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Chairman’s StatementEmbracing Innovation to DriveBusiness GrowthDear Shareholders,I am pleased to report to you that 2013 was a year ofgood progress in delivering on KCB Group’s strategicobjectives. Our decision to re-focus the Group throughtransformation and targeted efficiencies is payingdividends. It is bringing greater clarity to the OneBranch Banking Principle and focus is now firmly ondelivering sustainable cost-transformation practices,while at the same time allowing controlled investmentin the desired areas of greatest opportunity.Performance in 2013I am therefore delighted to present to you the KCBGroup Annual Report and Financial Statements for theyear 2013. For the first time in the banking history,KCB Group’s profitability before tax crossed the KShs.20 billion mark to stamp our strong position as theleading indigenous Bank in the East African region.This reflects a 17% growth in profitability before tax(14% in 2012) to record KShs. 20.1 billion in theyear 2013. These impressive results and the ongoingtransformation agenda demonstrates thatour strategy across the region is working. Thisachievement was driven by the sustained growth in ourKenyan business, the improved performance in ourInternational businesses, the deliberate investment inhuman capital and consistent strides in technologyand innovation. The result is an improvement in KCBGroup’s operational efficiency and an improved costto income ratio.ChairmanNGENY BIWOTT27 10K C B 2 0 1 3 A n n u a l R e p o r t a n d F i n a n c i a l S t a t e m e n t s