71 TD’s economic contribution
As a major employer, purchaser, taxpayer and financial services provider, TD’s role in the economy is extensive. The most direct contribution comes through maintaining a strong business with solid earnings, which allows us to pay employees and suppliers, contribute taxes and revenues to government and provide dividends to our shareholders.
Direct Economic Value Generated in 2012 (in millions of dollars)
TD’s Total 2012 Revenue
Distributed Value Operating costs1 $23,122
Salaries and benefits Taxes2
Cash dividends Community giving 1
$4,074 $7,241 $1,092 $1,870 $65
Economic Value Retained
Supporting Small Business Owners
Since the economic health of our communities depends to a large degree on the viability of their small and medium-sized businesses, TD is committed to helping those enterprises succeed. Our services to them include financing, specialized services and advice, and education. Over half our Canadian branches have Small Business Advisors who can advise on innovative solutions, products and services to meet each customer’s unique needs.
• In 2012, TD Bank was the top Small Business Administration (SBA) lender (by dollar volume) in Vermont, New Hampshire, Maine and South Carolina.
• TD is also providing support to microlenders across America as a catalyst for economic development in underserved communities.
• In 2012 TD Canada Trust provided small business customers with over $2 billion in new and increased credit authorizations.
$8,780 Reinvesting in Our U.S. Communities
In 2012, TD Bank provided in excess of US$450 million through community development investment programs in underserved areas:
Operating costs include occupancy, equipment, marketing, professional services, communications and some taxes (payroll taxes, transaction and sales taxes, capital and insurance premium taxes and property and business taxes). Refer to the 2012 Consolidated Financial Statements for more information.
2 Tax amount reflects income taxes. Refer to page 72 for more information on taxes borne by TD.
The global numbers above help tell the story of TD Bank Group’s direct value, but we wanted to explore TD’s indirect contributions to the economy. As our methodology is based on modelling from Statistics Canada, the analysis below refers only to Canada.
• The Low Income Housing Tax Credit program supports the development of multi-family housing for low-income individuals and families in need of affordable rental housing options.
• The New Markets Tax Credit program supports the revitalization of communities in low-income and distressed communities through improving access to capital for job creation and economic opportunities.
• The Small Business Investment Company program supports the growth of new and existing small businesses by providing access to equity capital, long-term loans and management assistance.
Strengthen Our Communities
Analysis From TD Economics
TD helps support the Canadian economy and job market through direct and indirect channels. The direct channels reflect TD’s actual hiring and spending. TD pumped $5.1 billion into the economy via its purchases of goods and services. If part- time positions are combined into their full-time
equivalent, TD employed a total of 53,000 Canadians and paid $5.4 billion in salaries and benefits. TD also provided shareholders with $1.8 billion in cash dividends.
TD also positively contributes to the Canadian economy through indirect channels. First, part of the salaries and dividends gets spent within Canada, generating demand for Canadian businesses.
TD’s spending also generated knock-on effects, which would have led to increased economic activity and hiring among other industries.
Over all, it is estimated that in 2012 TD helped support a total of 116,000 full-time equivalent jobs and generated $11.4 billion in economic activity within Canada, both directly and indirectly.
Sources: TD Bank Group 2012 Annual Report and Statistics Canada.
TD 2012 Corporate Responsibility Report
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80 |
Page 81 |
Page 82 |
Page 83 |
Page 84 |
Page 85 |
Page 86 |
Page 87 |
Page 88 |
Page 89 |
Page 90 |
Page 91 |
Page 92 |
Page 93