Aberdare CablesPowertech Investors Relations Day – 9 February 07 Hans Meiring, CEO

Aberdare History Founded in Port Elizabeth - 1946 Sold to NKF - 1956 Phillips incorporation - 1968 Aycliffe Cables acquisition - 1969 Copper telecommunication - 1974 Optical fibre plant - 1981 Contronics Cables acquisition - 1982 ASEA/Scottish Cables merger - 1985 Alcobre acquisition - 1994 Delta Cables acquisition - 1995 SA PVC acquisition (Voltex) - 1998 Lambda Cables acquisition - 1998 Aberdare Intelec founded - 1999 Cables de Comunicaciones - 2000 Aberdare Network Services established - 2001 Corning equity deal - 2001 Izingwe equity deal - 2004 Technology Integrated Solutions est. - 2006 Greenhills Distribution Centre est. - 2006 60TH Anniversary - 2006 ATC/Aberdare Joint Venture - 2007

Aberdare facts and figures

Major shareholders : Powertech & Izingwe

Locations : RSA, Mozambique, Portugal & Spain

Core Business : Cable & Solutions

Sales Revenues : R 4 000 m / US $ 570 m

Employees : 2600

Structure : Sales-led Functional Organization

Manufacturing Facilities : Pietermaritzburg, Gauteng, Pretoria, Port Elizabeth, Maputo, Oporto, Zaragoza

Asset Base : R 1225 m US $ 175 m

Sales & Distribution : Port Elizabeth, Cape Town, Middelburg, Welkom, Johannesburg, Nelspruit, East London, Bloemfontein, Durban, Upington, Maputo, Oporto, Lisbon, Madrid, Zaragoza, Hong Kong, Australia, Ghana, Namibia

Technology Partners : Tyco/Raychem: Cable USA, Draka Cables

Aberdare Operating Structure

CJ MeiringCEO

CC WoolardExec. Dir. Finance

J W YuillExec. Dir. Technical

IT MillarExec. Dir. Human Capital

CJ NicholExec. Dir. Sales

S SibekoExec. Dir. Marketing

JO KidsonExec. Dir. Manufacturing

J V VictorDir. Value Chain Management

SP JonesDir. Strategic Projects

E VisserMD. Technology Int. Services

Market Segments

Utilities

ESKOM Transmission Distribution Generation

Mining Houses

Railways & Harbours

General industry

Building & Construction

Exports

Telkom SA

Second Network Operator

Railways

Mining Houses

Private telecom networks

General industry

IT & Surveillance installation markets

GSM Networks

Exports

PowerPower Telecom & Data Telecom & Data

Products

LV, MV & HV XLPE cable

MV PILC cable

Elastomeric cable

PVC cable

O/H conductors

Aerial bundle cable

Fire Cables

Copper rod

Conform profiles

Cable accessories

Copper telecom cable

OF telecom cable

Industrial telecom cable

Instrumentation cable

Railway Signaling cable

Data cable

Fire cables

Pigtails & Patch cords

Cable accessories

PowerPower Telecom & Data Telecom & Data

Swaziland, Lesotho, Botswana, Namibia, Zimbabwe, Kenya, Malawi, Ghana, Nigeria, DR Congo, Cameroon, Gabon, Guinea, Mali, Tanzania, Sudan, Zanzibar, Mauritius, Seychelles, Mozambique, Zanzibar, Madagascar

Australia, China, Hong Kong, Macau, Singapore, Brunei, Sri Lanka, Philippines

UAE, Kuwait, Qatar, Oman, Yemen, Bahrain

United Kingdom, Ireland, Scotland

Portugal, France, Belgium, Spain, Romania, Sweden

Brazil, Chile, Paraguay, Uruguay, Peru

USA, Canada

Aberdare Export Markets

Market Shares – SA Power Cable Market

28%

11%

13%

48%

Aberdare African Mtec Others

Other

Mtec

African

Aberdare

Aberdare Strategic Plan 2007 - 2010

1. Customer Relationship Management

2. Broad Based BEE

3. Technology Innovation

4. Talent Management

5. Operational & Functional Excellence

6. Global Growth

7. Value Chain Optimisation

Aberdare Group Strategic Intent DriversSustainable Value Creation and Growth through:

Aberdare 2010 and beyond strategic plan concept summary …

“........FROM GOOD TO GREATtowards 2010 and beyond......”

Consolidation / Rationalization Telecoms Operations

Aberdare/ATC Joint Venture completed January 2007

Created World Class Company with the best machinery and processes

Ability to explore manufacturing opportunities in Africa with spare plant from the Joint Venture

Secured Technology Partners for new Joint Venture in Europe

Cost Effectiveness

Consolidation of Power Operations:

Product/Process/Staff - functional rationalisation (multi-site)

Quality Improvements – BASEC ISO 9000 & ISO 14000

Time utilisation improvements

Stock control refined with SAP

Process technology installed

People skills upgraded in line with process improvements

Backward Integration

Own manufacture of Copper Rod (Phase 1) State-of-the-art vertical casting lines 12 000 tons/annum EC rod capacity Ability to cast specilialised copper alloys (Spoornet contact wire)

Own Manufacture of Aluminium Rod (Phase 2) EC aluminium for general conductors Aluminium alloys for overhead conductors (Eskom)

Continuous Metal Forming (Conform) (Phase 1) Solid profiled aluminium conductors Rectangular copper strip for transformer windings

Polymer Compounding In-line polyolefin grafting (Phase 2) PVC insulating and sheathing compounds (Phase 1) Local mixing of PILC PIB impregnate (Phase 2)

Operational Excellence

Lean Production:

Cost of Production Measurements – Balanced Score Card

Value Stream mapping Drives improvement activities

Mission Directed Work Teams Mini Businesses Quality, Speed, Cost, Morale Ownership and accountability

Complete Plant efficiency Time, Performance, Quality

Kaizen activities Continuous improvement

Technology Integrated Solutions

Cable accessories Joints & terminations

Connections & fittings

Insulation & protection

Substation O/H line protection LV & MV Bus insulation Insulators Surge arrestors

Electronics Cable harnesses

Turnkey Solutions

Physical fibre management systems

Spice closure organizers

Heat shrink splice closures

Watertight reusable closure systems

Modular connection systems

Fibre optic enclosures

Terminal boxes

Premise wiring components

GSM system components

OPGW line components

Turnkey Solutions

RaychemRaychem

Power Networks Telecommunication Networks

Product Development

Advanced Fire Cables Unarmoured flame retardant energy OCGT cables (Eskom) Zero-halogen flame-retardant RZA1-K cables (Spain)

Railway Cables Track-side LV copper signalling cables for high speed trains (Spain) Track-side 3 kV energy cables for railway networks (Spain and SA) Anti-theft copper-clad-steel earth bonding cable (Spoornet & Eskom) Anti-theft contact wire (Spoornet)

HV Cables 66 kV XLPE-insulated cables

Overhead Conductors Compacted ACSR transmission conductors All aluminium alloy (AAAC) transmission conductors High-temperature ACSR conductors 3 kV aerial cables for deep rural electrification

B3 E2

Key Growth Drivers for Aberdare2006 - 2010

Infrastructure spend - Power, Telecommunications and Transport

Demand for Turnkey Solutions

Support Service Delivery for upliftment in South Africa

Building and Construction

Industrial Expansion

Mining Development

Aberdare Growth Base“FROM GOOD TO GREAT”

Aberdare Metallic Profiles Expansion

Aberdare Power Cables Increased Capacity

Establishment of Technology Integrated Services

Expansion of Alcon Marepha Cables

Aberdare / ATC Joint Venture

International Expansion

Acquisitions

TECHNOLOGY INNOVATION ACROSS ALL OPERATIONS

VALUE CHAIN OPTIMISATION ACROSS ALL OPERATIONS

LEADERSHIP AND TALENT MANAGEMENT WITHIN THE GROUP

Aberdare Cables…..Geared for Growth!

KWAZULU-NATAL

EASTERN CAPE

NORTHERN CAPE

MPUMULANGA

GAUTENG

NORTH WEST PROVINCE

NORTHERN PROVINCE

WESTERN CAPE

FREE STATE

Thank you