BROAD BASED BLACK ECONOMIC EMPOWERMENT (BBBEE) POLICY DOCUMENT FOR APPLIED PNEUMATICS S.A. (PTY) LTD., including EVERLEE ENGINEERING 

18^th July 2005

In pursuit of broad based black economic empowerment, Applied Pneumatics S.A. (Pty) Ltd., including Everlee Engineering contracted the services of Goal Achievement Partners, a reputable consultancy that is represented on the Department of Trade and Industry’s database of rating agencies, to conduct an initial assessment of the company’s BEE status.  

This company currently scores 55% on the Broad Based Black Economic Empowerment Balanced Scorecard from the Codes of Good Practice. 

The purpose of this draft policy document is to clarify the position of Applied Pneumatics S.A. (Pty) Ltd., including Everlee Engineering on the issues of the Broad Based Black Economic Empowerment (BBBEE) and the relevant industry Charters. This document is still a discussion document and will be finally approved by management of Applied Pneumatics S.A. (Pty) Ltd., including Everlee Engineering during July 2005.  

Vision Statement 

Applied Pneumatics S.A. (Pty) Ltd., including Everlee Engineering strive to ensure that equitable opportunities are created and offered to predominantly historically disadvantaged South Africans in it’s pursuit of achieving the goals and targets set by the Broad Based Black Economic Empowerment Act. 

The following objectives have been designed to improve this company’s BBBEE score to at least 65% by August 2007.

 Objectives 

1. To ensure that at least 50% of management is black by December 2007.
2. To ensure that a minimum of 40% of the total staff compliment are women by December 2009.
3. To develop a detailed and accurate Preferential Procurement Policy to guide and manage the implementation of successful procuring from predominantly historically disadvantaged South African owned companies by December 2005.
4. To ensure that a detailed and accurate Enterprise Development Programme is conceptualised and developed by December 2006.
5. To ensure that a detailed and accurate Corporate Social Responsibility Policy is developed by December 2005.