Public Accountability Statement by jasonpeters



                                  - Public Accountability Statement -

Since we first opened our doors for business in Canada in November 1997, MBNA Canada Bank,
                            (“MBNA”), an affiliate of Bank of America, has become the largest
                            MasterCard issuer in Canada and the country’s fourth largest credit
                            card issuing bank.

                               What sets us apart from other companies is our commitment to finding
                               the right customers and keeping them. We provide our customers with
                               value through our products and services, while ensuring both the safety
                               and soundness of our institutions and prudence in our lending. At
                               MBNA, both objectives have always been at the heart of our business

                              MBNA is the leading provider of co-branded and affinity credit card
                             programs in Canada. MBNA credit cards and services are endorsed by
                             nearly 900 Canadian membership organizations, credit union and
                             financial institutions, sports associations, and educational institutions.
                             As part of the Bank of America family of companies, we are proud to be
                             the recognized leader of affinity marketing in the credit card industry,
with the endorsement of more than 5,000 organizations and financial institutions worldwide.

MBNA provides financial products and services throughout Canada from its headquarters in Ottawa
and operations in Regina and Winnipeg. We continue to demonstrate passion for exceeding customer
expectations and serving our communities every day.

Bank of America Corporation

“Bank of America helps build strong communities by creating opportunities for people—including
customers, shareholders and associates—to fulfill their dreams.” - Kenneth D. Lewis, Chairman, CEO
and President

Bank of America is one of the world's largest financial institutions, serving individual consumers, small
and middle market businesses and large corporations with a full range
of banking, investing, asset management and other financial and risk-
management products and services. The company provides
unmatched convenience in the United States, serving more than 59
million consumer and small business relationships with more than
6,100 retail banking offices, nearly 18,700 ATMs and award-winning
online banking with nearly 29 million active users. Following the
acquisition of Merrill Lynch on January 1, 2009, Bank of America is
among the world's leading wealth management companies and is a
global leader in corporate and investment banking and trading across a
broad range of asset classes serving corporations, governments,
institutions and individuals around the world. Bank of America offers
industry-leading support to more than 4 million small business owners
through a suite of innovative, easy-to-use online products and
services. The company serves clients in more than 150 countries.
Bank of America Corporation stock is a component of the Dow Jones
Industrial Average and is listed on the New York Stock Exchange.
Getting the
right customers
and keeping them

                                   - Public Accountability Statement -

Getting the right customers, and keeping them

Providing accessible banking services
What sets us apart from other companies is our commitment to finding the right customers and
keeping them. As we continue to grow our credit
card operations, our customers remain our top

To get the right customers, we appeal to people
with a strong common interest, through a concept
known as Affinity Marketing. To keep the right
customers, we maintain a strong commitment to
delivering unparalleled customer service.

Our      highly    skilled      customer       service
representatives and our convenient and secure
online banking are available 24 hours a day, 7
days a week, including holidays. This means
better access for persons with disabilities. Wherever you are throughout Canada or around the world,
you have the flexibility to contact us for your financial needs when it’s most convenient for you.

We provide Canadians with one of the most important financial tools in society. The credit card is
safe, secure, broadly accepted and provides the most convenient access to credit to the broadest
number of consumers.

Serving customers with special needs
The fact that our customer service centre and online banking facility are always available makes
banking with MBNA easier for visually impaired customers, the elderly and persons with restricted
mobility. Teletype technology is available for hearing impaired customers.

Strong communities,
strong markets

                                   - Public Accountability Statement -

Strong communities, strong markets

At MBNA, we believe that a healthy community is important to all of us. As part of our core company
value to “do the right thing”, we are committed to creating positive change in the places we live and
work through our philanthropic efforts and employee volunteerism. While we recognize that running a
successful business brings benefits to all of our constituents, including customers, associates,
neighborhoods, suppliers, and shareholders, we believe it is our responsibility to do more. One of the
most important ways we apply knowledge, insight and innovation to grow the company is through the
work we do to strengthen our communities.

MBNA Canada Bank’s community relations and donations programs continually reaffirm our
longstanding commitment to assisting others. By supporting and encouraging positive community
involvement and initiatives, MBNA seeks to improve the quality of life for people in communities
where MBNA employees live and work.

Our Partners

We form partnerships with key community stakeholders by working closely with non-profit
organizations to identify critical issues in local communities and invest in these organizations to better
equip them to address these needs. We have developed partnerships with several organizations in
Canada including, but not limited to, the following:

Boys and Girls Club of Ottawa
Canadian Cancer Society
                                                           “We believe, very simply, that it is the
Children’s Aid Society of Ottawa
                                                           actions of individuals working together
Dr. Sandra Schmirler Scholarship through the
                                                           that build strong communities ... and that
University of Regina
                                                           business has an obligation to support
                                                           those actions in the communities it
Meals on Wheels
Ottawa, Regina and Winnipeg Food banks
Ronald McDonald House of Eastern Ontario                   Kenneth D. Lewis, Chairman, CEO
Saskatchewan Science Centre                                and President, Bank of America
United Way Centraide, United Way Regina and
United Way Winnipeg

Associate Commitment

Volunteerism represents a key component of the bank’s commitment to corporate social responsibility
which supports the long-term health and success of the community. At MBNA, we are proud to
support our associates who give their, time, energy and financial resources to create better
neighborhoods in the many communities we serve. We believe volunteering helps foster the level
and diversity of participation needed to confront some of the most pressing challenges of our

MBNA’s involvement in the community is as varied and diverse as the organizations with which we
partner. Whether planting a tree, working in a soup kitchen, planning a food drive, mentoring an
underprivileged child, or raising money for an important cause our associates demonstrate their

                                  Public Accountability Statement -

commitment to positive social change. In 2008, more than 1,100 associates participated in the
Volunteer Hours program, which provides each associate with six hours of scheduled work time per
month to volunteer, investing more than 34,000 hours in support of hundreds of non-profit and
charitable organizations of their choice.

Several of our associates are also members of local non-profit boards, committees and working
groups, including the United Way Centraide, Meals on Wheels Ottawa, Royal Ottawa Foundation, Big
Brothers Big Sisters Ottawa, Saskatchewan Science Centre, Children’s Wish Foundation – National
Capital Region and the Arts Ottawa East Foundation.

The Volunteer Grants program, sponsored by the Bank of America Charitable Foundation, provides
grants made in the name of the associate to non-profit organizations for which associates volunteer
their time (up to $500 per person each calendar year). An unrestricted grant is made to any eligible
non-profit organization for which an associate has committed substantial volunteer hours within a
calendar year:
    • For 50 hours of volunteer time within a calendar year, Bank of America Foundation will give a
        $250 grant.
    • For 100 hours of volunteer time within a calendar year, the grant is $500.

Charitable Contributions / Local Grants

MBNA has donated more than $1.9 million to our community partners and other non-profit
organizations in the region since 2002 alone, with total donations in 2008 exceeding $485,000.

Through the Choice Rewards Charitable Giving program, our cardholders generously donated more
than $104,000 to the Canadian Cancer Society in 2008. Since its inception, the Choice Rewards
Charitable Giving program has resulted in more than $291,000 in donations to the Canadian Cancer
Society and the United Way. This program allows cardholders to redeem loyalty points, earned from
the use of their cards, for donations to charitable organizations such as the Canadian Cancer Society
and the United Way of Canada. A minimum donation of
2,500 points is required, which is the equivalent of a $25
donation, and tax receipts are issued by the charitable

MBNA was named as having the 8th largest United Way
Campaign in the Ottawa region in 2008, and placed in the
top 30 workplace campaigns in Regina, ranked by total
contributions. Our 2008 campaign contributed more than
$378,000 to the United Way/Centraide.

Since first opening for business in Canada over 10 years ago, MBNA and our associates collectively
have donated more than $2,753,000 for United Way/Centraide and we have provided a loaned
representative to the city’s campaign for the past three years.

Our commitment achieves results, never allows us to rest on past achievements, and keeps us
striving to create even more opportunity for the communities where we live and work.

Our associates
are our
greatest asset

                                 - Public Accountability Statement -

Our associates are our greatest asset

                          We’ve long recognized that even the finest products and marketing
                          techniques are effective only when the right people are supporting them.
                          We hire talented people from diverse backgrounds who are committed to
                          providing the very best products and services to our customers. Our
                          associates enjoy highly competitive compensation and benefit packages as
                          well as exceptional opportunities to grow professionally and personally.

                          In 2008, we hired more than 650 associates in a variety of customer
                          contact and support positions in Canada. As of year-end 2008, we had
                          2,039 associates working diligently to create positive customer
                          experiences and support the communities where we live and work, (1,618
                          full time and 90 part time in Ontario, 168 full time and 6 part time in
                          Saskatchewan and 151 full time and 6 part time in Manitoba). MBNA paid
                          more than $87.5 million in salaries and benefits to our Canadian workforce
in 2008.

Code of Ethics

Our Code of Ethics policy provides guidance on how to uphold the highest standards of ethical and
professional conduct. Each year associates receive required training on our Code of Ethics, which
includes acknowledgment that they have read, understand and agree to comply with our Code of
Ethics because each associate’s actions can impact the success of our company. We also know that
actions speak louder than words. And so, we foster a culture of openness, in which healthy debate is
encouraged and associates are expected to report on improper activity.

Our Core Values

The following five values represent what we believe in as individuals and as a team, and how we
aspire to interact with our customers, our shareholders, our communities and one another.

Doing the right thing
We have the responsibility to do the right thing for our customers,
shareholders, communities and one another.
Trusting & teamwork
We succeed together, taking responsibility for our customers’
Inclusive meritocracy
We care about one another, value one another’s differences, focus on
results and strive to help all associates reach their full potential.
We have a passion for achieving results and winning - for our customers,
our shareholders, our communities and one another.
We will be decisive leaders at every level, communicating our vision and
taking action to help build a better future.

                                  - Public Accountability Statement -

Canada’s Top 100 Employers

MBNA Canada Bank was selected by Maclean’s magazine as one of Canada’s Top 100 Employers
for 2008, earning the distinction for the fourth consecutive year. The company has also consistently
been chosen as one of the National Capital Region’s Top Employers for the past four years.

Workforce Diversity

Success in any business comes from knowing one’s customers. MBNA’s
millions of customers represent a variety of cultures and backgrounds. So
do our thousands of our associates. We hire people who like people—
which is a large part of why our products are ranked at or near the top in the
industry for customer loyalty.

Yes, it’s the law. It’s also the right thing to do, and a cornerstone of our
company values. MBNA is absolutely committed to fairness and equal
opportunity for all of our associates, each of whom deserves an opportunity
to succeed, grow, and enjoy the rewards of their talent and hard work.

It’s The Right Thing to Do

Our associates are absolutely committed to fairness and equal opportunity
for all. MBNA promotes a diversity-friendly work environment, which means that all associates
deserve an opportunity to succeed, grow, and enjoy the rewards of their hard work and skills.

It Makes Sound Business Sense

Our associates reflect the variety of customers we serve. Our millions of customers in Canada and
around the globe include people of various races, religions, ages, and beliefs. Success in any
business depends on knowing one’s customers. To that end, we hire talented people from a diverse
range of backgrounds who are committed to providing the very best products and service to MBNA

It Permeates Everything We Do

Our parent company, Bank of America, operates an extensive internal Learning and Leadership
Development line of business which provides professional development opportunities, skill
enhancement, and leadership education throughout the corporation. Our learning programs help
associates value differences in all situations— not just in the workforce, but among our millions of
customers. By promoting a better understanding of differences, our associates are more effective at
working together and leading, as well as more effective at interacting with each customer.

MBNA’s commitment to equal opportunity and a fair workplace is a matter of policy and practice:
     MBNA will recruit, hire, educate, and promote persons in all job categories on the basis of
     merit only.
     MBNA does not tolerate harassment of any kind in its workplace. The company enforces a
     strong policy against any form of harassment.

                                  - Public Accountability Statement -

Codes of Conduct and Public Commitment

MBNA Canada Bank, a subsidiary of Bank of America and one of Canada’s largest MasterCard
issuers, is committed to providing top quality customer
service. What sets us apart is our commitment to
finding the right customers and keeping them.

Voluntary Codes of Conduct and Public Commitments
are non-legislated commitments, voluntarily made by
companies that ensure a high level of service while
helping them remain competitive. At MBNA we adhere
to the following voluntary codes and public commitment
designed to protect our customers.

CBA, (Canadian Bankers Association), Code of
Conduct for Authorized Insurance Activities outlines the banks’ standards for employees offering
credit, travel and personal accident insurance with respect to training, disclosure, promotion
practices, customer privacy protection and customer redress.

Principles of Consumer Protection for Electronic Commerce: A Canadian Framework is a guide to
protecting customers in online transactions, developed with input from industry, government and
consumer groups.

MasterCard® Zero Liability - If you’re a MasterCard credit card cardholder, you will receive the benefit
of Zero Liability in the event of the unauthorized use of your Canadian-issued MasterCard.

Our commitment
toward sustainable

                                  - Public Accountability Statement -

Our Commitment Toward Sustainable Business

We are experiencing an unprecedented turning point in history as we confront the question of
sustainability: Can we thrive economically while preserving and protecting the environment
for future generations?

At Bank of America, America's largest retail bank, our answer is an emphatic "yes."

The Bank of America Commitment to Sustainable Business

Last year, Bank of America, our parent company, stepped up its commitment to the environment. You
can join us.

                               We are helping our retail customers contribute too. Our new Eco-
                               LogiqueTM MasterCard credit card is a revolutionary loyalty credit
                               card product that supports global environmental efforts in a new way.
                               Eco-Logique is the first credit card program in Canada to earn points
                               which MBNA will use to purchase carbon offset credits. MBNA is
                               pleased to offer Canadians a superior financial service product that
                               meets their everyday needs, while also allowing them to contribute to
                               improving the environment.

Our associates work hard to support the environment in         “My hope for the planet is that the
the communities within which we work and live.                 world’s businesspeople, consumers,
                                                               activists and politicians will work
You can help by referencing this document electronically       together to find new ways to create
instead of printing it onto paper. And now you can select to   sustainable economic growth.”
view your MBNA credit card statement electronically
instead of receiving it in the traditional paper format, by    Kenneth Lewis, Chairman, CEO and
registering at                                    President, Bank of America

MBNA Canada Bank
2008 Tax Summary

                                   - Public Accountability Statement -

MBNA Canada Bank 2008 Tax Summary

In 2008, the MBNA Canada Bank group of companies' total tax expense was $150.6 million. The tax
expense was comprised of $132.4 million in income taxes, $10.2 million in capital taxes and $8.0
million in payroll (employer portion) and property taxes as outlined in the following table (in millions of

Income Tax
Federal                            78.0
Ontario and Quebec                 47.3
Saskatchewan                        5.8
Manitoba                            1.3
Total – Income Tax                132.4

Provincial Capital Tax
Ontario                              8.9
Saskatchewan                         0.5
Manitoba                             0.7
Total – Provincial Capital Tax      10.2

Other Taxes
Payroll Taxes                        5.9
Property Taxes                       2.1
Total Other Taxes                    8.0

TOTAL TAX EXPENSE                 150.6

Goods and Services from Suppliers

During 2008, MBNA Canada Bank purchased over $237.2 millions in goods and services from
Canadian partners.


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