$1B Royal Bank Subordinated Trust IPO Offering

Royal Bank of Canada, through RBC Subordinated Notes Trust's initial public offering, raised $1 billion in subordinated debt. This is the first subordinated debt offering under the new April 2007 OSFI Innovative Tier 2B rules. It provides Royal Bank of Canada with an efficient regulatory capital raising structure following Ottawa's 2006 income trust tax announcement. The RBC TSNs, which are guaranteed on a subordinated basis by Royal Bank of Canada, were issued by RBC Subordinated Notes Trust and were placed by a syndicate of underwriters led by RBC Dominion Securities Inc. The offering was announced on April 17, 2007 and closed April 30, 2007.

Royal Bank of Canada and RBC Subordinated Notes Trust were advised by Paul Guthrie, senior counsel, and assisted by McCarthy Tétrault LLP's Barry Ryan, Daniel Bénay, Frédéric Cotnoir and David Randell (business) and Gabrielle Richards and Steven Baum (tax). RBC Dominion Securities Inc. and the syndicate of underwriters were advised by Osler, Hoskin & Harcourt LLP's Steven W. Smith and Troy Krushel (corporate) and Andrew S. McGuffin (tax).