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Overview of CCB and MCC Accounts

Last Revised March 2012 0

Overview of Different Models

Account structure Mutual Corporate Client (MCC)

  Bank to bank agreement Client signs with BMO directly

Client Of Correspondent Banking (CCB)

 Account are jointly owned/controlled by you and your client

Documentation Forms

  Your client signs the “Mutual Corporate client (MCC) Authorization” Your client signs the appropriate BMO service agreement   You and your client both sign the “Agreement for CCB Accounts” You provide BMO with requisite account open material

Implementation Forms

  You complete the appropriate BMO Implementation forms gathering input from the client  Forms submitted either using paper, either via email or mail  You complete the appropriate BMO Implementation forms gathering input from the client Forms submitted either using paper, either via email or mail

Credit Risk Controls

 Your clients can operate on a pre-funded or via credit lines carved from your credit lines at BMO   Your clients always operate with credit support from your lines at BMO Prefunding is not supported

Information Reporting

   Your clients have access to real time information online Online Banking for Business is slated for a private label and single sign on capability in upcoming releases BMO can deliver MT940 or BAI file with previous day data to you   You have access to real time activity on their clients on BMO’s Correspondent Banking portal CDA Web BMO can deliver MT940 or BAI file with previous day data to you

CBDS and MECH Accounts

CCB Service

CBDS Accounts International Accounts CDA Web Cash Letters Concentrator Deposit Service International Payments

MCC Equivalent

Mech Accounts Domestic Accounts

Comments

 Provides access to Canadian banking services  Available in Canadian and US Dollars Online Banking for Business  Provides online access to financial and transactional information Branch Deposits Firstbank Cash Concentration Service Incoming Wire Payments  Provides a mechanism to submit bulk deposits to accounts  Provides a mechanism to make deposits any BMO branch and have the funds automatically transferred to a main account  Provides the ability to receive funds via wire payments (guaranteed, timely deposits) 2

CBDS and MECH Accounts

CCB Service

Wholesale Lockbox

MCC Equivalent

Wholesale Lockbox

Comments

 Provides the ability to receive mail payments into an account, including reports Electronic Funds Transfer (EFT) Credits Electronic Funds Transfer (EFT) Credit  Provides the ability to create a file of credit payments to be distributed electronically either to BMO accounts or to other Canadian banks  Available in Canadian and US Dollars Electronic Funds Transfer (EFT) Debits Electronic Funds Transfer (EFT) Debits  Provides the ability to create a file of debit transactions to be collected electronically either from BMO accounts or from other Canadian banks  Available in Canadian and US Dollars 3

CBDS and MECH Accounts

CCB Service

Drafts and Checks

MCC Equivalent

Checks

Comments

 For CCB accounts: provides the ability to issue checks or draw drafts against the CCB account  For MCC accounts: provides the ability to issue checks against the account Information Reporting Services:  Host to Host  FTF Information Reporting:  MECH to SWIFT  Provides the ability to receive bulk file delivery of reports and information 4

Disclaimer

These materials are confidential and proprietary to, and may not be reproduced, disseminated or referred to, in whole or in part without the prior consent of BMO Capital Markets (“BMO”). These materials have been prepared exclusively for the BMO client or potential client to which such materials are delivered and may not be used for any purpose other than as authorized in writing by BMO. BMO assumes no responsibility for verification of the information in these materials, and no representation or warranty is made as to the accuracy or completeness of such information. BMO assumes no obligation to correct or update these materials. These materials do not contain all information that may be required to evaluate, and do not constitute a recommendation with respect to, any transaction or matter. Any recipient of these materials should conduct its own independent analysis of the matters referred to herein.

“BMO Capital Markets” is a trade name used by BMO Financial Group for the wholesale banking businesses of Bank of Montreal, Harris N.A. and Bank of Montreal Ireland p.l.c., and the institutional broker dealer businesses of BMO Capital Markets Corp., BMO Nesbitt Burns Trading Corp. S.A., BMO Nesbitt Burns Securities Limited and BMO Capital Markets GKST Inc. in the U.S., BMO Nesbitt Burns Inc. in Canada, Europe and Asia, BMO Nesbitt Burns Ltée/Ltd. in Canada, BMO Capital Markets Limited in Europe, Asia and Australia, and BMO Advisors Private Limited in India.

BMO does not provide tax or legal advice. Any discussion of tax matters in these materials (i) is not intended to be used, and cannot be used or relied upon, for the purposes of avoiding any tax penalties and (ii) may have been written in connection with the “promotion or marketing” of the transaction or matter described herein. Accordingly, the recipient should seek advice based on its particular circumstances from an independent tax advisor.