Royal Bank

Principal and interest

Non-principal protected notes, so that all of the $100 principal (other than $1) is at risk. Interest is payable at 3.75% for each six-month period, if on the specified "Observation Day" shortly before the end of that period, each of the applicable indices (the S&P/TSX 60, EuroSTOXX 50 and S&P 500) is at least equal to the Barrier Level (75% of the initial level).

Autocall redemption (or payment at maturity)

If on an Observation Day during each six-month term (with the 1st such term commencing on October 25, 2013), the closing level of each index is higher than its initial level, each note will then be redeemed for its $100 principal. If a note is still outstanding on its maturity date (October 25, 2017), the principal is repaid, unless the worst-performing of the indices is below the Barrier Level, in which case the payment will be based on that level (subject to the $1 minimum).

Barrier Level

75% of the initial level for each Index.

Canadian taxation

Because interest for a six-month period is contingent until the Observation Day, a disposition of a note in a six-month period prior to the Observation Day may not result in a requirement to recognize accrued interest for that quarter. Where held as capital property, redemption at maturity for less than the maturity will result in a capital loss.

No Part XIII tax.