A phrase used by Canadians to indicate that the person being addressed is in deep trouble. Usually (but not always) it is the person uttering the phrase who is offering trouble to the one being addressed.
1) Joe: "Hey, I broke your favourite autographed hockey stick; sorry..."
Wayne: "Oh, you're toast, eh!"
2) Wayne (at the bar): "Damn, is it 3am already? I promised my wife I'd be back by 11!"
Joe: "Oh, you're toast!"
when someone says a bunch of nonesense to you that you clearly dont give a fuck aboutl and you respond back saying this too piss them off by "saying you too eh?"
yarlsberg: yo dude, last night i jacked off so hard my cock turned meatloaf.