I hate these kinds of press releases, and PWC should really think carefully about it. Its a classic example of wanting to say something (pro mergers) and taking any fact that comes along and using it to support what they wanted to say anyway.
… net income was CDN$19.5 billion – a small increase in year-over-year growth of just 2.2%, compared to a record-breaking 50% increase in the previous year.
…. ….
“The growing size gap between Canadian and global banks is making it increasingly difficult for Canadian banks to compete,” says Chant. “Large global banks have far more resources for product development, systems development and acquisitions than their Canadian counterparts. It’s critical that Canadian banks become more focused and invest in a few, carefully chosen areas.”
Canadian Banks are sufferring a lack of profits because of losses in the mortgage and capital markets. This is a reflection on management not on size. Had they merged they would merely have been bigger, and lost more.
Come on PWC …. think before you issue stupid press releases. Mergers are needed to support competitiveness in a global context for increased profits, but the reason for reduced profits in 2008 is bad decisions.
Bankwatch 
As far as I’m aware, studies show the mergers in the banking sector have essentially no impact on profitability. The big winners in bank mergers are the incumbent management, not the shareholders, which is why the persist with them!