sources of credit include our trading  activities, including our over-the-counter (OTC) derivatives, debt securities,  and our repo-style transaction activity. In addition to losses on the default  of a borrower or counterparty, unrealized gains or losses may occur due to  changes in the credit spread of the counterparty, which could impact the  carrying or fair value of our asset.  Exposure to credit risk                                                      2014       2013     $ millions, as at                             Jan. 31    Oct. 31     Business and government     portfolios-advanced internal                                         ratings-based (AIRB) approach     Drawn                                      $   83,710 $   84,016     Undrawn commitments                            38,304     35,720     Repo-style transactions                        58,861     57,975     Other off-balance sheet                        63,880     51,885     OTC derivatives                                16,753     13,255     Gross exposure at default (EAD) on            261,508    242,851     business and government portfolios     Less: repo collateral                          50,544     51,613     Net EAD on business and government            210,964    191,238     portfolios     Retail portfolios-AIRB approach                                      Drawn                                         193,067    195,796     Undrawn commitments                            62,319     65,424     Other off-balance sheet                           279        417     Gross EAD on retail portfolios                255,665    261,637     Standardized portfolios                        11,592     10,798     Securitization exposures                       16,303     16,799     Gross EAD                                  $  545,068 $  532,085     Net EAD                                    $  494,524 $  480,472  Forbearance policy We employ forbearance techniques to manage customer relationships and to  minimize credit losses due to default, foreclosure or repossession. In certain  circumstances, it may be necessary to modify a loan for economic or legal  reasons related to a borrower's financial difficulties and we may grant a  concession in the form of below-market rates or terms that would not otherwise  be considered, for the purpose of maximizing recovery of our exposure to the  loan. In circumstances where the concession is considered below market, the  modification is reported as a troubled debt restructuring (TDR). TDRs are  subject to our normal quarterly impairment review which considers, amongst  other factors, covenants and/or payment delinquencies. An appropriate level of  loan loss provision by portfolio segment is then established.  In retail lending, forbearance techniques include interest capitalization,  amortization amendments and debt consolidations. We have a set of eligibility  criteria which allow our Client Account Management team to determine suitable  remediation strategies and propose products based on each borrower's  situation. These solutions are intended to increase the ability of borrowers  to service their obligation by providing often more favourable conditions than  those originally provided.  The solutions available to corporate and commercial clients vary based on the  individual nature of the client's situation and are undertaken selectively  where it has been determined that the client has or is likely to have  repayment difficulties servicing its obligations. Covenants often reveal  changes in the client's financial situation before there is a change in  payment behaviour and typically allow for a right to reprice or accelerate  payments. Solutions may be temporary in nature or may involve other special  management options.  During the current quarter, $20 million ($3 million for the quarter ended  January 31, 2013) of loans have undergone TDR.  Real estate secured personal lending Real estate secured personal lending comprises residential mortgages and  personal loans and lines secured by residential property (HELOC). This  portfolio is low risk as we have a first charge on the majority of the  properties, and second lien on only a small portion of the portfolio. We use  the same lending criteria in the adjudication of both first lien and second  lien loans.  The following table provides details on our Canadian residential mortgage and  HELOC portfolios:                                 Residential mortgages             HELOC (1)                              Total     $     billions,     as at                                                                                                 January     31, 2014           Insured (2)           Uninsured            Uninsured           Insured (2)           Uninsured                                                                                                                        Ontario       $  46.0       68 %   $  21.8       32 %   $  9.3       100 %   $  46.0       60 %   $ 31.1       40 %     British                                                                                                            Columbia         18.8       64        10.5       36        3.9       100        18.8       57       14.4       43                                                                                                                          Alberta          17.0       74         6.0       26        2.8       100        17.0       66        8.8       34       Quebec            7.7       72         3.0       28        1.4       100         7.7       63        4.4       37                                                                                                                          Other            11.8       76         3.7       24        1.8       100        11.8       68        5.5       32       Total     Canadian     portfolio                                                                                                    (3)           $ 101.3       69 %   $  45.0       31 %   $ 19.2       100 %   $ 101.3       61 %   $ 64.2       39 %     October                                                                                                            31, 2013      $ 102.6       71 %   $  42.9       29 %   $ 19.3       100 %   $ 102.6       62 %   $ 62.2       38 %     (1) We did not have any insured HELOCs as at         January 31, 2014 and October 31, 2013.     (2) 94% (October 31, 2013: 94%) is insured by         CMHC and the remaining by two private         Canadian insurers, both rated at least AA         (low) by DBRS.     (3) Geographical allocation is based on the         address of the property managed.   The average loan-to-value (LTV) ratios((1)) for our uninsured Canadian  residential mortgages and HELOCs originated during the quarter are provided in  the following table. We did not acquire uninsured residential mortgages and  HELOCs from a third party for the periods presented in the table below.                                            2014                        2013                        2013                                           Jan. 31                     Oct. 31                     Jan. 31                           Residential                 Residential                 Residential                   For the     three                 mortgages       HELOC       mortgages       HELOC       mortgages       HELOC       months     ended     Ontario                      71 %        70 %            71 %        70 %            71 %        69 %     British                      66          65              67          66              67          65       Columbia     Alberta                      72          71              72          70              72          69       Quebec                       72          72              72          71              72          70       Other                        74          73              73          72              73          71       Total     Canadian     portfolio     (2)                          70 %        70 %            70 %        69 %            71 %        69 %     (1) LTV ratios for newly originated residential mortgages         and HELOCs are calculated based on weighted average.      (2) Geographical allocation is based on the address of the         property managed.   The following table provides the average LTV ratios on our total Canadian  residential mortgage portfolio:                                                 Insured     Uninsured         January 31, 2014                                (1)                                              60 %          60 %     October 31, 2013                                (1)                                              59 %          60 %     (1) LTV ratios for residential mortgages are calculated based         on weighted average. The house price         estimates for October 31, 2013 and January 31, 2014 are         based on Teranet - National Bank         National Composite House Price Index (Teranet) as of         September 30, 2013 and December 31,         2013, respectively. Teranet is an independent estimate of         the rate of change of Canadian home         prices. The sale prices are based on the property records         of public land registries. The monthly         indices cover eleven Canadian metropolitan areas which are         combined to form a national         composite index.  The tables below summarize the remaining amortization profile of our total  Canadian residential mortgages. The first table provides the remaining  amortization periods based on the minimum contractual payment amounts. The  second table provides the remaining amortization periods based upon current  customer payment amounts, which incorporate payments larger than the minimum  contractual amount and/or higher frequency of payments.     Contractual payment basis                  Less                                                                              35                  than        5-10       10-15       15-20       20-25       25-30       30-35   years                       5                                                                             and                 years       years       years       years       years       years       years   above       As at     January                                                                                 31,     2014            - %         1 %         3 %        11 %        20 %        42 %        23 %     - %     As at     October                                                                                 31,     2013            1 %         1 %         3 %        12 %        19 %        39 %        25 %     - %                                                                                                             Current customer payment basis                  Less                                                                              35                  than        5-10       10-15       15-20       20-25       25-30       30-35   years                       5                                                                             and                 years       years       years       years       years       years       years   above       As at     January                                                                                 31,     2014            3 %         6 %        11 %        15 %        25 %        29 %        11 %     - %     As at     October                                                                                 31,     2013            3 %         6 %        11 %        15 %        24 %        28 %        12 %     1 %  We have two types of condominium exposures in Canada: mortgages and developer  loans. Both are primarily concentrated in the Toronto and Vancouver areas. As  at January 31, 2014, our Canadian condominium mortgages were $16.6 billion  (October 31, 2013: $16.6 billion) of which 73% (October 31, 2013: 74%) were  insured. Our drawn developer loans were $798 million (October 31, 2013: $920  million) or 1% of our business and government portfolio and our related  undrawn exposure was $1.9 billion (October 31, 2013: $2.1 billion). The  condominium developer exposure is diversified across 70 projects.  We stress test our mortgage and HELOC portfolio to determine the potential  impact of different economic events. Our stress tests can use variables such  as GDP, unemployment, bankruptcy rates, debt service ratios and delinquency  trends, which are reflective of potential ranges of housing price declines, to  model potential outcomes for a given set of circumstances. The stress testing  involves variables that could behave differently in certain situations. Our  main tests use economic variables in a similar range to the early 1980s and  early 1990s when Canada experienced economic downturns. Our results show that  in an economic downturn, our strong capital position should be sufficient to  absorb mortgage and HELOC losses.  Counterparty credit exposure  We have counterparty credit exposure that arises from our interest rate,  foreign exchange, equity, commodity, and credit derivatives trading, hedging,  and portfolio management activities, as explained in Note 12 of the 2013  annual consolidated financial statements.  The following table shows the rating profile of OTC derivative MTM receivables  (after derivative master netting agreements, but before any collateral):                                                  2014                     2013                                                                                        $ billions, as                               Jan.                     Oct.       at                                             31                       31                                                              Exposure (1)     Investment                     $     6.94    84.8 %     $     4.59    85.0 %     grade     Non-investment                       1.07    13.0             0.78    14.5       grade                                                                            Watchlist                            0.16     1.9             0.03     0.5                                                                                        Unrated                              0.02     0.3                -      -                                                                                                                        $     8.19   100.0 %     $     5.40   100.0 %     (1) MTM of the OTC derivative contracts is after the impact of master         netting         agreements, but before any collateral.  The following table provides details of our impaired loans, allowances and  provisions for credit losses.     $ millions,     as at or for                                   2014                                 2013                                 the three                                      Jan.                                 Oct.                                   2013   months ended                                     31                                   31                              Jan. 31                        Business                               Business                             Business                     and                                         and                                  and                                                government    Consumer               government    Consumer               government    Consumer                                         loans       loans        Total       loans       loans        Total       loans      loans          Total      Gross     impaired                                                                                                                 loans (GIL)                                                                                                                         Balance at     beginning of                                                                                                           period          $      843   $     704     $  1,547 $       955   $     668     $  1,623 $     1,128   $     739      $   1,867          Classified       as impaired                                                                                                            during the       period                65         352          417          62         362          424          65         376            441       Transferred       to not       impaired                                                                                                               during the       period               (3)        (20)         (23)        (13)        (22)         (35)         (2)        (15)           (17)       Net                                                                                                                    repayments          (85)        (60)        (145)        (16)        (83)         (99)       (132)        (73)          (205)       Amounts                                                                                                                written-off         (22)       (255)        (277)       (156)       (226)        (382)        (67)       (269)          (336)       Recoveries       of loans       and                                                                                                                    advances       previously       written off            -           -            -           -           -            -           -           -              -       Disposals                                                                                                              of loans               -           -            -           -           -            -           -           -              -       Foreign       exchange                                                                                                               and other             43          25           68          11           5           16           -         (1)            (1)     Balance at                                                                                                             end of period   $      841   $     746     $  1,587 $       843   $     704     $  1,547 $       992   $     757      $   1,749        Allowance for     impairment                                                                                                               (1)                                                                                                                                 Balance at     beginning of                                                                                                           period          $      323   $     224     $    547 $       405   $     217     $    622 $       492   $     229      $     721          Amounts                                                                                                                written-off         (22)       (255)        (277)       (156)       (226)        (382)        (67)       (269)          (336)       Recoveries       of amounts       written-off                                                                                                            in previous       periods                5          45           50           1          44           45           3          41             44       Charge to       income                                                                                                                 statement             36         207          243          62         199          261          35         234            269       Interest       accrued on                                                                                                             impaired       loans                (6)         (3)          (9)         (4)         (5)          (9)         (6)         (3)            (9)       Disposals                                                                                                              of loans               -           -            -           -           -            -           -           -              -       Foreign       exchange                                                                                                               and other             12           9           21          15         (5)           10           1           1              2     Balance at                                                                                                             end of period   $      348   $     227     $    575 $       323   $     224     $    547 $       458   $     233      $     691        Net impaired                                                                                                             loans                                                                                                                               Balance at     beginning of                                                                                                           period          $      520   $     480     $  1,000 $       550   $     451     $  1,001 $       636   $     510      $   1,146          Net change       in gross                                                                                                               impaired             (2)          42           40       (112)          36         (76)       (136)          18          (118)       Net change       in                                                                                                                     allowance           (25)         (3)         (28)          82         (7)           75          34         (4)             30     Balance at                                                                                                             end of period   $      493   $     519     $  1,012 $       520   $     480     $  1,000 $       534   $     524      $   1,058        GIL less     allowance for     impairment as                                                                                                          a percentage     of  related     assets (2)                                    0.36%                                0.35%                                  0.38%     (1)  Includes collective allowance relating to personal,          scored small business and mortgage impaired loans          that are greater than 90 days delinquent, and          individual allowance.     (2)  The related assets include loans, securities          borrowed or purchased under resale agreements, and          acceptances.   Impaired loans During the quarter, $417 million of loans were newly classified as impaired.  New classification as impaired was down $24 million from the same quarter last  year, mainly attributable to consumer loans. New classification was down $7  million from the prior quarter, due to decrease in consumer loans, partially  offset by an increase in the business and government loans.  Reductions in GIL due to transfer out of impaired loans and net repayments  were $168 million. These reductions were down $54 million from the same  quarter last year, due to a decrease in reduction in both business and  government loans and consumer loans. They were up $34 million from the prior  quarter, mainly driven by an increase in reduction in business and government  loans, partially offset by a decrease in consumer loans.  The write-offs for the quarter totalled $277 million. The write-offs were down  from the same quarter last year due to a decrease in both business and  government loans and consumer loans. The write-offs were down $105 million  from the prior quarter, primarily due to a decrease in business and government  loan write-offs, partially offset by an increase in consumer loans resulting  from operational changes in the processing of write-offs.  After experiencing an increase during the 2009 recession, GIL stabilized in  2011 and showed some improvements in 2012 and 2013. About half of the consumer  GIL in this quarter were from Canada, in which insured mortgages accounted for  the majority, and where losses are expected to be minimal. Consumer GIL in  CIBC FirstCaribbean increased this quarter mainly due to continued economic  pressure in the Caribbean region. GIL in business and government loans were  comparable to the prior quarter, but lower than the same quarter last year due  to write-offs of impaired accounts in the sectors of business services,  publishing and transportation sectors, as well as U.S. real estate finance  accounts originated before 2009.  Allowance for Impairment  The allowance for impairment was down $116 million or 17% from the same  quarter last year. The individually assessed allowance for business and  government loans decreased by $100 million or 23%, mainly driven by decreases  in the real estate, construction, and transportation sectors. The decrease in  the real estate and construction sectors was primarily in the U.S., and was  consistent with the decrease in GIL. The decrease in the transportation sector  was attributable to the write-off of an account in the U.S. in the second  quarter of 2013. The individually assessed allowance for consumer loans was  comparable to the same quarter last year. The collectively assessed allowance  for consumer impairment was down $7 million or 3% due to a revision of  estimated loss parameters on unsecured lending portfolios implemented in the  third quarter of 2013, partially offset by an increase in the mortgage  portfolio of CIBC FirstCaribbean. The collectively assessed allowance for  business and government impairment was down $10 million, with small decreases  spread across various sectors.  The allowance for impairment was $575 million, up $28 million or 5% from the  prior quarter. The individually assessed allowance for business and government  loans increased by $27 million or 9%, largely driven by an increase in the  business services and real estate and construction sectors. Both of these  movements were primarily in the Caribbean region and they were consistent with  the changes in GIL. Business and government GIL decreased $40 million in the  U.S., where individually assessed allowances decreased $8 million. The  decrease in both GIL and the individually assessed allowance was largely  driven by the U.S. real estate finance accounts originated before 2009. Both  of the individually assessed allowance for consumer loans and the collectively  assessed allowance for impairment were comparable to the prior quarter.  Exposure to certain countries and regions Several European countries, especially Greece, Ireland, Italy, Portugal, and  Spain, have continued to experience credit concerns. The following tables  provide our exposure to these and other European countries, both within and  outside the Eurozone. Except as noted in our indirect exposures section below,  we do not have any other exposure through our special purpose entities (SPEs)  to the countries included in the tables below.  We do not have material exposure to the countries in the Middle East and North  Africa that have either experienced or may be at risk of unrest. These  countries include Algeria, Bahrain, Egypt, Jordan, Lebanon, Libya, Morocco,  Oman, Saudi Arabia, Syria, Tunisia, and Yemen.  Direct exposures to certain countries and regions Our direct exposures presented in the tables below comprise (A) funded -  on-balance sheet loans (stated at amortized cost net of allowances, if any),  deposits with banks (stated at amortized cost net of allowances, if any) and  securities (stated at fair value); (B) unfunded - unutilized credit  commitments, letters of credit, and guarantees (stated at notional amount net  of allowances, if any) and sold credit default swap (CDS) contracts where we  do not benefit from subordination (stated at notional amount less fair value);  and (C) derivative MTM receivables (stated at fair value) and repo-style  transactions (stated at fair value).  Of our total direct exposures to Europe, approximately 94% (2013: 96%) is to  entities in countries with Aaa/AAA ratings from at least one of Moody's or S&P.  The following tables provide a summary of our positions in this business:                                                                         Direct exposures                                                                           Funded                                 Unfunded                                                                                      Total                                 Total                                                              funded                              unfunded     $ millions,     as at               Corporate  Sovereign        Bank        (A)    Corporate          Bank        (B)     January 31,     2014     Austria            $        -  $       1    $      -  $       1    $       -      $      -  $       -     Belgium                     5          -          99        104            -             -          -     Finland                     1          1           2          4          313             -        313     France                     49          -           1         50          177             8        185     Germany                   392         92           5        489           14             -         14     Greece                      -          -           -          -            -             -          -     Ireland                     -          -           2          2            -            17         17     Italy                       1          -           -          1            -             -          -     Luxembourg                 16          -         177        193           13             -         13     Malta                       -          -           -          -            -             -          -     Netherlands                10        249         109        368            -             2          2     Portugal                    -          -           -          -            -             -          -     Spain                       -          -           1          1            -             -          -     Total              $      474  $     343    $    396  $   1,213    $     517      $     27  $     544     Eurozone     Czech                       -          -           -          -            -             -          -     Republic     Denmark                     -          -          28         28            -             9          9     Norway                      1        142         140        283            -             -          -     Sweden                    177        100         302        579           40             -         40     Switzerland               259          -         362        621          207             -        207     Turkey                      -          -          96         96            -            12         12     United                    667        374         338      1,379        2,096 (1)       196      2,292     Kingdom     Total              $    1,104  $     616    $  1,266  $   2,986    $   2,343      $    217  $   2,560     non-Eurozone     Total Europe       $    1,578  $     959    $  1,662  $   4,199    $   2,860      $    244  $   3,104     October 31,        $    1,610  $     815    $  1,548  $   3,973    $   1,910      $    220  $   2,130     2013     (1) Includes $188 million of exposure (notional value of         $215 million and fair value of $27 million) on a CDS         sold on a         bond issue of a U.K. corporate entity, which is         guaranteed by a financial guarantor. We currently         hold the CDS sold         as part of our structured credit run-off business. A         payout on the CDS sold would be triggered by the         bankruptcy         of the reference entity, or a failure of the entity         to make a principal or interest payment as it is         due; as well as         failure of the financial guarantor to meet its         obligation under the guarantee.                                                                      Direct exposures (continued)                                          Derivative MTM receivables and repo-style transactions              Total                                                                                                    Net      direct                                                                Gross        Collateral        exposure    exposure     $ millions,     as at                                                            (1)               (2)           January 31,                                                                                           (A)+(B)+     2014              Corporate  Sovereign         Bank     exposure              held             (C)         (C)     Austria          $        -  $       -    $       1    $       1        $        -        $      1  $        2     Belgium                   -          1            1            2                 -               2         106     Finland                   -          -            5            5                 -               5         322     France                    3          -           11           14                 -              14         249     Germany                   -         12          230          242                 1             241         744     Greece                    -          -            -            -                 -               -           -     Ireland                   -          -            1            1                 -               1          20     Italy                     -          -            5            5                 -               5           6     Luxembourg                -          -            3            3                 -               3         209     Malta                     -          2            -            2                 -               2           2     Netherlands               -          -           12           12                 -              12         382     Portugal                  -          -            -            -                 -               -           -     Spain                     -          -            -            -                 -               -           1     Total            $        3  $      15    $     269    $     287        $        1        $    286  $    2,043     Eurozone     Czech                     -          -           55           55                55               -           -     Republic     Denmark                   -          -            3            3                 3               -          37     Norway                    -        109            -          109               109               -         283     Sweden                    1          -           36           37                36               1         620     Switzerland               -         18          815          833               804              29         857     Turkey                    -          -            -            -                 -               -         108     United                  218          2        4,077        4,297             4,004             293       3,964     Kingdom     Total            $      219  $     129    $   4,986    $   5,334        $    5,011        $    323  $    5,869     non-Eurozone     Total Europe     $      222  $     144    $   5,255    $                $    5,012        $    609  $    7,912                                                                5,621     October 31,      $      177  $     317    $   5,336    $   5,830        $    5,346        $    484  $    6,587     2013     (1) The amounts are shown net of CVA.      (2) Collateral on derivative MTM receivables was $1.0         billion (October 31, 2013: $1.4 billion),         collateral on repo-style transactions         was $4.0 billion (October 31, 2013: $4.0 billion),         and both are comprised of cash and investment-grade         debt securities.   Indirect exposures to certain countries and regions Our indirect exposures comprise securities (primarily CLOs classified as loans  on our consolidated balance sheet), and written credit protection on  securities in our structured credit run-off business where we benefit from  subordination to our position. Our gross exposure before subordination is  stated at carrying value for securities and notional, less fair value for  derivatives where we have written protection. We have no indirect exposures to  Portugal, Turkey, Guernsey, or Russia.                                                                  Total                                                               indirect     $ millions, as at January 31, 2014                        exposure     Austria                                                $         -     Belgium                                                         40     Finland                                                         21     France                                                         403     Germany                                                        279     Greece                                                          11     Ireland                                                         20     Italy                                                           70     Luxembourg                                                      80     Malta                                                            -     Netherlands                                                    252     Portugal                                                         -     Spain                                                          147     Total Eurozone                                         $     1,323     Denmark                                                $        25     Norway                                                          14     Sweden                                                          59     Switzerland                                                      8     United Kingdom                                                 390     Total non-Eurozone                                     $       496     Total exposure                                         $     1,819     October 31, 2013                                       $     1,888  In addition to the indirect exposures above, we have indirect exposures to  European counterparties when we have taken debt or equity securities issued by  European entities as collateral for our securities lending and borrowing  activity, from entities that are not in Europe. Our indirect exposure was $156  million (October 31, 2013: $211 million).  Selected exposures in certain selected activities In response to the recommendations of the Financial Stability Board, this  section provides information on our other selected activities within our  continuing and exited businesses that may be of particular interest to  investors based on their risk characteristics and the current market  environment. For additional information on these selected exposures, refer to  pages 57 to 58 of the 2013 Annual Report.  U.S. real estate finance  The following table provides a summary of our positions in this business:     $ millions, as at January 31,                    Drawn         Undrawn     2014     Construction program                           $   158       $      58     Interim program                                  5,983             408     Permanent program                                  226               -     Exposure, net of allowance                     $ 6,367       $     466     Of the above:                                                                Net impaired                                 $   103       $       -       On credit watch list                             168               2     Exposure, net of allowance, as                 $ 5,938       $     467     at October 31, 2013  As at January 31, 2014, the allowance for credit losses for this portfolio was  $48 million (October 31, 2013: $55 million). During the quarter ended January  31, 2014, we recorded provision for credit losses of $3 million ($9 million  for the quarter ended January 31, 2013).  The business also maintains commercial mortgage-backed securities (CMBS)  trading and distribution capabilities. As at January 31, 2014, we had CMBS  inventory with a notional amount of $9 million and a fair value of less than  $1 million (October 31, 2013: notional of $9 million and fair value of less  than $1 million).  Leveraged finance  The exposures in our leveraged finance activities in Europe and U.S. are  discussed below.  European leveraged finance  The following table provides a summary of our positions in this exited  business:     $ millions, as at January 31,                     Drawn         Undrawn     2014     Manufacturing - capital goods                   $   199       $       8     Publishing, printing and                              5               -     broadcasting     Utilities                                            10               -     Transportation                                        4               1     Exposure, net of allowance                      $   218       $       9     Of the above:                                                                 Net impaired                                  $     5       $       -       On credit watch list                              175               8     Exposure, net of allowance, as at                                 October 31, 2013 (1)                            $   359       $      28     (1) Excludes $21 million of carrying value relating to equity         received pursuant to a         reorganization. We sold this equity investment during the         quarter. See "Overview"         section for additional information.  Our exposure declined primarily due to loan repayments in the current quarter.  These repayments occurred in conjunction with our sale of an equity investment  in the borrower that we had previously received pursuant to an earlier  reorganization. See "Overview" section for additional information.  As at January 31, 2014, the allowance for credit losses for this portfolio was  $37 million (October 31, 2013: $35 million). During the quarter ended January  31, 2014, the provision for credit losses was nil (nil for the quarter ended  January 31, 2013).  U.S. leveraged finance  The following table provides a summary of our positions in this business:     $ millions, as at January 31,                    Drawn         Undrawn     2014     Transportation                                 $    38       $       -     Publishing, printing and                             8               -     broadcasting     Exposure, net of allowance                     $    46       $       -     Of the above:                                                                Net impaired                                 $    38       $       -       On credit watch list                               8               -     Exposure, net of allowance, as                 $    44       $       4     at October 31, 2013  As at January 31, 2014, the allowance for credit losses for this portfolio was  $2 million (October 31, 2013: $2 million). During the quarter ended January  31, 2014, the provision for credit losses was nil (net reversal of $1 million  for the quarter ended January 31, 2013).  Market risk Market risk arises from positions in currencies, securities and derivatives  held in our trading portfolios, and from our retail banking business,  investment portfolios, and other non-trading activities. Market risk is  defined as the potential for financial loss from adverse changes in underlying  market factors, including interest and foreign exchange rates, credit spreads,  and equity and commodity prices.  Risk measurement  The following table provides balances on the consolidated balance sheet which  are subject to market risk. Certain differences between accounting and risk  classifications are detailed in the footnotes below:                                                                        2014                                                  2013                                                                                                                                              Oct.     $ millions, as at                                               Jan. 31                                                    31 (1)                                                     Subject to market risk                                Subject to market risk                                                                                                                                                                     Non-traded                          Consolidated                                   Not   Consolidated                                    Not            risk                                                                   subject                                               subject         primary                                  balance                      Non-          to        balance                       Non-          to            risk                                                                    market                                                market                                    sheet     Trading       trading        risk          sheet     Trading        trading        risk     sensitivity     Cash and     non-interest-bearing                                                                                                                  Foreign   deposits with banks  $      2,239   $       -     $   1,279   $     960   $      2,211   $       -     $    1,165    $  1,046        exchange        Interest-bearing                                                                                                                     Interest     deposits with banks         4,034          51         3,983           -          4,168         111          4,057           -            rate                                                                                                                                           Equity,                                                                                                                                          interest     Securities                 71,017      44,386 (2)    26,631           -         71,984      43,160 (2)     28,824           -            rate     Cash collateral on                                                                                                                   Interest     securities borrowed         3,050           -         3,050           -          3,417           -          3,417           -            rate     Securities purchased     under resale                                                                                                                                                                                                                                                                           Interest       agreements               24,145           -        24,145           -         25,311           -         25,311           -            rate                                                                                                                                Loans                                                                                                                                               Residential                                                                                                                        Interest       mortgages               151,934           -       151,934           -        150,938           -        150,938           -            rate                                                                                                                                          Interest       Personal                 34,363           -        34,363           -         34,441           -         34,441           -            rate                                                                                                                                          Interest       Credit card              11,434           -        11,434           -         14,772           -         14,772           -            rate       Business and                                                                                                                       Interest       government               50,256       1,830 (3)    48,426           -         48,207       2,148 (3)     46,059           -            rate       Allowance for                                                                                                                      Interest       credit losses           (1,620)           -       (1,620)           -        (1,698)           -        (1,698)           -            rate     Derivative                                                                                                                           Interest     instruments                24,489      21,377 (4)     3,112           -         19,947      17,626 (4)      2,321           -           rate,                                                                                                                                           foreign                                                                                                                                          exchange     Customers' liability                                                                                                                 Interest     under acceptances          10,452           -        10,452           -          9,720           -          9,720           -            rate                                                                                                                                          Interest                                                                                                                                             rate,   Other assets               15,162       1,116         6,963       7,083         14,588       1,226          6,537     6,825         equity,                                                                                                                                              foreign                                                                                                                                          exchange                        $    400,955   $  68,760     $ 324,152   $   8,043   $    398,006   $  64,271     $  325,864    $  7,871                                                                                                                                                             Interest   Deposits             $    314,336   $     397 (5) $ 279,839   $  34,100   $    315,164   $     388 (5) $  281,027    $ 33,749            rate        Obligations related     to securities                                                                                                                                                                                                                                                                          Interest       sold short               13,214      12,870           344           -         13,327      13,144            183           -            rate     Cash collateral on                                                                                                                   Interest     securities lent             1,176           -         1,176           -          2,099           -          2,099           -            rate     Obligations related                                                                                                                  Interest     to securities sold                                                                                                                       rate       under repurchase                                                                                                                   Interest       agreements                6,396           -         6,396           -          4,887           -          4,887           -            rate     Derivative                                                                                                                           Interest     instruments                22,244      20,196 (4)     2,048           -         19,724      18,220 (4)      1,504           -           rate,                                                                                                                                           foreign                                                                                                                                          exchange                                                                                                                                          Interest     Acceptances                10,452           -        10,452           -          9,721           -          9,721           -            rate                                                                                                                                          Interest   Other liabilities          10,017         593         4,190       5,234         10,862         872          4,143     5,847            rate        Subordinated                                                                                                                         Interest     indebtedness                4,233           -         4,233           -          4,228           -          4,228           -            rate                        $    382,068   $  34,056     $ 308,678   $  39,334   $    380,012   $  32,624     $  307,792    $ 39,596                        (1) Certain information has been restated to         reflect the changes in accounting policies         stated in Note 1 to the interim         consolidated financial statements and to         conform to the         presentation adopted in the current         period.     (2) Excludes structured credit run-off         business of $861 million (October 31,         2013: $837 million). These are considered         non-trading for market risk purposes.     (3) Excludes $228 million (October 31, 2013:         $63 million) of loans that are warehoused         for future securitization purposes. These         are considered non-trading for market risk         purposes.     (4) Excludes derivatives relating to the         structured credit and other run-off         businesses which are considered         non-trading for market risk purposes.     (5) Comprises FVO deposits which are         considered trading for market risk         purposes.  Trading activities The following three tables show value at risk (VaR), stressed VaR and  incremental risk charge for our trading activities based on risk type under an  internal models-based approach.  Trading revenue (TEB) comprises both trading net interest income and  non-interest income and excludes underwriting fees and commissions. Trading  revenue (TEB) for the purposes of these tables excludes positions described in  the "Structured credit run-off business" section of the MD&A and certain other  exited portfolios.  Average total VaR for the three months ended January 31, 2014 was up 2% from  the last quarter, driven mainly by an increase in our equity and debt specific  risks, partially offset by a decrease in interest rate and credit spread risks.  Average total stressed VaR for the three months ended January 31, 2014 was up  115% from the last quarter. During the current stressed VaR period from  January 7, 2008 to January 6, 2009, the market exhibited not only increased  volatility in interest rate but also increased volatility in equity price  combined with a reduction in the level of interest rates, and an increase in  credit spreads.  Average incremental risk charge for the three months ended January 31, 2014  was up 4% from the last quarter, mainly due to an increase in the investment  grade trading inventory.  VaR by risk type - trading portfolio                                                                 2014                     2013                     2013     $ millions, as     at or for the                                                                                                 three months                                                Jan.     ended                                                         31                  Oct. 31                  Jan. 31                                                       As                      As                       As                                  High        Low          at     Average          at      Average          at      Average     Interest rate       $           $          $           $           $           $            $           $     risk                      2.8        0.7         1.6         1.2         1.2          2.0         3.7          3.0     Credit spread                                                                                                 risk                      1.4        0.9         1.2         1.1         1.2          1.3         1.8          1.7     Equity risk               9.1        1.8         1.9         2.6         1.9          2.0         2.2          2.2     Foreign                                                                                                       exchange risk             0.8        0.4         0.6         0.6         0.5          0.6         1.3          0.5     Commodity risk            1.7        0.6         0.9         0.9         0.6          0.9         0.8          1.0     Debt specific                                                                                                 risk                      3.5        1.9         3.0         2.5         2.5          2.3         2.4          2.6     Diversification                                                                                               effect (1)                n/m        n/m       (4.9)       (4.5)       (4.3)        (4.8)       (7.3)        (6.0)     Total VaR     (one-day            $           $          $           $           $           $            $           $     measure)                  9.7        3.3         4.3         4.4         3.6          4.3         4.9          5.0     (1) Total VaR is less than the sum of the VaR of the         different market risk types due to risk offsets         resulting from portfolio diversification effect.     n/m Not meaningful. It is not meaningful to compute a         diversification effect because the high and low may         occur on different days for different risk types.  Stressed VaR by risk type - trading portfolio                                                                 2014                     2013                    2013     $ millions, as     at or for the                                                                                                 three months                                                Jan.                     Oct.                    Jan.     ended                                                         31                       31                      31                                                                                                        As                                 High        Low        As at     Average        As at     Average          at     Average     Interest rate       $          $          $            $           $            $                       $     risk                    18.0        0.5         18.0         7.1          3.9         5.1   $     8.9         9.5     Credit spread                                                                                                 risk                     9.0        1.3          7.1         6.8          4.9         4.7         6.0         5.1     Equity risk             21.3        0.9          1.1         4.8          1.9         2.5         1.3         3.1     Foreign                                                                                                       exchange risk            3.8        0.4          0.7         1.0          0.7         0.6         1.9         1.7     Commodity risk          14.7        0.3          1.2         3.0          0.8         1.2         0.4         1.3     Debt specific                                                                                                 risk                     4.0        0.7          3.0         2.2          1.7         1.3         1.4         1.5     Diversification                                                                                               effect (1)               n/m        n/m       (15.3)      (14.8)       (10.5)      (10.7)       (9.4)      (10.4)     Total stressed     VaR (one-day        $          $          $            $           $            $                       $     measure)                18.1        3.1         15.8        10.1          3.4         4.7   $    10.5        11.8     (1)  Total stressed VaR is less than the sum of the VaR of          the different market risk types due to risk offsets          resulting from portfolio diversification effect.     n/m  Not meaningful. It is not meaningful to compute a          diversification effect because the high and low may          occur on different days for different risk types.  Incremental risk charge - trading portfolio                                                                 2014                     2013                    2013     $ millions,     as at or     for the                                                     Jan.                  Oct. 31                 Jan. 31     three                                                         31     months     ended                             High         Low          As     Average          As      Average         As      Average                                                       at                      at                      at     Default           $    117.0   $    71.1   $    86.6   $    86.5   $   102.9   $     81.0   $   36.0   $     51.7     risk     Migration               58.5                                43.9        45.4         44.4       40.4         41.9     risk                                30.1        51.3     Incremental     risk charge       $    170.2   $   105.0   $   137.9   $   130.4   $   148.3   $    125.4   $   76.4   $     93.6     (one-year     measure)  Trading revenue  The trading revenue (TEB) and VaR graph below shows the current quarter and  the three previous quarters' actual daily trading revenue (TEB) against the  previous day close of business VaR measures. Trading revenue distribution on  which VaR is calculated is not on a TEB basis.  During the quarter, trading revenue (TEB)( )was positive for 98% of the days.  Trading loss did not exceed VaR during the quarter. During the quarter, the  largest loss totalling $1.7 million occurred on January 24, 2014. The loss was  driven by a sharp increase in commodity prices. The largest gain of $15.7  million occurred on January 23, 2014. It was attributable to the normal course  of business within our capital markets group, notably in the equity  derivatives business. Average daily trading revenue (TEB) was $4.2 million  during the quarter and the average daily TEB was $1.7 million.  Trading revenue (TEB)((1)) versus VaR  To view the "Trading revenue (TEB)((1)) versus VaR" graph, please click  http://files.newswire.ca/256/TradngRevenueTEB.pdf  (1) Certain fair value adjustments such as OIS are recorded only at month end  but allocated throughout the month for the table above.  Non-trading activities Interest rate risk Non-trading interest rate risk consists primarily of risk inherent in  asset/liability management activities and the activities of domestic and  foreign subsidiaries. Interest rate risk results from differences in the  maturities or repricing dates of assets and liabilities, both on- and  off-balance sheet, as well as from embedded optionality in retail products.  This optionality arises predominantly from the prepayment exposures of  mortgage products, mortgage commitments and some GIC products with early  redemption features; this optionality is measured consistent with our actual  experience. A variety of cash instruments and derivatives, principally  interest rate swaps, futures and options, are used to manage and control these  risks.  The following table shows the potential impact over the next 12 months,  adjusted for structural assumptions (excluding shareholders' equity),  estimated prepayments and early withdrawals, of an immediate 100 and 200 basis  point increase or decrease in interest rates. In addition, we have a floor in  place in the downward shock to accommodate for the current low interest rate  environment (i.e. the analysis uses the floor to stop interest rates from  going into a negative position in the lower rate scenarios).  Interest rate sensitivity - non-trading (after-tax)                                                 2014                           2013                           2013     $ millions, as                              Jan.                           Oct.                           Jan.     at                                            31                             31                             31                              C$       US$      Other        C$       US$      Other        C$       US$      Other     100 basis     points increase                                                                                               in interest     rates     Increase     (decrease) in                                                                                                 net income        attributable       to equity         $   150   $   (1)   $      5   $   167   $     1   $      4   $   109   $  (14)   $      3       shareholders     Increase     (decrease) in                                                                                                      present value     of       shareholders'         (4)     (141)       (41)        28     (155)       (38)      (35)     (145)       (42)       equity      100 basis     points decrease                                                                                               in interest     rates     Increase     (decrease) in                                                                                                 net income       attributable                                                  to equity           (216)         -        (4)     (235)         -        (3)     (169)         7        (2)       shareholders     Increase     (decrease) in                                                                                                      present value     of       shareholders'                   114         42     (191)       126         40      (58)       110         43       equity               (16)     200 basis     points increase                                                                                               in interest     rates     Increase     (decrease) in                                                                                                 net income       attributable       to equity         $   279   $   (1)   $     10   $   314   $     2   $      8   $   202   $  (28)   $      7       shareholders     Increase     (decrease) in                                                                                                 present value     of       shareholders'        (37)     (282)       (81)        10     (310)       (77)     (122)                 (84)       equity                                                                                      (290)     200 basis     points decrease                                                                                               in interest     rates     Increase     (decrease) in                                                                                                 net income       attributable                                                                                 to equity           (424)       (8)        (7)     (460)       (5)        (6)     (330)         1        (5)       shareholders     Increase     (decrease) in                                                                                                      present value     of       shareholders'       (140)       155         64     (513)       184         62                 137         68       equity                                                                            (268)  Liquidity risk  Liquidity risk is the risk of having insufficient cash resources to meet  financial obligations as they fall due, in their full amount and stipulated  currencies, without raising funds at adverse rates or selling assets on a  forced basis.  Our liquidity risk management strategies seek to maintain sufficient liquid  financial resources and diversified funding sources to continually fund our  balance sheet and contingent obligations under both normal and stressed market  environments.  Liquid and encumbered assets Our policy is to hold a pool of high quality unencumbered liquid assets that  will be immediately available to meet outflows determined under the stress  scenario. Liquid assets are cash, short-term bank deposits, high quality  marketable securities and other assets that can be readily pledged at central  banks and in repo markets or converted into cash in a timely fashion.  Encumbered assets comprise assets pledged as collateral and other assets that  we consider restricted for legal or other reasons. Unencumbered assets  comprise assets that are readily available in the normal course of business to  secure funding or meet collateral needs and other assets that are not subject  to any restrictions on their use to secure funding or as collateral.  Liquid assets net of encumbrances constitute our unencumbered pool of liquid  assets and are summarized in the following table:                                                                                           2014          2013         $ millions, as                                                                                     at                                                                                 Jan. 31       Oct. 31 (1)                                                              Encumbered liquid                               Gross liquid assets                assets (2)          Unencumbered liquid assets                              CIBC       Third-party           CIBC                             owned            assets          owned   Third-party                                              assets                           assets        assets                                     Cash and     deposits with                 (3)                                                                                banks               $   6,272       $         -       $    379   $         -     $   5,893     $   5,527     Securities             69,354 (4)        54,106 (5)     16,035        32,915        74,510        77,368         NHA     mortgage-backed               (6)                                                                                securities             57,861                 -         30,541             -        27,320        22,671     Mortgages              11,433 (7)             -         11,433             -             -             -         Credit cards            4,713 (8)             -          4,713             -             -             -         Other assets            2,928 (9)             -          2,546             -           382           334                             $ 152,561       $    54,106       $ 65,647   $    32,915     $ 108,105     $ 105,900         (1) Certain information has been restated to reflect the changes in         accounting policies stated in Note 1 to the interim consolidated         financial statements and to         conform to the presentation adopted in the current period.     (2) Excludes intraday pledges to the Bank of Canada related to the         Large Value Transfer System as these are normally released at the         end of the settlement         cycle each day.      (3) Comprises cash, non-interest bearing deposits and interest-bearing         deposits with contractual maturities of less than 30 days.     (4) Comprises trading, AFS and FVO securities. Excludes securities in         our structured credit run-off business, private debt and private         equity securities of         $1,663 million (October 31, 2013: $1,621 million).      (5) Comprises $3,050 million (October 31, 2013: $3,417 million) of cash         collateral on securities borrowed, $24,145 million (October 31,         2013: $25,311 million)         of securities purchased under resale agreements, $25,200 million         (October 31, 2013: $24,157 million) of securities borrowed against         securities lent, and         $1,711 million (October 31, 2013: $759 million) of securities         received for derivative collateral.     (6) Includes securitized and transferred residential mortgages under         the Canada Mortgage Bond and the Government of Canada's Insured         Mortgage Purchase         programs, and securitized mortgages that were not transferred to         external parties including those in the Covered Bond Programme.         These are reported         in Loans on our interim consolidated balance sheet.     (7) Comprises mortgages, excluding NHA mortgage-backed securities,         included in the Covered Bond Programme.     (8) Comprises assets held in consolidated trusts supporting funding         liabilities.      (9) Comprises $2,546 million (October 31, 2013: $2,727 million) of cash         pledged for derivatives collateral and $382 million (October 31,         2013: $334 million)         of gold and silver certificates.  In the course of our regular business activities, a portion of our total  assets are pledged for collateral management purposes, including those  necessary for day-to-day clearing and settlement of payments and securities.  For additional details, see Note 22 to the 2013 annual consolidated financial  statements.  Our unencumbered liquid assets increased by $2.2 billion or 2% from October  31, 2013, primarily due to a decrease in the encumbrances related to NHA  mortgage-backed securities, partially offset by an increase in the  encumbrances related to securities.  In addition to the above, we have access to the Bank of Canada Emergency  Lending Assistance (ELA) program through the pledging of non-mortgage assets.  We do not include ELA borrowing capacity as a source of available liquidity  when evaluating surplus liquidity.  The following table summarizes unencumbered liquid assets held by CIBC parent  bank and significant subsidiaries:                                                                                                                   2014           2013       $ millions, as at                      Jan. 31        Oct. 31 (1)     CIBC parent bank                     $  80,264     $   78,761       Broker/dealer (2)                       15,074         15,049         Other significant                       12,767         12,090       subsidiaries                                          $ 108,105     $  105,900       (1) Certain information has been restated to reflect the changes in         accounting policies stated in Note 1 to the interim         consolidated         financial statements and to conform to the presentation adopted         in the current period.     (2) Relates to CIBC World Markets Inc. and CIBC World Markets Corp.  Asset encumbrance  The following table provides a summary of our total encumbered and  unencumbered assets:                                                                                    Encumbered       Unencumbered                                                 CIBC    Third-party                Pledged as                 Available                                                   owned                                                                 as   $ millions, as at                 assets         assets       Total    collateral       Other    collateral            Other                                                                     assets     Jan.       Cash and deposits                                                                                (1)         31       with banks          $   6,273   $          -   $   6,273   $        12   $     367   $     5,894       $        -   2014       Securities                                 -                    16,035           -        53,319            1,663                                          71,017                     71,017                Securities borrowed                                                                                                              or purchased under                  resale agreements         -         27,195      27,195        13,940           -        13,255                -              Loans                 246,367              -     246,367        46,687         350        27,320          172,010                   Other                                                                                                                              Derivative           24,489              -      24,489             -           -             -                                 instruments                                                                                              24,489                     Customers'                                                                                                                     liability under      10,452              -      10,452             -           -             -           10,452               acceptances               Land, building        1,795              -       1,795             -           -             -            1,795               and equipment               Goodwill              1,870              -       1,870             -           -             -            1,870                     Software and                  other intangible        881              -         881             -           -             -              881                  assets                  Investments in                                                                                                                   equity-accounted                   associates and      1,715              -       1,715             -           -             -            1,715                 joint ventures               Other assets          8,901              -       8,901         2,546           -           382            5,973                                 $ 373,760   $     27,195   $ 400,955   $    79,220   $     717   $   100,170       $  220,848        Oct.       Cash and deposits                                                                                (1)         31       with banks          $   6,379   $          -   $   6,379   $        11   $     771   $     5,597       $        -   2013 (2)   Securities             71,984              -      71,984        14,103           -        56,260            1,621                   Securities borrowed                                                                                                              or purchased under                  resale agreements         -         28,728      28,728        17,166           -        11,562                -              Loans                 246,660              -     246,660        50,107         422        22,671          173,460                   Other                                                                                                                            Derivative           19,947              -      19,947             -           -             -           19,947                     instruments                  Customers'                liability under       9,720              -       9,720             -           -             -            9,720               acceptances               Land, building        1,719              -       1,719             -           -             -            1,719               and equipment               Goodwill              1,733              -       1,733             -           -             -            1,733                     Software and                  other intangible        756              -         756             -           -             -              756                  assets                  Investments in                  equity-accounted                                                                                                                 associates                   and joint           1,695              -       1,695             -           -             -            1,695                 ventures               Other assets          8,685              -       8,685         2,727           -           334            5,624                                      $ 369,278   $     28,728   $ 398,006   $    84,114   $   1,193   $    96,424       $  216,275                (1) Includes $1 million (October 31, 2013: $70         million) of interest-bearing deposits with         contractual maturities greater than 30 days.     (2) Certain information has been restated to reflect         the changes in accounting policies stated in         Note 1 to the interim consolidated financial         statements and to conform to the presentation         adopted in the current period.  Funding  We manage liquidity to meet both short- and long-term cash requirements.  Reliance on wholesale funding is maintained at prudent levels and within  approved limits, consistent with our desired liquidity profile.  Our funding strategy includes access to funding through retail deposits and  wholesale funding and deposits.  Personal deposits are a significant source of  funding and totalled $127.3 billion as at January 31, 2014 (October 31, 2013:  $125.0 billion).  The following table provides the contractual maturities at carrying values of  funding sourced by CIBC from the wholesale market:                            Less        1 - 3      3 - 6      6 - 12       Less      1 - 2       Over                                  than                                           than     $ millions, as at           1     months     months      months     1 year      years          2       Total     January 31, 2014        month                                        total                 years     Deposits from        $  3,069   $  1,637   $    116   $       -   $  4,822   $      -   $      -   $   4,822     banks     Certificates of     deposit and             2,540      2,682      2,108       2,584      9,914      5,935      5,962      21,811     commercial paper     Bearer deposit     notes and bankers       3,832        428        837         558      5,655          -          -       5,655     acceptances     Asset-backed                -          -          -           -          -          -          -           -     commercial paper     Senior unsecured           10        432      2,240       2,912      5,594     10,123     13,281                 medium-term notes                                                                                     28,998     Senior unsecured            -        287         23         289        599         14          -         613     structured notes     Covered     bonds/Asset-backed                                                                                               securities       Mortgage                  -      1,818          -       3,716      5,534      3,045     19,554      28,133       securitization       Covered bonds             -          -          -       5,743      5,743      4,444      3,348      13,535       Cards                     -        351          -       1,114      1,465      1,541      1,707       4,713       securitization     Subordinated                -          -          -         258        258          -      3,975       4,233     liabilities     Other                       -          -          -           -          -          -          -           -                          $  9,451   $  7,635   $  5,324   $           $          $ 25,102   $          $ 112,513                                                              17,174     39,584                47,827     Of which:                                                                                                          Secured            $      -   $  2,169   $      -   $  10,573   $ 12,742   $  9,030   $          $  46,381                                                                                               24,609       Unsecured             9,451      5,466      5,324       6,601                16,072     23,218      66,132                                                                         26,842                          $  9,451   $  7,635   $  5,324   $           $          $ 25,102   $          $ 112,513                                                              17,174     39,584                47,827     October 31, 2013     $ 11,705   $  9,081   $  9,316   $  15,126   $ 45,228   $ 20,419   $ 55,271   $ 120,918  The following table provides a currency breakdown, in Canadian dollar  equivalent, of funding sourced by CIBC in the wholesale market:                                                  2014                        2013       $     billions,                                 Jan. 31                     Oct. 31       as at      CAD                           $    63.1        56 %       $    69.2        57 %     USD                                42.3        38              44.2        37       EUR                                 1.3         1               1.3         1       Other                               5.8         5               6.2         5                                     $   112.5       100 %       $   120.9       100 %  Our funding and liquidity levels remained stable and sound over the year and  we do not anticipate any events, commitments or demands that will materially  impact our liquidity risk position.  Impact on collateral if there is a downgrade of CIBC's credit rating  We are required to deliver collateral to certain derivative counterparties in  the event of a downgrade to our current credit risk rating. The collateral  requirement is based on MTM exposure, collateral valuations, and collateral  arrangement thresholds as applicable. The following table presents the  additional collateral requirements (cumulative) for rating downgrades:                                                   2014             2013      $ billions, as at                          Jan. 31          Oct. 31      One-notch downgrade                     $      0.1       $       0.1     Two-notch downgrade                            0.3               0.3     Three-notch downgrade                          0.7               0.9  Liquidity Coverage Ratio Disclosure Standards  In January 2014, the BCBS published the Liquidity Coverage Ratio (LCR)  Disclosure Standards. The document outlines the minimum standards applicable  for public disclosure of the LCR by all internationally active banks. Banks  will be required to disclose quantitative information about the LCR using a  common template, supplemented by qualitative discussion, as appropriate, on  key elements of the liquidity metric. These standards are effective for the  first reporting period after January 1, 2015. OSFI has indicated that  additional implementation guidance, applicable to Canadian banks, will be  provided in due course. We are currently updating processes and systems to  meet the stipulated timeline and requirements.  Contractual obligations Contractual obligations give rise to commitments of future payments affecting  our short- and long-term liquidity and capital resource needs. These  obligations include financial liabilities, credit and liquidity commitments,  and other contractual obligations.  Assets and liabilities  The following table provides the contractual maturity profile of our  on-balance sheet assets and liabilities at their carrying values. CIBC models  the behaviour of both assets and liabilities on a net cash flow basis by  applying recommended regulatory stress assumptions, supplemented by business  experience, against contractual maturities and contingent exposures to  construct its behavioural balance sheet. The behavioural balance sheet is a  key component of CIBC's liquidity risk management framework and is the basis  by which CIBC manages its liquidity risk profile.                                                                                                                       No                            Less      1 - 3      3 - 6       6 - 9     9 - 12      1 - 2       2 - 5       Over      specified                                         than                                                                                                       $ millions,     as at January          1                                                                              5                    31, 2014           month     months     months      months     months      years       years      years       maturity        Total        Assets                                                                                                                                  Cash and     non-interest     bearing                                          $                                                                           deposits with   banks           $  2,239   $      -   $      -           -   $      -   $      -   $       -   $      -   $          -   $    2,239        Interest     bearing                                                                                                                      deposits with   banks              4,033          -          1           -          -          -           -          -              -        4,034  Securities                                                                                                                                   2,052      3,294      1,557         707        779      4,396      14,219     12,165         31,848       71,017        Cash     collateral on                                                                                                                securities   borrowed           3,050          -          -           -          -          -           -          -              -        3,050        Securities     purchased                                                                                                                    under resale                                     agreements        14,413      6,680      2,010         628        414          -           -          -              -       24,145        Loans                                                                                                                                   Residential        199      3,424      6,684       4,836                34,759      90,954      6,259              -      151,934          mortgages                                                     4,819                                                          Personal                      618        861         938        984         80         183        669         28,497       34,363                           1,533                                                                                                       Credit card        229        457        686         686        686      2,744       5,946          -              -       11,434    Business                                                               and              4,928      1,359      2,601       2,441      2,192      4,666      15,270     16,799              -       50,256          government                                                                                                                     Allowance     for credit           -          -          -           -          -          -           -          -        (1,620)      (1,620)          losses                                                                                                                       Derivative                                                                                                                 instruments        6,611      1,331        944         645        855      3,173       5,362      5,568              -       24,489        Customers'     liability                                                                                                                    under                                 acceptances        8,518      1,934          -           -          -          -           -          -              -       10,452  Other assets           -          -          -           -          -          -           -          -         15,162       15,162                  $ 47,805   $ 19,097   $ 15,344   $  10,881   $ 10,729   $ 49,818   $ 131,934   $ 41,460   $     73,887   $  400,955  October 31,                                                                                                               2013 (1)        $ 43,037   $ 16,420   $ 10,578   $  14,461   $ 11,500   $ 44,524   $ 140,137   $ 44,355   $     72,994   $  398,006        Liabilities                                                                                                                           Deposits (2)    $ 20,067   $ 12,296   $ 14,665   $  17,181   $ 15,788   $ 33,788   $  46,982   $ 13,571   $    139,998   $  314,336        Obligations     related to                                                                                                                   securities   sold short        13,214          -          -           -          -          -           -          -              -       13,214        Cash     collateral on                                                                                                                securities                 lent               1,176          -          -           -          -          -           -          -              -        1,176        Obligations     related to                                                                                                                   securities     sold                                                                                                                                      under                      repurchase       5,941        455          -           -          -          -           -          -              -        6,396          agreements                                                                                                                   Derivative                                                                                                                 instruments        6,369      1,129        748         453        589      2,879       5,158      4,919              -       22,244  Acceptances                                                                                                                                  8,518      1,934          -           -          -          -           -          -              -       10,452  Other                                                                                                                     liabilities            -          -          -           -          -          -           -          -         10,017       10,017  Subordinated                                                                                                              indebtedness           -          -          -         258          -          -          32      3,943              -        4,233                  $ 55,285   $ 15,814   $ 15,413   $  17,892   $ 16,377   $ 36,667   $  52,172   $ 22,433   $    150,015   $  382,068  October 31,                                      $                                                                        2013 (1)        $ 50,494   $ 15,659   $ 19,347      13,414   $ 18,836   $ 31,600   $  55,290   $ 28,371   $    147,001   $  380,012        (1) Certain information has been restated to reflect         the changes in accounting policies stated in Note         1 to the interim consolidated financial         statements and to conform to the         presentation adopted in the current period.     (2) Comprises $127.3 billion (October 31, 2013:         $125.0 billion) of personal deposits of which         $122.9 billion (October 31, 2013: $120.4 billion)         are in Canada and $4.4 billion         (October 31, 2013: $4.6 billion) in other         countries; $181.3 billion (October 31, 2013:         $182.9 billion) of business and government         deposits of which $144.6 billion         (October 31, 2013: $149.0 billion) are in Canada         and $36.7 billion (October 31, 2013: $33.9         billion) in other countries; and $5.7 billion         (October 31, 2013: $5.6 billion)         of bank deposits of which $1.9 billion (October         31, 2013: $2.0 billion) are in Canada and $3.8         billion (October 31, 2013: $3.6 billion) in other         countries.  Our net asset position remained unchanged relative to October 31, 2013. The  changes in the contractual maturity profile were primarily due to the natural  migration of maturities and also reflect the impact of our regular business  activities.  Credit-related commitments The following table provides the contractual maturity of notional amounts of  credit-related commitments. Since a significant portion of commitments are  expected to expire without being drawn upon, the total of the contractual  amounts is not representative of future liquidity requirements.                                                                                                       No                                         Less than   1 - 3    3 - 6    6 - 9   9 - 12   1 - 2    2 - 5    Over     specified                          $ millions,     as at              January 31,                                                                          5     2014            1 month    months   months   months   months   years    years   years      maturity  (1)      Total          Securities                                                                                                                  lending (2)     $  25,200 $      - $      - $      - $      - $     - $      - $     - $           -       $  25,200     Unutilized     credit                                                                                                                      commitments         1,158    3,503    1,142    1,199      978   4,853   28,653   1,510       109,854         152,850     Backstop     liquidity                                                                                                                   facilities              -      396        -      303    3,059       -        -       -             -           3,758     Standby and                                                                                                                 performance                                                                                                              letters of                                                                                       -            9,567            credit              928    1,279    1,874    1,380    2,339     455      977     335                           Documentary     and                                                                                                                         commercial                                                                                                               letters of                                                                                       -              311            credit               84      201       26        -        -       -        -       -                           Underwriting     commitments                                                                                                                 (3)                   371      275      110        -        -       -        -       -             -             756   Other                 248        -        -        -        -       -        -       -             -              248                                                                                                       109,854                                         $ 27,989 $  5,654 $  3,152 $  2,882 $  6,376 $ 5,308 $ 29,630 $ 1,845 $                   $ 192,690     October 31,                                                                                                                 2013 (4)        $  26,147 $  9,615 $  3,343 $  3,035 $  2,528 $ 5,435 $ 25,942 $ 2,051 $     116,487       $ 194,583         Includes $88.3 billion (October 31, 2013: $94.7     (1) billion) of personal, home equity and credit         card lines which are unconditionally         cancellable at our discretion.                            Excludes securities lending of $1.2 billion     (2) (October 31, 2013: $2.1 billion) for cash         because it is reported on the interim         consolidated balance sheet.                               Includes $6 million (October 31, 2013: nil)     (3) pertaining to our portion of joint and several         underwriting agreements with other syndicates.        (4) Certain information has been restated to         reflect the changes in accounting policies         stated in Note 1 to the interim consolidated         financial statements and to conform to the         presentation adopted in the current period.         Other contractual obligations The following table provides the contractual maturities of other contractual  obligations affecting our funding needs:                        Less            3 - 6            9 - 12           2 - 5                        than   1 - 3             6 - 9            1 - 2            Over              $ millions,          1     as at January   month            months            months           years        5     31, 2014                months            months            years           years   Total      Operating       $      $        $        $        $        $       $       $       $           leases              33       67      101      100      100     379     949   1,289   3,018     Purchase     obligations                                                                                    (1)                 15      146      227      153      156     475     957     302   2,431     Pension     contributions                                                                            (2)                 18       37       55       56        -       -       -       -     166                     $      $        $        $        $        $       $       $       $                               66      250      383      309      256     854   1,906   1,591   5,615     October 31,     $      $        $        $        $        $       $       $       $     2013                68      221      341      357      274     809   1,716   1,599   5,385     (1) Obligations that are legally binding agreements         whereby we agree to purchase products or services         with specific minimum or baseline quantities         defined at fixed, minimum or variable prices over         a specified period of time are defined as purchase         obligations. Purchase obligations are included         through to the termination date specified in the         respective agreements, even if the contract is         renewable. Many of the purchase agreements for         goods and services include clauses that would         allow us to cancel the agreement prior to         expiration of the contract within a specific         notice period. However, the amount above includes         our obligations without regard to such termination         clauses (unless actual notice of our intention to         terminate the agreement has been communicated to         the counterparty). The table excludes purchases of         debt and equity instruments that settle within         standard market timeframes.     (2) Includes estimated minimum pension contributions,         and expected benefit payments for post-retirement         medical and dental plans, the long-term disability         plan, and related medical and dental benefits for         disabled employees. Subject to change as         contribution decisions are affected by various         factors, such as market performance, regulatory         requirements, and management's ability to change         funding policy. Also, funding requirements after         2014 are excluded due to the significant         variability in the assumptions required to project         the timing of cash flows.  Other risks We also have policies and processes to measure, monitor and control other  risks, including strategic, insurance, operational, technology, reputation and  legal, regulatory, and environmental risks. These risks and related policies  and processes have not changed significantly from those described on pages 70  to 72 of the 2013 Annual Report.  Accounting and control matters  Critical accounting policies and estimates A summary of significant accounting policies is presented in Note 1 to the  consolidated financial statements of the 2013 Annual Report. The interim  consolidated financial statements have been prepared using the same accounting  policies as CIBC's consolidated financial statements for the year ended  October 31, 2013, except as described in Note 1 to the interim consolidated  financial statements. Certain accounting policies require us to make judgments  and estimates, some of which may relate to matters that are uncertain. The key  management judgments and estimates remain substantially unchanged from those  described on pages 73 to 77 of the 2013 Annual Report, except for the  valuation of financial instruments, securitizations and structured entities  and post-employment and other long-term benefit plan assumptions, which have  been impacted by the adoption of new and amended accounting standards as  described below.  Valuation of financial instruments Debt and equity trading securities, trading business and government loans,  obligations related to securities sold short, derivative contracts, AFS  securities and FVO financial instruments are carried at fair value. FVO  financial instruments include certain debt securities, structured retail  deposits and business and government deposits. Retail mortgage interest rate  commitments are also designated as FVO financial instruments.  Effective November 1, 2013, CIBC adopted IFRS 13 "Fair Value Measurement".  Adoption of this standard did not result in changes to how we measure fair  value. Fair value is defined as the price that would be received to sell an  asset or paid to transfer a liability at the measurement date in an orderly  arm's length transaction between market participants in an orderly transaction  in the principal market at the measurement date under current market  conditions (i.e. the exit price). Fair value measurements are categorized into  levels within a fair value hierarchy based on the nature of the valuation  inputs (Level 1, 2 or 3). We have an established and well-documented process  for determining fair value. Fair value is based on unadjusted quoted prices in  an active market for the same instrument, where available (Level 1). If active  market prices or quotes are not available for an instrument, fair value is  then based on valuation models using all significant observable inputs (Level  2) or one of more significant non-observable inputs (Level 3). Estimating fair  value requires the application of judgment. The type and level of judgment  required is largely dependent on the amount of observable market information  available. For instruments valued using internally developed models that use  significant non-observable market inputs and are therefore classified within  Level 3 of the hierarchy, the judgment used to estimate fair value is more  significant than when estimating the fair value of instruments classified  within Levels 1 and 2. To ensure that valuations are appropriate, a number of  policies and controls are put in place. Independent validation of fair value  is performed at least on a monthly basis. Valuation inputs are verified to  external sources such as exchange quotes, broker quotes or other  management-approved independent pricing sources.  The following table presents amounts, in each category of financial  instruments, which are fair valued using valuation techniques based on one or  more significant non-observable market inputs (Level 3), for the structured  credit run-off business and total consolidated CIBC. For further details of  the valuation of and sensitivity associated with Level 3 financial assets and  liabilities, see Note 2 to the interim consolidated financial statements.                                              2014                                           2013 (1)          $ millions,                               Jan.                                         Oct.               as at                                      31                                         31                     Structured    Total                      Structured          Total                                           credit               Total               credit                     Total                          run-off                                  run-off                     CIBC                               business      CIBC      CIBC  (2)        business            CIBC           (2)        Financial                                                                                                 assets                                                                                      Trading     securities                       889                                                     1.8     and loans      $       861 $               1.9 %        $       837      $      837          %     AFS                              889                             13             913                       securities              16                 3.5                                           3.3     FVO                              144                            147             147                       securities             144                49.0                                          51.2     Derivative                       332                            295             341                       instruments            285                 1.4                                           1.7                    $     1,306 $   2,254       2.3 %        $     1,292      $    2,238      2.4 %     Financial                                                                                                 liabilities                                                                                 Deposits and     other                            788                                                    29.9     liabilities      (3)            $       551 $              28.7 %        $       510      $      737          %     Derivative                       460                            413             474                       instruments            397                 2.1                                           2.4                    $       948 $   1,248       3.3 %        $       923      $    1,211      3.4 %     (1) Certain information has been restated to reflect         the changes in accounting policies stated in Note         1 to the interim consolidated financial         statements and to conform to the presentation         adopted in the current period.     (2) Represents percentage of Level 3 assets and         liabilities in each reported category that are         carried at fair value on the interim consolidated         financial statements.     (3) Includes FVO deposits and bifurcated embedded         derivatives.  Fair value adjustments  We apply judgment in establishing valuation adjustments that take into account  various factors that may have an impact on the valuation of financial  instruments that are carried at fair value on the consolidated balance sheet.   Such factors include, but are not limited to, the bid-offer spread,  illiquidity due to lack of market depth and other market risks, parameter  uncertainty, model risk, credit risk, and future administration costs.  The establishment of fair value adjustments and the determination of the  amount of write-downs involve estimates that are based on accounting processes  and judgments by management. We evaluate the adequacy of the fair value  adjustments and the amount of write-downs on an ongoing basis. The levels of  fair value adjustments and the amount of the write-downs could change as  events warrant and may not reflect ultimate realizable amounts.  The following table summarizes our valuation adjustments:                                       2014      2013      $ millions, as at            Jan. 31   Oct. 31      Securities                                          Market risk                 $       2  $      5     Derivatives                                         Market risk                        64        57     Credit risk                        39        42     Administration costs                5         5     Total valuation adjustments $     110  $    109   Allowance for credit losses We establish and maintain an allowance for credit losses that is considered  the best estimate of probable credit-related losses existing in our portfolio  of on- and off-balance sheet financial instruments, giving due regard to  current conditions.  The allowance for credit losses consists of individual and collective  components.  Individual allowances The majority of our business and government loan portfolios are assessed on an  individual loan basis. Individual allowances are established when impaired  loans are identified within the individually assessed portfolios. A loan is  classified as impaired when we are of the opinion that there is no longer a  reasonable assurance of the full and timely collection of principal and  interest. The individual allowance is the amount required to reduce the  carrying value of an impaired loan to its estimated realizable amount. This is  determined by discounting the expected future cash flows at the effective  interest rate inherent in the loan.  Individual allowances are not established for portfolios that are collectively  assessed, including most retail portfolios.  Collective allowances Consumer and certain small business allowances Residential mortgages, credit card loans, personal loans, and certain small  business loan portfolios consist of large numbers of homogeneous balances of  relatively small amounts, for which we take a portfolio approach to establish  the collective allowance. As it is not practical to review each individual  loan, we utilize a formula basis, by reference to historical ratios of  write-offs to current accounts and balances in arrears. For residential  mortgages, personal loans and certain small business loans, this historical  loss experience enables CIBC to determine appropriate PD and LGD parameters,  which are used in the calculation of the portion of the collective allowance  for current accounts. The PDs determined by this process that correspond to  the risk levels in our retail portfolios are disclosed on page 48 of the 2013  Annual Report. For credit card loans, non-current residential mortgages,  personal loans and certain small business loans, the historical loss  experience enables CIBC to calculate flows to write-off in our roll-rate  models that determine the collective allowance that pertain to these loans.  We also consider estimates of the time periods over which losses that are  present would be identified and a provision taken, our view of current  economic and portfolio trends, evidence of credit quality improvements or  deterioration, and events such as the 2013 Alberta floods. On a regular basis,  the parameters that affect the allowance calculation are updated, based on our  experience and the economic environment.  Business and government allowances For groups of individually assessed loans for which no objective evidence of  impairment has been identified on an individual basis, a collective allowance  is provided for losses which we estimate are inherent in the portfolio at the  reporting date, but not yet specifically identified from an individual  assessment of the loan.  The methodology for determining the appropriate level of the collective  allowance incorporates a number of factors, including the size of the  portfolios, expected loss rates, and relative risk profiles. We also consider  estimates of the time periods over which losses that are present would be  identified and a provision taken, our view of current economic and portfolio  trends, and evidence of credit quality improvements or deterioration. On a  regular basis, the parameters that affect the collective allowance calculation  are updated, based on our experience and the economic environment. Expected  loss rates for business loan portfolios are based on the risk rating of each  credit facility and on the PD factors associated with each risk rating, as  well as estimates of LGD. The PD factors reflect our historical loss  experience and are supplemented by data derived from defaults in the public  debt markets. Our risk-rating method and categories are disclosed on page 47  of the 2013 Annual Report. Historical loss experience is adjusted based on  observable data to reflect the effects of current conditions. LGD estimates  are based on our experience over past years.  For further details on the allowance for credit losses, see Note 5 to the  interim consolidated financial statements.  Securitizations and structured entities Securitization of our own assets Effective November 1, 2013, with retrospective application to November 1,  2012, CIBC adopted IFRS 10 "Consolidated Financial Statements" which replaced  IAS 27 "Consolidated and Separate Financial Statements" and Standards  Interpretation Committee ("SIC") -12 "Consolidation - Special Purpose  Entities". Under IFRS 10, judgment is exercised in determining whether an  investor controls an investee including assessing whether the investor has:  (i) power over the investee; (ii) exposure, or rights, to variable returns  from its involvement with the investee; and (iii) the ability to affect those  returns through its power over the investee.  We sponsor several structured entities that purchase and securitize our own  assets including the Cards II Trust, Broadway Trust and Crisp Trust, which we  continue to consolidate under IFRS 10.  We also securitize our own mortgage assets through a government-sponsored  securitization program. We sell these securitized assets to a  government-sponsored securitization vehicle that we do not consolidate, as  well as to other third parties. IAS 39 "Financial Instrument Recognition and  Measurement" provides guidance on when to derecognize financial assets. A  financial asset is derecognized when the contractual rights to receive cash  flows from the asset have expired, or when we have transferred the rights to  receive cash flows from the asset such that:          --  We have transferred substantially all the risks and rewards of             the asset; or         --  We have neither transferred nor retained substantially all the             risks and rewards of the asset, but have transferred control of             the asset.  We have determined that our securitization activities related to residential  mortgages and cards receivables are accounted for as secured borrowing  transactions because we have not met the aforementioned criteria.  In addition, we sell and derecognize commercial mortgages through a  pass-through arrangement with a trust that securitizes these mortgages into  ownership certificates held by various external investors. We continue to  perform special servicing of the mortgages in exchange for a market-based fee  and do not consolidate the trust. We also sell certain U.S. commercial  mortgages to third-parties which qualify for derecognition because we have  transferred substantially all the risks and rewards of the mortgages and have  no continuous involvement after the transfer.  Securitization of third-party assets We also sponsor several structured entities that purchase pools of third-party  assets. We monitor the extent to which we support these structured entities  through direct investment in the debt issued by the structured entities and  through the provision of liquidity protection to the other debtholders, to  assess whether we should consolidate these entities.  Where we consider that CIBC should consolidate a structured entity, IFRS 10  requires that we reconsider this assessment if facts and circumstances  indicate that there are changes to one or more of the three elements of  control described above, for example, when any of the parties gains or loses  power, or when there is a change in the parties' exposure or rights to  variable returns from its involvement with the investee. Specifically, in  relation to our multi-seller conduits, we reconsider our consolidation  assessment whenever our level of interest in the ABCP issued by the conduits  changes significantly, or in the rare event that the liquidity facility we  provide to the conduits is drawn or amended.  A significant increase in our holdings of the outstanding commercial paper by  the conduits would become more likely in a scenario in which the market for  bank-sponsored ABCP suffered a significant deterioration such that the  conduits were unable to roll their ABCP.  For additional information on the securitizations of our own assets and  third-party assets, see the "Off-balance sheet arrangements" section and Note  6 to the interim consolidated financial statements.  Asset impairment Goodwill, other intangible assets and long-lived assets As at January 31, 2014, we had goodwill of $1,870 million (October 31, 2013:  $1,733 million) and other intangible assets with an indefinite life of $138  million (October 31, 2013: $136 million). Goodwill is not amortized, but is  tested, at least annually, for impairment by comparing the recoverable amount  of the cash-generating unit (CGU) to which goodwill has been allocated, with  the carrying amount of the CGU including goodwill. Any deficiency is  recognized as impairment of goodwill. The recoverable amount of a CGU is  defined as the higher of its estimated fair value less cost to sell or value  in use.  Acquired intangible assets are separately recognized if the benefits of the  intangible assets are obtained through contractual or other legal rights, or  if the intangible assets can be sold, transferred, licensed, rented, or  exchanged. Determining the useful lives of intangible assets requires judgment  and fact-based analysis. Intangibles with an indefinite life are not amortized  but are assessed for impairment by comparing the recoverable amount to the  carrying amount.  Long-lived assets and other identifiable intangibles with a definite life are  amortized over their estimated useful lives. These assets are tested for  impairment whenever events or changes in circumstances indicate that the  carrying amount is higher than the recoverable amount. The recoverable amount  is defined as the higher of its estimated fair value less cost to sell and  value in use. In calculating the recoverable amount we estimate the future  cash flows expected to result from the use of the asset and its eventual  disposition.  We performed our annual impairment testing of goodwill and indefinite lived  intangible assets in the fourth quarter of 2013 and did not record any  impairment at that time. At that time we determined that our estimate of the  recoverable amount of the CIBC FirstCaribbean CGU approximated its carrying  amount as at August 1, 2013. As a result, no impairment charge was recognized.  The recoverable amount of CIBC FirstCaribbean estimated in the fourth quarter  of 2013 was based on a value in use calculation that was estimated using a  five-year cash flow projection approved by CIBC FirstCaribbean's management  and an estimate of the capital required to be maintained in the region to  support ongoing operations. The five-year cash flow projection was consistent  with CIBC FirstCaribbean's three-year internal plan that was reviewed by its  Board of Directors. The forecast reflected the currently challenging economic  conditions and an expected recovery in those conditions within the Caribbean  region. A terminal growth rate of 2.5% (2.5% as at August 1, 2012) was applied  to the years after the five-year forecast. All of the forecast cash flows were  discounted at an after-tax rate of 13% (14.25% pre-tax) which we believe to be  a risk-adjusted interest rate appropriate to CIBC FirstCaribbean (we used an  identical after-tax rate of 13% as at August 1, 2012). The determination of a  discount rate and a terminal growth rate both require the exercise of  judgment. The discount rate was determined based on the following primary  factors: (i) the risk-free rate; (ii) an equity risk premium; (iii) beta  adjustment to the equity risk premium based on a review of betas of comparable  publicly traded financial institutions in the region; and (iv) a country risk  premium. The terminal growth rate was based on the forecast inflation rates  and management's expectations of real growth.  Reductions in the estimated recoverable amount could arise from various  factors, such as reductions in forecasted cash flows, an increase in the  assumed level of required capital, and any adverse changes to the discount  rate or the terminal growth rate either in isolation or in any combination  thereof.  In the fourth quarter of 2013 we estimated that a 10% decrease in  each of the terminal year's and subsequent years' forecasted cash flows would  result in a reduction in the estimated recoverable amount of CIBC  FirstCaribbean by approximately $150 million. We also estimated that a 50  basis point increase in the after-tax discount rate would result in a  reduction in the estimated recoverable amount of CIBC FirstCaribbean by  approximately $90 million. These sensitivities are indicative only and should  be considered with caution, as the effect of the variation in each assumption  on the estimated recoverable amount was calculated in isolation without  changing any other assumptions. In practice, changes in one factor may result  in changes in another, which may magnify or counteract the disclosed  sensitivities.  For additional details, see Note 8 to the 2013 annual  consolidated financial statements.  Economic conditions in the Caribbean region remain challenging and we continue  to monitor our investment. Reductions in the estimated recoverable amount of  our CIBC FirstCaribbean CGU could result in goodwill impairment charges in  future periods.  Income taxes We are subject to income tax laws in the various jurisdictions where we  operate, and the tax laws in those jurisdictions are potentially subject to  different interpretations by us and the relevant taxation authority. We use  judgment in the estimation of income taxes and deferred income tax assets and  liabilities. As a result, management judgment is applied in the interpretation  of the relevant tax laws and in estimating the provision for current and  deferred income taxes. A deferred tax asset or liability is determined for  each temporary difference based on the tax rates that are expected to be in  effect in the period that the asset is realized or the liability is settled.  Where the temporary differences will not reverse in the foreseeable future, no  deferred tax amount is recognized.  As at January 31, 2014, we had a deferred income tax asset of $548 million  (October 31, 2013: $526((1)) million) and a deferred income tax liability of  $31 million (October 31, 2013: $33((1)) million). We are required to assess  whether it is probable that our deferred income tax asset will be realized  prior to its expiration and, based on all the available evidence, determine if  any portion of our deferred income tax asset should not be recognized. The  factors used to assess the probability of realization are our past experience  of income and capital gains, forecast of future net income before taxes,  available tax planning strategies that could be implemented to realize the  deferred income tax asset, and the remaining expiration period of tax loss  carryforwards.  Although realization is not assured, we believe, based on all  the available evidence, it is probable that the remaining deferred income tax  asset will be realized.  Income tax accounting impacts all our reporting segments. For further details  of our income taxes, see Note 10 to the interim consolidated financial  statements.  (1) Restated to reflect the changes in accounting policies stated in Note 1 to  the interim consolidated financial statements and to conform to the  presentation adopted in the current period.  Provisions and contingent liabilities In the ordinary course of its business, CIBC is a party to a number of legal  proceedings, including regulatory investigations, in which claims for  substantial monetary damages are asserted against CIBC and its subsidiaries.  Legal provisions are established if, in the opinion of management, it is both  probable that an outflow of economic benefits will be required to resolve the  matter, and a reliable estimate can be made of the amount of the obligation.  If the reliable estimate of probable loss involves a range of potential  outcomes within which a specific amount within the range appears to be a  better estimate, that amount is accrued. If no specific amount within the  range of potential outcomes appears to be a better estimate than any other  amount, the mid-point in the range is accrued. In some instances, however, it  is not possible either to determine whether an obligation is probable or to  reliably estimate the amount of loss, in which case no accrual can be made.  While there is inherent difficulty in predicting the outcome of legal  proceedings, based on current knowledge and in consultation with legal  counsel, we do not expect the outcome of these matters, individually or in  aggregate, to have a material adverse effect on our consolidated financial  statements. However, the outcome of these matters, individually or in  aggregate, may be material to our operating results for a particular reporting  period.  We regularly assess the adequacy of CIBC's litigation accruals and  make the necessary adjustments to incorporate new information as it becomes  available.  The provisions disclosed in Note 23 to the 2013 annual consolidated financial  statements include all of CIBC's accruals for legal matters as at that date,  including amounts related to the significant legal proceedings described in  that note and to other legal matters.  CIBC considers losses to be reasonably possible when they are neither probable  nor remote. It is reasonably possible that CIBC may incur losses in addition  to the amounts recorded when the loss accrued is the mid-point of a range of  reasonably possible losses, or the potential loss pertains to a matter in  which an unfavourable outcome is reasonably possible but not probable.  CIBC believes the estimate of the aggregate range of reasonably possible  losses in excess of the amounts accrued for its significant legal proceedings,  where it is possible to make such an estimate, is from nil to approximately  $240 million as at January 31, 2014. This estimated aggregate range of  reasonably possible losses is based upon currently available information for  those significant proceedings in which CIBC is involved, taking into account  CIBC's best estimate of such losses for those cases for which an estimate can  be made. CIBC's estimate involves significant judgment, given the varying  stages of the proceedings and the existence of multiple defendants in many of  such proceedings whose share of the liability has yet to be determined. The  range does not include potential punitive damages and interest. The matters  underlying the estimated range as at January 31, 2014 consist of the  significant legal matters disclosed in Note 23 to the 2013 annual consolidated  financial statements as updated below. The matters underlying the estimated  range will change from time to time, and actual losses may vary significantly  from the current estimate. For certain matters, CIBC does not believe that an  estimate can currently be made as many of them are in preliminary stages and  certain matters have no specific amount claimed. Consequently, these matters  are not included in the range.  The following developments related to our significant legal matters occurred  since the issuance of our 2013 annual consolidated financial statements:          --  Marcotte Visa Class Action: The appeal was heard by the Supreme             Court of Canada in February 2014. The court reserved its             decision.         --  Green Secondary Market Class Action: In February 2014 the             Ontario Court of Appeal released its decision overturning the             lower court and allowing the matter to proceed as a certified             class action.         --  Brown Overtime Class Action: The plaintiffs' appeal to the             Ontario Court of Appeal is scheduled for May 2014.  Other than the items described above, there are no significant developments in  the matters identified in Note 23 to our 2013 annual consolidated financial  statements, and no significant new matters have arisen since the issuance of  our 2013 annual consolidated financial statements.  Post-employment and other long-term benefit plan assumptions We sponsor a number of benefit plans to eligible employees, including  registered and supplemental pension plans, and post-retirement medical and  dental plans (other post-employment benefit plans). We also continue to  sponsor a long-term disability (LTD) income replacement plan and associated  medical and dental benefits (collectively, other long-term benefit plans). The  LTD plan was closed to new claims effective June 1, 2004.  Effective November 1, 2013, with retrospective application to November 1,  2011, CIBC adopted amendments to IAS 19 "Employee Benefits". The amendments  require the following: (i) recognition of actuarial gains and losses in OCI in  the period in which they arise; (ii) recognition of interest income on plan  assets in net income using the same rate as that used to discount the defined  benefit obligation; and (iii) recognition of all past service costs (gains) in  net income in the period in which they arise. See Note 1 to the interim  consolidated financial statements for further details on the impact of the  adoption of the amendments to IAS 19 on prior periods.  The calculation of net defined benefit plan expense and obligations depends on  various actuarial assumptions such as discount rates, health-care cost trend  rates, turnover of employees, projected salary increases, retirement age, and  mortality rates. The actuarial assumptions used for determining the net  defined benefit expense for a fiscal year are set at the beginning of the  annual reporting period, are reviewed in accordance with accepted actuarial  practice and are approved by management.  The discount rate assumption used in measuring the net defined benefit expense  and defined benefit obligations reflects market yields, as of the measurement  date, on high quality debt instruments with a currency and term to maturity  that match the currency and expected timing of benefit payments. Our discount  rate is estimated by developing a yield curve based on high quality corporate  bonds. While there is a deep market of high quality corporate bonds  denominated in Canadian dollars with short and medium terms to maturity, there  is not a deep market in bonds with terms to maturity that match the timing of  all the expected benefit payments for all of our Canadian plans. As a result,  for our Canadian pension, other post-employment and other long-term benefit  plans, we estimate the yields of high quality corporate bonds with longer term  maturities by extrapolating current yields on bonds with short- and  medium-term durations along the yield curve. Judgment is required in  constructing the yield curve, and as a result, different methodologies applied  in constructing the yield curve can give rise to different discount rates.  As a result of adopting the amendments to IAS 19, commencing in the first  quarter of 2014, with retrospective application for fiscal 2013 and 2012, we  remeasure our Canadian post-employment benefit plans on a quarterly basis for  changes in the discount rate and for actual assets returns, with the actuarial  gains and losses recognized in OCI (see Note 1 to the interim consolidated  financial statements for further details).  For further details of our annual pension and other post-employment expense  and obligations, see Note 19 to the 2013 annual consolidated financial  statements and Note 1 to the interim consolidated financial statements.  Regulatory developments Dodd-Frank Wall Street Reform and Consumer Protection Act The Dodd-Frank Wall Street Reform and Consumer Protection Act (the "Dodd-Frank  Act") was enacted in the U.S. in July 2010. The Dodd-Frank Act contains many  broad reforms impacting the financial services industry, including, among  other things, increased consumer protection, regulation of the OTC derivative  markets, heightened capital, liquidity and prudential standards, and  restrictions on proprietary trading by banks. The Dodd-Frank Act will affect  every financial institution in the U.S. and many financial institutions that  operate outside the U.S. As many aspects of the Dodd-Frank Act are subject to  rulemaking that U.S. regulators have not finalized, the full impact on CIBC is  difficult to anticipate until all the regulations are finalized and released.  CIBC continually monitors developments to prepare for rulemakings that have  the potential to impact our operations in the U.S. and elsewhere.  In December 2012, CIBC registered as a swap dealer with the U.S. Commodity  Futures Trading Commission (CFTC) and adopted processes and procedures  necessary to comply with newly-promulgated U.S. regulations in trading swaps  with U.S. persons. The CFTC has issued final rules on most areas relating to  swaps, including cross-border guidance that impacts CIBC's swap trading with  non-U.S. counterparties. The CFTC has not yet issued final rules on clearing,  capital and margin, and the CFTC has not issued a determination of the extent  to which it will rely on substituted compliance with Canadian swap trading  regulations. CIBC will continue to monitor and prepare for developments by the  CFTC in this area. Additionally, the U.S. Securities and Exchange Commission  is expected to implement parallel reforms applying to the securities-based  swaps markets. While these far-reaching reforms have increased our cost of  regulatory compliance and may restrict our ability to continue to engage in  certain types of trading activity, we do not expect them to have a significant  impact on our results.  On February 18, 2014, the Federal Reserve Board released final enhanced  prudential standards for large U.S. bank holding companies and foreign banking  organizations (FBOs) with total consolidated assets of $50 billion or more.  The new enhanced prudential standards include six primary requirements:  risk-based capital and leverage requirements; liquidity requirements; single  counterparty exposure limits; internal risk management standards;  debt-to-equity limits; and annual stress testing. The new rules also require  FBOs to maintain liquidity buffers in their U.S. branches and agencies and, if  certain asset thresholds are met, to create a U.S. intermediate holding  company which will also be subject to enhanced prudential standards. FBOs are  subject to the final rules' new requirements beginning on July 1, 2016. CIBC  is evaluating the impact of the final rules on our operations.  The Dodd-Frank Act also mandates the so-called Volcker Rule, which restricts  certain proprietary trading and private equity fund activities of banking  entities operating in the U.S.  In December 2013, five U.S. regulatory  agencies jointly published final regulations implementing the Volcker rule.   The final regulations and the accompanying materials are complex and will  require CIBC to implement new controls and to develop new systems to ensure  compliance with the rule's reporting obligations and restrictions.  The  regulations are effective on April 1, 2014, and banking entities must engage  in good faith efforts that will result in conformance with the rule by July  21, 2015.  CIBC is actively assessing the impact of the Volcker rule on our  operations and developing a conformance plan for full implementation.  The new  regulations also contain various provisions that enable banks to seek  extensions in certain circumstances and CIBC may seek such extensions where  necessary or appropriate.  The Foreign Account Tax Compliance Act  The Foreign Account Tax Compliance Act (FATCA) is U.S. legislation, the intent  of which is to discourage tax evasion by U.S. taxpayers who have placed assets  in financial accounts outside of the U.S. - either directly or indirectly  through foreign entities such as trusts and corporations.  Under the final FATCA regulations, non-U.S. financial institutions will be  required to identify and report accounts owned or controlled by U.S.  taxpayers, including citizens of the U.S. worldwide (U.S. Accounts). In  addition, identification and reporting will also be required on accounts of  financial institutions that do not comply with FATCA regulations. On February  5, 2014, the Government of Canada announced the signing of an  Intergovernmental Agreement (IGA) with the United States, to facilitate FATCA  information reporting by Canadian financial institutions. Under proposed  legislation to implement the provisions of the IGA, Canadian financial  institutions must report information on certain U.S. Accounts directly to the  Canada Revenue Agency. Other countries in which CIBC operates have signed, or  are in the process of negotiating and signing, IGAs with the United States.  CIBC will meet all FATCA obligations, in accordance with local law.  The provisions of FATCA and the related Canadian legislation come into effect  on July 1, 2014.  Principles for Effective Risk Data Aggregation and Risk Reporting  In January 2013, the BCBS published "Principles for Effective Risk Data  Aggregation and Risk Reporting". The Principles outline BCBS's expectations to  enhance risk data governance oversight and to improve risk data aggregation  and reporting practices, thereby facilitating timely, consistent, and accurate  decision making. It is expected that we will be subject to greater reporting  scrutiny and may incur increased operating costs as a result of the  Principles. We have begun an enterprise wide Risk Data Aggregation initiative  to be compliant with the Principles.  Controls and procedures Disclosure controls and procedures CIBC's management, with the participation of the President and Chief Executive  Officer and the Chief Financial Officer, has evaluated the effectiveness of  CIBC's disclosure controls and procedures as at January 31, 2014 (as defined  in the rules of the SEC and the Canadian Securities Administrators) and has  concluded that such disclosure controls and procedures were effective.  Changes in internal control over financial reporting There have been no changes in CIBC's internal control over financial reporting  during the quarter ended January 31, 2014, that have materially affected, or  are reasonably likely to materially affect, its internal control over  financial reporting.   Interim consolidated financial statements (Unaudited)    Consolidated balance sheet                                                     2014          2013  (1)     Unaudited, $ millions, as at                 Jan. 31       Oct. 31          ASSETS                                                                    Cash and non-interest-bearing deposits    $             $     2,211       with banks                                      2,239     Interest-bearing deposits with banks            4,034         4,168       Securities                                                                Trading                                        45,317        44,070       Available-for-sale (AFS) (Note 4)              25,406        27,627         Designated at fair value (FVO)                    294           287                                                      71,017        71,984       Cash collateral on securities borrowed          3,050         3,417       Securities purchased under resale                            25,311       agreements                                     24,145     Loans                                                                     Residential mortgages                         151,934       150,938       Personal                                       34,363        34,441       Credit card                                    11,434        14,772       Business and government                        50,256        48,207       Allowance for credit losses (Note 5)          (1,620)       (1,698)                                                       246,367       246,660       Other                                                                     Derivative instruments                         24,489        19,947       Customers' liability under acceptances         10,452         9,720       Land, buildings and equipment                   1,795         1,719       Goodwill                                        1,870         1,733       Software and other intangible assets              881           756       Investments in equity-accounted                               1,695       associates and joint ventures                   1,715     Other assets                                    8,901         8,685                                                      50,103        44,255                                                 $   400,955   $   398,006       LIABILITIES AND EQUITY                                                    Deposits(Note 7)                                                            Personal                                  $   127,344   $   125,034       Business and government                       134,894       134,736       Bank                                            5,717         5,592       Secured borrowings                             46,381        49,802                                                     314,336       315,164       Obligations related to securities sold                       13,327       short                                          13,214     Cash collateral on securities lent              1,176         2,099       Obligations related to securities sold                        4,887       under repurchase agreements                     6,396     Other                                                                     Derivative instruments                         22,244        19,724       Acceptances                                    10,452         9,721       Other liabilities                              10,017        10,862                                                      42,713        40,307       Subordinated indebtedness                       4,233         4,228       Equity                                                                    Preferred shares                                1,706         1,706       Common shares (Note 8)                          7,750         7,753         Contributed surplus                                82            82       Retained earnings                               8,985         8,318       Accumulated other comprehensive income                         (40)       (AOCI)                                            138     Total shareholders' equity                     18,661        17,819       Non-controlling interests                         226           175       Total equity                                   18,887        17,994                                                 $   400,955   $   398,006       (1) Certain information has been restated to reflect the changes in         accounting policies stated in Note 1 and to conform to the         presentation adopted in the current period.  The accompanying notes and shaded sections in "MD&A - Management of risk" are  an integral part of these interim consolidated financial statements.     Consolidated statement of income                                 2014          2013  (1)            2013  (1)     Unaudited, $                                               Jan. 31          millions, except     as noted, for           Jan. 31       Oct. 31                the three months     ended     Interest income                                                             Loans                $     2,423  $      2,453         $      2,474         Securities                   429           407                  403         Securities                                                       88         borrowed or     purchased under               82            91                resale     agreements     Deposits with                  8             8                   11         banks                                2,942         2,959                2,976         Interest expense                                                            Deposits                     873           903                  938         Securities sold               82            84                   83         short     Securities lent                                                  30         or sold under                 28            25                repurchase     agreements     Subordinated                  44            45                   52         indebtedness     Other                         10             9                   18                                    1,037         1,066                1,121         Net interest               1,905         1,893                1,855         income     Non-interest                                                                income     Underwriting and              78            88                  106         advisory fees     Deposit and                  212           215                  191         payment fees     Credit fees                  117           117                  118         Card fees                    113           133                  138         Investment                                                      112         management and               142           126                custodial fees     Mutual fund fees             282           267                  240         Insurance fees,               97            93                   85         net of claims     Commissions on                                                  101         securities                   103            98                transactions     Trading income                 1           (9)                   14         (loss)     AFS securities                57             9                   72         gains, net     FVO gains                      5             6                  (3)         (losses), net      Foreign exchange                                                  4         other than                    21             5                trading     Income from                                                      26         equity-accounted              41            45                associates and     joint ventures     Other                        460            94                  106                                    1,729         1,287                1,310         Total revenue              3,634         3,180                3,165         Provision for                                                               credit losses                218           271                  265     (Note 5)     Non-interest                                                                expenses     Employee                                                      1,100         compensation and           1,160         1,070                benefits      Occupancy costs              179           181                  168         Computer,                                                       247         software and                 283           285                office equipment     Communications                75            75                   77         Advertising and                                                  47         business                      65            79                development     Professional                  45            59                   36         fees     Business and                  15            16                   17         capital taxes     Other                        157           165                  296                                    1,979         1,930                1,988         Income before              1,437           979                  912         income taxes     Income taxes                 260           154                  127         Net income           $     1,177  $        825         $        785         Net income                                                        2         (loss)     attributable to      $         3  $        (7)         $      non-controlling     interests       Preferred          $        25  $         24         $         25           shareholders       Common                   1,149           808                  758           shareholders     Net income                                                      783         attributable to      $     1,174  $        832         $      equity     shareholders     Earnings per                                                                share (in                                                       dollars) (Note     11)       Basic              $      2.88  $       2.02         $       1.88           Diluted                   2.88          2.02                 1.88         Dividends per                                                  0.94         common share (in            0.96          0.96                dollars)         Certain information has been restated to reflect the     (1) changes in accounting policies stated in Note 1 and to         conform to the presentation adopted in the current period.  The accompanying notes and shaded sections in "MD&A - Management of risk" are  an integral part of these interim consolidated financial statements.     Consolidated statement of comprehensive income                                2014          2013  (1)             2013  (1)     Unaudited, $                                                                millions, for the                                             three months     ended                  Jan. 31       Oct. 31               Jan. 31      Net income          $     1,177  $        825          $        785         Other                                                                       comprehensive     income (OCI), net     of tax, that is                                               subject to     subsequent     reclassification     to net income                                                              Net foreign                                                              currency                                                      translation     adjustments                                                                Net gains                                                                (losses) on     investments in                                                foreign     operations                  599           143                  (21)        Net gains                                                                (losses) on     hedges of                                                     investments in     foreign     operations                (368)          (93)                    11                                 231            50                  (10)          Net change                                                               in AFS                                                        securities                                                                 Net gains                                                                (losses) on AFS                                               securities                   45            74                    20        Net (gains)                                                              losses on AFS     securities                                                    reclassified to     net income                 (38)           (7)                  (52)                                   7            67                  (32)          Net change in                                                            cash flow hedges                                                           Net gains                                                                (losses) on     derivatives                                                   designated as     cash flow     hedges                      (5)            60                    28        Net (gains)                                                              losses on     derivatives     designated as                                                 cash flow hedges     reclassified to     net income                    3          (47)                  (20)                                 (2)            13                     8       OCI, net of tax,                                                            that is not     subject to                                                    subsequent     reclassification     to net income                                                              Net gains                                                                (losses) on     post-employment                                               defined benefit     plans                      (58)            50                    40     Total OCI(2)                178           180                     6         Comprehensive                    $                     $                    income              $     1,355         1,005                   791     Comprehensive                                                               income (loss)     attributable to                  $                     $      non-controlling     interests           $         3           (7)                     2        Preferred                     $                     $                    shareholders        $        25            24                    25        Common                                                                   shareholders              1,327           988                   764     Comprehensive                                                               income     attributable to                  $                     $      equity     shareholders        $     1,352         1,012                   789     (1) Certain information has been restated to reflect the         changes in accounting policies stated in Note 1 and to         conform to the presentation adopted in the current period.     (2) Includes $9 million of gains for the quarter ended January         31, 2014 (October 31, 2013: $7 million of gains; January         31, 2013: $1 million of gains) relating to our investments         in equity-accounted associates and joint ventures                                       2014      2013  (1)         2013  (1)     Unaudited, $ millions, for     Jan. 31   Oct. 31           Jan. 31          the three months ended     Income tax (expense) benefit                                                Subject to subsequent                                                   reclassification to net                                                     income        Net foreign currency                                                   translation adjustments        Net gains (losses) on           (43)       (9)                 1     investments in foreign           $      $                 $               operations        Net gains (losses) on             55        19               (2)     hedges of investments in                                                  foreign operations                                          12        10               (1)          Net change in AFS                                                      securities        Net gains (losses) on AFS       (30)      (14)              (12)       securities        Net (gains) losses on AFS         21         2                20     securities reclassified to                                                net income                                         (9)      (12)                 8          Net change in cash flow                                                hedges        Net gains (losses) on              2      (22)              (10)     derivatives designated as                                                 cash flow hedges        Net (gains) losses on            (1)        17                 7     derivatives designated as                                                 cash flow hedges     reclassified to net income                                           1       (5)               (3)       Not subject to subsequent                                               reclassification to net                                                   income        Net gains (losses) on             20      (19)              (14)     post-employment defined                                                   benefit plans                                      $   24 $    (26)         $    (10)             Certain information has been restated to reflect the changes     (1) in accounting policies stated in Note 1 and to conform to         the presentation adopted in the current period.  The accompanying notes and shaded sections in "MD&A - Management of risk" are  an integral part of these interim consolidated financial statements.     Consolidated statement of changes in equity                           2014              2013  (1)             2013  (1)     Unaudited, $     millions, for the                                                          three months          Jan.              Oct.     ended                  31                31               Jan. 31      Preferred shares                                                           Balance at     beginning and end $                $                  $                    of period            1,706             1,706                 1,706     Common shares                                                            Balance at     beginning of      $                $                  $                    period               7,753             7,757                 7,769     Issue of common                                                            shares                  24                14                    59     Purchase of     common shares for                                                          cancellation          (27)              (18)                  (64)     Treasury shares          -                 -                     1         Balance at end of $                $                  $                    period               7,750             7,753                 7,765     Contributed                                                                surplus                                                                Balance at     beginning of      $                $                  $                    period                  82                82                    85     Stock option                                                               expense                  3                 1                     1     Stock options                                                              exercised              (3)               (2)                   (6)     Other                    -                 1                   (1)         Balance at end of $                $                  $                    period                  82                82                    79     Retained earnings                                                          Balance at     beginning of      $                $                  $                    period               8,318             7,954                 7,009     Net income     attributable to                                                            equity     shareholders         1,174               832                   783     Dividends                                                                    Preferred           (25)              (24)                  (25)           Common             (382)             (384)                 (379)         Premium on     purchase of                                                                common shares for     cancellation         (100)              (59)                 (205)     Other                    -               (1)                     -         Balance at end of $                $                  $                    period               8,985             8,318                 7,183     AOCI, net of tax                                                           AOCI, net of tax,     that is subject     to subsequent                                                              reclassification     to net income                                                            Net foreign       currency                                                                   translation       adjustments                                                  Balance at       beginning of          44               (6)                  (88)           period          $                $                  $        Net change in       foreign       currency             231                50                  (10)           translation       adjustments                                                  Balance at end       275                44                  (98)           of period       $                $                  $        Net gains       (losses) on AFS                                                            securities                                                   Balance at       beginning of         252               185                   350           period          $                $                  $        Net change in          7                67                  (32)           AFS securities                                               Balance at end       259               252                   318           of period       $                $                  $        Net gains       (losses) on                                                                cash flow       hedges                                                       Balance at       beginning of          13                 -                     2           period          $                $                  $        Net change in       cash flow            (2)                13                     8           hedges                                                       Balance at end        11                13                    10           of period       $                $                  $      AOCI, net of tax,     that is not     subject to                                                                 subsequent     reclassification     to net income                                                            Net gains       (losses) on       post-employment                                                            defined benefit       plans                                                        Balance at       beginning of       (349)             (399)                 (629)           period          $                $                  $        Net change in       post-employment     (58)                50                    40           defined benefit       plans                                                        Balance at end     (407)             (349)                 (589)           of period       $                $                  $      Total AOCI, net   $                $                  $                    of tax                 138              (40)                 (359)     Non-controlling                                                            interests                                                              Balance at     beginning of      $                $                  $                    period                 175               166                   170     Net income (loss)     attributable to                                                            non-controlling     interests                3               (7)                     2     Dividends              (2)                 -                   (2)         Other                   50 (2)            16                   (6)         Balance at end of $                $                  $                    period                 226               175                   164     Equity at end of  $                $                  $                    period              18,887            17,994                16,538         Certain information has been restated to reflect the     (1) changes in accounting policies stated in Note 1 and to         conform to the presentation adopted in the current period.         Includes $40 million of non-controlling interests relating     (2) to certain mutual funds that we launched and consolidated         commencing this quarter as a result of the level of our         ownership interest.   The accompanying notes and shaded sections in "MD&A - Management of risk" are  an integral part of these interim consolidated financial statements.      Consolidated statement of cash flow                                 2014        2013  (1)            2013  (1)     Unaudited, $     millions, for the            Jan.        Oct.                 Jan.         three months ended            31          31                   31      Cash flows provided     by (used in)                                                             operating activities                                                   Net income              $   1,177  $      825          $       785         Adjustments to     reconcile net income     to cash flows                                                              provided by (used in)     operating activities:                                                     Provision for                                                           credit losses                 218         271                  265        Amortization and                                                        impairment (2)                 95          95                   82        Stock option                                                            expense                         3           1                    1        Deferred income                                                         taxes                         (9)        (21)                 (18)        AFS securities                                                          gains, net                   (57)         (9)                 (72)        Net losses (gains)     on disposal of land,                                                       buildings and     equipment                       -           1                  (2)        Other non-cash                                                          items, net                  (468)       (128)                 (73)        Net changes in     operating assets and                                                       liabilities                                                                 Interest-bearing                                                      deposits with banks           134       1,734              (1,220)          Loans, net of                                                         repayments                (2,984)     (3,394)                  449          Deposits, net of                                                    withdrawals               (1,228)       1,888                6,188          Obligations     related to securities                                                       sold short                  (113)          72                (720)          Accrued interest                                                      receivable                    107        (51)                   67          Accrued interest                                                      payable                     (280)         260                (296)          Derivative                                                            assets                    (4,535)         644                1,927          Derivative                                                            liabilities                 2,515       (636)              (2,536)          Trading                                                               securities                (1,247)     (1,183)                (500)          FVO securities           (7)         (1)                    1              Other FVO assets                                                      and liabilities               251          69                   54          Current income                                                         taxes                          28          29                (415)          Cash collateral                                                       on securities lent          (923)         399                (133)          Obligations     related to securities                                                      sold under repurchase                             agreements                  1,509     (1,461)              (2,115)          Cash collateral     on securities                                                              borrowed                      367       1,001                (166)          Securities     purchased under                                                            resale agreements           1,166       1,768                (418)          Other, net             (915)         770                  320                                                                                                            (5,196)       2,943                1,455     Cash flows provided     by (used in)                                                             financing activities                                                   Issue of common                                                            shares for cash                21          12                   53     Purchase of common     shares for                                                                 cancellation                (127)        (77)                (269)     Net proceeds from                                                          treasury shares                 -           -                    1     Dividends paid              (407)       (408)                (404)                                     (513)       (473)                (619)       Cash flows provided     by (used in)                                                             investing activities                                                   Purchase of AFS                                                            securities                (8,964)     (7,821)              (6,642)     Proceeds from sale of                                                      AFS securities              9,122       2,674                2,702     Proceeds from     maturity of AFS                                                            securities                  2,142       2,516                2,793     Net cash used in                                                           acquisitions                (147)           -                    -     Net cash provided by                                                       dispositions                3,587           3                   41     Net purchase of land,     buildings and                                                              equipment                    (85)       (110)                 (39)                                                                                                          5,655     (2,738)              (1,145)     Effect of exchange     rate changes on cash     and                                                                      non-interest-bearing     deposits with banks            82          17                  (2)     Net increase     (decrease) in cash     and                                                                      non-interest-bearing     deposits with banks     during the period              28       (251)                (311)     Cash and     non-interest-bearing     deposits with banks                                                      at beginning of     period                      2,211       2,462                2,613     Cash and     non-interest-bearing                                                     deposits with banks     at end of period (3)    $   2,239  $    2,211          $     2,302     Cash interest paid      $   1,317  $      806          $     1,417       Cash income taxes                                                        paid                          241         146                  560     Cash interest and                                                        dividends received          3,049       2,909                3,043         Certain information has been restated to reflect the     (1) changes in accounting policies stated in Note 1 and to         conform to the presentation adopted in the current period.         Comprises amortization and impairment of buildings,     (2) furniture, equipment, leasehold improvements, and software         and other intangible assets.     (3) Includes restricted balance of $286 million (October 31,         2013: $264 million; January 31, 2013: $269 million).   The accompanying notes and shaded sections in "MD&A - Management of risk" are  an integral part of these interim consolidated financial statements.    Notes to the interim consolidated financial statements (Unaudited)  The interim consolidated financial statements of CIBC are prepared in  accordance with Section 308(4) of the Bank Act, which states that, except as  otherwise specified by the Office of the Superintendent of Financial  Institutions (OSFI), the financial statements are to be prepared in accordance  with International Financial Reporting Standards (IFRS) as issued by the  International Accounting Standards Board. There are no accounting requirements  of OSFI that are exceptions to IFRS.  These interim consolidated financial statements have been prepared in  accordance with International Accounting Standard (IAS) 34 "Interim Financial  Reporting" and do not include all of the information required for full annual  consolidated financial statements. These interim consolidated financial  statements follow the same accounting policies and their methods of  application as CIBC's consolidated financial statements for the year ended  October 31, 2013, except as noted.  All amounts in these interim consolidated financial statements are presented  in Canadian dollars, unless otherwise indicated. These interim consolidated  financial statements were authorized for issue by the Board of Directors on  February 26, 2014.  1. Changes in accounting policies  Effective November 1, 2013, CIBC adopted several new and amended accounting  pronouncements as described below.  (a)     Retrospective application of new and amended standards The amendments to IAS 19 "Employee Benefits" and IFRS 10 "Consolidated  Financial Statements" were adopted retrospectively as described below.  IAS 19 "Employee Benefits" - In June 2011, the IASB published an amended  version of IAS 19. The amendments require the following: (i) recognition of  actuarial gains and losses in OCI in the period in which they arise; (ii)  recognition of interest income on plan assets in net income using the same  rate as that used to discount the defined benefit obligation; and (iii)  recognition of all past service costs (gains) in net income in the period in  which they arise. We adopted the amendments to IAS 19 on a retrospective basis  effective November 1, 2011.  Consistent accounting policies are applied for the purposes of applying the  equity-method for our investments in equity-associates and joint ventures, and  therefore the retrospective application of the amendments also impacted the  accounting for certain of our equity-accounted investments in associates.  IFRS 10 "Consolidated Financial Statements", issued in May 2011, replaces the  consolidation guidance in IAS 27 "Consolidated and Separate Financial  Statements" and Standards Interpretation Committee (SIC) 12 - "Consolidation -  Special Purpose Entities". IFRS 10 introduces a single consolidation model for  all entities based on control, irrespective of the nature of the investee.  Under IFRS 10, an investor controls an investee when an investor has: (i)  power over the investee; (ii) exposure, or rights, to variable returns from  its involvement with the investee; and (iii) the ability to use its power over  the investee to affect the amount of the investor's returns. We adopted IFRS  10 on a retrospective basis effective November 1, 2012.  The adoption of IFRS 10 required us to deconsolidate CIBC Capital Trust from  our consolidated financial statements. Although we have the ability to direct  the relevant activities of CIBC Capital Trust, we do not have exposure to  variable returns from our involvement in CIBC Capital Trust as we pass our  credit risk into the Trust by issuing senior deposit notes to CIBC Capital  Trust.  The deconsolidation of CIBC Capital Trust resulted in us removing Capital  Trust securities issued by CIBC Capital Trust from our consolidated balance  sheet effective November 1, 2012, and instead recognizing the senior deposit  notes issued by CIBC to CIBC Capital Trust in Business and government  deposits. We recognized an increase in shareholders' equity as at November 1,  2012 and October 31, 2013 due to the reversal of losses previously recognized  on Capital Trust securities repurchased by CIBC.  The impact on the consolidated balance sheets as a result of the retrospective  application of the amendments to IAS 19 and IFRS 10 was as follows:                          Reported as at   Post-employment      Restated as at                                                                    opening      $ millions             October 31,         benefits   November 1, 2011                                   2011      ASSETS                                                                      Other assets      $          8,879  $          (183)  $           8,696     Asset line     items not     impacted by                374,879                 -            374,879     accounting     changes                       $        383,758  $          (183)  $         383,575     LIABILITIES AND                                                             EQUITY     Other             $         11,704  $            (3)  $          11,701     liabilities     Liability line     items not     impacted by                355,963                 -            355,963     accounting     changes     Equity                                                                      Preferred     shares, common     shares and                  10,225                 -             10,225     contributed     surplus     Retained                     5,457               (3)              5,454     earnings     AOCI                           245             (175)                 70     Total     shareholders'               15,927             (178)             15,749     equity     Non-controlling                164               (2)                162     interests     Total equity                16,091             (180)             15,911                       $        383,758  $          (183)  $         383,575                         Reported                      Restated                Restated                           as at   Post-employment       as at        CIBC        as at                                                                               opening      $ millions           October         benefits      October     Capital    November                        31, 2012                      31, 2012       Trust     1, 2012      ASSETS                                                                                 Securities -       $  40,330  $              -  $   40,330  $       10  $   40,340     Trading     Loans - Business      43,624                 -      43,624           9      43,633     and government     Investments in     equity-accounted       1,635              (17)       1,618         (1)       1,617     associates and     joint ventures     Other assets           9,404             (249)       9,155         (3)       9,152     Asset line items     not impacted by                              -                       -                 accounting           298,392                       298,392                 298,392     changes                        $          $          (266)  $           $       15  $                                   393,385                       393,119                 393,134     LIABILITIES AND                                                                        EQUITY     Deposits -                                                                             Business and       $ 125,055  $              -  $  125,055  $    1,685  $  126,740     government     Capital Trust          1,678                 -       1,678     (1,678)           -     securities     Other                 10,671               405      11,076           1      11,077     liabilities     Liability line     items not                                                                              impacted by          238,943                 -     238,943           -     238,943     accounting     changes     Equity                                                                                 Preferred     shares, common     shares and             9,560                 -       9,560           -       9,560     contributed     surplus     Retained               7,042              (40)       7,002           7       7,009     earnings     AOCI                     264             (629)       (365)           -       (365)     Total     shareholders'         16,866             (669)      16,197           7      16,204     equity     Non-controlling          172               (2)         170           -         170     interests     Total equity          17,038             (671)      16,367           7      16,374                        $          $          (266)  $           $       15  $                                   393,385                       393,119                 393,134                         Reported  Post-employment        CIBC   Restated as                           as at                                         at      $ millions           October         benefits      Capital  October 31,                        31, 2013                         Trust         2013      ASSETS                                                                      Securities -       $  44,068  $              -  $        2  $    44,070     Trading     Loans - Business      48,201                 -           6       48,207     and government     Investments in     equity-accounted       1,713              (19)           1        1,695     associates and     joint ventures     Other assets           9,058             (370)         (3)        8,685     Asset line items     not impacted by                              -           -                  accounting           295,349                                    295,349     changes                        $          $          (389)  $        6  $                                    398,389                                    398,006     LIABILITIES AND                                                             EQUITY     Deposits -                                                                  Business and       $ 133,100  $              -  $    1,636  $   134,736     government     Capital Trust          1,638                 -     (1,638)            -     securities     Other                 10,808                53           1       10,862     liabilities     Liability line     items not                                                                   impacted by          234,414                 -           -      234,414     accounting     changes     Equity                                                                      Preferred     shares, common     shares and             9,541                 -           -        9,541     contributed     surplus     Retained               8,402              (91)           7        8,318     earnings     AOCI                     309             (349)           -         (40)     Total     shareholders'         18,252             (440)           7       17,819     equity     Non-controlling          177               (2)           -          175     interests     Total equity          18,429             (442)           7       17,994                        $          $          (389)  $        6  $                                    398,389                                    398,006  The increase (decrease) on the consolidated statements of income and  consolidated statements of comprehensive income as a result of the  retrospective application of the amendments to IAS 19 and IFRS 10 was as  follows:       For the three     months ended                                                                                                 January 31, 2013                                                                               Previously   Post-employment             CIBC                                                                         as                   (1)      Capital                                $ millions            reported          benefits            Trust   Reclassification  (2)      Restated      Interest income    $      2,976  $              -          $     -  $               -          $   2,976     Interest expense          1,121                 -                -                  -              1,121     Net interest                                    -                -                  -              1,855     income                    1,855                                            Non-interest                                    -                1               (17)              1,310     income                    1,326                                            Provision for                                   -                -                  -                265     credit losses               265                                            Non-interest                                   18                -               (17)              1,988     expenses                  1,987                                            Income before                                (18)                1                  -                912     taxes                       929                                            Income taxes                131               (4)                -                  -                127     Net income                  798              (14)                1                  -                785     Net income     attributable to                                 -                -                  -                  2     non-controlling     interests                     2                                            Net income     attributable to                              (14)                1                  -                783     equity     shareholders                796                                            Net income                  798              (14)                1                  -                785     OCI, net of tax,     that is subject     to subsequent                                   -                -                  -               (34)     reclassification     to net income              (34)                                            OCI, net of tax,     that is not subject     to subsequent                 -                                                     -                 40     reclassification to     net income                                     40                -                              Comprehensive                    $             26          $     1                  -          $     791     income             $        764                                     $      (1) Represents an increase in Non-interest expenses -         Employee compensation and benefits of $18 million.         Certain amounts associated with our self-managed credit     (2) card portfolio have been reclassified from Non-interest         expenses - Other to Non-interest income - Card fees.     For the three     months ended                                                                                                 October 31, 2013                                                                               Previously   Post-employment             CIBC                                                                         as                   (1)      Capital                    (2)         $ millions            reported          benefits            Trust   Reclassification           Restated      Interest income    $      2,959  $              -          $     -  $               -          $   2,959     Interest expense          1,065                 -                1                  -              1,066     Net interest                                    -              (1)                  -              1,893     income                    1,894                                            Non-interest                                  (1)              (1)               (17)              1,287     income                    1,306                                            Provision for                                   -                -                  -                271     credit losses               271                                            Non-interest                                   15                -               (17)              1,930     expenses                  1,932                                            Income before                                (16)              (2)                  -                979     taxes                       997                                            Income taxes                161               (7)                -                  -                154     Net income                  836               (9)              (2)                  -                825     Net loss     attributable to                                 -                -                  -                (7)     non-controlling     interests                   (7)                                            Net income     attributable to                               (9)              (2)                  -                832     equity     shareholders                843                                            Net income                  836               (9)              (2)                  -                825     OCI, net of tax,     that is subject     to subsequent                                   -                -                  -                130     reclassification     to net income               130                                            OCI, net of tax,     that is not subject     to subsequent                 -                                                     -                 50     reclassification to     net income                                     50                -                              Comprehensive                    $             41          $   (2)                  -          $   1,005     income             $        966                                     $      (1) Represents a decrease in Non-interest income - Income         from equity-accounted associates and joint ventures of         $1 million and an increase in Non-interest expenses -         Employee compensation and benefits of $15 million.     (2) Certain amounts associated with our self-managed credit         card portfolio have been reclassified from Non-interest         expenses - Other to Non-interest income - Card fees.     For the year     ended October                                                                                     31, 2012                                                                                            Previously   Post-employment                                                                               as                                                        $ millions            reported          benefits  (1)     Reclassification  (2)     Restated      Interest income    $     11,907  $              -         $               -         $  11,907     Interest expense          4,581                 -                         -             4,581     Net interest                                    -                                       7,326     income                    7,326                                           -     Non-interest                                  (5)                                       5,159     income                    5,223                                        (59)     Provision for                                   -                                       1,291     credit losses             1,291                                           -     Non-interest                                   46                                       7,202     expenses                  7,215                                        (59)     Income before                                (51)                                       3,992     taxes                     4,043                                           -     Income taxes                704              (15)                         -               689     Net income                3,339              (36)                         -             3,303     Net income     attributable to                                 1                                           9     non-controlling     interests                     8                                           -     Net income     attributable to                              (37)                                       3,294     equity     shareholders              3,331                                           -     Net income                3,339              (36)                         -             3,303     OCI, net of tax,     that is subject     to subsequent                                   -                                          19     reclassification     to net income                19                                           -     OCI, net of tax,     that is not     subject to                                  (454)                                       (454)     subsequent     reclassification     to net income                 -                                           -     Comprehensive                    $          (490)         $                         $   2,868     income             $      3,358                                           -     (1) Represents a decrease in Non-interest income - Income         from equity-accounted associates and joint ventures of $5         million and an increase in Non-interest expenses -         Employee compensation and benefits of $46 million.     (2) Certain amounts associated with our self-managed credit         card portfolio have been reclassified from Non-interest         expenses - Other to Non-interest income - Card fees.     For the year     ended October                                                                                                31, 2013                                                                                       Previously   Post-employment             CIBC                                                                         as         benefits  (1)      Capital                    (2)         $ millions            reported                              Trust   Reclassification           Restated                              11,811   $              -          $     -                  -          $          Interest income    $                                                $                             11,811     Interest expense          4,356                 -                2                  -              4,358     Net interest              7,455                 -              (2)                  -              7,453     income                                                                     Non-interest              5,328               (1)                2               (64)              5,265     income                                                                     Provision for             1,121                 -                -                  -              1,121     credit losses                                                              Non-interest              7,614                71                -               (64)              7,621     expenses                                                                   Income before             4,048              (72)                -                  -              3,976     taxes                                                                      Income taxes                648              (22)                -                  -                626     Net income                3,400              (50)                -                  -              3,350     Net loss     attributable to             (3)                 1                -                  -                (2)     non-controlling     interests                                                                  Net income     attributable to           3,403              (51)                -                  -              3,352     equity     shareholders                                                               Net income                3,400              (50)                -                  -              3,350     OCI, net of tax,     that is subject     to subsequent                45                 -                -                  -                 45     reclassification     to net income                                                              OCI, net of tax,     that is not subject     to subsequent                 -               280                                   -                280     reclassification to     net income                                                       -                             Comprehensive             3,445  $            230          $     -                  -          $   3,675     income             $                                                $      (1) Represents a decrease in Non-interest income - Income         from equity-accounted associates and joint ventures of         $1 million and an increase in Non-interest expenses -         Employee compensation and benefits of $71 million.     (2) Certain amounts associated with our self-managed credit         card portfolio have been reclassified from Non-interest         expenses - Other to Non-interest income - Card fees.  (b)     Other changes in accounting standards The following standards and amendments to standards were also adopted  effective November 1, 2013.  IFRS 11 "Joint Arrangements", issued in May 2011, requires entities which had  previously accounted for joint ventures using proportionate consolidation to  collapse the proportionately consolidated net asset value (including any  allocation of goodwill) into a single investment balance at the beginning of  the earliest period presented using the equity method. As we presently apply  the equity method for our joint arrangements under IFRS, the adoption of IFRS  11 did not impact our consolidated financial statements.  IFRS 12 "Disclosure of Interests in Other Entities", issued in May 2011,  requires enhanced disclosures about both consolidated entities and  unconsolidated entities in which an entity has involvement. The objective of  IFRS 12 is to provide information to enable users to evaluate the nature of,  and risks associated with, its interest in other entities, including  subsidiaries, joint arrangements, associates and unconsolidated structured  entities, and the effects of those interests on our consolidated financial  statements. IFRS 12 did not impact our consolidated financial statements;  however, additional disclosures will be provided in our annual consolidated  financial statements.  As a result of the issuance of IFRS 10, IFRS 11 and IFRS 12, the IASB issued  amended and renamed IAS 27 "Separate Financial Statements" and IAS 28  "Investments in Associates and Joint Ventures". The amended IAS 27 removes its  existing consolidation model and requirements related to consolidated  financial statements as they are now addressed in IFRS 10. The amended IAS 27  prescribes the accounting for investments in subsidiaries, jointly controlled  entities and associates in separate financial statements. Amended IAS 28  outlines how to apply the equity method to investments in associates and joint  ventures. The adoption of amended IAS 27 and IAS 28 did not impact our  consolidated financial statements.  IFRS 13 "Fair Value Measurement", issued in May 2011, replaces the fair value  measurement guidance contained in individual IFRSs with a single standard for  measuring fair value. IFRS 13 provides expanded disclosure about fair value  measurements for both financial and non-financial assets and liabilities  measured at fair value on a recurring or non-recurring basis and for items not  measured at fair value but for which fair value is disclosed. Adoption of this  standard did not result in changes to how we measure fair value. However,  additional disclosures related to the type and range of inputs used in the  estimation of the fair value of financial instruments measured at fair value  on the balance sheet that are considered to be in Level 3 of the fair value  hierarchy have been included in Note 2 of our interim consolidated financial  statements. In addition, we will be required to provide additional disclosures  related to the fair value of financial instruments measured at amortized cost  on our balance sheet, such as loans and deposits, including how the disclosed  fair values fit into the fair value hierarchy in our annual consolidated  financial statements.  IFRS 7 "Disclosures - Offsetting Financial Assets and Financial Liabilities",  issued in December 2011, contains amendments to IFRS 7 and requires new  disclosure for financial assets and liabilities that are offset in the balance  sheet or are subject to master netting arrangements or similar arrangements.  The amendments did not impact our consolidated financial statements; however,  additional disclosures will be provided in our annual consolidated financial  statements.  2. Fair value measurements  Fair value is defined as the price that would be received to sell an asset, or  paid to transfer a liability, between market participants in an orderly  transaction in the principal market at the measurement date under current  market conditions (i.e. the exit price). The determination of fair value  requires judgment and is based on market information, where available and  appropriate. Fair value measurements are categorized into three levels within  a fair value hierarchy (Level 1, 2 or 3) based on the valuation inputs used in  measuring the fair value, as outlined below.         --  Level 1 - Unadjusted quoted market prices in active markets for             identical assets or liabilities we can access at the             measurement date. Bid prices, ask prices or prices within the             bid and ask, which are the most representative of the fair             value, are used as appropriate to measure fair value. Fair             value is best evidenced by an independent quoted market price             for the same instrument in an active market. An active market             is one where transactions are occurring with sufficient             frequency and volume to provide quoted prices on an ongoing             basis.         --  Level 2 - Quoted prices for identical assets or liabilities in             markets that are inactive or observable market quotes for             similar instruments, or use of valuation technique where all             significant inputs are observable. Inactive markets may be             characterized by a significant decline in the volume and level             of observed trading activity or through large or erratic             bid/offer spreads. In instances where traded markets do not             exist or are not considered sufficiently active, we measure             fair value using valuation models.         --  Level 3 - Non-observable or indicative prices or use of             valuation technique where one or more significant inputs are             non-observable.  For a significant portion of our financial instruments, quoted market prices  are not available because of the lack of traded markets, and even where such  markets do exist, they may not be considered sufficiently active to be used as  a final determinant of fair value.  When quoted market prices in active  markets are not available, we would consider using valuation models. The  valuation model and technique we select maximizes the use of observable market  inputs to the extent possible and appropriate in order to estimate the price  at which an orderly transaction would take place at the measurement date. In  an inactive market, we consider all reasonably available information including  any available pricing for similar instruments, recent arm's length market  transactions, any relevant observable market inputs, indicative dealer or  broker quotations, and our own internal model-based estimates.  Valuation adjustments are an integral component of our fair valuation process.  We apply judgment in establishing valuation adjustments that take into account  various factors that may have an impact on the valuation. Such factors  include, but are not limited to, the bid-offer spread, illiquidity due to lack  of market depth, parameter uncertainty and other market risk, model risk and  credit risk. For derivatives, we have credit valuation adjustments (CVA) that  factor in counterparty, as well as our own credit risk, and a valuation  adjustment for administration costs.  Generally, the unit of account for a financial instrument is the individual  instrument, and valuation adjustments are applied at an individual instrument  level, consistent with that unit of account. In cases where we manage a group  of financial assets and liabilities that consist of substantially similar and  offsetting risk exposures, the valuation adjustments for financial assets and  liabilities are measured on the basis of the net open risks.  We apply judgment in determining the most appropriate inputs and the weighting  we ascribe to each such input as well as in our selection of valuation  methodologies. Regardless of the valuation technique we use, we incorporate  assumptions that we believe market participants would make for credit,  funding, and liquidity considerations. When the fair value of a financial  instrument at inception is determined using a valuation technique that  incorporates significant non-observable market inputs, no inception profit or  loss (the difference between the determined fair value and the transaction  price) is recognized at the time the asset or liability is first recorded. Any  gains or losses at inception are deferred and recognized only in future  periods over the term of the instruments or when market quotes or data become  observable.  We have an ongoing process for evaluating and enhancing our valuation  techniques and models. Where enhancements are made, they are applied  prospectively, so that fair values reported in prior periods are not  recalculated on the new basis. Valuation models used, including analytics for  the construction of yield curves and volatility surfaces, are vetted and  approved, consistent with our model risk policy.  To ensure that valuations are appropriate, we have established internal  guidance on fair value measurement, which is reviewed periodically in  recognition of the dynamic nature of markets and the constantly evolving  pricing practices in the market. A number of policies and controls are put in  place to ensure the internal guidance on fair value measurement is being  applied consistently and appropriately. Fair value of publicly issued  securities and derivatives is independently validated at least once a month.  Valuations are verified to external sources such as exchange quotes, broker  quotes or other management-approved independent pricing sources. Key model  inputs, such as yield curves and volatilities, are independently verified. The  results from the independent price validation and any valuation adjustments  are reviewed by the Independent Price Verification Committee on a monthly  basis. This includes, but is not limited to, reviewing fair value adjustments  and methodologies, independent price verification results, limits and  valuation uncertainty. Fair value of privately issued securities is reviewed  on a quarterly basis.  Due to the judgment used in applying a wide variety of acceptable valuation  techniques and models, as well as the use of estimates inherent in this  process, estimates of fair value for the same or similar assets may differ  among financial institutions. The calculation of fair value is based on market  conditions as at each balance sheet date, and may not be reflective of  ultimate realizable value.  Details on fair value methods and assumptions used for determining fair value  of our financial instruments are disclosed in pages 105 to 107 of the 2013  Annual Report.  The table below presents the level in the fair value hierarchy into which the  fair values of financial instruments that are carried at fair value on the  interim consolidated balance sheet are categorized:                               Level 1                 Level 2                   Level 3                                                                         Valuation technique -       Valuation technique                                                                                                                   -                       Quoted market price       observable market            non-observable       Total       Total                                                            inputs             market inputs                                                           2013(1)                                              2013                           2014       2013        2014                       2014      2013         2014        (1)      $ millions, as        Jan.       Oct.     Jan. 31     Oct. 31           Jan.    Oct. 31     Jan. 31     Oct. 31     at                      31         31                                     31     Financial                                                                                                         assets     Deposits with    $       -  $       -  $       51  $      111      $       -  $       -  $       51  $      111     banks     Trading                                                                                                           securities        Government       issued or      $     911  $   2,053  $    8,999  $    7,378      $       -  $       -  $    9,910  $    9,431       guaranteed       Corporate         27,635     27,169       3,503       3,707              -          -      31,138      30,876       equity       Corporate              -          -       2,581       2,362              -          -       2,581       2,362       debt       Mortgage-       and                    -          -         827         564            861        837       1,688       1,401       asset-backed                      $  28,546  $  29,222  $   15,910  $   14,011      $     861  $     837  $   45,317  $   44,070     Trading loans                                                                                                       Business and   $       -  $       -  $    2,031  $    2,211      $      28  $       -  $    2,059  $    2,211       government     AFS securities                                                                                                 Government       issued or      $     947  $   1,162  $   11,894  $   14,625      $       -  $       -  $   12,841  $   15,787       guaranteed       Corporate             67         29           -           9            643        618         710         656       equity       Corporate              -          -       8,997       7,967             14          9       9,011       7,976       debt        Mortgage-       and                    -          -       2,612       2,922            232        286       2,844       3,208       asset-backed                      $   1,014  $   1,191  $   23,503  $   25,523      $     889  $     913  $   25,406  $   27,627     FVO securities                                                                                                 Government       issued or      $       -  $       -  $       48  $       44      $       -  $       -  $       48  $       44       guaranteed       Corporate              -          -         102          96              -          -         102          96       debt       Asset-backed           -          -           -           -            144        147         144         147                      $       -  $       -  $      150  $      140      $     144  $     147  $      294  $      287     FVO securities     purchased                                                                                                           under resale       agreements     $       -  $       -  $        -  $        -      $       -  $       -  $        -  $        -     Derivative                                                                                                          instruments       Interest       $       1  $       -  $   14,175  $   13,718      $      45  $      46  $   14,221  $   13,764       rate       Foreign                -          -       8,171       4,812              -          -       8,171       4,812       exchange       Credit                 -          -           -           -            286        294         286         294       Equity               168        129         661         342              1          1         830         472       Precious              72          -          15          28              -          -          87          28       metal       Other                131        117         763         460              -          -         894         577       commodity                      $     372  $     246  $   23,785  $   19,360      $     332  $     341  $   24,489  $   19,947     Total     financial        $  29,932  $  30,659  $   65,430  $   61,356      $   2,254  $   2,238  $   97,616  $   94,253     assets     Financial                                                                                                           liabilities     Deposits and     other            $       -  $       -  $  (1,958)  $  (1,729)      $   (788)  $   (737)  $  (2,746)  $  (2,466)     liabilities(2)     Obligations     related to         (7,556)    (9,099)     (5,658)     (4,228)              -          -    (13,214)    (13,327)     securities     sold short                      $ (7,556)  $ (9,099)  $  (7,616)  $  (5,957)      $   (788)  $   (737)  $ (15,960)  $ (15,793)     Derivative                                                                                                          instruments       Interest       $     (1)  $       -  $ (13,339)  $ (12,820)      $    (49)  $    (48)  $ (13,389)  $ (12,868)       rate       Foreign                -          -     (6,994)     (4,166)              -          -     (6,994)     (4,166)       exchange       Credit                 -          -         (3)           -          (397)      (413)       (400)       (413)       Equity             (146)      (120)       (748)     (1,650)           (14)       (13)       (908)     (1,783)       Precious            (96)        (8)        (13)        (22)              -          -       (109)        (30)       metal       Other              (143)      (126)       (301)       (338)              -          -       (444)       (464)       commodity                      $   (386)  $   (254)  $ (21,398)  $ (18,996)      $   (460)  $   (474)  $ (22,244)  $ (19,724)     Total     financial        $ (7,942)  $ (9,353)  $ (29,014)  $ (24,953)      $ (1,248)  $ (1,211)  $ (38,204)  $ (35,517)     liabilities     (1) Certain information has been restated to reflect         the changes in accounting policies stated in Note         1 and to conform to the presentation adopted in         the current period.     (2) Comprises FVO deposits of $2,018 million (October         31, 2013: $1,764 million), FVO secured borrowings         of $351 million (October 31, 2013: $352 million),         bifurcated embedded derivatives of $375 million         (October 31, 2013: $348 million), and FVO other         liabilities of $2 million (October 31, 2013: $2         million). Changes in our own credit risk had an         insignificant impact on the determination of the         fair value of our FVO deposits.  Transfers into or out of Level 3 can occur as a result of additional or new  information regarding valuation inputs and changes in their observability.  Transfers between levels in the fair value hierarchy are deemed to have  occurred at the beginning of the reporting period. During the quarter, we  transferred $470 million of trading securities and $404 million of securities  sold short from Level 1 to Level 2, and $13 million of corporate equity  securities from Level 3 to Level 1.  The net gain recognized in the interim consolidated statement of income on the  financial instruments, for which fair value was estimated using valuation  techniques requiring non-observable inputs, for the quarter ended January 31,  2014 was $53 million (October 31, 2013: net gain of $23 million; January 31,  2013: net gain of $47 million).  The following table presents the changes in fair value of financial assets and  liabilities in Level 3. These instruments are measured at fair value utilizing  non-observable market inputs. We often hedge positions with offsetting  positions that may be classified in a different level. As a result, the gains  and losses for assets and liabilities in the Level 3 category presented in the  table below do not reflect the effect of offsetting gains and losses on the  related hedging instruments that are classified in Level 1 and Level 2.                                      Net gains (losses)                                                                                                                             included in income                                                                                                                                                                  Net  Transfer  Transfer                                                                                                                       unrealized                        Opening                                   gains      in to    out of                                                  Closing                                                                (losses)     $ millions,     for the three               Realized      Unrealized       included   months ended       balance       (1)          (1)(2)         in OCI   Level 3   Level 3  Purchases  Issuances     Sales  Settlements     balance        Jan. 31, 2014                                                                                                                                        Trading                                                                                                                                              securities       Mortgage-     and            $     837  $     15      $       67      $       -  $      -  $      -  $       -  $       -  $      -  $      (58)   $     861          asset-backed     Trading loans                                                                                                                                        Business and           -         -               -              -         -         -         28          -         -            -          28          government     AFS securities                                                                                                                                       Corporate            618        21               -             34         -      (13)         21          -      (38)            -         643    equity    Corporate              9         -               1            (1)         -         -          5          -         -            -          14          debt       Mortgage-     and                  286         -               -              -         -         -          -          -         -         (54)         232          asset-backed     FVO securities                                                                                                                                       Asset-backed         147         3              12              -         -         -          -          -         -         (18)         144        Derivative                                                                                                                                           instruments     Interest              46         4               -              -         -         -          -          -         -          (5)          45    rate    Credit               294       (4)               6              -         -         -          -          -         -         (10)         286    Equity                 1         -               -              -         -         -          -          -         -            -           1  Total assets     $   2,238  $     39      $       86      $      33  $      -  $   (13)  $      54  $       -   $  (38)  $     (145)   $   2,254  Deposits and  other            $   (737)  $    (5)      $     (51)      $       -  $      -  $      -  $       -  $    (27)   $   (1)  $        33   $   (788)        liabilities(3)     Derivative                                                                                                                                           instruments     Interest            (48)       (4)             (1)              -         -         -          -          -         -            4        (49)    rate    Credit             (413)         -            (10)              -         -         -          -          -         -           26       (397)    Equity              (13)         -             (1)              -         -         -          -          -         -            -        (14)  Total            $ (1,211)  $    (9)      $     (63)      $       -  $      -  $      -  $       -  $    (27)   $   (1)  $        63   $ (1,248)        liabilities     Oct. 31, 2013                                                                                                                                        Trading                                                                                                                                              securities       Mortgage-     and            $     839  $     46      $       21      $       -  $      -  $      -  $       -  $       -   $     -  $      (69)   $     837          asset-backed     Trading loans                                                                                                                                        Business and           8         8               -              -         -         -          -          -      (16)            -           -          government     AFS securities                                                                                                                                       Corporate            639        27            (36)             21         -         -          8          -      (41)            -         618    equity    Corporate             23        15               1            (7)         -         -          -          -      (23)            -           9          debt       Mortgage-     and                  347         -               -              -         -         -          -          -         -         (61)         286          asset-backed     FVO securities                                                                                                                                       Asset-backed         150         4             (2)              -         -         -          -          -         -          (5)         147        Derivative                                                                                                                                           instruments     Interest              43         2               2              -         -         -          -          -         -          (1)          46    rate    Credit               342      (16)            (23)              -         -         -          -          -         -          (9)         294    Equity                 1         -               -              -         -         -          -          -         -            -           1  Total assets     $   2,392  $     86      $     (37)      $      14  $      -  $      -  $       8  $       -   $  (80)  $     (145)  $    2,238  Deposits and  other            $   (692)  $   (20)      $     (40)      $       -  $    (6)  $      -  $       3  $       5   $   (5)  $        18  $    (737)        liabilities(3)     Derivative                                                                                                                                           instruments     Interest            (49)       (4)               2              -         -         -          -          -         -            3        (48)    rate    Credit             (473)        15              21              -         -         -          -          -         -           24       (413)    Equity               (4)         -               -              -       (1)         -          -        (8)         -            -        (13)  Total            $ (1,218)  $    (9)      $     (17)      $       -  $    (7)  $      -  $       3  $     (3)   $   (5)  $        45  $  (1,211)        liabilities     (1) Includes foreign currency gains and losses.     (2) Comprises unrealized gains and losses         relating to these assets and liabilities         held at the end of the reporting period.     (3) Includes FVO deposits of $602 million         (October 31, 2013: $557 million) and         bifurcated embedded derivatives of $186         million (October 31, 2013: $180 million).  Quantitative information about significant non-observable inputs  Valuation techniques using one or more non-observable inputs are used for a  number of financial instruments. The following table discloses the valuation  techniques and quantitative information about the significant non-observable  inputs used in Level 3 financial instruments:                                                                                                                                     2014           Valuation                                  Range of inputs      $ millions, as          Jan.                                        Key     at                        31          techniques         non-observable         Low       High                                                                         inputs     Trading                                                                                                 securities                                               Market           Market proxy       Mortgage- and    $     861            proxy or              or direct            -  %    96.5  %        asset-backed                            direct           broker quote                                         broker quote     Trading loans                                                                                           Business and            28          Discounted          Discount rate          2.2  %     2.2  %        government                           cash flow     AFS securities                                                                                          Corporate                                                                                             equity         Limited                             Adjusted              Net asset         partnerships         424           net asset (1)              value         n/a        n/a                                                   value         Private              219           Valuation               Earnings          6.9       14.5           companies                           multiple               multiple                                                                     Revenue          3.4        3.6                                                                      multiple                                           Discounted          Discount rate          9.3  %    20.0  %                                             cash flow       Corporate debt          14          Discounted          Discount rate         16.0  %    30.0  %                                             cash flow       Mortgage- and          232          Discounted          Credit spread          0.8  %     0.8  %        asset-backed                         cash flow                                                                  Prepayment         13.1  %    33.8  %                                                                         rate     FVO securities                                                                                                                                  Market           Market proxy       Asset-backed           144            proxy or              or direct         81.0  %    95.0  %                                                direct           broker quote                                         broker quote     Derivative                                                                                            instruments       Interest rate           45         Proprietary (2)                n/a         n/a        n/a                                                   model                                               Market           Market proxy       Credit                 286 (3)        proxy or              or direct         30.4  %    99.7  %                                                direct           broker quote                                         broker quote                                           Discounted           Default rate          4.0  %     4.0  %                                             cash flow                                                               Recovery rate         50.0  %    70.0  %                                                                   Prepayment         20.0  %    20.0  %                                                                         rate                                                               Credit spread (4)      0.1  %     1.1  %        Equity                   1              Option                 Market         13.4  %    13.4  %                                                model              volatility     Total assets       $   2,254                                                                                                                                                                                Deposits and                              Market           Market proxy     other              $   (788)            proxy or              or direct            -  %    96.5  %      liabilities                               direct           broker quote                                         broker quote                                               Option                 Market          7.9  %    17.6  %                                                 model             volatility                                                                      Market       (53.8)  %   100.0  %                                                                  correlation     Derivative                                                                                            instruments       Interest rate         (49)         Proprietary  (2)              n/a          n/a        n/a                                                   model                                               Market           Market proxy       Credit               (397)            proxy or              or direct            -  %    99.3  %                                                direct          broker quote                                          broker quote                                           Discounted          Default rate           4.0  %     4.0  %                                             cash flow                                                                    Recovery         50.0  %    70.0  %                                                                        rate                                                                   Prepayment         20.0  %    20.0  %                                                                        rate                                                                       Credit          0.1  %     1.1  %                                                                      spread        Equity                (14)              Option                 Market         27.4  %    40.8  %                                                 model            volatility      Total              $ (1,248)                                                                            liabilities     (1) Adjusted net asset value is determined using reported         net asset values obtained from the fund manager or         general partner of the limited partnership and may be         adjusted for current market levels where appropriate.     (2) Using valuation techniques which we consider to be         non-observable.      (3) Net of CVA reserves related to financial guarantors         calculated based on reserve rates (as a percentage of         fair value) ranging from 16% to 79%.     (4) Excludes financial guarantors.     n/a Not applicable.  Sensitivity of Level 3 financial assets and liabilities  The following section describes the significant non-observable inputs  identified in the table above, the inter-relationships between those inputs  and the sensitivity of fair value to changes in those inputs. We performed our  Level 3 sensitivity analysis on an individual instrument basis, except for  instruments managed within our structured credit run-off business for which we  performed the sensitivity analysis on a portfolio basis to reflect the manner  in which those financial instruments are managed.  Within our structured credit run-off business our primary sources of exposure,  which are derived either through direct holdings or derivatives, are U.S.  residential mortgage market contracts, collateralized loan obligations (CLOs),  corporate debt and other securities and loans. Structured credit positions  classified as loans and receivables are carried at amortized cost and are  excluded from this sensitivity analysis. The structured credit positions  carried on the consolidated balance sheet at fair value are within trading  securities, FVO securities, FVO structured note liability within deposits and  derivatives. These fair values are generally derived from and are sensitive to  non-observable inputs, including indicative broker quotes and internal models  that utilize default rates, recovery rates, prepayment rates and credit  spreads. Indicative broker quotes are derived from proxy pricing in an  inactive market or from the brokers' internal valuation models. These quotes  are used to value our trading and FVO securities, our FVO structured note  liability and derivative positions. A significant increase in the indicative  broker prices or quotes would result in an increase in the fair value of our  Level 3 securities and note liability but a decrease in the fair value of our  credit derivatives. The fair value of our credit derivatives referencing CLO  assets are also impacted by other key non-observable inputs, including:         --  Prepayment rates - which are a measure of the future expected             repayment of a loan by a borrower in advance of the scheduled             due date. Prepayment rates are driven by consumer behaviour,             economic conditions and other factors. A significant increase             in prepayment rates of the underlying loan collateral of the             referenced CLO assets would result in an increase in the fair             value of the referenced CLO assets and a decrease in our Level             3 credit derivatives.         --  Recovery rates - which are an estimate of the amount that will             be recovered following a default by a borrower. Recovery rates             are expressed as one minus a loss given default rate. Hence, a             significant increase in the recovery rate of the underlying             defaulted loan collateral of the referenced CLO assets would             result in an increase in the fair value of the referenced CLO             assets and a decrease in the fair value of our Level 3 credit             derivatives.         --  Credit spreads - which are the premium over a benchmark             interest rate in the market to reflect a lower credit quality             of a financial instrument and forms part of the discount rate             used in a discounted cash flow model. A significant increase in             the credit spread, which raises the discount rate applied to             future cash flows of the referenced CLO assets would result in             a decrease in the fair value of referenced CLO assets and an             increase in the fair value of our Level 3 credit derivatives.         --  Default rates or probabilities of default - which are the             likelihood of a borrower's inability to repay its obligations             as they become contractually due. A significant increase in the             default rate of the underlying loan collateral of the             referenced CLO assets up to a certain reasonably possible level             would result in an increase in the fair value of the referenced             CLO assets and a decrease in the fair value of our Level 3             credit derivatives. This impact is due to accelerated principal             repayments from the defaulted underlying loan collateral and             the subordination structure of the referenced CLO assets. In             general, higher default rates have a positive correlation with             credit spreads, but a negative correlation with recovery rates             and prepayment rates, with the respective impact on fair value             as described above.  The fair value of the credit derivatives is also sensitive to credit valuation  adjustments for counterparty risk on both the credit derivative counterparty  and on CIBC.  The impact of adjusting the indicative broker quotes, default rates, recovery  rates, prepayment rates and credit spreads noted above to reasonably possible  alternatives would increase the net fair value by up to $48 million or  decrease the net fair value by up to $55 million in respect of financial  instruments carried at fair value in our structured credit run-off business.  Changes in fair value of a Level 3 FVO structured note liability and the Level  3 positions that the note hedges have no impact on this sensitivity analysis  because reasonably possible changes in fair value are expected to be largely  offsetting.  The fair value of our investments in private companies is derived from  applying applicable valuation multiples to financial indicators such as  revenue or earnings. Earnings multiples or revenue multiples represent the  ratios of earning or revenue to enterprise value and are often used as  non-observable inputs in the fair value measurement of our investments in  private companies. We apply professional judgment in our selection of the  multiple from comparable listed companies, which is then further adjusted for  company specific factors. The fair value of private companies is sensitive to  changes in the multiple we apply. A significant increase in earnings multiples  or revenue multiples generally increases the fair value of our investments in  private equities and by adjusting the multiple within a reasonably possible  range, the aggregate fair value for our investment in private companies would  increase by $66 million or decrease by $35 million.  The fair value of our limited partnerships (LPs) is determined based on the  net asset value (NAV) provided by the fund managers, adjusted as appropriate.  The fair value of LPs is sensitive to changes in the NAV and by adjusting the  NAV within a reasonably possible range, the aggregate fair value of our LPs  would increase or decrease by $34 million.  The fair value of our asset-backed securities (ABS) is determined based on  non-observable credit spreads and assumptions concerning the repayment of  receivables underlying these ABS. The fair value of our ABS is sensitive to  changes in the credit spreads and prepayment assumptions. A significant  increase in credit spreads generally results in a decrease in the fair value  of our Level 3 ABS and a significant increase in prepayment rates would result  in a decrease in the fair value of our Level 3 ABS. By adjusting these  non-observable inputs by reasonably alternative amounts, the fair value would  increase or decrease by $10 million.  Our bifurcated embedded derivatives are recorded within deposits and other  liabilities. The determination of the fair value of certain bifurcated  embedded derivatives requires significant assumptions and judgment to be  applied to both the inputs and the valuation techniques employed. These  embedded derivatives are sensitive to long-dated market volatility and  correlation inputs, which we consider to be non-observable. Market volatility  is a measure of the anticipated future variability of a market price and is an  important input for pricing options which are inherent in many of our embedded  derivatives. A higher market volatility generally results in a higher option  price, with all else held constant, due to the higher probability of obtaining  a greater return from the option, and results in an increase in the fair value  of our Level 3 embedded derivative liabilities. Correlation inputs are used to  value those embedded derivatives where the payout is dependent upon more than  one market price. For example, the payout of an equity basket option is based  upon the performance of a basket of stocks, and the inter-relationships  between the price movements of those stocks. A positive correlation implies  that two inputs tend to change the fair value in the same direction, while a  negative correlation implies that two inputs tend to change the fair value in  the opposite direction. Changes in market correlation could result in an  increase or a decrease in the fair value of our Level 3 embedded derivative  liabilities. By adjusting the non-observable inputs by reasonably alternative  amounts, the fair value of our embedded derivative liabilities would increase  or decrease by $7 million.  3. Significant acquisition and dispositions  Aeroplan Agreements  On December 27, 2013, CIBC completed the transactions contemplated by the  tri-party agreements with Aimia Canada Inc. (Aimia) and The Toronto-Dominion  Bank (TD) that were announced on September 16, 2013.  CIBC sold to TD approximately 50% of its existing Aerogold VISA credit card  portfolio, consisting primarily of credit card only customers, while CIBC  retained the Aerogold VISA credit card accounts held by clients with broader  banking relationships at CIBC.  The portfolio divested by CIBC consisted of $3.3 billion of credit card  receivables. Upon closing, CIBC received a cash payment from TD equal to the  credit card receivables outstanding acquired by TD.  CIBC also received upon closing, in aggregate, $200 million in upfront  payments from TD and Aimia.  Under the terms of the agreements:         --  CIBC continues to have rights to market the Aeroplan program             and originate new Aerogold cardholders through its CIBC branded             channels.         --  The parties have agreed to certain provisions to compensate for             the risk of cardholder migration from one party to another.             There is potential for payments of up to $400 million by             TD/Aimia or CIBC for net cardholder migration over a period of             5 years.         --  CIBC expects to receive annual commercial subsidy payments from             TD of approximately $38 million per year in each of the three             years after closing.         --  The CIBC and Aimia agreement includes an option for either             party to terminate the agreement after the third year and             provides for penalty payments due from CIBC to Aimia if holders             of Aeroplan credit cards from CIBC's retained portfolio switch             to other CIBC credit cards above certain thresholds.         --  CIBC is working with TD under an interim servicing agreement to             effect a smooth transition of the cardholders moving to TD.  In conjunction with the completion of the Aeroplan transaction, CIBC has fully  released Aimia and TD from any potential claims in connection with TD becoming  Aeroplan's primary financial credit card partner.  Acquisition of Atlantic Trust Private Wealth Management  On December 31, 2013, CIBC completed the acquisition of Atlantic Trust Private  Wealth Management (Atlantic Trust) from its parent company, Invesco Ltd., for  $224 million (US$210 million) plus working capital and other adjustments.  Atlantic Trust, which has approximately US$24 billion in assets under  management (AUM), provides integrated wealth management solutions for  high-net-worth individuals, families, foundations and endowments in the United  States.  The following summarizes the consideration transferred and the amounts of  assets acquired and liabilities assumed at the acquisition date.  Consideration transferred  The consideration transferred is as follows:      $ millions, as at December 31, 2013                                      Upfront cash payment                                         $  179      Contingent consideration, at fair value (deferred payment)       45      Working capital and other adjustments                            12      Total consideration transferred                              $  236   The deferred payment is payable in April 2014, and is subject to downward  adjustment based on decreases in AUM until the final measurement date. The  deferred payment, which cannot be a negative amount, represents contingent  consideration that is classified as a financial liability.  The fair value of the contingent consideration was estimated at the closing  date using a valuation technique that incorporated observable and  non-observable inputs, including assumptions for market appreciation of  acquired AUM and redemptions during the measurement period.  The fair value of the contingent consideration liability will be remeasured  until the final measurement date, with changes in fair value, if any,  recognized in net income.  Assets acquired and liabilities assumed  The fair values of identifiable assets acquired and liabilities assumed were  as follows. The allocation of the purchase price is subject to adjustment as  CIBC completes the valuation of the assets acquired and liabilities assumed.       $ millions, as at December 31, 2013                  Cash                                     $   44      AFS securities                                4      Land, buildings and equipment                12      Other assets                                 32      Customer relationship intangible asset       89      Other liabilities                           (28)     Net identifiable assets acquired            153      Goodwill arising on acquisition              83      Total consideration transferred          $  236   Intangible asset and goodwill  The customer relationship intangible asset arises from the acquired investment  management contracts. The fair value was estimated using a discounted cash  flow method based on estimated future cash flows arising from fees earned from  the acquired AUM, which took into account expected net redemptions and market  appreciation from existing clients, net of operating expenses and other cash  outflows. The goodwill arising on acquisition of $83 million mainly comprises  the value of expected synergies and the value of new business growth arising  from the acquisition.  Acquisition-related costs  Acquisition-related costs of $5 million were included in Non-interest expenses.  Sale of equity investment  On November 29, 2013, CIBC sold an equity investment that was previously  acquired through a loan restructuring in CIBC's exited European leveraged  finance business. The transaction resulted in an after-tax gain, net of  associated expenses, of $57 million.  4. Securities  Fair value of AFS securities                                                                         2014                                                      2013     $ millions, as                                                   Jan. 31                                                   Oct. 31     at                                           Gross          Gross                                     Gross           Gross                                   Amortized     unrealized     unrealized         Fair     Amortized     unrealized      unrealized         Fair                           cost          gains         losses        value          cost          gains          losses        value        Securities     issued or                                                                                                                              guaranteed by:       Canadian     federal       $      4,331    $        31    $         -    $   4,362    $    6,770    $        34    $         (1)   $   6,803           government       Other     Canadian             3,350             23              -        3,373         3,925             34              (1)       3,958     governments    U.S. Treasury        2,724              6            (29)       2,701         2,856              5             (27)       2,834     and agencies    Other foreign        2,412              9            (16)       2,405         2,193             17             (18)       2,192     governments  Mortgage-backed        2,580             18             (1)       2,597         2,894             12              (2)       2,904         securities     Asset-backed             243              4              -          247           299              5              -           304      securities   Corporate              8,958             62            (17)       9,003         7,927             57             (17)       7,967         public debt     Corporate                  5              3              -            8             5              4              -             9      private debt     Corporate                 17             51              -           68            12             18              -            30      public equity     Corporate                381            262             (1)         642           363            263              -           626      private equity                   $     25,001    $       469    $       (64)   $  25,406    $   27,244    $       449    $        (66)   $  27,627   As at January 31, 2014, the amortized cost of 136 AFS securities that are in a  gross unrealized loss position (October 31, 2013: 148 securities) exceeded  their fair value by $64 million (October 31, 2013: $66 million). The  securities that have been in a gross unrealized loss position for more than a  year include 24 AFS securities (October 31, 2013: 24 securities), with a gross  unrealized loss of $36 million (October 31, 2013: $40 million). We have  determined that these AFS securities were not impaired.  Reclassification of financial instruments  In October 2008, amendments made to IAS 39 "Financial Instruments -  Recognition and Measurement" and IFRS 7 "Financial Instruments - Disclosures"  permitted certain trading financial assets to be reclassified to loans and  receivables and AFS in rare circumstances. As a result of these amendments, we  reclassified certain securities to loans and receivables and AFS with effect  from July 1, 2008. During the three months ended January 31, 2014, we have not  reclassified any securities.  The following tables show the carrying values, fair values, and income or loss  impact of the assets reclassified:                                                    2014                     2013     $ millions, as at                      Jan. 31                  Oct. 31                                  Fair     Carrying        Fair     Carrying                                 value        value       value        value     Trading assets     previously              $  2,599    $   2,611    $  2,746    $   2,781      reclassified to loans     and receivables     Trading assets     previously                     7            7           7            7      reclassified to AFS     Total financial         $  2,606    $   2,618    $  2,753    $   2,788      assets reclassified                                                2014        2013        2013     $ millions, for the three months        Jan. 31     Oct. 31     Jan. 31     ended     Net income (before taxes) recognized                                        on assets reclassified       Interest income                     $     18    $     19    $     16        Impairment write-downs                     -           -           -                                            $     18    $     19    $     16      Change in fair value recognized in     net income (before taxes)                                                   on assets if reclassification had not     been made       On trading assets previously       reclassified to loans and           $     21    $     18    $     24        receivables       On trading assets previously               -           -           -        reclassified to AFS                                           $     21    $     18    $     24   The effective interest rates on trading securities previously reclassified to  AFS ranged from 3% to 13% with expected recoverable cash flows of $1.2 billion  as of their reclassification date. The effective interest rates on trading  assets previously reclassified to loans and receivables ranged from 4% to 10%  with expected recoverable cash flows of $7.9 billion as of their  reclassification date.  5. Loans  Allowance for credit losses                                                            2014          2013          2013     $ millions,     as at or for                                      Jan. 31       Oct. 31       Jan. 31     the three     months ended                     Individual     Collective          Total         Total         Total                       allowance      allowance       allowance     allowance     allowance     Balance at     beginning of  $       320    $     1,438      $    1,758    $    1,823    $    1,916      period       Provision       for credit           31            187             218           271           265        losses       Write-offs          (13)          (264)           (277)         (382)         (336)       Recoveries            3             47              50            45            44        Interest       income on            (6)            (3)             (9)           (9)           (9)       impaired       loans       Other                12            (67) (1)        (55)           10             1      Balance at    $       347    $     1,338      $    1,685    $    1,758    $    1,881      end of period     Comprises:                                                                                  Loans       $       347    $     1,273      $    1,620    $    1,698    $    1,820        Undrawn       credit                -             65              65            60            61        facilities       (2)     (1) Includes a release of $81 million of collective allowance for         credit losses resulting from the sale of approximately 50% of our         Aerogold VISA portfolio to TD which was recognized as part of the         net gain on sale.     (2) Included in Other liabilities on the interim consolidated balance         sheet.  Impaired loans                                                                      2014         2013     $ millions,                                                 Jan. 31      Oct. 31     as at                       Gross     Individual     Collective            Net          Net                   impaired      allowance      allowance (1)   impaired     impaired     Residential $     532    $         1    $        94      $     437    $     394      mortgages     Personal          214              9            123             82           86      Business     and               841            337             11            493          520      government     Total     impaired    $   1,587    $       347    $       228      $   1,012    $   1,000      loans (2)     (1) Includes collective allowance relating to personal, scored small         business and mortgage impaired loans that are greater than 90 days         delinquent. In addition, we have collective allowance of $1,110         million (October 31, 2013: $1,211 million) on balances and         commitments which are not impaired.     (2) Average balance of gross impaired loans for the quarter ended         January 31, 2014 totalled $1,565 million (for the quarter ended         October 31, 2013: $1,655 million).  Contractually past due loans but not impaired  This is comprised of loans where repayment of principal or payment of interest  is contractually in arrears. The following table provides an aging analysis of  the contractually past due loans.                                                              2014        2013     $ millions,                                         Jan. 31     Oct. 31     as at                   Less than       31 to        Over                                             31 days     90 days     90 days       Total       Total     Residential $    1,616    $    675    $    244    $  2,535    $  2,509      mortgages     Personal           468         108          29         605         567      Credit card        505         160          92         757         955      Business     and                171         107          29         307         258      government                 $    2,760    $  1,050    $    394    $  4,204    $  4,289   6. Structured entities and derecognition of financial assets  Structured entities  Structured entities are entities that have been designed so that voting or  similar rights are not the dominant factor in deciding who controls the  entity, such as when any voting rights relate to administrative tasks only and  the relevant activities are directed by means of contractual arrangements.  Structured entities include special purpose entities, which are entities that  are created to accomplish a narrow and well-defined objective.  We consolidate a structured entity when the substance of the relationship  indicates that we control the structured entity.  Details of our consolidated and non-consolidated structured entities are  provided on pages 118 and 119 of the 2013 Annual Report, except for CIBC  Capital Trust, which is no longer consolidated effective November 1, 2013.   See Note 1 to the interim consolidated financial statements for additional  details.  We have two covered bond programs, structured and legislative. Covered bonds  are full recourse on-balance sheet obligations that are also fully  collateralized by assets over which bondholders enjoy a priority claim in the  event of CIBC's insolvency. Under the structured program we transfer a pool of  insured mortgages and NHA MBS to the CIBC Covered Bond Guarantor Limited  Partnership that warehouses these mortgages and serves as a guarantor to  bondholders for payment of interest and principal. Under the legislative  program, we transfer a pool of conventional uninsured mortgages to the CIBC  Covered Bond (Legislative) Guarantor Limited Partnership that warehouses these  mortgages and serves as a guarantor to bondholders for payment of interest and  principal. For both covered bond programs, the assets are owned by the  guarantor and not CIBC. As at January 31, 2014, our structured program has  issued covered bond liabilities of $11.5 billion with a fair value of $11.6  billion (October 31, 2013: $11.7 billion with a fair value of $11.8 billion)  and our legislative program has issued covered bond liabilities of $2.0  billion with a fair value of $2.0 billion (October 31, 2013: $2.0 billion with  a fair value of $2.0 billion). The covered bond liabilities are supported by a  contractually-determined portion of the assets transferred to the guarantor  and certain contractual arrangements designed to protect the bondholders from  adverse events, including foreign currency fluctuations.  With respect to Cards II Trust and Broadway Trust entities as at January 31,  2014, $4.7 billion of credit card receivable assets with a fair value of $4.8  billion (October 31, 2013:  $4.6 billion with a fair value of $4.7 billion)  supported associated funding liabilities of $4.7 billion with a fair value of  $4.8 billion (October 31, 2013: $4.6 billion with a fair value of $4.7  billion).  As at January 31, 2014, there were $2.0 billion (October 31, 2013: $2.1  billion) of total assets in our non-consolidated multi-seller conduits. Our  on-balance sheet amounts and maximum exposure to loss related to structured  entities that are not consolidated are set out in the table below. The maximum  exposure comprises the carrying value of unhedged investments, the notional  amounts for liquidity and credit facilities, and the notional amounts less  accumulated fair value losses for unhedged written credit derivatives on  structured entity reference assets. The impact of CVA is not considered in the  table below.                                                CIBC                                                     Commercial                                          structured                            CIBC      collateralized            Third-party         Pass-through           mortgage                        sponsored               debt      structured vehicles         investment     securitization                                          obligation     $ millions, as     at January 31,      conduits           vehicles     Run-off     Continuing       structures              trust     2014     On-balance     sheet assets                                                                                                       at carrying     value(1)       Trading        $       15    $             7    $    854    $       337    $       3,087    $            12        securities       AFS                     -                  2           -            248                -                  -        securities       FVO                     -                  -         145              -                -                  -        securities       Loans                  84                120       2,451             34                -                  -        Derivatives             -                  -           -              -               57                  -        (2)                      $       99    $           129    $  3,450    $       619    $       3,144    $            12      October 31,      $       90    $           135    $  3,456    $       540    $       3,135    $             5      2013     On-balance     sheet     liabilities at                                                                                                     carrying value     (1)       Derivatives    $        -    $            13    $    335    $         -    $         192    $             -        (2)     October 31,      $        -    $            13    $    355    $         -    $         209    $             -      2013     Maximum     exposure to                                                                                                        loss, net of     hedges       Investment     $       99    $           129    $  3,450    $       619    $       3,087    $            12        and loans       Notional of       written       derivatives,            -                118       2,557              -                -                  -        less fair       value losses       Liquidity       and credit          2,049                 46         202             23                -                  -        facilities       Less: hedges       of       investments,       loans and               -               (192)     (5,330)             -           (3,087)                 -        written       derivatives       exposure                      $    2,148    $           101    $    879    $       642    $           -    $            12      October 31,      $    2,241    $            97    $    970    $       540    $           -    $             5      2013     (1) Excludes structured entities established by Canada Mortgage and         Housing Corporation (CMHC), Federal National Mortgage Association         (Fannie Mae), Federal Home Loan Mortgage Corporation (Freddie Mac),         Government National Mortgage Association (Ginnie Mae), Federal Home         Loan Banks, Federal Farm Credit Bank, and Student Loan Marketing         Association (Sallie Mae).     (2) Comprises written credit default swaps and total return swaps under         which we assume exposures and excludes all other derivatives.  Derecognition of financial assets  Details of the financial assets that did not qualify for derecognition are  provided on page 119 of the 2013 Annual Report.   The following table provides the carrying amount and fair value of transferred  financial assets that did not qualify for derecognition and the associated  financial liabilities:                                                2014                      2013     $ millions, as at                     Jan. 31                   Oct. 31                             Carrying         Fair     Carrying         Fair                               amount        value       amount        value     Residential     mortgages             $  26,459    $  26,529    $  30,508    $  30,538      securitizations (1)     Securities held by     counterparties as     collateral under            690          690        1,159        1,159      repurchase     agreements (2)(3)     Securities lent for     securities               14,123       14,123       11,793       11,793      collateral (2)(3)                           $  41,272    $  41,342    $  43,460    $  43,490      Carrying amount of     associated            $  42,945    $  43,245    $  44,586    $  44,538      liabilities (4)     (1) Includes $3.7 billion (October 31, 2013: $7.2 billion) of mortgages         underlying mortgage-backed securities held by CMHC counterparties         as collateral under repurchase agreements. Government of Canada         bonds have also been pledged as collateral to CMHC counterparties.         Certain cash in transit balances related to the securitization         process amounting to $802 million (October 31, 2013: $1,126         million) have been applied to reduce these balances.     (2) Does not include over-collateralization of assets pledged.     (3) Excludes third-party pledged assets.     (4) Includes the obligation to return off-balance sheet securities         collateral on securities lent.   Additionally, we securitized $29.7 billion with a fair value of $29.7 billion  (October 31, 2013: $25.2 billion with a fair value of $25.2 billion) of  mortgages that were not transferred to external parties.    7. Deposits((1)(2))                                                                                 2014            2013 (3)     $ millions,                                                              Jan. 31         Oct. 31         as at                               Payable        Payable         Payable                                                                        on                           on a                                demand (4)      after (5)       fixed (6)      Total           Total                                                    notice            date     Personal               $   9,287      $  75,434      $   42,623      $  127,344      $  125,034          Business and              31,682         21,787          81,425         134,894  (7)    134,736          government     Bank                       1,793             15           3,909           5,717           5,592          Secured     borrowings                     -              -          46,381          46,381          49,802          (8)                            $  42,762      $  97,236      $  174,338      $  314,336      $  315,164          Comprised of:                                                                                              Held at amortized                                                  $  311,967      $  313,048            cost       Designated at fair                                                      2,369           2,116            value                                                                          $  314,336      $  315,164          Total     deposits                                                                                                 include:       Non-interest-bearing                                                                                     deposits         In         domestic                                                         $   36,149      $   35,670              offices         In         foreign                                                               2,667           2,421              offices       Interest-bearing                                                                                         deposits         In         domestic                                                            233,253         237,400              offices         In         foreign                                                              40,708          39,673              offices       U.S. federal funds                                                      1,559               -            purchased                                                                          $  314,336      $  315,164          (1) Includes deposits of $72.1 billion (October 31, 2013: $68.2         billion) denominated in U.S. dollars and deposits of $8.1 billion         (October 31, 2013: $9.0 billion) denominated in other foreign         currencies.     (2) Net of purchased notes of $1,425 million (October 31, 2013: $1,131         million).     (3) Certain information has been restated to reflect the changes in         accounting policies stated in Note 1 and to conform to the         presentation adopted in the current period.     (4) Includes all deposits for which we do not have the right to require         notice of withdrawal. These deposits are generally chequing         accounts.     (5) Includes all deposits for which we can legally require notice of         withdrawal. These deposits are generally savings accounts.     (6) Includes all deposits that mature on a specified date. These         deposits are generally term deposits, guaranteed investment         certificates, and similar instruments.     (7) Includes $1.6 billion (October 31, 2013: $1.6 billion) of Notes         purchased by CIBC Capital Trust.     (8) Comprises liabilities issued by or as a result of activities         associated with the securitization of residential mortgages,         Covered Bond Programme, and consolidated securitization vehicles.  8. Share capital  Common shares                                            2014                            2013                            2013     $ millions,     except number     of shares,                        Jan. 31                         Oct. 31                         Jan. 31     for the three     months ended                            Number                          Number                          Number                                     of shares      Amount           of shares      Amount           of shares      Amount     Balance at     beginning of     399,249,736    $  7,753         399,992,255    $  7,757         404,484,938    $  7,769      period     Issuance                                                                                                      pursuant to:       Stock       option             301,839          24             181,380          14             535,386          38        plans       Shareholder       investment               -           -                   -           -               7,672           1        plan (1)       Employee       share                    -           -                   -           -             253,964          20        purchase       plan (2)                      399,551,575    $  7,777         400,173,635    $  7,771         405,281,960    $  7,828      Purchase of     common shares     (1,415,100)        (27)           (923,900)        (18)         (3,337,300)        (64)     for     cancellation     Treasury                (192)          -  (3)              1           -  (3)         15,142           1      shares     Balance at       398,136,283    $  7,750         399,249,736    $  7,753         401,959,802    $  7,765      end of period         Commencing with the January 28, 2013 dividend payment, shares         distributed under the Shareholder Investment Plan were acquired in     (1) the open market. Previously these shares were issued from treasury.         Commencing June 14, 2013, employee contributions to our Canadian         employee share purchase plan were acquired in the open market.     (2) Previously these shares were issued from treasury.     (3) Due to rounding.  Normal course issuer bid  On September 5, 2013, we announced that the Toronto Stock Exchange had  accepted the notice of CIBC's intention to commence a normal course issuer  bid. Purchases under this bid commenced on September 18, 2013 and will  terminate upon the earlier of (i) CIBC purchasing up to a maximum of 8 million  common shares, (ii) CIBC providing a notice of termination, or (iii) September  8, 2014.  During the quarter ended January 31, 2014, we purchased and cancelled an  additional 1,415,100 common shares under this bid at an average price of  $89.87 for a total amount of $127 million.  Regulatory capital and ratios  Our capital ratios and assets-to-capital multiple (ACM) are presented in the  following table:.                                                     2014            2013       $ millions, as at                         Jan. 31         Oct. 31       Transitional basis                                                      Common Equity Tier 1 (CET1) capital   $   16,705      $   16,698        Tier 1 capital                            17,851          17,830        Total capital                             21,295          21,601        Risk-weighted assets (RWA)               153,245         151,338        CET1 ratio                                  10.9  %         11.0  %     Tier 1 capital ratio                        11.6  %         11.8  %     Total capital ratio                         13.9  %         14.3  %     ACM                                         18.4  x         18.0  x     All-in basis                                                            CET1 capital                          $   13,347      $   12,793        Tier 1 capital                            16,189          15,888        Total capital                             19,890          19,961        RWA                                      140,505         136,747        CET1 ratio                                   9.5  %          9.4  %     Tier 1 capital ratio                        11.5  %         11.6  %     Total capital ratio                         14.2  %         14.6  %  During the quarter ended January 31, 2014, we have complied with all of our  regulatory capital requirements.  9.   Post-employment benefit expense   The following table provides details on the post-employment benefit expenses  recognized in the interim consolidated statement of income:                                           2014        2013 (1)      2013 (1)     $ millions, for the three        Jan. 31     Oct. 31       Jan. 31         months ended     Defined benefit plans                                                      Pension plans                  $     46    $     46      $     52          Other post-employment plans          10          17            10          Total net defined benefit      $     56    $     63      $     62          expense     Defined contribution plans                                                 CIBC's pension plans           $      3    $      2      $      3          Government pension plans (2)         22          21            21          Total defined contribution     $     25    $     23      $     24          expense         Certain information has been restated to reflect the changes in         accounting policies stated in Note 1 and to conform to the     (1) presentation adopted in the current period.         Includes Canada Pension Plan, Quebec Pension Plan, and U.S. Federal     (2) Insurance Contributions Act.   10. Income taxes  Deferred income tax assets and liabilities  As at January 31, 2014, we had available gross deferred income tax assets of  $548 million (October 31, 2013: $526((1)) million) and gross deferred income  tax liabilities of $31 million (October 31, 2013: $33((1)) million).  Enron  In prior years, the Canada Revenue Agency issued reassessments disallowing the  deduction of approximately $3 billion of the 2005 Enron settlement payments  and related legal expenses. The matter is currently in litigation. The Tax  Court of Canada trial on the deductibility of the Enron payments is scheduled  to commence in October 2015.  Should we successfully defend our tax filing position in its entirety, we  would recognize an additional accounting tax benefit of $214 million and  taxable refund interest of approximately $199 million. Should we fail to  defend our position in its entirety, we would incur an additional tax expense  of approximately $866 million and non-deductible interest of approximately  $124 million.          Restated to reflect the changes in accounting policies stated in     (1)  Note 1 and to conform to the presentation adopted in the current          period.  11. Earnings per share                                      2014          2013 (1)        2013 (1)     $ millions, except     number of shares and          Jan. 31       Oct. 31         Jan. 31         per share amounts, for     the three months ended     Basic earnings per                                                          share     Net income attributable   $    1,174    $      832      $      783          to equity shareholders     Less: Preferred share             25            24              25          dividends and premiums     Net income attributable   $    1,149    $      808      $      758          to common shareholders     Weighted-average common     shares outstanding           398,539       399,819         403,332          (thousands)     Basic earnings per        $     2.88    $     2.02      $     1.88          share     Diluted earnings per                                                        share     Net income attributable     to diluted common         $    1,149    $      808      $      758          shareholders     Weighted-average common     shares outstanding           398,539       399,819         403,332          (thousands)     Add: Stock options     potentially exercisable          678           436             438          (2) (thousands)     Weighted-average     diluted common shares        399,217       400,255         403,770          outstanding (thousands)     Diluted earnings per      $     2.88    $     2.02      $     1.88          share     (1) Certain information has been restated to reflect the changes in         accounting policies stated in Note 1 and to conform to the         presentation adopted in the current period.     (2) Excludes average options outstanding of 839,472 (October 31, 2013:         342,343; January 31, 2013: 346,801) with a weighted-average         exercise price of $92.68 (October 31, 2013: $95.22; January 31,         2013: $95.62) for the quarter ended January 31, 2014, as the         options' exercise prices were greater than the average market price         of CIBC's common shares.  12. Contingent liabilities and provision  In the ordinary course of its business, CIBC is a party to a number of legal  proceedings, including regulatory investigations, in which claims for  substantial monetary damages are asserted against CIBC and its subsidiaries.  Legal provisions are established if, in the opinion of management, it is both  probable that an outflow of economic benefits will be required to resolve the  matter, and a reliable estimate can be made of the amount of the obligation.  If the reliable estimate of probable loss involves a range of potential  outcomes within which a specific amount within the range appears to be a  better estimate, that amount is accrued. If no specific amount within the  range of potential outcomes appears to be a better estimate than any other  amount, the mid-point in the range is accrued. In some instances, however, it  is not possible either to determine whether an obligation is probable or to  reliably estimate the amount of loss, in which case no accrual can be made.  While there is inherent difficulty in predicting the outcome of legal  proceedings, based on current knowledge and in consultation with legal  counsel, we do not expect the outcome of these matters, individually or in  aggregate, to have a material adverse effect on our consolidated financial  statements. However, the outcome of these matters, individually or in  aggregate, may be material to our operating results for a particular reporting  period. We regularly assess the adequacy of CIBC's litigation accruals and  make the necessary adjustments to incorporate new information as it becomes  available.  The provisions disclosed in Note 23 to the 2013 annual consolidated financial  statements included all of CIBC's accruals for legal matters as at that date,  including amounts related to the significant legal proceedings described in  that note and to other legal matters.  CIBC considers losses to be reasonably possible when they are neither probable  nor remote. It is reasonably possible that CIBC may incur losses in addition  to the amounts recorded when the loss accrued is the mid-point of a range of  reasonably possible losses, or the potential loss pertains to a matter in  which an unfavourable outcome is reasonably possible but not probable.  CIBC believes the estimate of the aggregate range of reasonably possible  losses, in excess of the amounts accrued, for its significant legal  proceedings, where it is possible to make such an estimate, is from nil to  approximately $240 million as at January 31, 2014. This estimated aggregate  range of reasonably possible losses is based upon currently available  information for those significant proceedings in which CIBC is involved,  taking into account CIBC's best estimate of such losses for those cases for  which an estimate can be made. CIBC's estimate involves significant judgment,  given the varying stages of the proceedings and the existence of multiple  defendants in many of such proceedings whose share of the liability has yet to  be determined. The range does not include potential punitive damages and  interest. The matters underlying the estimated range as at January 31, 2014  consist of the significant legal matters disclosed in Note 23 to the 2013  annual consolidated financial statements as updated below. The matters  underlying the estimated range will change from time to time, and actual  losses may vary significantly from the current estimate.  For certain matters,  CIBC does not believe that an estimate can currently be made as many of them  are in preliminary stages and certain matters have no specific amount claimed.  Consequently, these matters are not included in the range.  The following developments related to our significant legal matters occurred  since the issuance of our 2013 annual consolidated financial statements:         --  Marcotte Visa Class Action: The appeal was heard by the Supreme             Court of Canada in February 2014. The court reserved its             decision.         --  Green Secondary Market Class Action: In February 2014 the             Ontario Court of Appeal released its decision overturning the             lower court and allowing the matter to proceed as a certified             class action.         --  Brown Overtime Class Action: The plaintiffs' appeal to the             Ontario Court of Appeal is scheduled for May 2014.  Other than the items described above, there are no significant developments in  the matters identified in Note 23 to our 2013 annual consolidated financial  statements, and no significant new matters have arisen since the issuance of  our 2013 annual consolidated financial statements.  13. Segmented information  CIBC has three strategic business units (SBUs): Retail and Business Banking,  Wealth Management and Wholesale Banking. These SBUs are supported by Corporate  and Other.  Retail and Business Banking provides clients across Canada with financial  advice, banking, investment, and authorized insurance products and services  through a strong team of advisors and more than 1,100 branches, as well as our  ABMs, mobile sales force, telephone banking, online and mobile banking.  Wealth Management provides relationship-based advisory services and an  extensive suite of leading investment solutions to meet the needs of  institutional, retail and high net worth clients. Our asset management, retail  brokerage and private wealth management businesses combine to create an  integrated offer, delivered through more than 1,500 advisors across Canada and  the U.S.  Wholesale Banking provides a wide range of credit, capital markets, investment  banking and research products and services to government, institutional,  corporate and retail clients in Canada and in key markets around the world.  Corporate and Other includes the six functional groups - Technology and  Operations, Corporate Development, Finance, Treasury, Administration, and Risk  Management - that support CIBC's SBUs. The expenses of these functional groups  are generally allocated to the business lines within the SBUs. Corporate and  Other also includes our International banking operations comprising mainly  CIBC FirstCaribbean, strategic investments in the CIBC Mellon joint ventures  and The Bank of N.T. Butterfield & Son Limited, and other income statement and  balance sheet items not directly attributable to the business lines.  Segment reporting changes  The following segment reporting changes were made in the first quarter of  2014. Prior period amounts were restated accordingly.  Sale of Aeroplan portfolio  On December 27, 2013, we sold approximately 50 percent of our Aerogold VISA  portfolio, consisting primarily of credit card only customers, to TD.  Accordingly, the revenue related to the sold credit card portfolio was moved  from Personal Banking to the Other line of business within Retail and Business  Banking.  Allocation of Treasury activities  Treasury-related transfer pricing will continue to be charged or credited to  each line of business within our SBUs. We changed our approach to allocating  the residual financial impact of Treasury activities. Certain fees will be  charged directly to the lines of business, and the residual net revenue will  now be retained in Corporate and Other.  Business unit allocations  Treasury activities impact the reported financial results of the SBUs. Each  line of business within our SBUs is charged or credited with a market-based  cost of funds on assets and liabilities, respectively, which impacts the  revenue performance of the SBUs. Once the interest and liquidity risk inherent  in our client-driven assets and liabilities is transfer priced into Treasury,  it is managed within CIBC's risk framework and limits. The residual financial  results associated with Treasury activities are reported in Corporate and  Other. Capital is attributed to the SBUs in a manner that is intended to  consistently measure and align economic costs with the underlying benefits and  risks associated with SBU activities. Earnings on unattributed capital remain  in Corporate and Other. We review our transfer pricing methodologies on an  ongoing basis to ensure they reflect changing market environments and industry  practices.  To measure and report the results of operations of the lines of business  within our Retail and Business Banking and Wealth Management SBUs, we use a  Manufacturer/Customer Segment/Distributor Management Model. The model uses  certain estimates and allocation methodologies in the preparation of segmented  financial information. Under this model, internal payments for sales and  trailer commissions and distribution service fees are made among the lines of  business and SBUs. Periodically, the sales and trailer commission rates paid  to customer segments for certain products are revised and applied  prospectively.  Non-interest expenses are attributed to the SBUs to which they relate based on  appropriate criteria. Revenue, expenses, and other balance sheet resources  related to certain activities are fully allocated to the lines of business  within the SBUs.  The individual allowances and related provisions are reported in the  respective SBUs. The collective allowances and related provisions are reported  in Corporate and Other except for: (i) residential mortgages greater than 90  days delinquent; (ii) personal loans and scored small business loans greater  than 30 days delinquent; and (iii) net write-offs for the cards portfolio,  which are all reported in the respective SBUs. All allowances and related  provisions for CIBC FirstCaribbean are reported in Corporate and Other.                                   Retail                                                                                               and                                 Business         Wealth     Wholesale     Corporate          CIBC     $ millions, for the          Banking     Management       Banking     and Other         Total     three months ended     2014 Net interest        $    1,437    $        50    $      389    $       29    $    1,905           income(1)     Jan. Non-interest               725            546           290           168         1,729      31   income           Intersegment                93            (94)            1             -             -           revenue(2)          Total revenue(1)         2,255            502           680           197         3,634           Provision for          (reversal of)              210             (1)            2             7           218           credit losses           Amortization and            24              4             1            66            95           impairment(3)          Other          non-interest             1,031            347           328           178         1,884           expenses          Income (loss)          before income              990            152           349           (54)        1,437           taxes           Income taxes(1)            244             38            85          (107)          260           Net income          $      746    $       114    $      264    $       53    $    1,177           Net income                                                                                        attributable to:            Non-controlling   $        -    $         1    $        -    $        2    $        3             interests            Equity                   746            113           264            51         1,174             shareholders          Average assets(4)   $  227,837    $     4,152    $  121,951    $   56,079    $  410,019      2013 Net interest        $    1,445    $        47    $      349    $       52    $    1,893      (5)  income (1)     Oct. Non-interest               553            514           169            51         1,287      31   income           Intersegment                89            (91)            2             -             -           revenue (2)          Total revenue (1)        2,087            470           520           103         3,180           Provision for          (reversal of)              215              1            (1)           56           271           credit losses           Amortization and            23              3             1            68            95           impairment (3)          Other          non-interest             1,032            332           270           201         1,835           expenses          Income (loss)          before income              817            134           250          (222)          979           taxes           Income taxes (1)           204             31            41          (122)          154           Net income (loss)   $      613    $       103    $      209    $     (100)   $      825           Net income (loss)                                                                                 attributable to:            Non-controlling   $        -    $         -    $        -    $       (7)   $       (7)            interests            Equity                   613            103           209           (93)          832             shareholders          Average assets      $  228,128    $     3,927    $  119,424    $   53,760    $  405,239           (4)     2013 Net interest        $    1,410    $        47    $      335    $       63    $    1,855      (5)  income (1)     Jan. Non-interest               521            465           221           103         1,310      31   income           Intersegment                79            (80)            1             -             -           revenue (2)          Total revenue (1)        2,010            432           557           166         3,165           Provision for              241              -            10            14           265           credit losses           Amortization and            22              3             1            56            82           impairment (3)          Other          non-interest               975            313           444           174         1,906           expenses          Income (loss)          before income              772            116           102           (78)          912           taxes           Income taxes (1)           192             27            16          (108)          127           Net income          $      580    $        89    $       86    $       30    $      785           Net income                                                                                        attributable to:            Non-controlling   $        -    $         -    $        -    $        2    $        2             interests            Equity                   580             89            86            28           783             shareholders          Average assets      $  226,476    $     4,013    $  122,911    $   48,659    $  402,059           (4)     (1) Wholesale Banking net interest income and income tax expense         includes a taxable equivalent basis (TEB) adjustment of $110         million for the three months ended January 31, 2014 ($78 million         and $92 million for the three months ended October 31, 2013 and         January 31, 2013, respectively) with an equivalent offset in         Corporate and Other.     (2) Intersegment revenue represents internal sales commissions and         revenue allocations under the Manufacturer / Customer Segment /         Distributor Management Model.     (3) Comprises amortization and impairment of buildings, furniture,         equipment, leasehold improvements, and software and other         intangible assets.     (4) Assets are disclosed on an average basis as this measure is most         relevant to a financial institution and is the measure reviewed by         management.     (5) Certain information has been restated to reflect the changes in         accounting policies stated in Note 1 and to conform to the         presentation adopted in the current period.  14. Financial instruments - disclosures   We have provided quantitative disclosures related to credit risk consistent  with Basel guidelines in the "Credit risk" section of the MD&A in our 2013  Annual Report and interim report to shareholders, which require entities to  disclose their exposures based on how they manage their business and risks.  The table below sets out the categories of the on-balance sheet exposure to  credit risk under different Basel approaches, displayed in both accounting  categories and Basel portfolios.         Accounting                                                                                                    Basel portfolios             categories                                                                                                                                                                                                                                    AIRB and standardized approaches                                                                                                                                                     Real                                                                       Not            Total                                                                       estate                                                                      secured     Qualifying                                         Total      subject     consolidated                                                                   personal      revolving       Other               Asset       subject           to          balance                                                                                                                                           to       credit   $ millions, as at     Corporate     Sovereign         Bank       lending         retail      retail      securitization        credit         risk            sheet                                                                                                                                         risk           Cash and   2014  deposits      $       38    $    1,975    $   3,112    $        -    $         -    $      -    $              -    $    5,125    $   1,148    $       6,273         with banks  Jan.  Securities         3,832        12,751        7,098             -              -           -               2,098        25,779       45,238           71,017         31           Cash           collateral         on                   884             -        2,166             -              -           -                   -         3,050            -            3,050               securities           borrowed           Securities           purchased         under              6,926         4,763       12,456             -              -           -                   -        24,145            -           24,145               resale           agreements         Loans             43,192         3,854          964       168,082         19,009       9,043               3,232       247,376          611          247,987         Allowance        for credit             -             -            -             -              -           -                   -             -       (1,620)          (1,620)        losses        Derivative         1,915         3,183       19,391             -              -           -                   -        24,489            -           24,489               instruments           Customers'         liability          8,804         1,546          102             -              -           -                   -        10,452            -           10,452               under           acceptances         Other                133         1,766        2,405             6              -           4                   4         4,318       10,844           15,162               assets           Total         credit        $   65,724    $   29,838    $  47,694    $  168,088    $    19,009    $  9,047    $          5,334    $  344,734    $  56,251    $     400,955               exposure     2013                                                                                                                                                                    (1)     Oct.  Total   31    credit        $   65,215    $   29,707    $  44,909    $  167,488    $    22,749    $  8,457    $          5,148    $  343,673    $  54,333    $     398,006               exposure                                                                                      (1) Certain         information         has been         restated to         reflect the         changes in         accounting         policies         stated in         Note 1 and         to conform         to the         presentation         adopted in         the current         period.              SOURCE  CIBC  Investor Relations: George Weiss 416-980-5093 Jason  Patchett416-980-8691 Alice Dunning416-861-8870   Media Inquiries: Kevin Dove416-980-8835 Erica Belling416-594-7251  To view this news release in HTML formatting, please use the following URL:  http://www.newswire.ca/en/releases/archive/February2014/27/c5665.html  CO: CIBC - Investor Relations ST: Ontario NI: FIN ERN