Highlights

• Capital position strengthened (total ratio up from 12,4% to 14,9%)
• Diluted headline earnings per share down 29,8% to 983 cents
• Improving credit loss ratio (H1: 1,57% to H2: 1,41%)
• Net asset value per share increased 6,8% to 9 100 cents
• Final dividend per share of 230 cents
• Significant progress on transformation – level-two BBBEE

'South Africa's banking system has remained resilient. This is reflected in our country's improvement from 15th to 6th place in the latest World Economic Forum Global Competitiveness Report ranking on the soundness of banks.

In 2009 capital ratios strengthened further and the liquidity position remained sound. This strength of our balance sheet positions us to capitalise on growth opportunities and to benefit from the expected turnaround in economic conditions.

During the economic downturn we have supported clients by advancing loans within prudent risk appetite parameters and this is reflected in the 8,4% growth of our loan book in the second half of the year. Pleasingly this resulted in modest market share gains. Nedbank Group has adopted a responsible approach to managing its staff complement by relying on natural attrition to achieve efficiencies and has not undertaken any retrenchment programmes. This has ensured stability and continuity in servicing our clients, and contributed to improved staff morale.

Nedbank Group continues to focus on balancing short-term profitability with our overriding goal of long-term sustainability. Our focus extends beyond purely economic and financial considerations, which is reflected in Nedbank Group being at the forefront of environmental sustainability and the first SA corporate to commit itself to becoming carbon-neutral.

Notwithstanding the increase in impairments, we believe that the operating condition of the group has strengthened during the year. The business clusters have performed well under difficult conditions.

Over the past six years the group has transformed into a sustainable business focusing appropriately on all stakeholders. This has allowed us to withstand the challenging economic environment and build our balance sheet strength to take advantage of opportunities when prospects improve. In recent months we've also seen a smooth transition to the new leadership team under Mike Brown. All the executives have significant experience in their areas of specialisation and the team is well-equipped to lead Nedbank Group strongly into the future.'

Tom Boardman		Mike Brown
Chief Executive		Chief Executive Designate