The impact of TD's regulatory compliance lapses on the bank is there for all to see. In its latest quarterly report, TD added to its existing US$400-million provision for U.S. regulatory fines with a startling US$2.6-billion provision, declared a quarterly loss of 14 cents a share, and sold off more than 40 million shares it owned in Charles Schwab Corp. to shore up its Tier 1 capital ratio – money banks hold in reserve to absorb potential future losses from normal banking operations.