SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 6-K

Report of Foreign Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934

 

For the month of July, 2006		Commission File Number: 1-14678

CANADIAN IMPERIAL BANK OF COMMERCE

(Translation of registrant’s name into English)

Commerce Court
Toronto, Ontario
Canada M5L 1A2
(Address of principal executive offices)

     Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

Form 20-F   o                      Form 40-F   þ

     Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):   o

     Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):   o

     Indicate by check mark whether by furnishing the information contained in this form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g 3-2(b) under the Securities Exchange Act of 1934:

Yes   o                      No   þ

     The information contained in this Form 6-K is incorporated by reference into the Registration Statements on Form F-3 File No. 333-104577 and Form S-8 File nos. 333-130283 and 333-09874.

 

 

SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereto duly authorized.

Item 5 of Form F-3 filed with the Securities and Exchange Commission pursuant to the Securities Exchange Act of 1934

INTRODUCTION

Canadian Imperial Bank of Commerce (CIBC) produces quarterly and annual reports, which are submitted to the U.S. Securities and Exchange Commission (SEC) under Form 6-K and Form 40-F, respectively. These reports are prepared in accordance with Canadian generally accepted accounting principles (GAAP). SEC regulations require certain additional disclosure to be included in registration statements relating to offerings of securities. This additional disclosure is contained within this document, which should be read in conjunction with CIBC’s Second Quarter 2006 Report, First Quarter 2006 Report, and 2005 Annual Accountability Report; these documents were submitted to the SEC on June 1, 2006, March 2, 2006 and December 12, 2005, respectively.

     When we use the term “CIBC,” “we,” “our,” and “us,” we mean Canadian Imperial Bank of Commerce and its consolidated subsidiaries.

Additional notes to the financial statements (unaudited)

RECONCILIATION OF CANADIAN AND UNITED STATES GENERALLY ACCEPTED ACCOUNTING PRINCIPLES

CIBC’s interim consolidated financial statements are prepared in accordance with Canadian GAAP. Set out below are the more significant differences which would result if U.S. GAAP were applied in the preparation of the April 30, 2006 interim consolidated financial statements.

     For a full discussion of the relevant accounting differences between Canadian and U.S. GAAP, see Note 27 of the 2005 Annual Accountability Report. This note updates that disclosure for the six-month period ended April 30, 2006.

CONDENSED CONSOLIDATED BALANCE SHEET

$ millions, as at		April 30, 2006												October 31, 2005
		Canadian												Canadian
		GAAP				Adjustments				U.S. GAAP				GAAP				Adjustments				U.S. GAAP
ASSETS
Cash and non-interest bearing deposits with banks		$	2,073			$	—			$	2,073			$	1,310			$	—			$	1,310
Interest-bearing deposits with banks			9,828				—				9,828				10,542				—				10,542
Securities
Investment			19,652				(19,652	)			—				14,342				(14,342	)			—
Available for sale			—				19,136				19,136				—				13,903				13,903
Trading			58,742				1,659				60,401				53,422				1,115				54,537
Securities borrowed or purchased under resale agreements			21,722				—				21,722				18,514				—				18,514
Loans			139,531				1				139,532				141,783				3				141,786
Other
Derivative instruments market valuation			18,588				1,022				19,610				20,309				920				21,229
Customers’ liability under acceptances			6,295				—				6,295				5,119				—				5,119
Land, building and equipment			2,031				—				2,031				2,136				—				2,136
Goodwill			982				—				982				946				—				946
Other intangible assets			206				19				225				199				19				218
Other assets			11,071				(955	)			10,116				11,748				(582	)			11,166
		$	290,721			$	1,230			$	291,951			$	280,370			$	1,036			$	281,406
LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits		$	193,503			$	(3,145	)		$	190,358			$	192,734			$	(3,457	)		$	189,277
Other
Derivative instruments market valuation			18,691				1,150				19,841				20,128				807				20,935
Acceptances			6,295				—				6,295				5,119				—				5,119
Obligations related to securities sold short			17,996				321				18,317				14,883				749				15,632
Obligations related to securities lent or sold under repurchase agreements			21,682				—				21,682				14,325				—				14,325
Other liabilities			14,302				3,045				17,347				16,002				3,106				19,108
Subordinated indebtedness			5,862				—				5,862				5,102				—				5,102
Preferred share liabilities			600				(600	)			—				600				(600	)			—
Non-controlling interests			480				—				480				746				—				746
Shareholders’ equity
Preferred shares			2,381				600				2,981				2,381				600				2,981
Common shares			3,027				(108	)			2,919				2,952				(55	)			2,897
Contributed surplus			53				—				53				58				—				58
Foreign currency translation adjustments			(466	)			466				—				(327	)			327				—
Retained earnings			6,315				48				6,363				5,667				(112	)			5,555
Accumulated other comprehensive income (net of taxes)
Foreign currency translation adjustments			—				(544	)			(544	)			—				(401	)			(401	)
Unrealized gains on securities available for sale			—				(182	)			(182	)			—				(55	)			(55	)
Unrealized gains on derivatives designated as hedges			—				234				234				—				182				182
Additional pension obligation			—				(55	)			(55	)			—				(55	)			(55	)
		$	290,721			$	1,230			$	291,951			$	280,370			$	1,036			$	281,406

CONDENSED CONSOLIDATED STATEMENT OF INCOME

		2006				2005
$ millions, except share and per share amounts, for the six months ended		Apr. 30				Apr. 30
Net income as reported		$	1,165			$	1,147
Net interest income
Preferred share liabilities			16				28
Non-interest income
Capital repatriation			(23	)			—
Derivative instruments and hedging activities			68				151
Equity accounting			13				40
Impairment measurement			—				3
Other			—				69
Valuation adjustments			—				(3	)
Non-interest expenses
Employee future benefits			8				8
Stock-based compensation			96				—
Net change in income taxes due to the above noted items			(38	)			(75	)
Change in accounting policy, net of taxes			36				—
			176				221
Net income based on U.S. GAAP			1,341				1,368
Preferred share dividends and premiums			(82	)			(84	)
Net income applicable to common shareholders		$	1,259			$	1,284
Weighted-average basic shares outstanding (thousands)			334,745				343,413
Add: stock options potentially exercisable(1)			3,864				4,549
Weighted-average diluted shares outstanding (thousands)			338,609				347,962
Basic EPS		$	3.76			$	3.74
Diluted EPS		$	3.72			$	3.69

(1)

It is assumed that 80% of average options outstanding will be exercised for shares while the remaining 20% will be exercised as stock appreciation rights.

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

		2006				2005
$ millions, for the six months ended		Apr. 30				Apr. 30
Net income based on U.S. GAAP		$	1,341			$	1,368
Other comprehensive income, net of tax
Change in foreign currency translation adjustments			(143	)			80
Change in net unrealized gains on securities available for sale			(127	)			31
Change in net unrealized gains on derivative instruments designated as hedges			52				(2	)
Total other comprehensive income			(218	)			109
Comprehensive income		$	1,123			$	1,477

Changes in significant accounting policies affecting Canadian and U.S. GAAP differences

Share-based Payment
Effective November 1, 2005 we adopted Financial Accounting Standards Board (FASB) Statement 123 (revised 2004), “Share-based Payment” (SFAS 123-R) using the modified prospective transition method. SFAS 123-R requires companies to measure and record compensation expense for stock options and other share-based payments based on the instruments’ fair value on the grant date. The new standard requires the cost of awards to be recognized in the consolidated financial statements of operations over the vesting period. In addition, forfeitures are required to be estimated upfront in the year an award is granted.

     We had prospectively adopted the fair value method of accounting as of November 1, 2001 under SFAS 123, “Accounting for Stock-based Compensation” (SFAS 123) and the Canadian Institute of Chartered Accountants (CICA) handbook section 3870, “Stock-based Compensation and Other Stock-based Payments.” Under Canadian GAAP and SFAS 123, we recognize compensation expense in the year of grant for past service awards regardless of the vesting provisions. However, SFAS 123-R requires the costs to be recognized over the vesting period of the award for awards granted after November 1, 2005. We recognized forfeitures as they occurred under SFAS 123 as we currently do under Canadian GAAP, whereas, upon adoption of SFAS 123-R a cumulative adjustment for a change in accounting policy has been recognized for estimated forfeitures on all unvested awards in the amount of $36 million after-tax. A compensation expense difference for estimated forfeitures will exist for all new awards granted subsequent to the adoption of SFAS 123-R.

Future accounting changes
We are currently evaluating the impact of adopting the standards listed below:

Accounting changes & error corrections
In May 2005, the FASB issued SFAS 154, “Accounting Changes & Error Corrections.” The statement provides entities with guidance on reporting a change in accounting estimate, a change in accounting policies, the correction of an error in previously issued financial statements, and the reporting and disclosure of accounting changes in interim-period information. SFAS 154 will become effective for us beginning November 1, 2006. This guidance will harmonize U.S. GAAP with existing Canadian GAAP for these matters.

Accounting for certain hybrid financial instruments
In February 2006, the FASB issued SFAS 155, “Accounting for Certain Hybrid Financial Instruments — an amendment of FASB Statement 133 and 140” which provide entities a fair value measurement election on an instrument-by-instrument basis for any hybrid financial instrument that contains an embedded derivative that otherwise would require bifurcation. SFAS 155 will become effective for us beginning November 1, 2006.

Accounting for servicing financial assets
In May 2006, the FASB issued SFAS 156, “Accounting for Servicing of Financial Assets — an amendment of FASB Statement No. 140.” SFAS 156 requires an entity to initially measure servicing rights at fair value and either amortize servicing rights over the term of the servicing contract and adjust based on a comparison to fair value each reporting date or to subsequently remeasure the servicing rights at fair value with changes in fair value recognized in earnings in the period. SFAS 156 will become effective for us beginning November 1, 2006.