Royal Bank of Canada to repurchase up to 40 million common shares

TORONTO, October 26, 2006 — Royal Bank of Canada (RY on TSX and NYSE) today announced the launch of its normal course issuer bid to purchase, for cancellation, up to 40 million of its common shares through the facilities of the Toronto Stock Exchange.

The purchase of common shares under the normal course issuer bid will enable the bank to balance the imperatives of maintaining strong capital ratios with the ongoing need to generate shareholder value.

The shares that may be repurchased represent approximately 3% of the bank’s outstanding common shares. As of October 20, 2006, there were 1,281,117,041 common shares of the bank outstanding.

Purchases under the normal course issuer bid may commence on November 1, 2006, and will terminate on October 31, 2007. The amount and timing of any purchases will be determined by the bank.

As of October 20, 2006, the bank had purchased 6.4 million common shares of an allowed seven million common shares at an average price of $47.05 under the bank’s current normal course issuer bid, which will expire on October 31, 2006.

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Beja Rodeck

Media Relations

Royal Bank of Canada

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